Oct 18 (Reuters) - Futures tied to Canada's main stock

index rose marginally on Friday due to gains in metal prices,

while investors braced for the Bank of Canada's monetary policy

decision next week.

December futures on the S&P/TSX index were up 0.1%

at 6:05 a.m. ET (10:05 GMT).

Canada's materials sector could benefit from gold prices

reaching a record high, crossing $2,700 per ounce, due to U.S.

election uncertainty and Middle East tensions, along with higher

copper prices on the latest China measures to boost its stock

market.

The heavyweight energy sector also grabbed focus as oil

prices eased and were headed for their biggest weekly loss in

over a month.

The Canadian central bank's policy meeting is due next week,

and investors have raised their expectations for a

larger-than-usual interest rate cut following Tuesday's

unexpectedly low inflation data.

Traders are betting high on a 50-basis-point cut at the

meeting on Oct. 23, the odds of which stand at 91.7%.

A larger cut can provide a much-needed boost to the domestic

economy, whose annual inflation level has dropped below the

central bank's 2% target.

The composite index scaled a record high on

Thursday, led by financials and resource shares, as U.S. retail

sales data bolstered investor optimism about the economy.

Across the border, Wall Street futures rose on Friday, led

by Nasdaq 100, as technology shares experienced broader gains.

In corporate news, Canadian holding company Dundee

Corporation ( DDEJF ) announced it acquired 2 million common

shares of Greenheart Gold at the price of C$0.50 per share.

COMMODITIES

Gold: $2,711.5; +0.7%

US crude: $70.74; +0.1%

Brent crude: $74.43; -0.03%

FOR CANADIAN MARKETS NEWS, CLICK ON CODES:

TSX market report

Canadian dollar and bonds report

Reuters global stocks poll for Canada

Canadian markets directory

($1 = 1.3790 Canadian dollars)