Canada's S&P/TSX Rises 0.50% as Reported U.S.-Iran Deal Eases Oil, Inflation Fears

Canadian stocks closed higher Tuesday, with the benchmark S&P/TSX Composite Index rising 179.33 points, or 0.50%, to 36,107.96, after a report of a possible U.S.-Iran agreement eased oil-linked inflation concerns. Al-Araby Al-Jadeed reported that Pakistan and Qatar proposed a resolution to the U.S.-Iran conflict, with both sides giving preliminary approval. Terms reportedly include the U.S. allowing release of Iranian funds frozen in Qatar and Iran permitting an IAEA visit to its nuclear sites, with a breakthrough expected this week. Crude oil prices moved lower following the report. Nine of 11 sectors gained, led by Healthcare (2.51%), Real Estate (1.96%) and IT (1.90%); Energy lost 0.49% and Materials 0.79%. Monday's data showed Canada's annual inflation rate rose 3.10% in September. Money markets are pricing nearly an 80% chance of a quarter-point Bank of Canada rate hike at its October 28 meeting.