The S&P/TSX Composite Index fell 1.6% to close at 35,751 on Wednesday as bond yields reached multi-year highs. Yields rose sharply amid persistent energy-driven inflation concerns, with oil prices moving higher as diplomatic efforts to end the US-Iran war and reopen the Strait of Hormuz remained uncertain. Strong US economic data also boosted expectations that the Federal Reserve could deliver another rate hike this year. US Treasury yields climbed to multi-decade highs, putting additional pressure on Canadian bonds because domestic yields generally track US rates. Major banks declined, including RBC by 2%, TD Bank by 2.4%, BMO by 2% and Scotiabank by 1.6%. Gold, silver and copper extended their declines, weighing on mining stocks. Agnico Eagle fell 3.9%, Barrick declined 3.2% and WPM tumbled 5.4%.