Futures tracking the S&P/TSX Composite Index rose on Thursday, supported by a pullback in oil prices and strong earnings from major US technology companies. Crude briefly rebounded after reports of a potential US military strike on Iran, but those gains quickly faded. Global oil benchmarks retreated after surpassing $126 per barrel, though prices remain elevated amid ongoing inflation concerns. Even so, the decline in crude prices has eased pressure on financial stocks and the broader index.
The technology sector is also poised for gains after several mega-cap US tech firms delivered largely upbeat results. Meanwhile, gold prices climbed on the back of a weaker US dollar, providing a tailwind for mining shares.
In monetary policy developments, both the Bank of Canada and the US Federal Reserve left interest rates unchanged on Wednesday, in line with expectations. On the data front, preliminary estimates of real GDP by industry indicate that the Canadian economy grew by 0.4% in the first quarter of 2026.
