TSX Pulls Back Amid Renewed US-Iran Tensions

2026-05-26 20:19 By Isabela Couto 1 min. read

The S&P/TSX Composite Index fell 0.5% to close at 34,654 on Tuesday after reaching a record high in the previous session, as hopes for a resolution to the Middle East conflict faded following fresh US military strikes in Iran.

The latest attacks renewed uncertainty over when the Strait of Hormuz could reopen, reviving concerns about prolonged inflation and higher-for-longer interest rates.

Banks traded lower, with Royal Bank of Canada down 0.7% and TD Bank losing 0.7%.

Canada’s largest lenders are set to report quarterly earnings this week, with profits expected to rise despite trade tensions, the Middle East conflict, and broader macroeconomic uncertainty, though risks tied to weaker consumer finances and a softer housing market remain elevated.

Heavyweight mining stocks also declined as gold prices slipped, with Barrick down 0.9%, Wheaton Precious Metals losing 2.4%, and Agnico Eagle shedding 1.7%.



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TSX Pulls Back Amid Renewed US-Iran Tensions
The S&P/TSX Composite Index fell 0.5% to close at 34,654 on Tuesday after reaching a record high in the previous session, as hopes for a resolution to the Middle East conflict faded following fresh US military strikes in Iran. The latest attacks renewed uncertainty over when the Strait of Hormuz could reopen, reviving concerns about prolonged inflation and higher-for-longer interest rates. Banks traded lower, with Royal Bank of Canada down 0.7% and TD Bank losing 0.7%. Canada’s largest lenders are set to report quarterly earnings this week, with profits expected to rise despite trade tensions, the Middle East conflict, and broader macroeconomic uncertainty, though risks tied to weaker consumer finances and a softer housing market remain elevated. Heavyweight mining stocks also declined as gold prices slipped, with Barrick down 0.9%, Wheaton Precious Metals losing 2.4%, and Agnico Eagle shedding 1.7%.
2026-05-26
TSX Slips on Renewed Middle East Concerns
The S&P/TSX Composite Index fell from its record yesterday to 34,000 on Tuesday as hopes for a resolution to the Middle East conflict faded following US military strikes in Iran. The latest attacks renewed uncertainty over when the Strait of Hormuz could reopen, reviving concerns about prolonged inflation and higher-for-longer interest rates. Gold prices declined, weighing on mining stocks, with Agnico Eagle down 1.7%, Barrick losing 1%, and WPM falling 2.6%. Meanwhile, major banks were muted ahead of their earnings this week, set to update balance sheets for the TSX's biggest sector. Elsewhere, Manulife Financial gained 0.2% after launching a 10-year Singapore dollar-denominated subordinated Tier-2 bond with a five-year non-call period. Markets also monitored the first round of formal negotiations over the US-Mexico-Canada trade agreement.
2026-05-26
TSX Futures Slip Amid US Attacks on Iran
Futures tracking the S&P/TSX Composite Index edged lower on Tuesday as hopes for a resolution to the Middle East conflict faded following fresh US military strikes in Iran. The latest attacks renewed uncertainty over when the Strait of Hormuz could reopen. Gold prices also fell as concerns about prolonged inflation and higher-for-longer interest rates resurfaced, pressuring mining shares and the broader index. Investors awaited quarterly earnings from major Canadian banks, with RBC and TD Bank set to report on Wednesday and Thursday, respectively, while BMO, Scotiabank, and NBC are also due to release results on Wednesday. Elsewhere, Manulife Financial launched a 10-year Singapore dollar-denominated subordinated Tier-2 bond with a five-year non-call period. Markets also monitored the first round of formal negotiations over the US-Mexico-Canada trade agreement.
2026-05-26