The S&P/TSX Composite Index edged down about 0.2% on Tuesday, slipping below the 33,100 level as investors weighed Iran’s counterproposal to a U.S.-mediated ceasefire. Markets reacted negatively to Tehran’s refusal to immediately reopen the Strait of Hormuz, instead putting forward a ten-point plan that calls for lifting economic sanctions and ending regional hostilities.
Losses on the broader index were partly offset by strength in the energy sector. Canadian Natural Resources advanced 2.5% and Suncor Energy gained 2%, supported by crude oil prices climbing to their highest levels since 2022.
Financials underperformed, with heavyweight banks under pressure as rising bond yields amplified stagflation worries and weighed on credit demand. Scotiabank fell 1.4%, while BMO declined 0.7%.
Technology shares were also weak: Shopify slipped 1.4% and Constellation Software lost 0.9%. Celestica was a notable exception, rising 3% and bucking the downward trend in the sector.
