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The Art Deco facade of the original Toronto Stock Exchange building is seen on Bay Street in Toronto, Ontario, Canada January 23, 2019. REUTERS
Sept 22 (Reuters) – Futures tracking Canada’s resource-heavy benchmark index inched higher on Tuesday as investors awaited potential US-Iran talks at this week’s UN meeting, while softer commodity prices capped gains.
December futures on the S&P/TSX index were up 0.1% at 2120.70 points by 05:56 a.m. ET (0956 GMT).
- Iran’s President Masoud Pezeshkian, along with several world leaders, is set to participate in the United Nations General Assembly later this week.
- Markets are closely watching a potential meeting between Pezeshkian and US President Donald Trump, looking for any breakthrough to ease the six-month-old geopolitical conflict that has fueled inflationary pressures, disrupted global supplies and prompted major central banks to raise interest rates.
- Oil prices turned lower after a Kyodo report said Iran offered to reopen the Strait of Hormuz within seven days if the US takes initial steps to ease military pressure.
- Gold also fell on expectations of interest rates staying higher for longer, with investors awaiting comments from US Federal Reserve officials for policy clues.
- Canada’s main stock index closed at an over one-week high on Monday, buoyed by gains in technology and financial stocks.
- Investors will be on the lookout for retail sales data due later this week for cues on the health of the Canadian consumer.
- Meanwhile, Bank of Canada Governor Tiff Macklem warned on Monday that US tariffs could push Q4 growth below 1%, adding that future rate decisions will need to navigate slowing growth alongside surging energy costs from the Iran conflict.
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Reuters global stocks poll for Canada
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Reporting by Darshan Kumar and Avinash P in Bengaluru; Editing by Diti Pujara
