TSX Futures Up as Markets Monitor Middle East Developments

The S&P/TSX Composite Index rose 0.5% to trade near the 35,000 mark on Tuesday, reaching a record high after underperforming US stocks in the previous session. Energy and mining shares led gains as oil prices remained elevated despite retreating from Monday’s spike, while gold prices moved higher. Canadian Natural and Suncor added about 1%, benefiting from firm crude prices. Barrick gained nearly 1% after reports that it is considering a London listing for its African business, with a potential all-share transaction involving UK-listed Endeavour Mining among the options under review. On the geopolitical front, US President Donald Trump said talks with Iran were ongoing, although tensions between Israel and Lebanon continued to cloud prospects for a broader agreement and the eventual normalization of trade flows through the region.

Futures tracking the S&P/TSX Composite Index edged up on Tuesday to pare its underperformance to US stocks from the previous session. US President Donald Trump said talks with Iran were ongoing, although friction between Israel and Lebanon continued to jeopardize an agreement and eventual resumption of trade from the region. Gold prices rose, supporting mining stocks. Investors also monitored reports that Barrick is considering a London listing for its African business, with a potential all-share transaction involving UK-listed Endeavour Mining among the options under review.

The S&P/TSX Composite Index shed 0.1% to close at 34,735 on Monday, weighed down by losses in heavyweight financial and mining stocks as signs of renewed escalation in the Middle East hurt risk appetite and sent oil prices higher. Although US President Donald Trump said Israel and Hezbollah had agreed to stop attacking each other in Lebanon and that talks with Iran were continuing, fresh violence threatened efforts to end the conflict. Oil prices spiked after reports that US-Iran negotiations had stalled, reviving concerns about inflation and higher borrowing costs. RBC lost 1.3%, Scotiabank shed 1.5%, and CIBC fell 2.5%, while TD Bank dropped 2.8% after BMO (+0.6%) hired senior executive Trevor van Arragon from its rival. Mining shares also declined as gold prices fell, with Agnico Eagle down 3.6% and WPM losing 3.8%. In contrast, Shopify jumped 4.4%, tracking a tech rally on Wall Street after Nvidia unveiled a new advanced processor for PCs.