Futures tracking the S&P/TSX Composite Index were flat on Thursday as investors weighed the prospects of a potential US–Iran peace agreement against another busy day for corporate earnings. Oil prices advanced as markets remained cautious over Iran–Oman talks, while shipping activity through both the Strait of Hormuz and the Bab el-Mandeb Strait declined on Wednesday following Houthi claims of a missile strike on a Saudi oil tanker. The rise in crude prices pushed bond yields higher, putting pressure on financial stocks and the broader index.
On the corporate front, Canadian Natural exceeded second-quarter profit forecasts, buoyed by stronger oil and natural gas prices. Lundin Mining reported higher second-quarter revenue late Wednesday. WPM and Sun Life Financial are scheduled to release their earnings after the close. In addition, at least six brokerages raised their price targets for Shopify after the company guided third-quarter revenue above consensus expectations.
