TSX Futures Edge Up on Easing Middle East Tensions

The S&P/TSX Composite Index fell 0.2% to close at 34,412 on Tuesday, weighed down by losses in the mining, energy, and technology sectors. Mining shares retreated as gold prices declined amid expectations that the Federal Reserve will maintain a hawkish stance. Agnico Eagle shed 1.9%, Barrick lost 1.4%, and Wheaton Precious Metals fell 2.6%. Energy stocks also weakened as oil prices pulled back after Israel and Iran agreed to halt attacks following a renewed flare-up in hostilities. Canadian Natural dropped 3.6%, while Suncor lost 3%. In the tech sector, Shopify fell 0.5% and Celestica lost 4.9% as a wave of equity offerings by companies seeking capital to fund AI ambitions raised concerns about whether demand will be sufficient to absorb the new supply and what that could mean for valuations. Investors also looked ahead to the Bank of Canada's policy decision on Wednesday, with policymakers widely expected to leave interest rates unchanged.

The S&P/TSX Composite Index fell more than 0.5% to trade below 34,500 on Tuesday, weighed down by losses in the mining, energy, and technology sectors. Mining shares retreated as gold prices declined amid expectations that the Federal Reserve will maintain a hawkish stance. Agnico Eagle and WPM lost about 3%, while Franco-Nevada and Barrick shed around 2.5%. Energy stocks also weakened as oil prices pulled back after Israel and Iran agreed to halt attacks following a renewed flare-up in hostilities. Canadian Natural and Suncor dropped 3%. In the tech sector, Shopify fell 1.5%, while Celestica plunged 7% as investors took profits after the recent AI-driven rally. Investors also looked ahead to the BoC's policy decision on Wednesday, with policymakers expected to leave interest rates unchanged. Meanwhile, prospects for progress in US-Iran negotiations deteriorated after President Trump said Iran had shot down a US helicopter patrolling the Strait of Hormuz and vowed to retaliate.

The S&P/TSX Composite Index gained 0.5% to trade above 34,500 on Tuesday amid signs of easing tensions in the Middle East. The White House suggested that a deal to end the more than three-month-old conflict with Iran could be reached within days, improving risk sentiment. Oil prices and bond yields declined, supporting financial stocks and the broader market. RBC and BMO rose about 1%, while TD Bank added more than 0.5%. Meanwhile, higher gold prices provided support to mining shares, with Barrick advancing more than 1%. Elsewhere, Shopify extended its rally with a nearly 5% gain as persistent optimism surrounding artificial intelligence boosted technology stocks. Investors also looked ahead to the Bank of Canada's policy decision on Wednesday, with policymakers widely expected to leave interest rates unchanged.