CLOSING BELL: Higher oil prices in wake of Iran nuclear deal back-out push markets higher
Energy shares helped push markets up today in the wake of the U.S. backing out of the Iran nuclear deal. Oil reached three and a half year highs as the decision to pull out of the deal could lead to crude supply issues, which are already strained globally.
In Toronto, Canada’s main stock market saw steady gains in the afternoon as the heavyweight energy sector helped offset losses in other sectors. The TSX closed at 15,910, up 68 points.
In New York energy shares boosted things on Wall Street as well, as the Dow Jones finished the day 182 points higher at 24,542. The NAFTA negotiations moving forward had a hand in the gains as well, as investors are reacting positively to that progress.
People looking to get a mortgage are now facing stiffer rules, as the Bank of Canada has raised its mortgage stress test rate from 5.14 per cent to 5.34, the fifth increase since last summer.
At press time oil is up $2.08 to $71.14 U.S. per barrel, gold is down $2.50 to $1,311.20 an ounce, and the loonie is up three quarters of a cent to 77.77 cents U.S.