June 8 (Reuters) - Futures tracking Canada's blue-chip stocks edged higher on Monday as oil prices rose after renewed Israeli strikes on Iran and fresh attacks on Lebanon soured hopes of an imminent end to the U.S.-Iran war.
June futures on the S&P/TSX index were up 0.3% at 6:16 a.m. ET (1016 GMT).
Israel said on Monday it hit a petrochemical plant in Iran's southwest, along with strikes elsewhere on military targets, after U.S. President Donald Trump reportedly told Israeli Prime Minister Benjamin Netanyahu to refrain from further attacks.
Oil prices rose near 5% as investors reacted to the latest strikes and renewed attacks in Lebanon a day earlier.
Spot gold and silver slipped 0.8% and 1.2%, respectively, after strong U.S. jobs data lifted expectations of a Federal Reserve rate hike, while rising oil added to inflation worries.
Canada’s S&P/TSX Composite Index (.GSPTSE), posted its biggest drop since February 12 on Friday, retreating from a record high as weaker commodities and Fed rate hike bets hurt sentiment.
Investors will closely watch the Bank of Canada’s interest rate decision due on Wednesday for cues on the policy outlook.
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Reporting by Tharuniyaa Lakshmi in Bengaluru; Editing by Sahal Muhammed
