Feb 7 (Reuters) - Futures tied to Canada's main stock

index rose on Friday, buoyed by higher commodity prices, while

investors awaited key domestic and U.S. employment data.

March futures on the S&P/TSX index were up 0.23% at

6:40 a.m. ET (1140 GMT).

Investors will be closely watching January's employment

data, crucial for assessing Canada's economic health, especially

with the threat of U.S. tariffs looming.

The U.S. nonfarm payrolls report for January, due later in

the day, is expected to show moderation in job growth.

The expected slowdown will not be enough to push the U.S.

Federal Reserve to cut interest rates in its March policy

meeting. Traders have priced in the next U.S. rate cut in June.

Oil prices rose after new sanctions were

imposed on Iran's crude exports, but were on track for a third

straight week of decline, hurt by U.S. President Donald Trump's

renewed trade war on China.

Gold prices firmed and were on track for a sixth

consecutive week of gains, helped by the trade war-fueled

safe-haven demand.

The S&P/TSX composite index ended lower on

Thursday, with declines in energy, technology and major

communication shares, as investors digested some mixed corporate

earnings.

Bank of Canada Governor Tiff Macklem said on Thursday the

U.S. policy shifts are creating uncertainty and Trump's tariff

threats are impacting businesses and households.

The week began poorly for the markets after Trump announced

broad trade tariffs on Mexico and Canada. However, he later

temporarily suspended the tariffs on goods from both countries.

In corporate news, cloud services provider Converge

Technology will be acquired by alternative investment

firm H.I.G. Capital in a deal valued at C$1.3 billion.

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($1 = 1.4330 Canadian dollars)