June 1 (Reuters) - Futures tracking Canada's resources-heavy index inched higher on Monday, tracking higher crude oil prices after reports of fresh hostilities in the Gulf, though signs of no end to the conflict kept broader risk appetite in check.
June futures on the S&P/TSX index were up 0.1% at 6:06 a.m. ET (1006 GMT), mirroring similar gains on Wall Street.
Oil prices rose more than 3% after Iran and the U.S. traded strikes and Israel ordered troops to move further into Lebanon in its battle with Tehran-backed Hezbollah.
Energy (.SPTTEN), has been the best-performing sector in the TSX this year, clocking a more than 35% jump as of last close, benefiting from higher crude oil prices.
Gold prices were lower against a firmer dollar, while silver prices were slightly higher. Materials and mining stocks make up almost 17% of the TSX, the third-largest sector behind financials and energy, according to data compiled by LSEG.
The benchmark TSX (.GSPTSE), clocked a second straight monthly gain in May, taking the index to record highs and closing in on the 35,000 points mark.
Canadian government bond yields also edged lower, with the one on the 10-year note briefly hitting its lowest in over seven weeks.
Focus would be on readings of U.S. and domestic manufacturing activity due later in the day, and a U.S. jobs report slated for the end of the week.
Among single stocks to look out for, brokerage Canaccord Genuity upgraded its rating on Wesdome Gold Mines (WDO.TO), to "buy" from "hold".
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Reporting by Shashwat Chauhan in Bengaluru; Editing by Sahal Muhammed
