Hormuz Deal Hopes Lift Markets, Trump Predicts Wednesday Agreement

Financial markets in Canada and the US are experiencing a surge due to hopes of a deal that could reopen the Strait of Hormuz. Investors are eagerly awaiting news of a potential agreement, which could ease pressure on the global economy and potentially bring an end to the war.

According to President Donald Trump, a deal to reopen the strait could come as early as Wednesday. This has sparked optimism among investors, leading to significant gains in major indices.

The S&P/TSX composite index was up 480.44 points at 36,282.03, while the Dow Jones industrial average rose by 593.27 points to 54,679.15. The Canadian dollar also strengthened against the US dollar, trading for 71.33 cents US compared to 71.08 cents US on Tuesday.

Oil prices were down slightly, with the September crude oil contract dropping 61 cents US to US$75.16 per barrel. However, gold prices rose sharply, with the December gold contract increasing by US$146.20 to US$4,298.80 an ounce.