Futures linked to the S&P/TSX Composite Index were flat on Tuesday, consolidating the modest rebound from the prior session as easing energy prices reduced inflationary pressures on the Canadian economy. US President Trump said the conflict with Iran could be nearing its end, prompting crude oil and natural gas benchmarks to pare this month’s sharp gains as markets began to price in the potential resumption of exports from the Persian Gulf.
Bank stocks were set to open higher amid the diminished inflation risks, while a weaker US dollar supported the heavyweight gold mining sector on the Toronto exchange. In contrast, energy producers were poised for a softer open as oil prices retreated. Air Canada also faced downward pressure after a downgrade from Scotiabank, mirroring broader headwinds for global airlines stemming from soaring jet fuel costs and flight disruptions across the Middle East.
