TSX Slips on Middle East Tensions

The S&P/TSX Composite Index fell ocer 1% to trade below 35,000 on Wednesday as renewed US-Iran tensions fueled risk aversion. President Trump said the memorandum of understanding with Iran to end the conflict was "over," reviving concerns over potential disruptions to global energy supplies. Higher oil prices renewed fears of energy-driven inflation and higher interest rates, weighing on financials. RBC (-1.5%), TD Bank (-3%), and BMO (-2%) were down. Mining stocks also came under pressure as gold prices slipped and Trilogy Metals (-1%) reported a wider second-quarter loss. Agnico Eagle, Barrick, and WPM fell about 4%. Tech stocks weakened, with Shopify down 4%. Meanwhile, minutes from the Fed's June meeting showed officials remained divided over the need for further tightening. While several policymakers argued the current policy stance was not restrictive, most also said additional rate hikes could be warranted if inflation remains elevated.

The S&P/TSX Composite Index fell nearly 1% to trade below 35,000 on Wednesday as renewed US-Iran tensions fueled risk aversion. US President Trump said the memorandum of understanding with Iran to end the conflict was "over," reviving concerns over potential disruptions to global energy supplies. Higher oil prices renewed fears of energy-driven inflation and higher interest rates, weighing on financials and the broader index. TD Bank, BMO, and CIBC fell about 1%, while Brookfield lost 2%. Mining stocks also came under pressure as gold prices slipped and Trilogy Metals (-1%) reported a wider second-quarter loss. Agnico Eagle fell more than 2.5%, while Barrick and WPM lost about 2%. Tech stocks also weakened, with Shopify and Constellation Software down 4%. Investors also awaited the minutes from the Fed's June meeting for further clues on the US monetary policy outlook. Markets continue to expect the BoC to keep interest rates unchanged at its July 15 meeting.

Futures tracking the S&P/TSX Composite Index fell on Wednesday as renewed US-Iran tensions lifted oil prices. US President Trump said the memorandum of understanding with Iran to end the conflict was "over," reviving concerns over potential disruptions to global energy supplies. Higher oil prices renewed fears of energy-driven inflation and higher interest rates, weighing on financials and the broader market. Mining stocks also came under pressure as gold prices slipped, while Trilogy Metals reported a wider second-quarter loss. Meanwhile, investors awaited the minutes from the Fed's June meeting for further clues on the US monetary policy outlook. Markets continue to expect the BoC to keep interest rates unchanged at its July 15 meeting.