CANADA STOCKS-TSX futures dip on geopolitical jitters; investors await US inflation data

- Futures tied to Canada's benchmark stock index dipped on Thursday as fresh tensions in the Middle East tempered hopes for a peace deal, while investors awaited the latest inflation figures in the United States.

June futures on the S&P/TSX index SXFcv1 fell 0.25% at 6:30 a.m. ET (10:30 a.m. GMT).

  • Iran targeted a U.S. air ​base on Thursday after the U.S. struck what Washington described as an Iranian drone operation near the Strait of Hormuz.

  • President Donald Trump also said he was unconcerned about the political fallout of an extended ​conflict.

  • Gold prices dropped to their lowest in nearly two months as fresh tensions revived concerns that inflation could spike further. The resource-heavy Canadian index is sensitive to moves in metals and energy.

  • Separately, investors will also be scrutinizing the U.S. Personal Consumption Expenditures report due later in the day.

  • The data often has implications for rate moves by the Bank of Canada.

  • Meanwhile, Royal Bank of Canada RY.TO, the largest lender in the country, reported higher second-quarter profit as market volatility boosted its trading business.

  • TD Bank TD.TO, the second-largest lender, also reported a jump in adjusted profit for the second quarter on higher interest income.


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