(RTTNews) - Modestly higher Canadian and U.S. futures, amid some hopes for a potential U.S.-Iran peace deal point to a positive start for Canadian stocks on Wednesday.
Oil prices dropped after U.S. President Donald Trump said the war with Iran will end "very quickly."
Although a positive start is on the cards, the mood in the market may turn a bit cautious with investors awaiting crucial earnings updates next week.
Canadian stocks ended weak on Tuesday after fluctuating over the course of the trading session. The choppy trading came as U.S. President Donald Trump halted a planned military attack on Iran but observed that strikes could commence soon if Iran fails to strike a deal.
The benchmark S&P/TSX Composite Index bounced back and forth across the unchanged line as the day progressed before settling at 33,741.24, down by 92.11 points or 0.27%.
Asian stocks settled lower on Wednesday as Hormuz concerns and higher bond yields raised concerns about inflation, interest rates and economic growth. Investors also awaited Nvidia's upcoming earnings and forward guidance for fresh clues on the strength of artificial intelligence-driven demand.
European stocks are modestly higher with investors digesting regional economic data and focusing on geopolitical developments.
In commodities, West Texas Intermediate Crude oil futures are up $1.63 or 1.57% at $102.52 a barrel.
Gold futures are down $10.60 or 0.24% at $4,500.60 an ounce, while Silver futures are gaining $0.896 or 1.19% at $76.055 an ounce.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
