Trump declares end of cease fire, oil soars
As the U.S. and Iran exchanged fire in the Middle East, Trump announced the end of the fragile ceasefire on Wednesday, which sent oil prices soaring as much as 7% and shares tumbling. WTI closed the session nearly 6% higher at US$74.55. The S&P closed -0.28%, the Dow -1.09% though the Nasdaq climbed 0.2%. Higher oil prices revived expectations of higher inflation and interest rates. The U.S.10-year yield spiked to 4.577%. Homebuilder stocks were punished, with DR Horton plunging 4.61% as were airlines, which are struggling with soaring fuel prices. American Airlines dove 3.95%. Elsewhere, Nvidia rebounded 3.65% while Honeywell sank 5.79% and SpaceX fell 0.78% to close below its $150 IPO price.
In Canada, the TSX shed 0.95% or over 330 points. Energy led four sectors higher as materials and financials lagged the most. Silver slumped by 2.85% to US$58.15 and gold sagged US$30 to US$4,074. Major movers: Methanex 6.21%, CNQ 4.07%, TD -2.61%, Whitecap Resources 4.51% and B2Gold -7.31%.
🔧 D R Horton Inc. (DHI) -4.61%
🛫 American Airlines Group (AAL) -3.95%
💾 NVIDIA Corporation (NVDA) +3.65%
🧬 Honeywell International (HON) -5.79%
📡 SpaceX (SPCX) -0.78%
🧫 Methanex Corp (MX.TO) +6.21%
🛢 Canadian Natural Rsrcs (CNQ.TO) +4.07%
🏛 Toronto-Dominion Bank (TD.TO) -2.61%
🛢 Whitecap Resources (WCP.TO) +4.51%
🥇 B2Gold Corp. (BTO.TO) -7.31%
