TORONTO — Canada’s main stock index saw slight gains Monday, while U.S. markets edged lower following the latest rise in tensions between the United States and Iran.

The S&P 500 slipped 0.2 per cent from its all-time high for just its second drop in 14 days after the United States seized an Iranian-flagged cargo vessel that it said had tried to evade its blockade of Iranian ports.

“I think the trading day, once again, is being informed by the conflict in Iran and we’ve just completed a very strong snapback in risk assets like equities,” said Lesley Marks, chief investment officer of equity at Mackenzie Investments.

“So it’s not surprising that we’re seeing a bit of a pause here, especially given the back and forth between the U.S. and Iran on what’s happening in the Strait of Hormuz right now.”

The S&P/TSX composite index was up 13.74 points at 34,360.03.

In New York, the Dow Jones industrial average was down 4.87 points at 49,442.56. The S&P 500 index was down 16.92 points at 7,109.14, while the Nasdaq composite was down 64.09 points at 24,404.39.

The June crude oil contract was up US$4.83 at US$87.42 per barrel.

The price for a barrel of Brent crude oil, the international standard, climbed 5.6 per cent to settle at US$95.48 on worries that Iran could keep petroleum pent up in the Persian Gulf if it continues to block tankers from exiting the Strait of Hormuz.

It’s a turnaround from the prior trading day on Wall Street, when stocks soared and oil prices tumbled after Iran said Friday it was reopening the strait to commercial traffic. That enthusiasm vanished quickly after Iran closed the strait again Saturday following the U.S. decision to press ahead with its blockade of Iranian ports.

The next big deadline is looming on Tuesday night at 8 p.m. Eastern time, which is early Wednesday Tehran time, when a ceasefire agreement between the United States and Iran is scheduled to expire.

“I think investors generally believe that there will be some agreement between the two countries and that there will be a deal,” Marks said.

However, she said it is not clear if a deal will happen before the expiration of the ceasefire, but it appears the U.S. administration would like to see oil flowing freely through the Strait of Hormuz.

One big reason the U.S. stock market has been so strong recently is the big profits that U.S. companies have been reporting for the first three months of 2026, as well as expectations for continued growth.

In the Canadian stock market, technology stocks led the TSX higher.

Investors also sifted through Statistics Canada’s latest inflation report released Monday for the month of March. It said the annual rate of inflation accelerated to 2.4 per cent last month as the war in Iran sent fuel costs soaring.

“I think that investors feel that the Bank of Canada will look at this number and feel like they can continue to stay on the sidelines and not have to hike rates as a result of this inflation number,” Marks said.

The Canadian dollar traded for 73.21 cents US compared with 73.15 cents US on Friday.

The June gold contract was down US$50.80 at US$4,828.80 an ounce.

This report by The Canadian Press was first published April 20, 2026.

— With files from The Associated Press.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

Daniel Johnson, The Canadian Press