The S&P/TSX Composite Index futures moved higher on Monday after the US and Iran agreed to pause recent hostilities in the Middle East. Oil prices remained near pre-conflict levels after both sides agreed to halt mutual attacks ahead of peace talks this week, following renewed clashes over the weekend.
Low oil prices eased concerns over energy-driven inflation, supporting financial stocks and the broader index.
Meanwhile, gold prices fell as easing geopolitical tensions reduced safe-haven demand, weighing on mining shares.
Investors also await Canada’s May GDP data later this week for fresh signals on economic momentum.
Markets continue to expect the Bank of Canada to keep rates on hold for most of the year, though traders increased bets that the bank could tighten policy this year.