Bay Street Likely To Open On Subdued Note

(RTTNews) - Canadian stocks are likely to open on a somewhat subdued note on Wednesday amid concerns about rising tensions in the Middle East.

Iran launched ballistic missiles in the Gulf region and U.S. retaliated by striking Qeshm Island, which directly blocks the entrance to the Strait of Hormuz, is also the base of the IRGC's network of underground facilities and defensive positions across the island.

Descartes Systems Group and Transcontinental Inc. are scheduled to announce their quarterly results this afternoon.

On the economic front, data on Canadian labor productivity for the first quarter is due at 8:30 AM ET.

S&P Global's data on Canadian manufacturing and services sector activity for the month of May is due at 9.30 AM ET.

The Canadian market hit a new record high on Tuesday as investors welcomed U.S. President Donald Trump's assurances on ongoing uninterrupted negotiations between the U.S. and Iran.

The benchmark S&P/TSX Composite Index hit a new intra-day record high of 35,176.77 before settling a little lower at 35,169.46, up by 434.57 points, or 1.25%.

Asian stocks ended mixed on Wednesday. Renewed enthusiasm for artificial intelligence aided sentiment to some extent. However, uncertainty over U.S.-Iran negotiations aimed at ending the war and reopening the Strait of Hormuz, a critical waterway for the energy market globally, rendered the mood cautious.

U.S. Secretary of State Marco Rubio said that Iran has mined "large segments" of the Strait of Hormuz and peace talks could take several months to conclude.

The major European markets are down in negative territory today amid concerns about Middle East tensions and continued uncertainty about U.S. and Iran agreeing on a peace deal anytime soon.

In commodities trading, West Texas Intermediate Crude oil futures are up $1.94 or 2.07% at $95.70 a barrel.

Gold futures are down $28.00 or 0.6% at $4,491.90 an ounce, while Silver futures are down $0.756 or 1% at $74.800 an ounce.