Canada's benchmark index opened higher on Tuesday on gains across sectors, with miners and financials in the lead, while investors awaited key central bank decisions for clues on monetary policy outlook in Canada and the U.S.
The TSX picked up Tuesday from where it left off Monday, tacking on 296.8 points, to open at 33,173.45
The dollar inched down 0.01 cents to 73.05 cents U.S.
Oil prices rose 4% as fresh attacks by Iran on the United Arab Emirates rekindled supply fears amid continued shipping disruptions through the crucial Strait of Hormuz.
U.S. allies refused President Donald Trump's Monday appeal to dispatch warships to the waterway, a critical gateway for one-fifth of the world's oil and LNG trade.
With inflation fears mounting, and the war complicating rate-cut expectations, markets will closely monitor the U.S. Federal Reserve's two-day meeting, which kicks off on Tuesday, along with signals from the Bank of Canada.
ON BAYSTREET
The TSX Venture Exchange pointed up 9.43 points to 1,021.60.
All but one of the 12 TSX subgroups gained ground, led by information technology, leaping 2.6%, gold, brighter by 1.4%, and materials, ahead 1.2%.
The lone laggard proved to be consumer staples, sidling 0.1% lower.
ON WALLSTREET
The S&P 500 rose on Tuesday as Wall Street built on the momentum seen in the previous session amid developments in the Iran war.
The Dow Jones Industrials popped 352.20 points to 47,298.61
The much broader index acquired 44.68 points to 6,743.46.
The NASDAQ heightened 141.33 points to 32,616.61.
Volatile oil prices and the fallout of the Iran war continue to influence investor sentiment. On Tuesday morning, oil prices advanced more than 1%, with global benchmark Brent crude above the $100 mark.
Oil’s bounce came after President Donald Trump suggested that a coalition to protect shipping along the Strait of Hormuz is still in the works.
Trump told reporters Monday that some countries are “less than enthusiastic” about a plan to help escort oil tankers through the Strait of Hormuz. The president encouraged other nations to “get involved quickly and with great enthusiasm.”
Bank of America reiterated Tuesday its buy rating on German software stock SAP, citing its “defensive business profile,” per its analysts’ new note to clients.
Prices for the 10-year Treasury climbed, lowering yields to 4.20% from Monday’s 4.23%. Treasury prices and yields move in opposite directions.
Oil prices pointed higher $1.40 to $94.90 U.S. a barrel.
Gold prices gained $19.50 to $5,021.70 U.S. an ounce.
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