Month: July 2020

Dear Friends,

Tangents: Happy Friday.
It’s World Emoji Day. How are we using them to talk about the coronavirus?
Even our emojis mask up!  -CNN.

June 17, 1918: Czar Nicholas II and his family were executed.

1955- Disneyland opened

On July 17, 1975, an Apollo spaceship docked with a Soyuz spacecraft in orbit in the first superpower linkup of its kind. Go to article »

July 17, 2014- Malaysia Airlines Flight 17 is shot down over Eastern Ukraine by a Buk surface-to-air missile launched from pro-Russian separatist-controlled territory, killing all 283 passengers and 15 crew on board.

PHOTOS OF THE DAY

A photo taken with a drone shows an aerial view of the heart of shrubs in a meadow by Lake Myczkowieckie in Solina, south east Poland. The owner of one local resorts, created this heart to commemorate his late wife.
CREDIT: DAREK DELMANIWICZ/EPA-EFE/SHUTTERSTOCK

A clear night in the New South Wales ski region has allowed visitors to view the Milky Way over consecutive nights in Charlotte Pass, Australia. Charlotte Pass ski resort has been making the most of colder weather by making snow at night to improve conditions for visitors and allowing those who are on school holidays to visit the New South Wales ski region.
CREDIT: BILL BLAIR#JM/GETTY IMAGES

Penguins who couldn’t be entertained properly at a zoo during lockdown have been cheered up with a bubble machine. The birds are usually kept occupied by feeding shows and guests visiting the zoo, but due to coronavirus their daily routine was forced to change. Staff at Newquay Zoo in Cornwall, UK, were trying to find a way to keep them entertained, and then someone kindly donated a bubble machine. Keeper Dan Trevelyan said the penguins, as predators, love chasing the bubbles as it keeps their reflexes sharp.

Market Closes for July 17th , 2020 

Market Index	Close	Change
Dow Jones	26671.95	-62.76
		-0.23%
S&P 500	3224.73	+9.16
		+0.28%
NASDAQ	10503.190	+29.361 +0.28%
TSX	16123.48	+98.98
		+0.62%

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	22696.42	-73.94
		-0.32%
HANG SENG	25089.17	+118.48
		+0.47%
SENSEX	37020.14	+548.46
		+1.50%
FTSE 100*	6290.30	+39.61 +0.63%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	0.526	0.505
CND. 30 Year Bond	1.005	0.996
U.S.    10 Year Bond	0.6266	0.6168
U.S. 30 Year Bond	1.3289	1.3096

Currencies

BOC Close	Today	Previous
Canadian $	0.73620	0.73686
US $	1.35832	1.35711
Euro Rate 1 Euro=		Inverse
Canadian $	1.55207	0.64430
US $	1.14264	0.87517

Commodities

Gold	Close	Previous
London Gold Fix	1807.70	1804.60
Oil
WTI Crude Future	40.59	40.75

Market Commentary:
On this day in 1861, the first paper money payable on demand, whose color gave our bills the nickname “greenbacks,” was issued by the U.S. government.
Canada
By Aoyon Ashraf
(Bloomberg) — Canadian equity markets climbed on Friday, led by gold and silver miners as the prices for the metals rallied. The S&P/TSX Composite index rose 0.6% in Toronto. The index stayed buoyed above the 16,000 level that hasn’t been seen since March. Gold’s rally is putting miners on track for their longest winning streak in more than a year as investors continue to flock to safe havens due to the coronavirus crisis. Silver spot price also rallied close to $20 an ounce. On the M&A front, TDR Capital is considering teaming up with Alimentation Couche-Tard Inc., for a fresh run at U.S. gas station operator Speedway after owner Marathon Petroleum Corp. revived plans for a potential sale of the business that could fetch more than $15 billion, people familiar with the matter said. Meanwhile, Dye & Durham Ltd., a provider of software for legal and business professionals, surged in its Toronto trading debut after raising C$150 million ($110 million) in its initial public offering.
Commodities
* Western Canada Select crude oil traded at a $9.25 discount to West Texas Intermediate
* Spot gold rose 0.8% to $1,811.02 an ounce
FX/Bonds
* The Canadian dollar was flat around C$1.3583 per U.S. dollar
* The 10-year government bond yield rose 2 basis points to 0.525%
By Bloomberg Automation:
(Bloomberg) — The S&P/TSX Composite rose 0.6 percent at 16,123.48 in Toronto. The index advanced to the highest closing level since March 6 after the previous session’s decrease of 0.2 percent. Barrick Gold Corp. contributed the most to the index gain, increasing 2.2 percent. Silvercorp Metals Inc. had the largest increase, rising 9.7 percent. Today, 138 of 221 shares rose, while 83 fell; 8 of 11 sectors were higher, led by materials stocks.
Insights
* So far this week, the index rose 2.6 percent
* The index declined 2.2 percent in the past 52 weeks. The MSCI AC Americas Index gained 7.3 percent in the same period
* The S&P/TSX Composite is 10.3 percent below its 52-week high on Feb. 20, 2020 and 44.3 percent above its low on March 23, 2020
* S&P/TSX Composite is trading at a price-to-earnings ratio of 20.2 on a trailing basis and 24.9 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.2 percent on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$2.44t
* 30-day price volatility fell to 19.16 percent compared with 20.04 percent in the previous session and the average of 19.95 percent over the past month
================================================================
| Index Points | | Sector Name | Move | % Change | Adv/Dec
================================================================
Materials | 52.5377| 2.2| 47/3
Industrials | 24.3970| 1.3| 18/10
Utilities | 11.5831| 1.4| 13/3
Information Technology | 10.5184| 0.7| 7/3
Consumer Staples | 9.1494| 1.3| 9/2
Communication Services | 5.7883| 0.7| 5/3
Consumer Discretionary | 1.7226| 0.3| 6/7
Real Estate | 0.2301| 0.0| 13/14
Health Care | -0.9548| -0.6| 3/6
Financials | -4.0146| -0.1| 12/13
Energy | -11.9723| -0.6| 5/19
US
By Claire Ballentine and Vildana Hajric
(Bloomberg) — U.S. stocks rose as investors digested this week’s initial burst of corporate earnings, economic data and coronavirus news. The dollar weakened and crude oil declined. The S&P 500 withstood a late session swoon to register its third consecutive weekly gain for the first time since December. Trading volume was about 25% below the average over the prior 30 days. Intel Corp. and Cisco Systems Inc. helped the Nasdaq 100 avoid its first back-to-back daily decline since mid-May. A University of Michigan survey showed U.S. consumer sentiment slumped in July, missing all forecasts, after the resurgent coronavirus nearly wiped out any emerging optimism around reopenings. “This pandemic is still vexing everybody,” said Lori Heinel, deputy global chief investment officer at State Street Global Advisors. “Until we have a clearer path toward more effective treatments or a clearer path to vaccination, we should just expect that we’re going to continue to have volatility.” Investors were closely watching to see how the broader technology sector reacted to Netflix Corp.’s weaker than expected outlook. The Nasdaq Composite has managed to go two months without posting back-to-back declines, but that’s now under threat as investors question the resilience of tech’s searing rally. Netflix Puts a Record Run of Resilience at Risk in Nasdaq  “We’re going to continue to see a bifurcated economy, bifurcated market, unless we get rid of this virus and everything goes away for some reason,” said David Yepez, a money manager at Exencial Wealth Advisors. “If we find a vaccine and, you know, that will be the point where value will start to outperform.”
In Europe, traders are holding out hope for policy makers to conclude a stimulus pact. German Chancellor Angela Merkel raised doubts on Friday that European Union leaders would be able to agree this week on a landmark 750 billion-euro ($855 billion) recovery fund to help their economies heal from the pandemic. Positive earnings from Daimler AG and Ericsson AB pulled carmakers and tech stocks higher. Elsewhere, Chinese shares were steady after a more than 4% slide on Thursday, with investors assessing moves by policy makers to tame signs of exuberance.
These are the main moves in markets:
Stocks
The S&P 500 Index gained 0.2% to 3,224.78 as of 4:02 p.m. New York time.
The Dow Jones Industrial Average was little changed at 26,672.46.
The Nasdaq Composite Index increased 0.2% to 10,503.19.
The MSCI All-Country World Index rose 0.3% to 548.33.
Currencies
The Bloomberg Dollar Spot Index dipped 0.3% to 1,204.30.
The euro gained 0.5% to $1.1439, the strongest in more than four months.
The Japanese yen strengthened 0.2% to 106.94 per dollar.
Bonds
The yield on two-year Treasuries increased less than one basis point to 0.14%.
The yield on 10-year Treasuries increased one basis point to 0.62%.
Germany’s 10-year yield gained two basis points to -0.45%.
Commodities
West Texas Intermediate crude decreased 0.1% to $40.60 a barrel.
Gold strengthened 0.7% to $1,810.58 an ounce, the highest in almost nine years on the biggest advance in a week.
Copper increased 0.3% to $2.91 a pound.
–With assistance from Amena Saad.

Have a wonderful weekend everyone.

Be magnificent!
As ever,

Carolann

People living deeply have no fear of death.
                          -Anaïs Nin, 1903-1977

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor

Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7

Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
www.carolannsteinhoff.com

Dear Friends,

Tangents:
On July 16, 1918, Russia’s Czar Nicholas II, his wife and their five children were executed by the Bolsheviks. Go to article »
July 16, 1940-Adolf Hitler orders preparations for the invasion of Britain (Operation Sealion).

Scientists accidentally create nightmare-fuel fish. (h/t Alistair Lowe)-Bloomberg.

Everything you ever wanted to know about the “Wedding Crashers” football scene.-Bloomberg.

The future of meat is chicken. -Bloomberg.

BTW: The Eiffel Tower reopened its top floor with a message of hope to the world: “We still have places where people can have a good time.” Watch. –Bloomberg Quick Takes.

PHOTOS OF THE DAY

Jacobite Steam Train goes over the Glenfinnan viaduct. The first voyage for the Harry Potter train since Coronavirus lockdown has been eased in Scotland. This 84-mile round trip is described as one of the greatest railway journeys in the world.
CREDIT: CHARLOTTE GRAHAM FOR THE TELEGRAPH

A child runs away from a wave breaking on the seafront in Sevastopol, Crimea
CREDIT: REUTERS/ALEXEY PAVLISHAK

Local attraction names Sammy the Seal is seen on Preston beach in Weymouth, Britain
CREDIT: FINNBARR WEBSTER/GETTY IMAGES
Market Closes for July 16th , 2020 

Market Index	Close	Change
Dow Jones	26734.71	-135.39
		-0.50%
S&P 500	3215.57	-10.99
		-0.34%
NASDAQ	10473.828	-76.664 -0.73%
TSX	16024.50	-38.83
		-0.24%

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	22770.36	-175.14
		-0.76%
HANG SENG	24970.69	-510.89
		-2.00%
SENSEX	36471.68	+419.87
		+1.16%
FTSE 100*	6250.69	-41.96 -0.67%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	0.505	0.535
CND. 30 Year Bond	0.996	1.040
U.S.    10 Year Bond	0.6168	0.6299
U.S. 30 Year Bond	1.3096	1.3321

Currencies

BOC Close	Today	Previous
Canadian $	0.73686	0.74019
US $	1.35711	1.35100
Euro Rate 1 Euro=		Inverse
Canadian $	1.54442	0.64749
US $	1.13802	0.87872

Commodities

Gold	Close	Previous
London Gold Fix	1804.60	1801.90
Oil
WTI Crude Future	40.75	41.20

Market Commentary:
On this day in 1945, a device innocuously called “Gadget” was tested successfully near Alamogordo, N.M. It was the world’s first atomic bomb, and it detonated at 5:29:45 a.m., releasing 20 kilotons of energy and vaporizing its 100-foot steel support tower. The Nuclear Age had secretly begun.
Canada
By Aoyon Ashraf
(Bloomberg) — Canadian equities fell on Thursday, led by tech stocks. In the U.S., the technology-dominated Nasdaq-100 fell more than the Dow Industrials and the S&P 500.
The S&P/TSX Composite index fell 0.2% in Toronto. Technology’s underperformance was driven mainly by a 3% decline in Shopify Inc. after Citi started research coverage of the e-commerce platform with a neutral rating and said that current valuation leaves “little room for upside.”
Oil snapped its two-day rally amid a weaker demand outlook underscored by OPEC+ producers’ decision to taper production cuts and U.S. economic data that signaled a slowing recovery in the labor market.
Cirque du Soleil Entertainment Group agreed to back a purchase agreement from a group of its secured lenders, setting the minimum acceptable bid in its court-supervised sales process.
Canada’s active fund managers that were once seen as best among their peers have had trouble holding on to that status.
Very few of them have consistently outperformed regardless of their asset class or style focus, according to S&P Dow Jones Indices. For stock pickers who were in the top quartile five years ago, none of them maintained that status annually through 2019, the firm said in its inaugural Canada Persistence Scorecard report.
Commodities
* Western Canada Select crude oil traded at a $6.55 discount to West Texas Intermediate
* Spot gold fell 0.8% to $1,796.40 an ounce
FX/Bonds
* The Canadian dollar fell 0.5% to C$1.3574 per U.S. dollar
* The 10-year government bond yield fell about 3 basis point to 0.505%

By Bloomberg Automation:
(Bloomberg) — The S&P/TSX Composite fell 0.2 percent at 16,024.50 in Toronto. The move follows the previous session’s increase of 1 percent.
Shopify Inc. contributed the most to the index decline, decreasing 3.1 percent. Ballard Power Systems Inc. had the largest drop, falling 6.3 percent.
Today, 146 of 221 shares fell, while 70 rose; 5 of 11 sectors were lower, led by information technology stocks.
Insights
* So far this week, the index rose 2 percent
* The index declined 2.9 percent in the past 52 weeks. The MSCI AC Americas Index gained 6.3 percent in the same period
* The S&P/TSX Composite is 10.8 percent below its 52-week high on Feb. 20, 2020 and 43.4 percent above its low on March 23, 2020
* The S&P/TSX Composite is up 2.9 percent in the past 5 days and rose 3.3 percent in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 20.1 on a trailing basis and 24.8 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.3 percent on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$2.44t
* 30-day price volatility little changed to 20.04 percent compared with 20.05 percent in the previous session and the average of 20.03 percent over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Information Technology | -37.1102| -2.3| 1/9
Materials | -23.2621| -1.0| 10/40
Energy | -6.3865| -0.3| 4/19
Real Estate | -3.9764| -0.8| 4/22
Health Care | -1.7160| -1.0| 3/5
Consumer Staples | 1.4057| 0.2| 6/4
Consumer Discretionary | 1.7852| 0.3| 5/8
Financials | 3.6290| 0.1| 9/15
Utilities | 3.8493| 0.5| 10/6
Communication Services | 11.1257| 1.3| 6/2
Industrials | 11.8059| 0.6| 12/16
US
By Vildana Hajric and Katherine Greifeld
(Bloomberg) — Technology shares pushed U.S. stocks lower for the first time in three days after investors rotated out of this year’s top performers. Treasuries gained with American initial jobless claims posting their smallest weekly decline since March.
The tech-heavy Nasdaq 100’s 0.7% decline was among the largest of major U.S. benchmarks, with Microsoft Corp. and Apple Inc. leading the losses. The information technology was the biggest decliner in the S&P 500, which had gained more than 2% in the past two days. Netflix Inc. slumped in late trading after the streaming service reported fewer subscriber additions than forecast. Futures on the Nasdaq 100 extended losses after the cash market close, with the contracts down 1.4% as of 4:12 p.m. in New York.
“Those valuations have gotten quite a bit ahead of the rest of the market,” said Matt Stucky, portfolio manager at Northwestern Mutual Wealth Management. “With earnings season, that could be the catalyst for a little bit of a pullback in tech. Expectations are moving higher and the companies need to deliver against those expectations.”
Trading volume in the S&P was almost 30% below the average of the prior 30 days. Earlier, the Stoxx Europe 600 Index tracked Asian shares lower as Chinese retail sales in June came in softer than expected, even as the economy returned to growth last quarter. The euro was little changed after the European Central Bank kept its emergency monetary stimulus program unchanged.
The economic data from the U.S. and China served as a reminder of the long road ahead to a full global recovery is quashing optimism seen earlier in the week spurred by progress in developing a coronavirus vaccine. While China is experiencing a modest domestic recovery, the world’s second-largest economy remains vulnerable to setbacks as shutdowns continue to hamper activity across the globe.
”There’s definitely a push-pull,” said Chris Gaffney, president of world markets at TIAA Bank. “Certain sectors of the economy are going well and the question now is with this second spike that we’re seeing — and have already seen — and as some states start to tighten back up, while we don’t expect a full lockdown it certainly puts questions on just how quickly this recovery is going to occur.”
Elsewhere, oil retreated from a four-month high after the OPEC+ alliance confirmed it would start tapering output cuts from next month.
These are the main moves in markets:
Stocks
*The S&P 500 Index decreased 0.3% to 3,215.58 as of 4:02 p.m. New York time.
*The Dow Jones Industrial Average dipped 0.4% to 26,734.57, the first retreat in a week.
*The Nasdaq Composite Index declined 0.6% to 10,473.83.
*The MSCI All-Country World Index fell 0.6% to 545.82, the biggest fall in more than a week.
Currencies
*The Bloomberg Dollar Spot Index rose 0.3% to 1,207.48, the largest advance in more than a week.
*The euro decreased 0.3% to $1.1381, the first retreat in a week.
*The Japanese yen depreciated 0.4% to 107.33 per dollar, the weakest in more than a week on the largest dip in three weeks.
Bonds
*The yield on two-year Treasuries declined one basis point to 0.15%, the lowest in two months on the biggest decrease in more than two weeks.
*The yield on 10-year Treasuries dipped one basis point to 0.62%.
*Germany’s 10-year yield declined two basis points to -0.47%, the lowest in more than two weeks.
Commodities
*West Texas Intermediate crude fell 1.1% to $40.73 a barrel.
*Gold depreciated 0.7% to $1,796.11 an ounce, the weakest in more than a week on the biggest dip in almost six weeks.
*Copper climbed 0.5% to $2.90 a pound.
–With assistance from Claire Ballentine and Amena Saad.
Have a great night.

Be magnificent!
As ever,

Carolann

Chance fight ever on the side of the prudent.
                      -Euripides, c.485-406 BCE.

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor

Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7

Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
www.carolannsteinhoff.com

Dear Friends,

Tangents: St  Swithin’s Day, England.

July 15th is St Swithin’s Day, named for the ninth century Anglo Saxon bishop of Winchester.
According to traditional folklore, whatever the weather on St Swithin’s Day, it will continue for the next 40 days.
St Swithin was bishop of Winchester from 852 to 862. After his death he requested he be buried in the churchyard, so that passers by may step over his grave and that it may be exposed to the elements.
However, his tomb was moved inside on 15 July 971, and shortly afterwards a huge storm hit, which people took as a sign of the saint’s displeasure at his wishes being ignored.
The Encyclopedia Britannica says: “The first textual evidence for the weather prophecy appears to have come from a 13th or 14th century entry in a manuscript at Emmanuel College, Cambridge.”
Since then the legend has said that if it rains on St Swithin’s Day it will continue to do so for the next 40 days. But if it is sunny, the sun will shine for 40 days straight.  -Alex Finnist.

The pandemic has changed how we sleep. -Bloomberg.

How Athens accidentally struck on a brilliant apartment design. -Bloomberg.
Electric-car subsidies make Renaults free in Germany.

Nearly a month into the coronavirus lockdown, Kleon Papadimitriou, a Greek student in Aberdeen, Scotland, was feeling homesick and looking for a way home. With flights to much of Europe canceled, he hopped on his bike.
Two thousand miles and 48 days later, Mr. Papadimitriou, 20, finally arrived in Athens. Along the way, he got lost and suffered flats, bad weather and steep climbs. He made stops in Leeds, England; Stuttgart, Germany, where his grandmother lives; Italy, where he had a pepperoni pizza and beer in the Alps before heading to Venice; and then a port to the south for a ferry to Greece.
His parents met him in Patras, Greece, and the three of them cycled the final stretch to Athens together. –The New York Times.

July 15, 2010 – BP stopped the flow of oil into the Gulf of Mexico after 85 days using a 75-ton cap lowered onto the well earlier in the week. Go to article »
Rembrandt, artist, b. 1616.
Linda Ronstadt, singer, b. 1946
PHOTOS OF THE DAY

Comet Neowise over Stonehenge, Wiltshire. The comet which was discovered on 27 March 2020 by the Neowise space telescope, will make its closet approach to Earth on July 23, passing the planet at a distance of 103 million km-about 400 times further away than the moon. Comets are ‘cosmic snowballs of frozen gases, rock and dust that orbit the Sun’, leftover from the formation of the solar system, according to Nasa. Their size can range from a few nukes wide to tens of miles wide – but as they orbit closer to the sun, they heat up and spew gases and dust into a glowing head that can be larger than a planet. As these substances stream off the comet, they form a spectacular gas and dust cloud that tails behind them for millions of miles – and can often be seen from earth with the naked eye.
CREDIT: PETER GREIG/BAV MEDIA

Four young hungry swallows are perched on a bush with their beaks wide open as they eagerly await to be fed.
CREDIT: BRIAN DAVIES/ SOLENT NEWS & PHOTO AGENCY

Rainfall water is seen at the center of a lotus leaf at Shinobazu Pond in Tokyo, Japan. The seasonal rain front is still generating rainfall across the country as heavy rain triggered landslides in western Japan.
CREDIT: FRANCK ROBICHON/ EPA – EFE/SHTTERSTOCK

People walk on the beach as the sun rises in Scharbeutz at the Balitic Sea, Germany.
CREDIT: MICHAEL PROBST/AP
Market Closes for July 15th , 2020 

 

Market Index	Close	Change
Dow Jones	26870.10	+227.51
		+0.85%
S&P 500	3226.56	+29.04
		+0.91%
NASDAQ	10550.492	+61.915 +0.59%
TSX	16063.33	+154.88
		+0.97%

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	22945.50	+358.49
		+1.59%
HANG SENG	25481.58	+3.69
		+0.01%
SENSEX	36051.81	+18.75
		+0.05%
FTSE 100*	6292.65	+112.90 +1.83%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	0.535	0.536
CND. 30 Year Bond	1.040	1.047
U.S.    10 Year Bond	0.6299	0.6233
U.S. 30 Year Bond	1.3321	1.3090

Currencies

BOC Close	Today	Previous
Canadian $	0.74019	0.73441
US $	1.35100	1.36164
Euro Rate 1 Euro=		Inverse
Canadian $	1.54161	0.64867
US $	1.14109	0.87636

Commodities

Gold	Close	Previous
London Gold Fix	1801.90	1807.50
Oil
WTI Crude Future	41.20	40.29

Market Commentary:
On this day in 1916, William Boeing, a Yale-educated aeronautical engineer, incorporated the Pacific Aero Products Co. in Seattle with $100,000 in capital; he kept 998 of the original 1,000 shares of stock for himself. In 1917 he renamed his firm the Boeing Airplane Co., which went on to make jet travel an accepted part of everyday life.
Canada
By Aoyon Ashraf
(Bloomberg) — Canada’s stock benchmark rallied for a second day, climbing over a milestone that hasn’t been seen since March as investor confidence burgeoned over the development progress of a vaccine for Covid-19 and after the Bank of Canada said interest rates will stay low for some time.
The S&P/TSX Composite Index surged about 1% in Toronto, putting it above the 16,000 mark, its highest level since March 6. Two major drug developers surged in the U.S. after promising trial results were reported on a potential vaccine for the coronavirus. Health care, real estate and consumer discretionary were among the best performing sectors while, tech and materials were among the worst.
Bank of Canada’s pledge to keep interest rates at historically low levels for years to come also gave Canadian stocks a boost Wednesday. The central bank also promised to keep the benchmark there until unemployment falls closer to levels seen before the virus outbreak and inflation returns sustainably to their 2% target. The Canadian dollar strengthened about 0.8% against the greenback, coming close to its pre-pandemic level. Mining companies may raise as much as $3 billion by selling a share of future output in so-called streaming deals, according to the head of Wheaton Precious Metals Corp. The coronavirus outbreak has spurred volatility in metals prices, and the climate for streaming deals is improving as base-metals companies look to extract value from the precious-metals byproducts that are often found with copper, lead or zinc, Chief Executive Officer Randy Smallwood said in an interview.
Commodities
* Western Canada Select crude oil traded at a $7.30 discount to West Texas Intermediate
* Spot gold rose 0.1% to $1,811.91 an ounce
FX/Bonds
* The Canadian dollar rose 0.8% to C$1.3511 per U.S. dollar
* The 10-year government bond yield stayed flat around 0.538%

By Bloomberg Automation:
(Bloomberg) — The S&P/TSX Composite rose for the second day, climbing 1 percent, or 154.88 to 16,063.33 in Toronto. The index advanced to the highest closing level since March 6.
Toronto-Dominion Bank contributed the most to the index gain, increasing 1.5 percent. Air Canada had the largest increase, rising 13.8 percent.
Today, 184 of 221 shares rose, while 37 fell; 9 of 11 sectors were higher, led by financials stocks.
Insights
* The index declined 2.7 percent in the past 52 weeks. The MSCI AC Americas Index gained 6.3 percent in the same period
* The S&P/TSX Composite is 10.6 percent below its 52-week high on Feb. 20, 2020 and 43.8 percent above its low on March 23, 2020
* The S&P/TSX Composite is up 2.8 percent in the past 5 days and rose 4.6 percent in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 20.1 on a trailing basis and 24.9 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.2 percent on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$2.42t
* 30-day price volatility fell to 20.05 percent compared with 20.14 percent in the previous session and the average of 20.06 percent over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | 60.0039| 1.3| 22/3
Industrials | 27.0741| 1.5| 26/2
Energy | 22.0008| 1.1| 22/2
Consumer Discretionary | 14.8325| 2.7| 12/1
Real Estate | 14.7721| 3.0| 27/0
Communication Services | 10.4486| 1.2| 8/0
Utilities | 8.9547| 1.1| 13/3
Health Care | 8.6685| 5.3| 9/0
Consumer Staples | 4.7270| 0.7| 10/1
Materials | -0.7601| 0.0| 27/23
Information Technology | -15.8442| -1.0| 8/2
US
By Sarah Ponczek and Amena Saad
(Bloomberg) — U.S. stocks climbed to a more than a one- month high amid optimism about progress in developing a vaccine for coronavirus. The dollar weakened and crude oil increased.
The S&P 500 gained 0.9%, briefly drifting back into positive territory for the year. Varying reports on trade tensions between the U.S. and China buffeted shares. The tech- heavy Nasdaq 100 swung between gains and losses all day before closing in the green as some investors rotated into value shares. The Federal Reserve said the economy showed signs of a nascent recovery at the beginning of July.
“The virus vaccine is inspiring more bullish emotions,” said Michael Zigmont, Head of Trading & Research at Harvest Volatility Management LLC. “Forget valuations, forget earnings, forget economic news.” Moderna Inc. surged to a record after the drugmaker reported promising trial results. AstraZeneca Plc rose on optimism about its vaccine efforts. The vaccine developments brought a rush of optimism to financial markets that have struggled to make headway recently in the face of new outbreaks across the U.S. and Asia.
“These are obviously some very encouraging developments, particularly on the Covid front,” said Candice Bangsund, portfolio manager of global asset allocation at Fiera Capital Corp. “This has allowed markets to continue thriving even despite rising cases throughout the U.S and has helped to counter ongoing U.S.-China trade tensions.” President Donald Trump has indicated to aides that he doesn’t want to further escalate tensions with Beijing, and has ruled out additional sanctions on top officials for now, according to people familiar with the matter. China reportedly summoned the U.S. ambassador regarding the Hong Kong Autonomy act signed Tuesday by Trump.
Elsewhere in markets, oil gained after a report pointed to a drop in U.S. crude stockpiles. Atlantia SpA surged 25% as Italy’s government moved to resolve a long-running dispute linked to a 2018 bridge collapse.
In Asia, shares in Hong Kong underperformed, while those in Shanghai fell amid signs policy makers are uneasy over the pace of recent gains.
Here are some key events coming up:
* China releases second-quarter GDP on Thursday as well as key economic indicators for June.
* The European Central Bank meets to set monetary policy on Thursday, with President Christine Lagarde holding a virtual press conference afterward.

These are some of the main moves in markets:
Stocks
*The S&P 500 Index gained 0.9% to 3,226.56 as of 4:05 p.m. New York time, the highest in more than five weeks.
*The Dow Jones Industrial Average increased 0.9% to 26,870.10, the highest in five weeks.
*The Nasdaq Composite Index climbed 0.6% to 10,550.49.
*The MSCI All-Country World Index gained 1.1% to 549.55, the highest in more than 20 weeks on the biggest rise in more than a week.
Currencies
*The Bloomberg Dollar Spot Index fell 0.4% to 1,203.39, the lowest in five weeks on the largest fall in a week.
*The euro climbed 0.1% to $1.1408, the strongest in more than four months.
*The Japanese yen appreciated 0.3% to 106.93 per dollar, the strongest in more than three weeks on the largest climb in two weeks.
Bonds
*The yield on two-year Treasuries declined less than one basis point to 0.15%.
*The yield on 10-year Treasuries gained one basis point to 0.63%.
* Germany’s 10-year yield climbed less than one basis point to -0.44%.
Commodities
*West Texas Intermediate crude gained 1.8% to $41.03 a barrel, the highest in almost 19 weeks.
*Gold strengthened 0.2% to $1,812.20 an ounce, the highest in almost nine years.
*Copper dipped 1.4% to $2.89 a pound, the largest dip in almost five weeks.

–With assistance from Vildana Hajric and Claire Ballentine.

Have a great night.

Be magnificent!
As ever,

Carolann

No man becomes wise by chance. –Aesop, 620-564 BCE.

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor

Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7

Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
www.carolannsteinhoff.com

 

Dear Friends,

Tangents:  Bastille Day, France.

These stunning aerial photos of Vermont evoke transcendence and tranquillity.  -The NY Times.

A giant “wall” of galaxies has been found hiding behind the Milky Way. –Bloomberg.

Go to the moon — no, not that one. Did you know American astronauts trained in Idaho for their 1969 moon missions? A free online tour of the weird location is among our Weekly Wonder suggestions for kids and families. –The Seattle Times.

On July 14, 1965, the American space probe Mariner 4 flew by Mars, sending back photographs of the planet. Go to article »

Ingmar Bergman, director, b. 1918.
Woody Guthrie, singer, b. 1912.
Gerald Ford, 38^th president, b. 1913
1933- All non-Nazi parties are banned in Germany.

PHOTOS OF THE DAY

A puffin stuffs its beak full of fish and flies back to land. The bird can be seen transporting the freshly caught sand eel back from sea in Scotland. It managed to carry five fish back to breeding colonies at Dunnet Head, the most northerly point of mainland Britain, to feed young puffins.
CREDIT: IAM HEARD/SOLENT NEWS & PHOTO AGENCY

A hare appears to break into a grin as it sniffs some long grass. The “smiling” brown hare was spotted in a field in Tysoe, Warwickshire by Events Manager Richard Ellis. Richard said, “ These guys really love fresh grass, she may have picked up the scent of other hares. While she smelt the grass it looked like it seems to make her smile. It almost felt like she was posing for me as she certainly knew I was there, I was only about eight feet away.”
CREDIT: RICHARD ELLIS/SOLENT NEWS & PHOTO AGENCY

Deer are silhouetted as the sun rises near the village of Beeley in the Derbyshire Peak District.
CREDIT: VILLAGER JIM LTD/MERCURY PRESS
Market Closes for July 14th , 2020 

Market Index	Close	Change
Dow Jones	26642.59	+556.79
		+2.13%
S&P 500	3197.52	+42.30
		+1.34%
NASDAQ	10488.578	+97.734 +0.94%
TSX	15908.45	+269.04
		+1.72%

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	22587.01	-197.73
		-0.87%
HANG SENG	25477.89	-294.23
		-1.14%
SENSEX	36033.06	-660.63
		-1.80%
FTSE 100*	6179.75	+3.56 +0.06%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	0.536	0.540
CND. 30 Year Bond	1.047	1.064
U.S.    10 Year Bond	0.6233	0.6184
U.S. 30 Year Bond	1.3090	1.3109

Currencies

BOC Close	Today	Previous
Canadian $	0.73441	0.73496
US $	1.36164	1.36062
Euro Rate 1 Euro=		Inverse
Canadian $	1.55165	0.64447
US $	1.13955	0.87754

Commodities

Gold	Close	Previous
London Gold Fix	1807.50	1803.10
Oil
WTI Crude Future	40.29	40.10

Market Commentary:
On this day in 1784, in the earliest known advertisement by an American broker, Joshua Eaton of Boston announced in the Massachusetts Centinel: “Public Securities of every denomination Negotiated: Business on Commission, transacted with attention and punctuality, and every favor gratefully acknowledged.”
Canada
By Aoyon Ashraf
(Bloomberg) — Canada shares climbed on Tuesday, led by energy stocks as oil prices rebounded.
The S&P/TSX Composite index rose 1.7% in Toronto. Energy, materials and industrials were among the best-performing stocks, while real estate was the only group the negative.
Crude futures rose as initial signs that OPEC members intend to comply with promises to curtail production eclipsed fears that a resurgence in coronavirus cases would send demand back to the worst days of the pandemic.
Shopify Inc. garnered a new top bull, with National Bank Financial boosting their price target to a Street-high of $1,250. National Bank is opting for a longer-term view on
Canadian tech stock valuations, despite short-term questions about where shares are trading.
Commodities
* Western Canada Select crude oil traded at a $6.80 discount to West Texas Intermediate
* Spot gold rose 0.4% to $1,810.20 an ounce
FX/Bonds
* The Canadian dollar was flat at C$1.3614 per U.S. dollar
* The 10-year government bond yield fell slightly to 0.537%
By Bloomberg Automation:
(Bloomberg) — The S&P/TSX Composite rose 1.7 percent at 15,908.45 in Toronto. The move was the biggest since rising 2.1 percent on June 5 and follows the previous session’s decrease of 0.5 percent.
Enbridge Inc. contributed the most to the index gain, increasing 3.3 percent. Seven Generations Energy Ltd. had the largest increase, rising 7.9 percent.
Today, 157 of 221 shares rose, while 64 fell; 10 of 11 sectors were higher, led by energy stocks.
Insights
* In the past year, the index had a similar or greater gain 18 times. The next day, it declined 11 times for an average 3.6 percent and advanced seven times for an average 1.7 percent
* The index declined 3.5 percent in the past 52 weeks. The MSCI AC Americas Index gained 5.4 percent in the same period
* The S&P/TSX Composite is 11.5 percent below its 52-week high on Feb. 20, 2020 and 42.4 percent above its low on March 23, 2020
* The S&P/TSX Composite is up 2 percent in the past 5 days and rose 4.3 percent in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 19.9 on a trailing basis and 24.8 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.3 percent on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$2.38t
* 30-day price volatility rose to 20.14 percent compared with 19.74 percent in the previous session and the average of 20.06 percent over the past month
================================================================
|Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Energy | 72.0049| 3.8| 24/0
Materials | 70.1301| 3.0| 44/6
Financials | 52.1709| 1.2| 19/6
Industrials | 33.7358| 1.9| 19/9
Utilities | 14.6424| 1.8| 15/1
Consumer Discretionary | 8.5308| 1.6| 8/5
Consumer Staples | 7.8792| 1.2| 10/1
Communication Services | 7.1628| 0.9| 6/2
Information Technology | 6.4306| 0.4| 5/5
Health Care | 0.1874| 0.1| 5/4
Real Estate | -3.8346| -0.8| 2/25
US
By Sarah Ponczek and Claire Ballentine
(Bloomberg) — U.S. stocks posted their biggest gain in more than a week amid a late session surge, led by rallies in the energy, materials and industrial sectors. The dollar weakened to an almost five-week low and Treasuries were little changed.
The S&P 500 jumped 1.3% after swinging all day between gains and losses as investors weighed earnings season and the economic hit of rising virus cases. Megacap technology shares were initially headed for the first two-day slide since mid-May, with the Nasdaq 100 falling as much as 2%, before rallying late in the session. Banks were mixed after JPMorgan Chase & Co. reported strong trading results, while Wells Fargo & Co. tumbled after cutting its dividend and reporting its first quarterly loss since 2008.
“We may see this earnings season as one where companies speak honestly and send a slightly different message than, we’re never going to look back from the bottom,” said Liz Ann Sonders, chief investment strategist at Charles Schwab & Co. “I think it’s appropriate that companies are honest even if it’s deemed as throwing cold water on the v-shaped narrative.”
Volatility remained high. U.S. stocks finished in the red yesterday after the S&P 500 briefly touching the highest level since the coronavirus pandemic. Equities have largely treaded water over the past month as worries about new virus cases are offset by optimism over stimulus spending and the economic recovery.
Still as new outbreaks appear around the world, officials are putting stricter measures in place to control the spread.
Japan said a new state of emergency is possible and Hong Kong implemented its toughest social distancing measures yet. Florida reported a record number of coronavirus deaths among residents, while Arizona had the most new cases in 11 days.
”It’s this tug-of-war between the forward-looking assumption around a vaccine and treatment versus what is happening today as it relates to cases, the mortality rate and, more broadly, the spread,” said Matt Miskin, co-chief investment strategist at John Hancock Investment Management.
The U.K.’s two-year bonds yielded less than Japanese debt for the first time. Copper ended a six-day winning streak amid renewed tensions between Beijing and Washington.
In Asia, equities were broadly lower with Chinese and Hong Kong shares faring the worst. The Trump administration rejected China’s expansive maritime claims in the South China Sea, reversing a previous policy of not taking sides in such disputes.
U.S. Denounces China’s Claims to South China Sea as unlawful.
Here are some key events coming up:
* The EIA crude oil inventory report is due Wednesday.
* China releases second-quarter GDP on Thursday as well as key economic indicators for June.
* The European Central Bank meets to set monetary policy on Thursday, with President Christine Lagarde holding a virtual press conference afterward.

These are some of the main moves in markets:
Stocks
*The S&P 500 Index advanced 1.3% to 3,197.52 as of 4:05 p.m. New York time, the highest in five weeks on the largest gain in more than a week.
*The Dow Jones Industrial Average climbed 2.1% to 26,642.59, the highest in almost five weeks on the biggest increase in more than two weeks.
*The Nasdaq Composite Index increased 0.9% to 10,488.58.
*The MSCI All-Country World Index climbed 0.5% to 543.54, the highest in five weeks.
Currencies
*The Bloomberg Dollar Spot Index dipped 0.2% to 1,207.67, the lowest in almost five weeks.
*The euro gained 0.4% to $1.1391, the strongest in more than four months.
*The Japanese yen was little changed at 107.28 per dollar.
Bonds
*The yield on two-year Treasuries gained one basis point to 0.16%, the biggest climb in almost two weeks.
*The yield on 10-year Treasuries climbed less than one basis point to 0.62%.
*Germany’s 10-year yield fell three basis points to -0.45%, the biggest drop in more than a week.
Commodities
*West Texas Intermediate crude increased 0.4% to $40.27 a barrel.
*Gold strengthened 0.4% to $1,810.03 an ounce, the highest in almost nine years.
*Copper sank 0.6% to $2.94 a pound, the first retreat in almost three weeks and the largest decrease in more than four weeks.
–With assistance from Vildana Hajric
Have a great night.

Be magnificent!

As ever,

Carolann

All we really want in the end is to be connected once again
with the Truth of our being, to realize what it is that wears this mask of self.
                                                                        -Adyashanti, b. 1962

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor

Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7

Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
www.carolannsteinhoff.com

Dear Friends,

Tangents:

See the subway as you never have before, through the lens of the M.T.A.’s recently retired official photographer. -The NY Times.

You can watch all of the recent presentations for Paris haute couture in one place. -The NY Times.

July 13, 1930 – First World Cup soccer championship.

On July 13, 1977, a 25-hour blackout hit the New York City area after lightning struck upstate power lines.  Go to article »

July 13, 1985 –  “Live Aid” concerts held at both Wembley Stadium (London) and John F. Kennedy Stadium (Philadelphia) raises over $70 million for African famine relief.

What a charming little particle! (h/t Scott Kominers) -Bloomberg.

The $30 million island mansion that Twitter and Netflix built.  -Bloomberg.

PHOTOS OF THE DAY

Bavaria, Bernbeuren: Morning mist clears over the foothills of the Alps at sunrise.
CREDIT: KARL-JOSEF HILDENBRAND/DPA

Comet Neowise captured in the sky in Ryde on the Isle of Wight.
CREDIT: ISLANDVISIONS/BNPS

The sun rises over the Baltic Sea in Timmendorfer Strand, northern Germany.
CREDIT: MICHAEL PROBST

Market Closes for July 13th , 2020 

Market Index	Close	Change
Dow Jones	26085.80	+10.50
		+0.04%
S&P 500	3155.22	-29.82
		-0.94%
NASDAQ	10390.844	-226.599 -2.13%
TSX	15639.41	-74.41
		-0.47%

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	22784.74	+493.93
		+2.22%
HANG SENG	25772.12	+44.71
		+0.17%
SENSEX	36693.69	+99.36
		+0.27%
FTSE 100*	6176.19	+80.78 +1.33%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	0.540	0.550
CND. 30 Year Bond	1.064	1.072
U.S.    10 Year Bond	0.6184	0.6414
U.S. 30 Year Bond	1.3109	1.3321

Currencies

BOC Close	Today	Previous
Canadian $	0.73496	0.73541
US $	1.36062	1.35979
Euro Rate 1 Euro=		Inverse
Canadian $	1.54365	0.64781
US $	1.13452	0.88143

Commodities

Gold	Close	Previous
London Gold Fix	1803.10	1812.10
Oil
WTI Crude Future	40.10	40.55

Market Commentary:
On this day in 1852, Wells, Fargo & Co. opened for business in San Francisco and Sacramento. It was founded by Henry Wells and William G. Fargo to convert gold dust into cash for miners, as well as to transport and safeguard letters, gold nuggets and other valuable by-products of the California Gold Rush.
Canada
By Aoyon Ashraf
(Bloomberg) — Canadian shares pared their earlier gains to close lower, with the decline led by tech and materials stocks. The S&P/TSX Composite Index fell 0.5% in Toronto. Tech, materials and industrials were among the worst performers, while the utilities sector was the best performer. U.S. stocks declined after the S&P 500 briefly touched the highest level since the coronavirus pandemic sent markets tumbling worldwide. Aphria Inc. was the best performing stock in the TSX composite after it was upgraded to buy from hold by Stifel, which said the Canadian cannabis company’s discounted multiple undervalues its improving growth prospects. The shares rose 8.9%. Canadian consumer confidence stalled last week for the first time in almost three months. The Bloomberg Nanos Canadian Confidence Index, a weekly composite measure of financial health and economic expectations, was largely unchanged at 46.1 last week, from 46.2 a week earlier. That ends a 10-week streak of gains.
Commodities
* Western Canada Select crude oil traded at a $7.40 discount to West Texas Intermediate
* Spot gold rose 0.2% to $1,802.69 an ounce
FX/Bonds
* The Canadian dollar weakened 0.1% to C$1.3609 per U.S. dollar
* The 10-year government bond yield fell slightly to 0.539%

By Bloomberg Automation:
(Bloomberg) — The S&P/TSX Composite fell 0.5 percent at 15,639.41 in Toronto. The move was the biggest since falling 1.7 percent on June 26 and follows the previous session’s increase of 0.9 percent. Today, information technology stocks led the market lower, as 5 of 11 sectors lost; 113 of 221 shares fell, while 108 rose. Shopify Inc. contributed the most to the index decline, decreasing 6.2 percent. Ballard Power Systems Inc. had the largest drop, falling 10.9 percent.
Insights
* The index declined 5.1 percent in the past 52 weeks. The MSCI AC Americas Index gained 4 percent in the same period
* The S&P/TSX Composite is 13 percent below its 52-week high on Feb. 20, 2020 and 40 percent above its low on March 23, 2020
* The S&P/TSX Composite is little changed in the past 5 days and rose 2.5 percent in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 19.6 on a trailing basis and 24.6 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.3 percent on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$2.39t
* 30-day price volatility rose to 19.74 percent compared with 19.67 percent in the previous session and the average of 20.06 percent over the past month
================================================================
| Index Points | | Sector Name | Move | % Change | Adv/Dec
================================================================
Information Technology | -74.7479| -4.4| 2/8
Materials | -49.1461| -2.1| 10/40
Industrials | -11.8507| -0.7| 16/12
Consumer Discretionary | -2.1399| -0.4| 6/7
Consumer Staples | -1.5751| -0.2| 6/5
Real Estate | 0.4659| 0.1| 17/10
Health Care | 1.8489| 1.1| 6/3
Energy | 7.3462| 0.4| 9/15
Communication Services | 10.5479| 1.3| 5/3
Utilities | 12.3022| 1.6| 16/0
Financials | 32.5551| 0.7| 15/10
US
By Sarah Ponczek and Claire Ballentine
(Bloomberg) — U.S. stocks declined after the S&P 500 briefly touched the highest level since the coronavirus pandemic sent markets tumbling worldwide in March. Crude oil also turned lower. The main U.S. equity index stumbled in afternoon trading on signs the virus was throttling reopening plans in states like California. An increase in tensions with China also damaged sentiment. The measures had almost reclaimed a gain for the year before stumbling. It’s still down almost 7% from a Feb. 19 high. The volatility in the S&P also corresponded with prices swings in Tesla Inc., which is in the Nasdaq Composite. The Nasdaq hit another record high before closing in the red. The Dow Jones Industrial Average finished the day slightly higher. “It’s remarkable how optimistic investors seem to be,” said John Carey, portfolio manager at Pioneer Investment Management. “But there are a lot of uncertainties remaining and it’s a little bit early to assume it’s going to be back to business as usual anytime soon.” Traders are awaiting reports this week from a slew of companies that have yet to provide concrete guidance on the impact of the virus. Shares of PepsiCo Inc. rose after the snack-maker reported stronger-than-expected second-quarter sales.
European stocks rose with government bond yields. Oil declined ahead of an OPEC+ meeting at which the group may announce plans to start tapering historic production cuts. With global stocks trading near their highest since February, the focus has turned to whether the profit outlook will back up bullishness fueled by central bank and fiscal policy support. Traders have largely shrugged off new coronavirus outbreaks in some parts of the world. California’s two biggest school districts said they would offer remote learning only in the fall despite calls by the Trump administration for classrooms to fully reopen. The state reported a record number of people hospitalized with coronavirus. There’s reason for optimism even though earnings are estimated to have contracted by more than 40% in the worst quarter since the financial crisis, as analysts upgrade their forecasts for the rest of the year. “The backdrop is positive for all sectors of the market,” said Gerry Sparrow, president of Sparrow Capital Management Inc. “The reason for that backdrop is that the recovery has taken hold, so jobs data, consumer credit, home building strength signaled that the economy has shifted in a positive direction.”
Here are some key events coming up:
* JPMorgan, Bank of America, Wells Fargo, Goldman Sachs, BNY Mellon and Citigroup start the U.S. earnings season for banks.
* Wednesday brings the Bank of Japan’s policy decision and a Governor Haruhiko Kuroda briefing.
* The EIA crude oil inventory report is due Wednesday.
* China releases second-quarter GDP on Thursday as well as key economic indicators for June.
* The European Central Bank meets to set monetary policy on Thursday, with President Christine Lagarde holding a virtual press conference afterward.

These are the main moves in markets:
Stocks
The S&P 500 Index dipped 0.9% to 3,155.35 as of 4:00 p.m. New York time.
The Dow Jones Industrial Average was little changed at 26,086.34, the highest in a week.
The Nasdaq Composite Index dipped 2.1% to 10,390.84, the largest decrease in more than two weeks.
The MSCI All-Country World Index decreased 0.3% to 540.26.
Currencies
The Bloomberg Dollar Spot Index rose 0.1% to 1,210.52.
The euro increased 0.4% to $1.1349, the strongest in more than a month.
The Japanese yen weakened 0.3% to 107.24 per dollar, the largest drop in almost two weeks.
Bonds
The yield on two-year Treasuries was unchanged at 0.15%.
The yield on 30-year Treasuries decreased two basis points to 1.32%.
Germany’s 10-year yield gained five basis points to -0.42%, the highest in more than a week on the biggest advance in more than a week.
Commodities
West Texas Intermediate crude decreased 2.1% to $39.69 a barrel.
Gold strengthened 0.2% to $1,803.18 an ounce.

Have a great night.

Be magnificent!
As ever,

Carolann

During my eighty-seven years I have witnesses a whole succession of technological revolutions.
But none of them has done away with the need for character in the individual or the ability to think.
                                                                                           -Bernard M. Baruch, 1870-1965

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor

Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7

Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
www.carolannsteinhoff.com

Dear Friends,

Tangents: Happy Friday.

If you miss travel, don’t read this. But read it anyway. 

On July 10, 1940, during World War II, the 114-day Battle of Britain began as Nazi forces began attacking southern England and shipping convoys in the English Channel by air. By late October, Britain managed to repel the Luftwaffe, which suffered heavy losses. Go to article »

1834~James M. whistler, painter, b.
1871~ Marcel Proust, writer, b.
1943~ Arthur Ashe, tennis player, b.
1985~ Rainbow Warrior sunk, Greenpeace.

PHOTOS OF THE DAY

A pier is lit in the sunrise in Timmendorfer Strand at the Baltic Sea, northern Germany.
CREDIT: AP PHOTO/MICHAEL PROBST

The Neowise comet seen above noctilucent clouds taken from the Hochfeiler mountain in the South Tyrol alps in Italy. A fiery comet streaks across a silvery sky in this stunning image which captures two rare astronomical phenomena at the same time. The blazing three-mile-wide fireball is the Neowise comet which is currently passing 64 millions away from the earth in a once in a lifetime spectacle. The comet is captured streaking across a sky-layered with beautiful Noctilucent – or ‘night-shining’ clouds.
CREDIT: MARTIN RIETZE/SWNS.COM

A mother swallow feeds its young an insect at Rising Sun Country Park in Wallsend, Tyne and Wear.
CREDIT: GREN SOWERBY/SWNS.COM

Artist Anish Kapoor looks into his sculpture ‘Sky Mirror’ at Houghton Hall, King’s Lynn, UK, ahead of the opening of his largest UK exhibition of outdoor sculptures. The exhibition opens to the public on Sunday July 12 and runs until November 1 2020.
CREDIT: JOE GIDDENS/PA WIRE

Market Closes for July 10th , 2020 

Market Index	Close	Change
Dow Jones	26075.30	+369.21
		+1.44%
S&P 500	3185.04	+32.99
		+1.05%
NASDAQ	10617.445	+69.695 +0.66%
TSX	15713.82	+145.18
		+0.93%

 

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	22290.81	-238.48
		-1.06%
HANG SENG	25727.41	-482.75
		-1.84%
SENSEX	36594.33	-143.36
		-0.39%
FTSE 100*	6095.41	+45.79 +0.76%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	0.550	0.531
CND. 30 Year Bond	1.072	1.077
U.S.    10 Year Bond	0.6414	0.6070
U.S. 30 Year Bond	1.3321	1.3096

Currencies

BOC Close	Today	Previous
Canadian $	0.73541	0.73601
US $	1.35979	1.35868
Euro Rate 1 Euro=		Inverse
Canadian $	1.53640	0.65087
US $	1.12988	0.88505

Commodities

Gold	Close	Previous
London Gold Fix	1812.10	1811.10
Oil
WTI Crude Future	40.55	39.62

Market Commentary:
Gold futures again crossed $1,800 this week, hovering at levels last seen in 2011. They traded as high as $1,829 Wednesday, putting their all-time high of $1,888.70 within reach.
Gold’s appeal is as a hedge against two things: inflation and, well, apocalypse (i.e. “flight to safety”).  Gold’s peaks tend to coincide with red-letter Bad Times. It’s important, though, to look at what happened after those peaks. In January 1980, the Dow Jones Industrial Average was at 876. One decade and an economic boom later, it was at 2700. In September 2011 it was around 10900. One decade and a long economic expansion later, and it closed at 25706 on Thursday. -WSJ.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose 0.9 percent at 15,713.82 in Toronto. The move was the biggest since rising 1.3 percent on June 29 and follows the previous session’s decrease of 0.4 percent. Royal Bank of Canada contributed the most to the index gain, increasing 2.0 percent. Enerplus Corp. had the largest increase, rising 8.9 percent. Today, 149 of 221 shares rose, while 71 fell; 9 of 11 sectors were higher, led by financials stocks.
Insights
* So far this week, the index rose 0.8 percent
* The index declined 5.1 percent in the past 52 weeks. The MSCI AC Americas Index gained 5.7 percent in the same period
* The S&P/TSX Composite is 12.6 percent below its 52-week high on Feb. 20, 2020 and 40.6 percent above its low on March 23, 2020
* S&P/TSX Composite is trading at a price-to-earnings ratio of 19.7 on a trailing basis and 24.7 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.3 percent on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$2.37t
* 30-day price volatility rose to 19.67 percent compared with 19.58 percent in the previous session and the average of 20.07 percent over the past month
================================================================
| Index Points | | Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | 84.6553| 1.9| 22/3
Energy | 26.6990| 1.4| 21/3
Industrials | 14.1620| 0.8| 16/12
Communication Services | 8.8850| 1.1| 7/1
Consumer Discretionary | 8.7970| 1.7| 12/1
Utilities | 8.6887| 1.1| 13/3
Consumer Staples | 4.4883| 0.7| 7/3
Health Care | 3.6454| 2.3| 7/2
Real Estate | 2.9314| 0.6| 21/6
Materials | -4.8874| -0.2| 21/29
Information Technology | -12.8717| -0.8| 2/8
US
By Vildana Hajric
(Bloomberg) — U.S. stocks gained as signs that the world could be closer to an effective treatment for Covid-19 blunted concerns that a rising number of cases will curb the global economic recovery. Banks led the S&P 500 Index higher as the gauge extended its weekly gain to 1.8%. The broader index outperformed the tech-heavy Nasdaq 100 on Friday for the first time in almost two weeks. Gilead Sciences Inc. advanced after reporting its Remdesivir treatment cut Covid-19 mortality risk by 62%, helping to ease concern about spreading infections. Oil rallied past $40 a barrel. European shares advanced. Treasuries reversed a gain that had pushed the five-year yield to a record low. With record deaths across America, as well as fears of a second wave in Asia, the spotlight is back on the outlook for the coronavirus as investors head into the weekend. Fiscal and monetary stimulus has buoyed markets thus far, but investors are looking for signals on what additional support may be in the works. Federal Reserve Bank of Dallas President Robert Kaplan, speaking on Fox Business, said he sees the need for more fiscal outlays. “The equity rally can continue,” said Ben Kirby, co-head of investments and portfolio manager at Thornburg Investment Management, which has about $40 billion in assets under management. “We have too much liquidity in the system, and more in the pipeline.” Elsewhere, China shares dropped as selling by state-backed funds signaled authorities wanted to slow the pace of gains following the Shanghai Composite’s eight-day winning run.
These are the main moves in markets:
Stocks
* The S&P 500 Index rose 1% as of 4 p.m. New York time.
* The Stoxx Europe 600 Index climbed 0.9%.
* The MSCI Asia Pacific Index dipped 1.1%.
* The MSCI Emerging Market Index sank 0.9%.
Currencies
* The Bloomberg Dollar Spot Index fell 0.1%.
* The euro rose 0.1% to $1.1301.
* The British pound rose 0.2% to $1.2629.
* The Japanese yen strengthened 0.3% to 106.93 per dollar.
Bonds
* The yield on 10-year Treasuries rose two basis points to 0.64%.
* Germany’s 10-year yield declined one basis point to -0.47%.
* Britain’s 10-year yield declined one basis point to 0.15%.
Commodities
* West Texas Intermediate crude rose 2.3% to $40.53 a barrel.
* Gold fell 0.2% to $1,799.72 an ounce.
–With assistance from Gregor Stuart Hunter, Adam Haigh, David
Wilson, Ravil Shirodkar, Yakob Peterseil and Robert Brand

Have a wonderful weekend everyone.

Be magnificent!
As ever,

Carolann

Four things come not back:
the spoken word, the spent arrow,
the past, the neglected opportunity.
        -Omar Ibn Al-Halif, 584-644

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor

Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7

Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
www.carolannsteinhoff.com

Dear Friends,

Tangents:
The Kyoto Aquarium has compiled a complex flow chart depicting the relationships among its penguins. –The NY Times.

“The Far Side” cartoonist Gary Larson has shared his first new work in 25 years. –The NY Times.

Who wouldn’t want to WFH … from Barbados? –Bloomberg.

1893~First successful open-heart surgery.
1964~Courtney Love, singer, b.
1956~Tom Hanks, actor, b.
1879~Otto Respighi, composer, b.
1856~Nikola Tesla, b.
PHOTOS OF THE DAY

Cows grazing near lentil fields and blooming poppy flowers near Castelluccio, a small village in central Italy’s Umbria region.
CREDIT: TIZIANA FABI/AFP VIA GETTY IMAGES

Mosaic artist Mervan Altinorak is turning scrap metal into human sculpture in Hatay, Turkey. The mosaic artist living in Reyhanli district of Hatay province made a human bust by using metal, plastic and electronic card wastes to raise awareness to environmental pollution.
CREDIT: CEM GENCO/ANADOLU AGENCY VIA GETTY IMAGES

A crop of strawberries stands illuminated by a Thorvald autonomous modular robot, developed by Saga Robotics, as it performs an Ultra-Violet (UV) light treatment on a crop of strawberries during robotics trials organized by a U.K. agri-food consortium at Clock House Farm Ltd., near Maidstone, U.K
CREDIT: HOLLIE ADAMS/BLOOMBERG
Market Closes for July 9th , 2020 

Market Index	Close	Change
Dow Jones	25706.09	-361.19
		-1.39%
S&P 500	3152.05	-17.89
		-0.56%
NASDAQ	10547.750	+55.250 +0.53%
TSX	15568.64	-60.55
		-0.39%

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	22529.29	+90.64
		+0.40%
HANG SENG	26210.16	+80.98
		+0.31%
SENSEX	36737.69	+408.68
		+1.12%
FTSE 100*	6049.62	-106.54 -1.73%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	0.531	0.575
CND. 30 Year Bond	1.077	1.097
U.S.    10 Year Bond	0.6070	0.6644
U.S. 30 Year Bond	1.3096	1.3996

Currencies

BOC Close	Today	Previous
Canadian $	0.73601	0.73976
US $	1.35868	1.35179
Euro Rate 1 Euro=		Inverse
Canadian $	1.53320	0.65223
US $	1.12845	0.88617

Commodities

Gold	Close	Previous
London Gold Fix	1811.10	1789.55
Oil
WTI Crude Future	39.62	40.90

Market Commentary:
On this day in 1877, Alexander Graham Bell and three partners formed the Bell Telephone Co. as a “voluntary association” with 5,000 shares of stock; Bell gave 1,407 of his 1,507 shares to his new wife, Mabel, just weeks later.
Canada
By Michael Bellusci
(Bloomberg) — Canadian equities fell Thursday on concerns of higher coronavirus counts. U.S. cases rose 2%, higher than the average daily increase.
The S&P/TSX Composite Index lost 0.4%, with seven of 11 sectors lower. Energy was the worst performing group as oil tumbled. Information technology gained as Shopify Inc. rose 2.9%.
WTI crude fell to its lowest level in more than a week as a resurgence in coronavirus cases and impending U.S.layoffs darken the economic outlook.
Meanwhile, a Bloomberg News poll taken at the end of June by Nanos Research found that only 30% of Canadians who either lost their job or were working reduced hours because of the pandemic were re-employed or working more.
Commodities
* Western Canada Select crude oil traded at a $8.30 discount to West Texas Intermediate
* Spot gold fell 0.3% to $1,803 an ounce
FX/Bonds
* The Canadian dollar weakened 0.6% to C$1.3590 per U.S. dollar
* The 10-year government bond yield fell 4.5 basis points to 0.53%
By Bloomberg Automation:
(Bloomberg) — The S&P/TSX Composite fell 0.4 percent at 15,568.64 in Toronto. The index dropped to the lowest closing level since June 30 after the previous session’s increase of 0.2 percent.
Toronto-Dominion Bank contributed the most to the index decline, decreasing 2.6 percent. Methanex Corp. had the largest drop, falling 5.1 percent.
Today, 145 of 221 shares fell, while 70 rose; 7 of 11 sectors were lower, led by financials stocks.
Insights
* So far this week, the index was little changed
* The index declined 5.9 percent in the past 52 weeks. The MSCI AC Americas Index gained 5.1 percent in the same period
* The S&P/TSX Composite is 13.4 percent below its 52-week high on Feb. 20, 2020 and 39.3 percent above its low on March 23, 2020
* The S&P/TSX Composite is down 0.3 percent in the past 5 days and fell 1.7 percent in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 19.5 on a trailing basis and 24.5 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.3 percent on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$2.38t
* 30-day price volatility rose to 19.58 percent compared with 19.53 percent in the previous session and the average of 20.09 percent over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | -58.8915| -1.3| 2/23
Energy | -28.6090| -1.5| 4/20
Utilities | -9.7600| -1.2| 3/13
Real Estate | -5.2336| -1.1| 4/22
Communication Services | -4.3521| -0.5| 2/6
Consumer Discretionary | -3.1317| -0.6| 2/11
Health Care | -2.1462| -1.3| 1/8
Materials | 4.6293| 0.2| 30/16
Industrials | 5.3646| 0.3| 12/16
Consumer Staples | 8.4410| 1.3| 3/8
Information Technology | 33.1350| 2.0| 7/2
US
By Vivien Lou Chen and Vildana Hajric
(Bloomberg) — U.S. equities slumped on concern that a resurgence in coronavirus cases will derail the comeback for the world’s biggest economy. Oil dipped below $40 a barrel and Treasuries jumped.
Financial companies were among the worst performers on the S&P 500 Index as Wells Fargo & Co. prepared to cut thousands of jobs because of the pandemic. The Dow Jones Industrial Average’s loss exceeded 1.3% as Boeing Co. dropped. The Nasdaq gauges advanced as big tech stocks rose. Long-term government bonds rallied following an auction for 30-year securities that showed strong demand.
Analysts are closely monitoring the spread of the coronavirus in the U.S. and across the world, with record deaths in Florida and California seen as ominous signs. While optimists are betting that fiscal and monetary support will contain the fallout and cited jobs data Thursday that came in better than expected, others pointed out that the labor market is still treacherous.
“Sentiment clearly took a turn negative today, and the buildup of Covid-19 concerns seems to be the biggest issue,” said Larry Milstein, senior managing director of government debt trading at R.W. Pressprich & Co. Given that cases are also rising in Asia, “there’s a real concern that a second wave is approaching that will impact the global economy.”
Elsewhere, European shares joined the decline. Gold traded near $1,800 an ounce. West Texas oil slumped after swelling U.S. crude stockpiles raised fresh concerns about oversupply and a key Libyan field resumed production.
Chinese equities outperformed as the Shanghai Composite notched an eighth day of gains, helped by signals of official support and strong demand from retail traders.
Here are some key events coming up:
* Singapore holds its general election on Friday.

These are the main moves in markets:
Stocks
* The S&P 500 Index fell 0.6% as of 4 p.m. New York time.
* The Stoxx Europe 600 Index fell 0.8%.
* The MSCI Asia Pacific Index climbed 0.7%.
* The MSCI Emerging Market Index added 0.8%.
Currencies
* The Bloomberg Dollar Spot Index rose 0.2%.
* The euro fell 0.4% to $1.1288.
* The British pound was little changed at $1.261.
* The Japanese yen was little changed at 107.22 per dollar.
Bonds
* The yield on 10-year Treasuries decreased six basis points to 0.61%.
* Germany’s 10-year yield fell two basis points to -0.47%.
* Britain’s 10-year yield sank two basis points to 0.16%.
Commodities
* West Texas Intermediate crude decreased 3.5% to $39.47 a barrel.
* Gold fell 0.3% to $1,803.25 an ounce.
–With assistance from Masaki Kondo, Adam Haigh, Michael Hunter, Yakob Peterseil, Claire Ballentine and Katherine Greifeld.

Have a great night.

Be magnificent!
As ever,

Carolann

You just can’t beat the person who won’t give up.
                                  -Babe Ruth, 1895-1948

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor

Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7

Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
www.carolannsteinhoff.com

Dear Friends,

Tangents:
Take a virtual tour of the Louvre in Paris. –The NY Times.

A new comet is now visible with the naked eye 
Now that 4th of July fireworks have subsided, how about gazing at space fireworks instead?  -CNN.

Hummingbirds can “count their way” to food. (h/t Scott Kominers), Bloomberg.

John D. Rockefeller, financier, b. 1839.
Anna Quindlen, writer, b. 1953
Anjelica Huston, actor, b. 1953

PHOTOS OF THE DAY

Artwork created by long exposures and lights on a drone illuminates a windmill near Christer in West Sussex. The photograph is one of a set capturing landmarks on the south coast.
CREDIT: BEAR MARTIN/TRIANGLE NEWS

A view from the top of Russia’s Gorely Volcano, 1,829 metres above sea level.
CREDIT: ITAR-TASS NEWS AGENCY/ ALAMY LIVE NEWS

A Tenggerese woman worshipper carries a chicken as prepare to throw as offerings during the Yadnya Kasada Festival at crater of Mount Bromo in Probolinggo, East Java, Indonesia.
CREDIT: ULET IFANSASTI/ GETTY IMAGES
Market Closes for July 8th , 2020 

Market Index	Close	Change
Dow Jones	26067.28	+177.10
		+0.68%
S&P 500	3169.94	+24.62
		+0.78%
NASDAQ	10492.500	+148.611 +1.44%
TSX	15629.19	+33.69
		+0.22%

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	22438.65	-176.04
		-0.78%
HANG SENG	26129.18	+153.52
		+0.59%
SENSEX	36329.01	-345.51
		-0.94%
FTSE 100*	6156.16	-33.74 -0.55%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	0.575	0.511
CND. 30 Year Bond	1.097	0.989
U.S.    10 Year Bond	0.6644	0.6397
U.S. 30 Year Bond	1.3996	1.3748

Currencies

BOC Close	Today	Previous
Canadian $	0.73976	0.73507
US $	1.35179	1.36042
Euro Rate 1 Euro=		Inverse
Canadian $	1.53163	0.65290
US $	1.13304	0.88258

Commodities

Gold	Close	Previous
London Gold Fix	1789.55	1787.90
Oil
WTI Crude Future	40.90	40.62

Market Commentary:
On this day in 1889, the first issue of The Wall Street Journal was published by Charles Henry Dow, Edward Davis Jones and Charles M. Bergstresser.
Canada
By Michael Bellusci
(Bloomberg) — Canadian equities rose Wednesday as shares of gold and silver companies advanced.
The S&P/TSX Composite Index gained 0.2%. S&P/TSX Composite Materials Sector GICS Level 1 Index rose 2.1% to its highest since January 2013. The group gained for a third straight session.
Gold’s allure in 2020 continues to strengthen, with spot prices surpassing $1,800 an ounce and inflows into bullion- backed ETFs already topping the record full-year total set in 2009.
Justin Trudeau’s government said it will run a budget deficit equivalent to nearly 16% of economic output, a level not seen since World War II, in a race to safeguard Canada from its deepest recession in almost a century.
Commodities
* Western Canada Select crude oil traded at a $7.65 discount to West Texas Intermediate
* Spot gold rose 0.8% to $1,809 an ounce
FX/Bonds
* The Canadian dollar rose 0.7% to C$1.3509 per U.S. dollar
* The 10-year government bond yield rose 6.4 basis points to 0.570%

By Bloomberg Automation:
(Bloomberg) — The S&P/TSX Composite rose 0.2 percent at 15,629.19 in Toronto. The move follows the previous session’s decrease of 0.5 percent. Barrick Gold Corp. contributed the most to the index gain, increasing 2.0 percent. Wesdome Gold Mines Ltd. had the largest increase, rising 10.5 percent.
Today, 101 of 221 shares rose, while 115 fell; 4 of 11 sectors were higher, led by materials stocks.
Insights
* The index declined 5.1 percent in the past 52 weeks. The MSCI AC Americas Index gained 5.8 percent in the same period
* The S&P/TSX Composite is 13 percent below its 52-week high on Feb. 20, 2020 and 39.9 percent above its low on March 23, 2020
* The S&P/TSX Composite is up 0.7 percent in the past 5 days and fell 2.2 percent in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 19.5 on a trailing basis and 24.6 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.3 percent on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$2.37t
* 30-day price volatility fell to 19.53 percent compared with 19.65 percent in the previous session and the average of 20.10 percent over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Materials | 47.9265| 2.1| 39/11
Industrials | 11.4354| 0.6| 17/10
Information Technology | 6.3637| 0.4| 7/2
Financials | 4.5835| 0.1| 17/8
Consumer Discretionary | -0.1181| 0.0| 5/8
Consumer Staples | -0.6946| -0.1| 1/10
Real Estate | -2.8617| -0.6| 6/19
Utilities | -3.8401| -0.5| 6/10
Health Care | -4.2675| -2.6| 2/7
Communication Services | -8.1139| -1.0| 1/7
Energy | -16.7236| -0.9| 0/23
US
By Vildana Hajric and Sarah Ponczek
(Bloomberg) — U.S. stocks rose as investors looked past tensions between Washington and Beijing and sought out tech companies thought to be insulated from rising coronavirus infections.
The S&P 500 Index climbed to a one-month high, while advances in high flying megacaps like Apple Inc. and Amazon.com Inc. sent the Nasdaq Composite to a record. HSBC Holdings Plc slumped after a report that some of President Donald Trump’s advisers proposed a move to destabilize Hong Kong’s currency peg to punish China. Banks led European stocks lower.
Gold topped $1,800 an ounce, while Treasury yields inched higher and the dollar slumped. Analysts are debating what comes next for the U.S. economy as states allow businesses to re-open, but with much of the world stuck at home, investors have been bidding up tech shares.
That pattern appeared again Wednesday, with pandemic-sensitive sectors like airlines sinking even as online names held up.
“While the market largely reflects investor optimism, the Covid situation is seemingly evolving by the hour and we’ve also reintroduced trade tensions to the mix, so there’s a bunch to digest,” said Mike Loewengart, managing director of investment strategy at E*Trade Financial.
Many Americans Plan to Spend Less Than Before the Virus Struck. Tensions between the U.S. and China have been growing after Beijing asserted broad new powers to rein in opposition in Hong Kong, pouring cold water over hopes the world’s largest economies will patch up relations soured by a lingering trade spat. Stocks in Shanghai powered ahead for a seventh day. Investors have been drawn to China’s markets amid efforts by regulators to boost the attractiveness of stocks and hopes for an economic recovery.
Signals pertaining to the coronavirus have been mixed in recent days and weeks. The number of confirmed cases in the U.S. surpassed 3 million Wednesday, with data showing a 2% increase in cases nationally. However, the fatality rate has remained low, a data point flagged by optimists.
“We’re sitting here kind of saying, ‘Well what comes next?’ And it’s not really clear,” said Kathy Jones, chief fixed-income strategist for the Schwab Center for Financial Research. “There’s a lot of question marks about how will this play out in the second half.”
Here are some key events coming up:
* All eyes will be on the U.S. weekly jobless claims report on Thursday.
* Singapore holds its general election on Friday.

These are the main moves in markets:
Stocks
* The S&P 500 Index rose 0.8% as of 4 p.m. New York time.
* The Stoxx Europe 600 Index declined 0.7%.
* The MSCI Asia Pacific Index rose 0.7%.
Currencies
* The Bloomberg Dollar Spot Index dipped 0.5%.
* The euro advanced 0.5% to $1.1329.
* The Japanese yen gained 0.3% to 107.24 per dollar.
* The British pound rose 0.6% to $1.2612.
Bonds
* The yield on 10-year Treasuries rose one basis point to 0.65%.
* Germany’s 10-year yield declined one basis point to -0.44%.
* Britain’s 10-year yield was little changed at 0.18%.
Commodities
* West Texas Intermediate crude rose 0.6% to $40.84 a barrel.
* Gold strengthened 0.8% to $1,809.32 an ounce.
–With assistance from Sophie Caronello, Constantine Courcoulas, Katherine Greifeld and Claire Ballentine.
Have a great night.

Be magnificent!
As ever,

Carolann

Millions saw the apple fall, but Newton was the one who asked why.
                                                              –Bernard Baruch, 1870-1965.

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor

Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7

Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
www.carolannsteinhoff.com

Dear Friends,
Tangents:
The seamstresses of Chanel, Dior and more formed a network to make face masks in quarantine. They’re not done working together. -The NY Times.

An Italian glacier is turning pink
Unfortunately, “watermelon snow” is not as fun as it sounds. -CNN

Meet the ‘tiny bug slayer,’ an ancient relative of giant dinosaurs
You’d think the ancestors of dinosaurs would sound a bit more formidable.-CNN.

How does Earth sustain its magnetic field? -Bloomberg.

Who’s hungry for some 3D-printed steak? (h/t Mike Smedley)-Bloomberg.

1860 – Gustav Mahler, composer, b.
1887 – Marc Chagall, artist, b.
1907 – Robert A. Heinlein, writer, b.
1940 – Ringo Starr, musician, b.
1954 – Elvis Presley made his radio debut when Memphis, Tenn., station WHBQ played his first recording for Sun Records, “That’s All Right.” Go to article >>
PHOTOS OF THE DAY

An amateur photographer waited five hours to snap these amazing pictures of an osprey rising from the water clutching its next meal. Alan Wemyss, 55, captured the dramatic snaps while on an early morning shoot at a bird hide in Aviemore, Scottish Highlands. Alan, a joiner, from Inverness, Scottish Highlands, was at the lookout spot at Aviemore Ospreys from 4am until 9am, patiently waiting to photograph the bird. The osprey’s massive wingspan and piercing yellow eyes can be seen as it carries off the catch.
CREDIT: ALAN WEMYSS/SWNS.COM

Full “Buck” Moon rising over Roker Lighthouse in Sunderland, UK.
CREDIT: SIMON WOODLEY/SWNS

A woman walks past a printing by Chinese artist Fang Lijun titled “2002,1.1” during a Sotheby’s auction exhibition in Hong Kong.
CREDIT: AP PHOTO/VINCENT YU
Market Closes for July 7th , 2020 

Market Index	Close	Change
Dow Jones	25890.18	-396.85
		-1.51%
S&P 500	3145.32	-34.40
		-1.08%
NASDAQ	10343.891	-89.759 -0.86%
TSX	15595.50	-74.17
		-0.47%

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	22614.69	-99.75
		-0.44%
HANG SENG	25975.66	-363.50
		-1.38%
SENSEX	36674.52	+187.24
		+0.51%
FTSE 100*	6189.90	-96.04 -1.53%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	0.511	0.547
CND. 30 Year Bond	0.989	1.015
U.S.    10 Year Bond	0.6397	0.6759
U.S. 30 Year Bond	1.3748	1.4398

Currencies

BOC Close	Today	Previous
Canadian $	0.73507	0.73856
US $	1.36042	1.35399
Euro Rate 1 Euro=		Inverse
Canadian $	1.53357	0.65207
US $	1.12728	0.88709

Commodities

Gold	Close	Previous
London Gold Fix	1787.90	1772.90
Oil
WTI Crude Future	40.62	40.63

Market Commentary:
On this day in 1993, Charles W. Knapp was found guilty on three counts of conspiracy after his savings & loan empire collapsed, costing the U.S. taxpayer $2 billion. Knapp’s American Savings & Loan Association was once the nation’s largest thrift, but it was seized by federal regulators in 1984 and later settled a U.S. Securities & Exchange Commission lawsuit charging it with fraudulent overstating of earnings
Canada
By Michael Bellusci
(Bloomberg) — Canadian equities fell Tuesday alongside global stock markets amid jitters about the pace of economic
recovery from the pandemic.
The S&P/TSX Composite Index fell 0.5%, with nine of eleven sectors lower. Materials and information technology gained.
Spot gold advanced to a more than eight-year high, recovering from earlier losses as the dollar pared gains and simmering economic concerns boosted demand for the metal as a haven.
Meanwhile, this week’s escalation of American pipeline setbacks is heightening concerns among Canadian oil producers, which export almost all of their crude to the U.S.
Commodities
* Western Canada Select crude oil traded at a $7.30 discount to West Texas Intermediate
* Spot gold rose 0.6% to $1,796.09 an ounce
FX/Bonds
* The Canadian dollar fell 0.5% to C$1.3609 per U.S. dollar
* The 10-year government bond yield fell 3.6 basis points to 0.506%

By Bloomberg Automation:
     (Bloomberg) — The S&P/TSX Composite fell 0.5 percent at 15,595.50 in Toronto. The move was the biggest since falling 1.7 percent on June 26 and follows the previous session’s increase of 0.5 percent.
Toronto-Dominion Bank contributed the most to the index decline, decreasing 1.6 percent. Enerplus Corp. had the  largest drop, falling 7.0 percent.
Today, 160 of 221 shares fell, while 61 rose; 9 of 11 sectors were lower, led by financials stocks.
Insights
* The index declined 5.7 percent in the past 52 weeks. The MSCI AC Americas Index gained 4.4 percent in the same period
* The S&P/TSX Composite is 13.2 percent below its 52-week high on Feb. 20, 2020 and 39.6 percent above its low on March 23, 2020
* The S&P/TSX Composite is up 1.3 percent in the past 5 days and fell 1.6 percent in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 19.5 on a trailing basis and 24.5 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.3 percent on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$2.38t
* 30-day price volatility rose to 19.65 percent compared with 19.60 percent in the previous session and the average of 20.13 percent over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | -81.6067| -1.8| 1/24
Energy | -26.9123| -1.4| 2/22
Consumer Discretionary | -10.0719| -1.9| 0/13
Industrials | -7.4218| -0.4| 6/22
Utilities | -6.2750| -0.8| 4/12
Communication Services | -6.0034| -0.7| 1/7
Real Estate | -4.1369| -0.8| 6/21
Health Care | -2.8963| -1.7| 1/8
Consumer Staples | -2.0892| -0.3| 2/9
Information Technology | 27.3269| 1.7| 2/8
Materials | 45.9134| 2.0| 36/14
US
By Amena Saad and Claire Ballentine
(Bloomberg) — U.S. stocks slumped, with airlines and hotels particularly hard hit, amid signs that the world economy has a long way to go to get back on track.
Almost six shares fell on the S&P 500 Index for every one that gained. The tech-heavy Nasdaq gauges dropped from a record intraday high in the afternoon as heavyweights such as Amazon.com Inc. and Microsoft Corp. turned lower. European shares slipped on concern the economy will take longer to recover. Gold climbed to the highest since 2011. The dollar strengthened and Treasury yields dipped. Brazil’s currency and stocks slumped as President Jair Bolsonaro said he had tested positive for Covid-19.
Stock investors took a breather after a ferocious rally that fueled the S&P 500’s best winning streak this year. While data show the global economy may be past the worst of the slump, it’s a long road back to pre-crisis levels. Federal Reserve Bank of Atlanta President Raphael Bostic said the renewed spread of coronavirus may threaten the pace of the recovery as businesses and consumers put plans on hold.
After “a five-day rally where the market’s up quite a bit, it’s not so surprising to have a little bit of a pause,” said Jeff Mills, the chief investment officer at Bryn Mawr Trust Co. “It’s just sort of the natural movements of the market. You can’t go up in a straight line every single day.”
The European Commission gave its starkest warning yet about the impact of the pandemic. Officials now forecast a contraction of 8.7% in the euro area this year, a full percentage point deeper than previously predicted. Novavax Inc. surged after it was awarded $1.6 billion in U.S. funding to support large-scale manufacturing of its vaccine candidate.
Elsewhere, most Asian shares dropped, even as Chinese stocks powered ahead for a sixth day, although at a slower pace.
The offshore yuan briefly strengthened through the 7 per dollar level for the first time since March.
Here are some key events coming up:
* The EIA crude oil inventory report comes Wednesday.
* All eyes will be on the U.S. weekly jobless claims report on Thursday.
* Singapore holds its general election on Friday.

These are the main moves in markets:
Stocks
* The S&P 500 Index fell 1.1% as of 4 p.m. New York time.
* The Stoxx Europe 600 Index sank 0.6%.
* The MSCI Asia Pacific Index declined 0.7%.
* The MSCI Emerging Market Index decreased 0.9%.
Currencies
* The Bloomberg Dollar Spot Index gained 0.4%.
* The euro decreased 0.3% to $1.1274.
* The British pound rose 0.4% to $1.2543.
* The Japanese yen weakened 0.2% to 107.55 per dollar.
Bonds
* The yield on 10-year Treasuries dipped four basis points to 0.64%.
* Germany’s 10-year yield was little changed at -0.43%.
* Britain’s 10-year yield sank two basis points to 0.18%.
Commodities
* West Texas Intermediate oil fell 0.8% to $40.32 a barrel.
* Gold rose 0.7% to $1,796.73 an ounce.
–With assistance from Cormac Mullen and Yakob Peterseil.
Have a great night.

Be magnificent!
As ever,

Carolann

One truth stands firm.  All that happens in world history rests on something spiritual.
If the spiritual is strong, it creates world history.  If it is weak, it suffers world history.
                                                                         -Albert Schweitzer, 1875-1965

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor

Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7

Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
www.carolannsteinhoff.com

Dear Friends,

Tangents:
1854:  Republican Party formed in the US.
George W. Busch, 43^rd President, b. 1946.
Janet Leigh, actor, b. 1927.
Frida Kahlo, artist, b. 1907.

What is it like dressing as 18th-century royalty for a week? –The New York Times.

The town of Henderson, Minn., made famous by a scene in the movie “Purple Rain,” has unveiled a life-size bronze statue of Prince. – from The NY Times.

A hot new album just dropped from the Dalai Lama, who turns 85 today. The recording features his teachings and mantras set to music.

PHOTOS OF THE DAY

A Super Marine Spitfire belonging to the Aircraft Restoration Company based at Imperial War Museum, Duxford flies over Cambridgeshire making the 72^nd anniversary of the NHS.
CREDIT: PIXEL8000

A San Diego lifeguard rescues a man at Windansea Beach in La Jolla as high surf pounded the Southern California coast.
CREDIT: K C ALFRED/ZUMA WIRE/SHUTTERSTOCK

People play footvolley at the beach in Tel Aviv, Isreal.
CREDIT: AP PHOTO/ODED BALILTY

Market Closes for July 6th , 2020 

Market Index	Close	Change
Dow Jones	26287.03	+459.67
		+1.78%
S&P 500	3179.72	+49.71
		+1.59%
NASDAQ	10433.652	+226.023 +2.21%
TSX	15669.67	+72.92
		+0.47%

 

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	22714.44	+966.04
		+3.81%
HANG SENG	26339.16	+966.04
		+3.81%
SENSEX	36487.28	+456.86
		+1.29%
FTSE 100*	6285.94	+128.64 +2.09%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	0.547	0.558
CND. 30 Year Bond	1.015	1.007
U.S.    10 Year Bond	0.6759	0.6693
U.S. 30 Year Bond	1.4398	1.4272

Currencies

BOC Close	Today	Previous
Canadian $	0.73856	0.73785
US $	1.35399	1.35529
Euro Rate 1 Euro=		Inverse
Canadian $	1.53131	0.65303
US $	1.13096	0.88420

Commodities

Gold	Close	Previous
London Gold Fix	1772.90	1777.45
Oil
WTI Crude Future	40.63	40.65

Market Commentary:
On this day in 1785, Congress declared that “the money unit of the United States of America be one dollar,”  and adopted a decimal coinage.
Canada
By Aoyon Ashraf
(Bloomberg) — Canadian shares started the week on a positive note, led by health care and consumer discretionary stocks. The S&P/TSX Composite Index rose 0.5% in Toronto. U.S. stocks also jumped, with gains in tech shares pushing the Nasdaq Composite to a record high. Investors in Canada are piling back into exchange-traded funds at levels not seen since the start of the Covid-19 pandemic. Canadian ETFs attracted net flows of C$4 billion ($3 billion) in June, the most since February. Canadian business sentiment has fallen to its lowest level since the 2008-2009 recession as sales slow and uncertainty about future growth remains elevated, according to a survey of executives released Monday by the Bank of Canada. Meanwhile, hedge funds and health-care specialist money managers were among those that were the most burned by bets in small-cap Canadian drug developer Bellus Health Inc. when its most important drug — aimed at fighting chronic cough – failed a mid-stage study. The stock fell 72% on Monday.
Commodities
* Western Canada Select crude oil traded at a $7.40 discount to West Texas Intermediate
* Spot gold rose 0.6% to $1,786.55 an ounce
FX/Bonds
* The Canadian dollar was little changed at C$1.3539 per U.S. dollar
* The 10-year government bond yield edged lower to 0.549%

By Bloomberg Automation:
(Bloomberg) — The S&P/TSX Composite rose 0.5 percent at 15,669.67 in Toronto. The index advanced to the highest closing level since June 10 after the previous session’s decrease of 0.2 percent. Royal Bank of Canada contributed the most to the index gain, increasing 1.4 percent. Ballard Power Systems Inc. had the largest increase, rising 9.1 percent. Today, 164 of 221 shares rose, while 54 fell; 8 of 11 sectors were higher, led by financials stocks.
Insights
* The index declined 5.3 percent in the past 52 weeks. The MSCI AC Americas Index gained 5.5 percent in the same period
* The S&P/TSX Composite is 12.8 percent below its 52-week high on Feb. 20, 2020 and 40.2 percent above its low on March 23, 2020
* The S&P/TSX Composite is up 3.2 percent in the past 5 days and fell 1.2 percent in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 19.6 on a trailing basis and 24.6 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.3 percent on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$2.37t
* 30-day price volatility fell to 19.60 percent compared with 19.78 percent in the previous session and the average of 20.15 percent over the past month
================================================================
| Index Points | | Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | 47.2120| 1.1| 24/1
Materials | 36.9670| 1.6| 45/5
Industrials | 14.8853| 0.8| 21/7
Consumer Discretionary | 9.9413| 1.9| 11/2
Consumer Staples | 5.2615| 0.8| 11/0
Health Care | 5.2015| 3.2| 6/2
Utilities | 4.3635| 0.6| 12/3
Real Estate | 2.5314| 0.5| 13/13
Communication Services | -5.8946| -0.7| 0/8
Energy | -14.6813| -0.8| 12/12
Information Technology | -32.8744| -2.0| 9/1
US
By Vildana Hajric and Claire Ballentine
(Bloomberg) — U.S. stocks jumped, with gains in tech shares pushing the Nasdaq Composite to a record high. The dollar fell for a fifth day and Treasuries dipped. The S&P 500 Index posted its fifth-straight increase, its longest winning streak since December, as Amazon.com Inc. shares rose past $3,000 for the first time. Tesla Inc. extended a five- day rally to more than 40%. The dollar slid to the weakest since June 10 as risk-on sentiment sapped demand for havens. The Stoxx Europe 600 Index climbed 1.6% while developing- nation stocks added 2.5% as a huge rally in Chinese markets pushed a global equity benchmark toward a one-month high. Stock markets started the week in an upbeat mood after a front-page editorial in China’s Securities Times on Monday said that fostering a “healthy” bull market after the pandemic is now more important to the economy than ever. The Shanghai Composite Index posted its biggest advance since 2015, fueling bullish spirits around the world, even as investors kept a wary eye on the coronavirus infections sweeping across parts of the U.S.

“Investors have recognized that as bad as the economy in the U.S. is, it’s not as bad as what people thought it would look like in March and April,” said Nancy Prial, the co-chief executive officer at Essex Investment Management. “The market has started to sense we might see better than anticipated results fairly broadly across a wide spread of companies.” The MSCI World Index is now at the highest level since early June, with investors putting their faith in an economic recovery powered by historic government stimulus. But of course there’s a long way to go before the economy gets back to normal. Goldman Sachs Group Inc. cut estimates for U.S. growth this quarter and said consumer spending appears likely to stall this month and next. Still, economists led by Jan Hatzius said other economies have proved it’s possible to resume activity and changes in behavior such as wearing masks will help too.
     Elsewhere, copper was on the cusp of erasing this year’s losses after virus-related disruptions tightened supplies. Precious metals advanced. Alicia Levine, chief strategist at BNY Mellon Investment Management, said she’s telling clients to stay in the stock market amid stimulus measures from the Federal Reserve and U.S. government. “That is still our message,” Levine said in an interview on Bloomberg TV and Radio. “It’s extraordinary. I think we’re all scratching our heads, but the market is telling me you’ve got to be in it.”
Here are some key events coming up:
* The EIA crude oil inventory report comes Wednesday.
* All eyes will be on the U.S. weekly jobless claims report on Thursday.
* Singapore holds its general election on Friday.

These are the main moves in markets:
Stocks
* The S&P 500 Index increased 1.6% at the close of trading in New York.
* The Stoxx Europe 600 Index gained 1.6%.
* The MSCI Asia Pacific Index climbed 2.2%.
* The MSCI Emerging Market Index climbed 2.6%.
Currencies
* The Bloomberg Dollar Spot Index declined 0.3%.
* The euro gained 0.5% to $1.1307.
* The British pound rose 0.1% to $1.2492.
* The Japanese yen rose 0.1% to 107.37 per dollar.
Bonds
* The yield on 10-year Treasuries rose one basis points to 0.68%.
* Germany’s 10-year yield was little changed at -0.44%.
* Britain’s 10-year yield rose one basis point to 0.2%.
Commodities
* West Texas Intermediate crude fell 0.1% to $40.61 a barrel.
* Gold strengthened 0.6% to $1,786.44 an ounce.
* Copper rose 1.4% to $2.786 per pound.
–With assistance from Amanda Wang, Charlie Zhu, Adam Haigh and Sid Verma.

Have a great night.

Be magnificent!
As ever,

Carolann

Habits change into character.
           -Ovid, 43 BC-18 AD

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor

Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7

Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
www.carolannsteinhoff.com