Canadian equities flatlined on Friday as investors assessed ongoing developments in the Middle East. Meanwhile, oil prices retreated following reports that Saudi Arabia could increase supply, while precious metals continued to advance. Market participants are also turning their attention to next week’s meeting between US President Donald Trump and Chinese President Xi Jinping, where discussions are expected to include Gulf region tensions and other key geopolitical matters. Despite Friday’s decline, Canada’s benchmark index remains on track for its first weekly gain in five weeks, supported by softer oil prices and the Federal Reserve’s commitment to addressing inflation, both of which have helped improve market sentiment.
US stocks wrapped up a mixed week, rebounding after the Federal Reserve’s decision to raise interest rates by 25 basis points, accompanied by guidance suggesting at least one additional hike this year, which had pushed major indexes sharply lower on Wednesday. Thursday’s recovery, led by technology shares, signalled that many investors remain focused on the long-term growth potential of artificial intelligence and its ability to support corporate earnings, despite expectations that interest rates could remain elevated for longer. Attention now shifts to remarks from Federal Reserve officials scheduled for Friday, including Fed Governor Michelle Bowman, a voting member of the Federal Open Market Committee, and Kansas City Fed President Jeffrey Schmid, a non-voting member. Investors will be listening closely for further insight into the rationale behind the committee’s unanimous decision to increase interest rates earlier this week.
| TSX | 35,806.65 | -67.61 |  |
| TSXV | 923.07 | +3.46 |  |
| CSE | 170.94 | -4.99 | |
| DJIA | 51,682.64 | -95.40 | |
| NASDAQ | 26,522.55 | +104.25 | |
| S&P 500 | 7,650.50 | +12.74 | |
The Canadian dollar remained at 71.48 cents US since Wednesday.
US crude futures traded US$2.10 lower at US$99.81 a barrel, and the Brent contract lost US$1.53 to US$103.30 a barrel.
The price of gold was up US$20.94 to US$4,381.34.
In world markets, the Nikkei was up 882.70 points to ¥65,018.95, the Hang Seng was down 146.49 points to HK$24,750.78, the FTSE was down 157.01 points to ₤10,697.57, and the DAX was down 412.65 points to €25,304.06.
