TSX Stocks Drift Higher On Iran Ceasefire Hopes

(MENAFN- Baystreet)
North American stock markets traded cautiously higher Thursday afternoon as investors balanced cooling geopolitical tensions against renewed inflation concerns and rising oil prices.
In Canada, the benchmark S&P/TSX Composite Index hovered near record territory, supported by gains in technology and energy shares as well as hopes for a diplomatic breakthrough between the U.S and Iran.
Investor sentiment improved after reports suggested the United States and Iran were moving toward an extension of a ceasefire agreement, easing fears of a wider Middle East conflict.
Technology stocks were among the strongest performers on both sides of the border.
Shopify (SHOP) helped support the Canadian market.
In earnings news - Canada's biggest bank topped analysts' second-quarter earnings expectations on Thursday. Royal Bank of Canada said net income for the three months ending April 30 was $5.5 billion, up $1.12 billion, or 25%, from the same period last year, resulting in net earnings per share of $3.85.
ON BAYSTREET
The TSX Venture Exchange was up 10.43 points, or 1.06%, to 997.30.
Nine of the 12 TSX subgroups were positive on Wednesday, led by tech stocks, up 1.76%, material stocks were ahead 1.63% and health-care issues were up 1.31%.
On the downside - financial issues shed 0.78%, utility stocks dipped 0.31% and consumer staple issues sank 0.07%.
ON WALLSTREET
On Wall Street, the S&P 500 and Nasdaq traded higher through the afternoon, while the Dow Jones Industrial Average fluctuated near the flatline. Markets initially opened weaker after fresh economic data showed U.S. inflation accelerating to its fastest pace in three years, largely due to elevated energy costs linked to tensions in the Middle East.
Investors also reacted to weaker-than-expected GDP figures, reinforcing concerns that economic growth may be slowing even as inflation remains stubbornly high.
Oil prices remained volatile throughout the session, with Brent crude climbing sharply after recent military activity near the Strait of Hormuz reignited supply concerns.
Rising energy prices helped boost Canadian energy producers but also contributed to fears that central banks could maintain higher interest rates for longer. Bond yields in both Canada and the United States moved higher as traders adjusted expectations for future rate cuts.
Despite those pressures, equity markets continued to show resilience following a strong earnings season and improving risk sentiment. Analysts noted that investors appear increasingly willing to look beyond geopolitical uncertainty and focus instead on corporate profits, AI-related growth opportunities, and signs that global tensions may stabilize in the weeks ahead.

MENAFN28052026000212011056ID1111180861