TSX futures rise as US-Iran deal boosts sentiment ahead of GDP data release

Kitco Media
By Reuters
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Reuters
TSX futures rise as US-Iran deal boosts sentiment ahead of GDP data release teaser image

May 29 (Reuters) - Futures tracking Canada's blue-chip stocks rose on Friday as a deal to extend the U.S.-Iran ceasefire renewed hopes ​for an end to the Middle East conflict, ‌while investors also awaited domestic GDP data due to be released later in the day.

June futures on the S&P/TSX 60 index were up 0.22% ​at 6:37 a.m. ET (1037 GMT).

The United States and Iran ​on Thursday agreed to extend their ceasefire and lift ⁠restrictions on shipping through the Strait of Hormuz, ​sources told Reuters, though the deal still needs U.S. ​President Donald Trump's signoff.

Oil prices dipped 1.6% on Friday and were on track to register their third consecutive session of declines.

Data ​released on Thursday showed U.S. inflation increased at its ​fastest pace in three years in April, driven by higher energy ‌prices.
Investors ⁠also await first-quarter GDP data for Canada, scheduled to be released later in the day.

Currently, markets are pricing in a 97% chance of the Bank of ​Canada keeping interest ​rates unchanged ⁠at its June meeting.

On Thursday, the Canadian central bank said the domestic financial system ​was in good shape, but vulnerabilities were growing.

The country's benchmark ​S&P/TSX ⁠Composite Index (.GSPTSE), and the large-cap S&P/TSX 60 index (.SPTSE), are poised to record their second consecutive month of gains.

FOR ⁠CANADIAN ​MARKETS NEWS, CLICK ON CODES:

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Reporting ​by Niket Nishant in Bengaluru; Editing by Jonathan Ananda

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