Bay Street Seen Opening On Slightly Volatile Note

(RTTNews) - Canadian shares are likely to swing between gains and losses on Tuesday with investors assessing Middle East news. With the U.S. military launching fresh strikes against Iranian targets and Iran pressing ahead with waves of missile and drone attacks on the UAE, Kuwait and Bahrain, the mood in the market is likely to remain cautious.

Investors will also be looking ahead to quarterly earnings announcements from top banks this week.

U.S. Secretary of State Marco Rubio said that negotiating a deal with Iran could "take a few days," dampening expectations of the war nearing an end.

Canadian stocks closed higher on Monday, extending gains to a fourth session, as signals of a U.S.-Iran peace deal continue to grow stronger.

The benchmark S&P/TSX Composite Index ended with a gain of 359.53 points or 1.04% at 34,830.89.

Asian stocks ended mixed on Tuesday, with South Korea's Kospi rallying to reach a fresh record high as trading resumed after a long holiday weekend.

A cautious undertone prevailed elsewhere across the region after American forces hit missile launch sites in Iran and boats trying to place mines, denting hopes of an imminent peace deal.

European stocks are broadly lower on Tuesday although the UK market outperforms thanks to buying in mining and banking sectors. The mood in European markets is cautious amid concerns about the situation in the Middle East due to fresh strikes by the U.S. military against Iranian targets.

In commodities trading, West Texas Intermediate Crude oil futures are down $3.89 or about 4% at $92.71 a barrel.

Gold futures are down $17.60 or 0.39% at $4,505.60 an ounce, while Silver futures are up $0.096 or 0.13% at $76.295 an ounce.