US‑Iran Escalation Fuels Mixed Market Moves in Canada and US

U.S. President Donald Trump warned of a large‑scale strike on Iran and announced new tariffs on Canadian imports after a series of Iranian drone attacks on Bahrain, Jordan and Kuwait, and Houthi strikes on Saudi vessels in the Red Sea. The rhetoric intensified market attention on the Middle‑East conflict.

Canadian markets responded with modest gains. The S&P/TSX Composite rose about 0.5 % to 35,369, led by materials, financials and consumer‑discretionary stocks, while real‑estate posted the strongest sectoral increase. Investors noted that the conflict and the prospect of higher tariffs on Canadian goods were offset by a rebound in oil‑related materials stocks.

In the United States, equity trading closed mixed as the Iran war pressured energy prices. Wall Street indices fluctuated, with the Dow and S&P 500 edging higher while other sectors faced pressure. Oil futures slipped after traders booked profits, and OPEC announced plans to raise crude production in September. Overall, the heightened geopolitical risk kept market upside limited as investors weighed the potential economic fallout of further U.S.‑Iran hostilities.