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

Kitco Media
By Reuters
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Reuters
TSX futures dip on geopolitical jitters; investors await US inflation data teaser image

May 28 (Reuters) - 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 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, opens new tab 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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Reporting ​by Niket Nishant in Bengaluru; Editing by Diti Pujara

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