The S&P/TSX Composite Index slipped 0.1% to close at 34,735 on Monday, pressured by declines in heavyweight financial and mining stocks as renewed tensions in the Middle East dampened risk appetite and lifted oil prices. While US President Donald Trump said Israel and Hezbollah had agreed to halt attacks against each other in Lebanon and that talks with Iran were ongoing, fresh outbreaks of violence undermined efforts to resolve the conflict. Oil prices surged after reports that US–Iran negotiations had stalled, reigniting concerns about inflation and the prospect of higher borrowing costs.
Among Canada’s major banks, RBC fell 1.3%, Scotiabank lost 1.5%, and CIBC slipped 2.5%, while TD Bank dropped 2.8% after BMO (+0.6%) hired senior executive Trevor van Arragon from its rival. Mining stocks also retreated as gold prices weakened, with Agnico Eagle down 3.6% and WPM off 3.8%. In contrast, Shopify gained 4.4%, tracking a tech rally on Wall Street after Nvidia introduced a new advanced processor for PCs.