(RTTNews) - Canadian stocks look headed for a weak start Monday morning, amid renewed concerns about Middle East war following the collapse of peace talks between the United States and Iran over the weekend in Islamabad.
Following the failure of peace talks, U.S. President Donald Trump ordered blocking all ships trying to enter or leave the Strait of Hormuz, heightening fears of a prolonged conflict and disruptions to key energy supplies from the Persian Gulf region.
Trump announced that the United States Navy will block 'all maritime traffic entering and exiting Iranian ports' starting on Monday. "It's going to be all or none and that's the way it is," the president said.
Iran's navy chief asserted that the country is prepared to counter any military action and will not be intimidated by what it called "imaginary plans."
In Canadian corporate news, MDA Space Ltd. (MDA.TO) shares will be in focus after the company introduced MIDNIGHT, a space control platform for defence organizations to defend and protect their low Earth orbit space assets.
GFL Environmental Inc. (GFL.TO) and SECURE Waste Infrastructure Corp. (SES.TO) have entered into a definitive agreement as per which GFL has agreed to acquire all of the issued and outstanding common shares of SECURE for C$24.75 per share, representing an enterprise value of approximately C$6.4 billion.
BMO Financial Group (BMO.TO) has announced new partnerships with Quantum Industry Canada (QIC) and the Chicago Quantum Exchange (CQE), to strengthen the bank's engagement with leading quantum research, industry and policy organizations.
On the economic front, building permits in Canada decreased to -8.4% (month-on-month) in February from 3.5% in January.
Canadian stocks closed higher on Friday amid expectations of an end to the gulf crisis increasing ahead of U.S.-Iran talks.
The benchmark S&P/TSX Composite Index traded positive throughout the session before settling at 33,695.76, up by 218.05 points or 0.65%.
Asian stocks ended weak on Monday after weekend negotiations between the United States and Iran aimed at ending six weeks of war concluded without an agreement.
"They have chosen not to accept our terms," U.S. Vice President JD Vance said in a brief news conference but left open the possibility that terms could still be reached.
The major European markets are down in negative territory, weighed down by Middle East tensions after the weekend negotiations between the U.S. and Iran failed to yield positive results.
In commodities, West Texas Intermediate Crude oil futures are up $7.57 or 7.84% at $104.14 a barrel.
Gold futures are down $52.70 or 1.1% at $4,734.70 an ounce, while Silver futures are down $2.200 or 2.88% at $74.280 an ounce.
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