(RTTNews) - Canadian equities could start the session on Thursday with a downward tilt, pressured by steep declines in oil and precious metals values. The agreement on a temporary peace accord between Iran and the United States might curb further losses in the market.

Reports indicate that U.S. President Donald Trump and Iranian leader Masoud Pezeshkian have digitally endorsed the "Islamabad Memorandum of Understanding."

This agreement takes effect right away, with Iran promptly reopening the Strait of Hormuz and the United States ending its naval blockade on Iranian ports as initial measures.

Under the 14-point outline, teams from both nations will commence negotiations toward a comprehensive agreement within the coming 60 days.

From an economic perspective, figures on raw materials and industrial product prices for May are scheduled for release at 8:30 AM ET.

Bay Street finished lower on Wednesday, ending a four-day advance, as market participants evaluated the reopening of the Strait of Hormuz alongside expectations of a postponed rebound in oil output from the gulf region. Selling for profits also played a role in the subdued finish.

The main S&P/TSX Composite Index closed down 264.47 points or 0.75 percent to 35,125.11.

Asian markets concluded mixed on Thursday, as Japanese and South Korean indices hit new highs amid easing geopolitical strains and strong interest in artificial intelligence.

A hesitant mood dominated other parts of the region following hints from the U.S. Federal Reserve about a potential rate increase later this year.

European bourses appear somewhat muted today even with the interim 14-point peace plan signed by Iran and the U.S.

In the commodities sector, West Texas Intermediate Crude oil futures have dropped 1.28 dollars or 1.65 percent to 75.51 dollars per barrel.

Gold futures declined 119.00 dollars or 2.7 percent to 4,262.40 dollars an ounce, and Silver futures fell 3.857 dollars or 5.44 percent to 66.910 dollars an ounce.

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