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Markets Digest Hot U.S. Inflation as Iran Tensions Keep Oil Elevated

Publication:  moneysavings.ca / Canadian Money Brief  Date:  Tuesday, May 13, 2026 The TSX opens cautiously Wednesday after hotter-than-expected U.S. CPI data rattled Wall Street on Tuesday, while Strait of Hormuz disruptions continue to lift energy stocks and pressure the loonie toward 1.35 against the greenback. TSX ~34,291 S&P 500 7,400.96 ▼0.16% WTI Oil ~$102/bbl ▲ Gold ~$4,721 USD/oz ▼ USD/CAD ~1.35 US CPI Apr 3.8% ▲ (est. 3.7%) Market Overview Canadian investors are starting Wednesday on a cautious note following a mixed session south of the border. U.S. equities dipped Tuesday after April's consumer price index came in at 3.8% — a touch above the 3.7% consensus forecast and the highest reading since May 2023 — while the core rate held at 2.8%, also above expectations. The data has effectively closed the door on any Federal Reserve rate cuts in 2026, with traders now pricing in a roughly 70% chance of a rate hike by April 2027. For Canadians, the ripple effects...

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Centrist Benny Gantz Resigns from Israeli War Cabinet Amid Frustrations with Netanyahu

 

Benny Gantz, a centrist member of Israel’s three-man war Cabinet, announced his resignation on Sunday, citing Prime Minister Benjamin Netanyahu’s mismanagement of the war effort and prioritization of his own “political survival” over the country’s security needs. Gantz’s departure does not immediately threaten Netanyahu’s majority coalition in parliament, but it leaves the Israeli leader more reliant on far-right allies who oppose the latest U.S.-backed cease-fire proposal and advocate for continued military action.

Gantz, a popular former military chief, had joined Netanyahu’s government shortly after the Hamas attack in a show of unity. His presence bolstered Israel’s credibility with international partners, particularly the United States. However, his frustration with Netanyahu’s lack of a new plan for postwar Gaza led to his decision to step down. Gantz called for elections in the fall and encouraged Defense Minister Yoav Gallant to follow suit and resign from the government as well.

The move highlights the ongoing tensions within the Israeli government and underscores the challenges of managing the conflict in Gaza. As Netanyahu faces increased reliance on right-wing members of his government, the international community watches closely, concerned about the impact on stability and prospects for peace in the region.

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