The S&P/TSX Composite Index inched higher on Tuesday, briefly trading above the 35,000 mark, as investors took encouragement from hopes of a diplomatic breakthrough in the Middle East. Iran is reportedly weighing a mediators’ proposal for a 10-day ceasefire designed to open the door to a broader agreement to end the conflict.
Gold prices climbed on the news, bolstering mining stocks. Agnico Eagle advanced more than 3%, Barrick gained 2%, and WPM rose over 2.5%. Persistently strong oil prices also underpinned energy shares: Canadian Natural, Cenovus, and Imperial Oil each added more than 1%, while Suncor was up more than 1.5%.
By contrast, financial stocks were little changed, as concerns over energy-driven inflation tempered risk appetite in the sector.
On the trade front, US President Trump pledged to impose a 50% tariff on a wide range of Canadian imports. However, key Canadian exports—including energy, potash, and critical minerals—would be exempt. Autos and steel would also be excluded, as they are already covered by separate, sector-specific tariff regimes.
