Canada's main stock index changed little in choppy trading on Monday, as investors digested news that the U.S. and Iran were considering a proposed ?ceasefire that may bring the more than month-long Middle East war to a close.
The TSX edged lower 6.58 points to reach noon EDT Monday at 33,101.64.
The Canadian dollar gained 0.14 cents at 71.84 cents U.S.
The Pakistan-brokered framework proposes an immediate ceasefire followed by talks on a broader peace settlement to be concluded within 15 to 20 days, a source aware of the proposals said on Monday.
However, investors remained cautious as a senior Iranian official said Tehran would not reopen the vital Strait of Hormuz as part of a temporary arrangement and claimed Washington was not ready for a permanent ceasefire.
U.S. President Donald Trump will speak about the ceasefire proposal at a press conference at 1 p.m. ET, a White House official ?told Reuters.
Among individual movers, defense contractor MDA Space gained $3.39, or 8.9%, to $41.23, after brokerage Jefferies initiated coverage with a "buy" rating.
ON BAYSTREET
The TSX Venture Exchange faded 1.82 points to 975.61.
The 12 TSX subgroups were split right down the middle, with consumer discretionary stocks ahead 0.8%, while real-estate garnered 0.6%, and financials took on 0.4%.
The half-dozen laggards were weighed most by information technology, down 0.8%, while telecoms ditched 0.7%, and energy demurred 0.6%.
ON WALLSTREET
The S&P 500 rose on Monday following a winning week as oil prices seesawed, with traders weighing the odds that the U.S.-Iran war could end soon.
The Dow Jones Industrials moved forward 42.6 points to 46,547.27.
The S&P 500 accumulated 8.32 to 6,591.01.
The NASDAQ took on 50.06 points to 21,929.24.
Netflix settled 44 cents to $98.22, after a Goldman Sachs upgrade to buy from neutral. The bank said it sees Netflix as continuing to be the leader in content acquisition and development, and a high chance for multiyear capital return to shareholders.
Soleno Therapeutics shares surged $12.71, or 32.2%, to $52.21, after Neurocrine Biosciences announced an agreement to acquire the company for $53 per share in cash, valuing the deal at around $2.9 billion. Neurocrine said Soleno will help expand its medicine portfolio and strengthen its position as a leader in endocrinology and rare disease.
Axios reported that the U.S., Iran, and a group of regional mediators were discussing terms for a potential 45-day ceasefire that could lead to a permanent end to the war, though the chances for reaching a partial deal before the Tuesday deadline were slim. To be sure, a 45-day ceasefire is just one of the many ideas being floated.
Reuters also reported that Iran and the U.S. have received a plan to end hostilities that, if agreed, would result in an immediate ceasefire and the reopening of the Strait of Hormuz. The framework, which could come into effect on Monday, was put together by Pakistan, an unnamed source told Reuters.
President Donald Trump was set to hold a news conference with the military at 1 p.m. ET.
On Sunday, Trump warned the U.S. would strike Iran’s power plants and bridges if the Strait of Hormuz isn’t opened by Tuesday. “Tuesday will be Power Plant Day, and Bridge Day, all wrapped up in one, in Iran. There will be nothing like it!!!” Trump said in a Truth Social post.
Monday will mark the first session during which investors will be able to react to the stronger-than-expected March jobs report, which came out on Friday. U.S. markets were closed due to Good Friday.
Prices for the 10-year Treasury gained ground, weighing on yields to 4.34% from Friday’s 4.31%. Treasury prices and yields move in opposite directions.
Oil prices gained 64 cents to $112.18 U.S. a barrel.
Gold prices brightened $13.40 to $4,693.10 U.S. an ounce.
