TSX Futures Rise as Oil Gains Amid Rising Middle East Tensions

The S&P/TSX Composite Index edged up 0.2% to close at 34,471 on Friday, supported by a strong session in US equities and cautious signs of progress in negotiations between Iran and the US. Iran’s foreign minister met with Pakistan’s interior minister to discuss proposals aimed at narrowing differences between Tehran and Washington, according to Iranian media reports. Financial stocks advanced, with Royal Bank of Canada up 0.5% and TD Bank gaining 0.9%. Consumer discretionary shares also supported the index, led by a 2.5% rally in Magna International. Meanwhile, lower gold prices pressured mining stocks as elevated oil prices sustained lingering inflation concerns and expectations of a possible US interest rate hike later this year. Agnico Eagle fell 0.9% and Barrick lost 1.2%.

The S&P/TSX Composite Index edged up to trade above 34,500 on Friday, benefiting from a strong session in the US amid cautious signs of progress between Iran and US in their conflict. US Secretary of State Marco Rubio said there had been “some good signs” in negotiations to end the nearly three-month-old conflict involving the US, Israel, and Iran, though major disagreements remained over Tehran’s uranium stockpile and control of the Strait of Hormuz. Banks traded higher, with BMO up 0.5% and TD Bank gaining nearly 1%. Meanwhile, lower gold prices pressured mining shares as inflation fears reinforced expectations of a possible US interest rate hike later this year. Agnico Eagle shed more than 1% and Barrick lost over 1.5%. Investors also awaited quarterly earnings from major Canadian banks due next week.

TSX increased to an all-time high of 34566.00 Index Points. Over the past 4 weeks, Canada Stock Market Index (TSX) gained 1.75%, and in the last 12 months, it increased 33.63%.