Shares of banks and other financial institutions fell as traders continued to rotate out of the sector due to rate volatility and other concerns.
The yield on the 10-year Treasury note saw its largest three-session drop since April 1 amid expectation of a peace deal between the U.S. and Iran.
One brokerage said 30-year Treasury yields are likely to remain above 5%. "After 30 year yields broke the 4% resistance level in 2023, long-end yields unanchored," said strategists at brokerage BNP Paribas, in a note to clients. "We see similar parallels with the recent break of 5%."
Canadian banks posted earnings growth. Bank of Montreal boosted its dividend payout after reporting higher fiscal second-quarter earnings. Similarly Bank of Nova Scotia raised its dividend following higher earnings, driven by lower credit-loss provisions and growth in wealth-management revenue.
Trading app Robinhood Markets is launching a new feature allowing customers to outsource trading and credit-card purchasing decisions to artificial-intelligence agents.
