Month: May 2022

Dear Friends,

Tangents:
Carolann is away from the office today, I will be writing the newsletter on her behalf.  

PHOTOS OF THE DAY

A man crosses a bridge during a dust storm
CREDIT: Sabah Arar/AFP/Getty Images

A visitor views an exhibition of images from the Intesa Sanpaolo Publifoto Archive at the Gallerie d’Italia
CREDIT: Marco Bertorello/AFP/Getty Images

The Wat Phra Dhammakaya temple is decorated with 210,000 LED lights in a ceremony to mark the birth, enlightenment and death of Buddha. People from around the world joined the virtual ceremony via Zoom
CREDIT: Pacific Press/Alamy Live News

Market Closes for May 16^th, 2022

Market Index	Close	Change
Dow Jones	32223.42	+26.76
		+0.08%
S&P 500	4008.01	-15.88
		-0.39%
NASDAQ	11662.79	-142.21 -1.20%
TSX	20206.41	+106.60
		+0.53%

 

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	26547.05	+119.40
		+0.45%
HANG SENG	19950.21	+51.44
		+0.26%
SENSEX	52973.84	+180.22
		+0.34%
FTSE 100*	7464.80	+46.65 +0.63%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	2.920	2.960
CND. 30 Year Bond	2.927	2.938
U.S.    10 Year Bond	2.8840	2.9185
U.S. 30 Year Bond	3.1017	3.0786

Currencies

BOC Close	Today	Previous
Canadian $	0.7782	0.7739
US $	1.2850	1.2921
Euro Rate 1 Euro=		Inverse
Canadian $	1.3410	0.7457
US $	1.0436	0.9582

Commodities

Gold	Close	Previous
London Gold Fix	1811.55	1837.05
Oil
WTI Crude Future	114.20	110.49

Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose for the second
day, climbing 0.5%, or 106.6 to 20,206.41 in Toronto. The index
advanced to the highest closing level since May 6.
Canadian Natural Resources Ltd. contributed the most to the
index gain, increasing 2.9%. Dye & Durham Ltd. had the largest
increase, rising 17.4%.
Today, 161 of 239 shares rose, while 75 fell; 9 of 11
sectors were higher, led by energy stocks.
Terminal users can read more in our markets live blog.
Insights
* The index advanced 4.3% in the past 52 weeks. The MSCI AC Americas Index lost 5.5% in the same period
* The S&P/TSX Composite is 9% below its 52-week high on April 5,2022 and 5.2% above its low on May 14, 2021
* The S&P/TSX Composite is up 1% in the past 5 days and fell7.5% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 15.7 on a trailing basis and 12.6 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.9% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.22t
* 30-day price volatility fell to 19.08% compared with 19.12% in the previous session and the average of 14.41% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
* Energy | 75.2038| 2.0| 33/0
* Materials | 29.0510| 1.1| 29/22
* Financials | 17.2078| 0.3| 19/9
* Communication Services | 13.7343| 1.3| 7/0
* Industrials | 7.6975| 0.3| 18/12
* Consumer Staples | 6.8445| 0.8| 8/2
* Utilities | 3.6354| 0.4| 13/3
* Real Estate | 1.0501| 0.2| 18/5
* Health Care | 0.5705| 0.6| 3/5
* Consumer Discretionary | -3.3525| -0.5| 6/8
* Information Technology | -45.0518| -4.0| 7/9
================================================================
| | |Volume VS| YTD
|Index Points| | 20D AVG | Change
Top Contributors | Move |% Change | (%) | (%)
================================================================
* Canadian Natural | | | |
* Resources | 18.3000| 2.9| 52.0| 51.4
* Suncor Energy | 12.4900| 2.7| 35.6| 52.2
* Enbridge | 9.4730| 1.2| 132.0| 15.8
* * Magna International | -2.4760| -1.7| 25.6| -24.8
* Brookfield Asset | | | |
* Management | -2.9110| -0.5| 6.1| -19.6
* Shopify | -44.6400| -11.0| 4.2| -73.4
US
By Stephen Kirkland and Vildana Hajric
(Bloomberg) — Stocks headed back toward session lows in the last hour of trading Monday as investors assessed the latest signs of economic malaise in the US and China.
The S&P 500 fell, dragged lower by a slide in mega caps including Tesla Inc., Amazon.com Inc. and Apple Inc. The tech-heavy Nasdaq 100 dropped more than 1%. Equity markets gave up earlier gains in a seesaw session amid data showing China’s industrial output and consumer spending hit the worst levels since the pandemic began, hurt by Covid lockdowns. New York state manufacturing activity unexpectedly contracted in May, stoking concerns of slowing economic activity that may complicate the Federal Reserve’s policy path.
Adding to those growth concerns, New York City is preparing to hit a high Covid-transmission level in the coming days that would have it reconsidering mask requirements in public places.
The risk of an economic downturn amid price pressures and rising borrowing costs remains the major worry for markets. Goldman Sachs Group Inc. Senior Chairman Lloyd Blankfein urged companies and consumers to gird for a US recession, saying it’s a “very, very high risk.”  That said, while the US market is pricing in 40% odds of a recession, history shows the S&P 500 tended to rally in the absence of the worst case, according to a study by UBS Group AG. 
Market commentary
* “You’ve got investors pulling back from the market in the expectation that we’re going to have a recession,” David Donabedian, chief investment officer of CIBC Private Wealth Management, said by phone. “It’s hard to, frankly, make a strong argument against that, the idea that we’ll have a recession. We know that that’s what Federal Reserve tightening produces most of the time, it’s a recession. And so you have to have a good answer to the question of why would this time be different, and it’s not that easy to come up with that answer, frankly.”
* “With inflation showing little sign of letting up, the Fed is under pressure to accelerate the pace of tightening,” Lisa Shalett, chief investment officer at Morgan Stanley Wealth Management, said in a note. “This is increasingly problematic as the complicating factors from the Russia-Ukraine conflict and the China COVID response are also intensifying. All told, this suggests global growth may be decelerating more quickly than forecast.”
* In corporate news, Twitter Inc. shares fell Monday, erasing all the gains the stock made since Elon Musk disclosed his stake in the social media platform. JetBlue Airways Corp. made a hostile $3.3 billion cash bid for Spirit Airlines Inc., appealing directly to shareholders to prevail over a rival offer for the discount carrier. Verizon Communications Inc. plans to raise prices on its wireless bills for the first time in two years. McDonald’s Corp. said it will pull out of Russia after more than 30 years of operation in the country and will take a write-off of $1.2 billion to $1.4 billion for the move.
* Cryptocurrencies dipped as the mood in stocks weakened. That took Bitcoin back to around the $30,000 level.
What to watch this week:
* Fed Chair Jerome Powell among slate of Fed speakers Tuesday
* Reserve Bank of Australia releases minutes of its May policy meeting Tuesday
* G-7 finance ministers and central bankers meeting Wednesday
* Eurozone, UK CPI Wednesday
* Philadelphia Fed President Patrick Harker speaks Wednesday
* China loan prime rates Friday

Stocks
* The S&P 500 fell 0.5% as of 3:47 p.m. New York time
* The Nasdaq 100 fell 1.3%
* The Dow Jones Industrial Average was little changed
* The MSCI World index fell 0.2%
Currencies
* The Bloomberg Dollar Spot Index fell 0.3%
* The euro rose 0.2% to $1.0432
* The British pound rose 0.4% to $1.2317
* The Japanese yen rose 0.1% to 129.04 per dollar
Bonds
* The yield on 10-year Treasuries declined three basis points to 2.88%
* Germany’s 10-year yield declined one basis point to 0.94%
* Britain’s 10-year yield declined one basis point to 1.73%
Commodities
* West Texas Intermediate crude rose 2.9% to $113.71 a barrel
* Gold futures rose 0.9% to $1,823.60 an ounce
–With assistance from Michael Msika, Andreea Papuc, Robert Brand and Isabelle Lee.
Have a lovely evening everyone.

Jordan

“To be prepared is half the victory” -Miguel De Cervantes

Assistant to Carolann Steinhoff

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:
Carolann is away from the office today, I will be writing the newsletter on her behalf.  

PHOTOS OF THE DAY – The week in wildlife

A mother and calf one-horned rhinoceros at the Pobitora Wildlife Sanctuary on the outskirts of Gauhati, India. The sanctuary is known for its Indian one-horned rhino population
CREDIT: Anupam Nath/AP

A bee-eater bird catches a bee in the village of Buszkowice in Podkarpacie, Poland. The protected bird is listed in the Polish Red Book of Animals as a species close to extinction.
CREDIT: Darek Delmanowicz/EPA

One of the brown bears recently moved from Kyiv wanders around the woodland area of its new home at the Bear Sanctuary Domazhyr in Lviv, Ukraine.
CREDIT:  Leon Neal/Getty Images

Market Closes for May 13^th, 2022

Market Index	Close	Change
Dow Jones	32196.66	+446.36
		+1.47%
S&P 500	4023.89	+93.81
		+2.39%
NASDAQ	11805.00	+434.04 +3.82%
TSX	20099.81	+400.76
		+2.03%

 

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	26427.65	+678.93
		+2.64%
HANG SENG	19898.77	+518.43
		+2.67%
SENSEX	52793.62	-136.69
		-0.26%
FTSE 100*	7418.15	+184.81 +2.56%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	2.960	2.910
CND. 30 Year Bond	2.938	2.890
U.S.    10 Year Bond	2.9185	2.8479
U.S. 30 Year Bond	3.0786	3.0154

Currencies

BOC Close	Today	Previous
Canadian $	0.7739	0.7664
US $	1.2921	1.3048
Euro Rate 1 Euro=		Inverse
Canadian $	1.3448	0.7436
US $	1.0411	0.9605

Commodities

Gold	Close	Previous
London Gold Fix	1837.05	1851.95
Oil
WTI Crude Future	110.49	106.13

Canada
By Stefanie Marotta
(Bloomberg) — Canadian equities squashed a six-day losing streak that pummeled the index into a correction market.
The market made its biggest jump since 2020, led by technology and energy stocks as investors bet that central banks will take bigger rate hikes off the table.
The S&P/TSX Composite rose 2% at 20,099.81 in Toronto.
The move was the biggest since rising 2.1% on Feb. 1, 2021 and follows the previous session’s decrease of 0.7%.
Today, energy stocks led the market higher, as all sectors gained; 222 of 239 shares rose, while 17 fell.
Shopify Inc. contributed the most to the index gain, increasing 12.4%. Lightspeed Commerce Inc. had the largest increase, rising 31.3%.
Insights
* So far this week, the index fell 2.6%
* The index advanced 5% in the past 52 weeks. The MSCI AC Americas Index lost 3.6% in the same period
* The S&P/TSX Composite is 9.5% below its 52-week high on April 5, 2022 and 5.4% above its low on May 13, 2021
* S&P/TSX Composite is trading at a price-to-earnings ratio of 15.6 on a trailing basis and 12.5 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.9% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.15t
* 30-day price volatility rose to 19.12% compared with 17.83% in the previous session and the average of 13.86% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
* Energy | 106.2527| 3.0| 34/0
* Financials | 90.3931| 1.5| 27/1
* Information Technology | 74.3394| 7.1| 16/0
* Materials | 35.7034| 1.4| 43/9
* Industrials | 23.5326| 1.0| 27/3
* Consumer Discretionary | 20.9720| 3.3| 14/0
* Real Estate | 15.0237| 2.8| 23/0
* Communication Services | 12.0310| 1.2| 7/0
* Consumer Staples | 9.5895| 1.2| 10/1
* Utilities | 9.0300| 0.9| 13/3
* Health Care | 3.9005| 4.1| 8/0
================================================================
| | |Volume VS |
| Index | | 20D AVG |YTD Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
Shopify | 45.0300| 12.4| 12.9| -70.2
Canadian Natural | | | |
Resources | 28.5700| 4.7| -47.6| 47.1
Brookfield Asset | | | |
Management | 25.0900| 4.2| 19.9| -19.3
Barrick Gold | -1.5900| -0.5| 12.2| 9.7
Agnico Eagle Mines | -1.6880| -0.8| 9.4| -2.6
Canadian National | -8.9170| -1.5| 143.8| -8.0
US
By Rita Nazareth
(Bloomberg) — Stocks rallied at the end of a chaotic week in financial markets, with a little help from Federal Reserve Chair Jerome Powell’s reassurance that bigger rate hikes would be off the table for now even after the hot inflation readings of the past few days.
For a market plagued by fears that more aggressive monetary tightening could tip the economy into a recession, Powell’s remarks ended up soothing frayed nerves and sparking a rebound in beaten-down risk assets.
Despite the strong gains on Friday, many traders aren’t yet convinced that equities have reached a bottom after a selloff that shaved $10 trillion from US stock values in 18 weeks. Instead, they say investors should still brace for volatility as the Fed’s ability to fight price pressures without causing a hard landing may depend on factors outside the central bank’s control.
After sinking almost 20% from a record and flirting with a bear market, the S&P 500 saw a broad-based rally Friday. It still posted a sixth straight week of declines — the longest losing streak since June 2011. The Nasdaq 100 outperformed amid a rally in giants like Apple Inc., Microsoft Corp. and Amazon.com Inc. Meanwhile, Elon Musk caused chaos over his takeover offer for Twitter Inc., first claiming his bid was “temporarily on hold” and then maintaining he’s “still committed” to the deal — sending the social-media giant into a tailspin. Tesla Inc. jumped. Treasuries fell with the dollar.
Over the course of another tumultuous week for financial markets, some prominent voices on Wall Street pondered on the outlook for stocks after a powerful selloff. Peter Oppenheimer at Goldman Sachs Group Inc. said on Tuesday that the rout had created buying opportunities, with headwinds such as inflation and hawkish central banks already priced in.
Meantime, Morgan Stanley strategist Michael Wilson noted that equities were still “not priced for this slowdown in growth from current levels.”
There are five telltale indicators that are used to call a bottom in stocks, including spikes in the Cboe Volatility Index, puts substantially outnumbering calls and a dismal market sentiment, according to Lindsey Bell, chief markets and money strategist at Ally.
While the VIX has stayed near 30, past bear markets featured moves above 45. “A volatility climax is a signature of market bottoms,” she said.

Comments:
* “Much speculative froth has already been removed from the market,” wrote Mark Haefele, chief investment officer at UBS Global Wealth Management. “So, we advise against a hasty exit. Our central scenario is also that a recession will be avoided over the next 12 months. However, investors should continue to brace for high levels of volatility.”
* “We’ve certainly revalued the stock market in a big way,” Jim Paulsen, chief investment strategist at Leuthold Group, told Bloomberg Television and Radio. “Really great fear on Main Street, on Wall Street, combined with, I think, ongoing good fundamentals — including strong balance-sheets in the household sector, the corporate sector and the banking industry — I think that’s a ‘dynamite’ combination you have to buy on.”
* “Investor sentiment is at extreme levels and technical indicators are universally negative,” said Mark Hackett, chief of investment research at Nationwide. “This reflects the degree of pessimism embedded in the market, setting the stage for a bounce from oversold levels, which could be expected in the coming weeks.”
* “There was a sense of calm in the markets, but again without any fundamental news to suggest this is perhaps the bottom,” wrote Fawad Razaqzada, an analyst at City Index and FOREX.com. “Stocks have struggled to sustain any recovery attempts as traders have been quick to take profit on rebounds amid a bearish macro backdrop.” Expectations of a technical bounce in the S&P 500 are building after the gauge’s relentless slide of the past several weeks. One possible zone of support comes from a cluster of Fibonacci levels — which captures retracements of rallies in the American equity benchmark from 2020 Covid crash lows. Equities, bonds, cash and gold all saw outflows in the week ended May 11, Bank of America Corp. strategists led by Michael Hartnett wrote in a note, citing EPFR Global data. At $1.1 billion, technology stocks suffered their biggest withdrawals so far this year, second only to financials, which lost $2.6 billion. “The definition of true capitulation is investors selling what they love,” Hartnett said, citing assets like big tech, for example. “Fear and loathing suggest stocks are prone to an imminent bear-market rally, but we do not think ultimate lows have been reached.”
Stocks
* The S&P 500 rose 2.4% as of 4 p.m. New York time
* The Nasdaq 100 rose 3.7%
* The Dow Jones Industrial Average rose 1.5%
* The MSCI World index rose 2.3%
Currencies
* The Bloomberg Dollar Spot Index fell 0.3%
* The euro rose 0.2% to $1.0401
* The British pound rose 0.3% to $1.2241
* The Japanese yen fell 0.8% to 129.32 per dollar
Bonds
* The yield on 10-year Treasuries advanced nine basis points to 2.93%
* Germany’s 10-year yield advanced 11 basis points to 0.95%
* Britain’s 10-year yield advanced eight basis points to 1.74%
Commodities
* West Texas Intermediate crude rose 4% to $110.36 a barrel
* Gold futures fell 0.9% to $1,808.40 an ounce

–With assistance from Sunil Jagtiani, John Viljoen, Srinivasan Sivabalan, Vildana Hajric, Isabelle Lee and Akshay Chinchalkar.
Have a lovely evening everyone.

Jordan

Nothing is so firmly believed as that which we least know -Michel De Montaigne

Assistant to Carolann Steinhoff

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:
Carolann is away from the office today, I will be writing the newsletter on her behalf.  

PHOTOS OF THE DAY

A paratrooper of the Hungarian army’s 24th Gergely Bornemissza Scout Regiment leaps from an aircraft during a drill. The paratroopers made their jumps from heights of between 500 and 3,000 metres as a tribute to late Staff Sergeant Szabolcs Gál, a member of the Hungarian armed forces’ world champion parachute team, who died on Wednesday after a parachute accident at the end of April
CREDIT: Zsolt Czeglédi/EPA

Robbie Williams and Ed Godrich’s debut exhibition, Black and White Paintings, is installed at Sotheby’s
CREDIT: Tristan Fewings/Getty Images for Sotheby’s

A yacht sails across the North Sea under storm clouds
CREDIT:  Owen Humphreys/PA

Market Closes for May 12^th, 2022

Market Index	Close	Change
Dow Jones	31730.30	-103.81
		-0.33%
S&P 500	3930.08	-5.10
		-0.13%
NASDAQ	11370.96	+6.72 +0.06%
TSX	19699.05	-138.20
		-0.70%

 

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	25748.72	-464.92
		-1.77%
HANG SENG	19380.34	-444.23
		-2.24%
SENSEX	52930.31	-1158.08
		-2.14%
FTSE 100*	7233.34	-114.32 -1.56%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	2.910	3.003
CND. 30 Year Bond	2.890	2.954
U.S.    10 Year Bond	2.8479	2.9207
U.S. 30 Year Bond	3.0154	3.0456

Currencies

BOC Close	Today	Previous
Canadian $	0.7664	0.7698
US $	1.3048	1.2990
Euro Rate 1 Euro=		Inverse
Canadian $	1.3542	0.7385
US $	1.0379	0.9635

Commodities

Gold	Close	Previous
London Gold Fix	1851.95	1857.35
Oil
WTI Crude Future	106.13	105.71

Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite fell for the sixth day, dropping 0.7%, or 138.2 to 19,699.05 in Toronto. The index dropped to the lowest closing level since May 25, 2021.
Manulife Financial Corp. contributed the most to the index decline, decreasing 10.2%. Cascades Inc. had the largest drop, falling 23.0%.
Today, 144 of 239 shares fell, while 94 rose; 6 of 11 sectors were lower, led by financials stocks.
Insights
* So far this week, the index fell 4.5%, heading for the biggest decline since the week ended March 20
* The index advanced 3.1% in the past 52 weeks. The MSCI AC Americas Index lost 5% in the same period
* The S&P/TSX Composite is 11.3% below its 52-week high on April 5, 2022 and 3.3% above its low on May 13, 2021
* The S&P/TSX Composite is down 4.8% in the past 5 days and fell 9.3% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 15.5 on a trailing basis and 12.2 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.9% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.17t
* 30-day price volatility fell to 17.83% compared with 17.86% in the previous session and the average of 13.47% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | -98.8451| -1.6| 8/19
Materials | -79.8607| -3.1| 4/48
Energy | -26.3822| -0.7| 7/27
Communication Services | -7.0578| -0.7| 2/5
Utilities | -4.5161| -0.5| 2/14
Industrials | -3.5215| -0.2| 14/16
Health Care | 3.4648| 3.8| 5/3
Real Estate | 7.3499| 1.4| 20/3
Consumer Discretionary | 13.8099| 2.2| 12/2
Consumer Staples | 23.1801| 2.9| 10/1
Information Technology | 34.1943| 3.4| 10/6
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
Manulife Financial | -33.2600| -10.2| 139.8| -9.3
Brookfield Asset | | | |
Management | -17.1600| -2.8| 57.1| -22.5
Barrick Gold | -12.9700| -3.8| -16.1| 10.3
TC Energy | 7.5520| 1.6| -42.4| 20.6
Couche-Tard | 16.1700| 5.2| 50.6| 9.0
Shopify | 37.5200| 11.6| 41.2| -73.5
US
By Rita Nazareth
(Bloomberg) — Stocks rebounded sharply in the final hour of New York trading, with the S&P 500 almost wiping out a selloff that pushed it to the brink of a bear market earlier Thursday.
The turnaround came as Federal Reserve Bank of San Francisco President Mary Daly told Bloomberg News that a 75-basis-point increase in rates is “not a primary consideration, ”while adding that the US is in a strong place and should be able to withstand monetary tightening. For a market that’s been haunted by fears that restrictive Fed policy could cause a recession, those comments offered a degree of comfort at the end of a day marked by brutal volatility. Read: Powell Reiterates Half-Point Hikes Are Likely in June and July
The caution born from rising rates held firm on Thursday as data showed prices paid to US producers rose more than forecast in April, reinforcing bets the Fed will further tighten policy.
Treasuries rose with the dollar as investors sought haven assets.
The euro tumbled, the Swiss franc weakened to reach parity with the dollar for first time since 2019 and Hong Kong’s Monetary Authority intervened to defend its currency peg.
The Japanese yen — a traditional haven that, in an ironic twist, has not acted in that role so much of late — rallied.

Comments:
* “Right now, confidence is shaken among market participants and people are in no mood to take on risk,” wrote Fawad Razaqzada, an analyst at City Index and FOREX.com. “Even when we see periods of relative calm, it doesn’t last very long.”
* “It’s a really hard ride for retail investors, really hard,” said Craig W. Johnson, chief market technician at Piper Sandler.
* “Even though we should reach peak inflation soon, the issue of inflation is not going to subside enough to avoid stagflation from becoming a bigger problem,” said Matt Maley, chief market strategist at Miller Tabak + Co. “Therefore, any near-term bounce should be sold, even if that bounce lasts a couple of weeks.”

The Senate voted to confirm Jerome Powell for a second four-year term as Fed chairman on Thursday, trusting him to tackle the highest inflation to confront the country in decades.
The Fed began raising interest rates in March and says it will keep going until price pressures cool, seeking a soft landing that doesn’t crash the economy. But critics doubt the central bank can avoid a recession as it tightens monetary policy that had been eased dramatically during the pandemic.
US mortgage rates jumped again this week, extending a steep climb that is shutting some would-be homebuyers out of the market. The average for a 30-year loan was 5.3%, up from 5.27% last week and the highest since July 2009, Freddie Mac said Thursday.
Stocks
* The S&P 500 fell 0.1% as of 4 p.m. New York time
* The Nasdaq 100 fell 0.2%
* The Dow Jones Industrial Average fell 0.3%
* The MSCI World index fell 0.8%
Currencies
* The Bloomberg Dollar Spot Index rose 0.5%
* The euro fell 1.3% to $1.0373
* The British pound fell 0.5% to $1.2194
* The Japanese yen rose 1.2% to 128.43 per dollar
Bonds
* The yield on 10-year Treasuries declined five basis points to
2.87%
* Germany’s 10-year yield declined 15 basis points to 0.84%
* Britain’s 10-year yield declined 16 basis points to 1.66%
Commodities
* West Texas Intermediate crude rose 1% to $106.74 a barrel
* Gold futures fell 1.8% to $1,821.20 an ounce
–With assistance from Sunil Jagtiani, Andreea Papuc, Srinivasan Sivabalan, John Viljoen, Vildana Hajric, Isabelle Lee, Sagarika Jaisinghani and Ksenia Galouchko.
Have a lovely evening everyone.

Jordan

The brain is wider than the sky -Emily Dickinson, b. 1830

Assistant to Carolann Steinhoff

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:
1998: India set off three underground atomic blasts, its first nuclear tests in 24 years.  Go to article »

1997: IBM’s chess-playing computer Deep Blue defeats Garry Kasparov in the last game of a six-game match to claim a 3.5-2.5 victory (it won two games and had three draws) and it marks the first time a current world champion had lost a match to a computer under tournament conditions.

Salvador Dali, artist, b. 1904.
Martha Graham, dancer, b. 1894.
Irving Berlin, lyricist, b. 1888.
1862: Merrimac destroyed.

Passenger with no flying experience safely lands a plane after its pilot became incapacitated.  Impressive is an understatement. Check out this video and audio from the heart-racing ordeal. 

Balenciaga is selling destroyed sneakers for $1,850.  When you think of a luxury fashion house, these dirty and destroyed sneakers probably don’t come to mind. Has the trend gone too far?

A team of Chinese scientists has discovered a giant new sinkhole with a forest at its bottom.  The sinkhole is 630 feet (192 meters) deep, according to the Xinhua news agency, deep enough to just swallow St. Louis’ Gateway Arch. A team of speleologists and spelunkers rappelled into the sinkhole on Friday (May 6), discovering that there are three cave entrances in the chasm, as well as ancient trees 131 feet (40 m) tall, stretching their branches toward the sunlight that filters through the sinkhole entrance.  Full Story: Live Science (5/11) 

Russian soldiers have reportedly stolen gold Scythian artifacts dating back about 2,300 years from the Melitopol Museum of Local History in Ukraine. Additionally, there are reports that a museum staff member is currently being held by the Russian military.  The Scythians, culturally related groups of nomadic pastoralists and formidable warriors, thrived across Eurasia between roughly 800 B.C. and A.D. 300 and crafted many beautiful artifacts out of gold.
Full Story: Live Science (5/11) 

PHOTOS OF THE DAY

Laura Sharpe examines Florence Nightingale’s original lamp at the Florence Nightingale Museum, which re-opens to the public on Thursday on International Nurses’ Day and Florence’s 202nd birthday
CREDIT: Rex/Shutterstock

A group of women sing and dance to celebrate the birth of a child
CREDIT: Alexis Huguet/AFP/Getty Images

Performers dance near the Blue House compound, a day after it was opened to the public following a campaign promise by President Yoon Suk-yeol
CREDIT: Anthony Wallace/AFP/Getty Images

Market Closes for May 11^th, 2022

Market Index	Close	Change
Dow Jones	31834.11	-326.63
		-1.02%
S&P 500	3935.18	-65.87
		-1.65%
NASDAQ	11364.23	-373.44 -3.18%
TSX	19837.25	-52.81
		-0.27%

 

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	26213.64	+46.54
		+0.18%
HANG SENG	19824.57	+190.88
		+0.97%
SENSEX	54088.39	-276.46
		-0.51%
FTSE 100*	7347.66	+104.44 +1.44%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	3.003	3.004
CND. 30 Year Bond	2.954	2.972
U.S.    10 Year Bond	2.9207	2.9908
U.S. 30 Year Bond	3.0456	3.1231

Currencies

BOC Close	Today	Previous
Canadian $	0.7698	0.7675
US $	1.2990	1.3029
Euro Rate 1 Euro=		Inverse
Canadian $	1.3660	0.7320
US $	1.0516	0.9509

Commodities

Gold	Close	Previous
London Gold Fix	1857.35	1860.90
Oil
WTI Crude Future	105.71	99.76

Market Commentary:
On this day in 1861, as a sign of patriotic fellowship, the New York Stock Exchange banned all trading in Confederate stocks and bonds. However, members were still free to short-sell any Union securities they choose.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite fell for the fifth day, dropping 0.3%, or 52.81 to 19,837.25 in Toronto.
The index dropped to the lowest closing level since July 19.
Shopify Inc. contributed the most to the index decline, decreasing 5.2%.
Aurora Cannabis Inc. had the largest drop, falling 13.0%.
Today, 156 of 239 shares fell, while 79 rose; 9 of 11 sectors were lower, led by information technology stocks.
Insights
* The index advanced 2.9% in the past 52 weeks. The MSCI AC Americas Index lost 7% in the same period
* The S&P/TSX Composite is 10.7% below its 52-week high on April 5, 2022 and 4.1% above its low on May 13, 2021
* The S&P/TSX Composite is down 6.4% in the past 5 days and fell 9% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 15.6 on a trailing basis and 12.3 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.9% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.18t
* 30-day price volatility fell to 17.86% compared with 17.88% in the previous session and the average of 13.16% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
* Information Technology | -22.3412| -2.2| 1/15
* Consumer Discretionary | -15.9725| -2.5| 1/13
* Communication Services | -13.4995| -1.3| 0/7
* Consumer Staples | -12.0757| -1.5| 1/9
* Financials | -11.5611| -0.2| 9/19
* Industrials | -5.6653| -0.2| 8/22
* Utilities | -2.8904| -0.3| 9/7
* Real Estate | -1.7291| -0.3| 9/13
* Health Care | -1.0500| -1.1| 2/6
* Materials | 8.1679| 0.3| 17/33
* Energy | 25.8023| 0.7| 22/12
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
* Shopify | -17.6200| -5.2| 70.9| -76.2
* Brookfield Asset Management | -5.2190| -0.9| 30.2| -20.3
* BCE | -4.7490| -1.1| -37.2| 3.6
* TD Bank | 8.9060| 0.8| -45.1| -4.4
* Nutrien | 12.7300| 2.7| 11.0| 32.7
* Suncor Energy | 15.2700| 3.4| 14.3| 46.1

US
By Rita Nazareth
(Bloomberg) — Stocks slid after data showed that US inflation will remain high for quite some time, adding to concern the Federal Reserve may be forced to unleash further tightening measures that could tip the economy into a recession.
Remarks from Fed Bank of Atlanta President Raphael Bostic didn’t help sentiment either as the official said he’s open to “moving more” on rates if inflation persists at elevated levels.
The S&P 500 erased gains and dropped to its lowest since March 2021, while the tech-heavy Nasdaq 100 tumbled about 3% amid a rout in giants like Tesla Inc. and Apple Inc.
Small caps sank after a rally that approached 2% earlier in the day.
The Treasury curve flattened, with the gap between two- and 10-year yields narrowing nine basis points.
Investors seem to agree that a 75 basis-point hike isn’t likely, according to pricing in federal-fund futures markets.
But they did increase bets that the Fed will roll out another half-point hike in September — following increases of that size in June and July.
The US central bank hiked interest rates by a half-point last week and Fed Chair Jerome Powell signaled that similar rate increases are on the table for the next two meetings, while pushing back against making a larger move.
While annual measures of consumer prices cooled slightly from March — signaling a peak that economists expected – the details of a report Wednesday painted a more troubling picture as monthly figures advanced more than forecast.
Services costs accelerated while inflation for most goods remained stubbornly high, underscoring the persistence and breadth of price pressures.

Reaction to CPI:
* “Inflation appears to be entrenched within many areas of the economy and regardless if we have witnessed inflation peak, a persistently slow grind lower will be more problematic for the Fed to simultaneously cool inflation without tipping the economy into recession,” said Charlie Ripley, senior investment strategist at Allianz Investment Management.
* “Although the possibility of peak CPI being behind us remains on the table, the way back to acceptable levels still looks to be some distance away, both in terms of time and potential monetary tightening,” said Michael Shaoul, chief executive officer at Marketfield Asset Management.
* “This reading does not change the Fed’s path on policy, but extends the window for more market volatility ahead as clarity on inflation remains elusive,” said Cliff Hodge, chief investment officer at Cornerstone Wealth.
* “A moderating inflationary environment in the second half of the year means there will be less pressure on the Fed to combat inflationary pressures with aggressive monetary policies, which leaves open the possibility of a soft landing of the economy as opposed to the crash and burn that markets have been pricing in as of late,” said Peter Essele, head of portfolio management at Commonwealth Financial Network.
The rout in stocks isn’t over just yet, according to Morgan Stanley strategists, who see scope for equities to correct further amid mounting concerns of slowing growth.
Strategist Michael Wilson, who has long been a skeptic of the decade long  bull run in US stocks, said in a note that even after five weeks of declines, the S&P 500 is still mispriced for the current environment of the Fed tightening policy into slowing growth.
“We continue to believe that the US equity market is not priced for this slowdown in growth from current levels,” Wilson said in a note. “We expect equity volatility to remain elevated over the next 12 months.”
He recommends defensive positioning with an overweight in health-care, utilities and real-estate shares.
The S&P 500 may be at risk of further downside toward 3,600 points — down 10% from the Tuesday close — before reaching a historically important technical support level.
The 200-week moving average since 1986 has seen the US benchmark bounce back during all major bear markets, except for the tech bubble and the global financial crisis.
Here are key events to watch this week:
* San Francisco Fed President Mary Daly speaks, Thursday
* US PPI, initial jobless claims, Thursday
* University of Michigan consumer sentiment, Friday

Some of the main moves in markets:
Stocks
* The S&P 500 fell 1.6% as of 4 p.m. New York time
* The Nasdaq 100 fell 3.1%
* The Dow Jones Industrial Average fell 1%
* The MSCI World index fell 0.9%
Currencies
* The Bloomberg Dollar Spot Index was little changed
* The euro fell 0.1% to $1.0516
* The British pound fell 0.6% to $1.2243
* The Japanese yen rose 0.4% to 129.95 per dollar
Bonds
* The yield on 10-year Treasuries declined eight basis points to 2.91%
* Germany’s 10-year yield declined one basis point to 0.99%
* Britain’s 10-year yield declined two basis points to 1.83%
Commodities
* West Texas Intermediate crude rose 5.4% to $105.13 a barrel
* Gold futures rose 0.6% to $1,852.50 an ounce
–With assistance from Sunil Jagtiani, Andreea Papuc, John Viljoen, Srinivasan Sivabalan, Peyton Forte, Michael Msika and Cecile Gutscher.
Have a lovely evening everyone.

Be magnificent!
As ever,

Carolann

Measure wealth not by the things you have, but by the thins you have for which you would not take money. -Dave Ramsey, b.1960.

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 May 10, 1869, a golden spike was driven at Promontory, Utah, marking the completion of the first transcontinental railroad in the United States.  Go to article »
1994: Nelson Mandela sworn in as South Africa’s first black president.
Bono, singer, b. 1960.
Fred Astaire, dancer, b. 1899.

Warhol portrait fetches a record $195 million.  Going, going, gone! One of Andy Warhol’s most recognizable works just became the most expensive 20th-century artwork ever sold at auction.

Tony Awards nominations announced. Bravo! These Broadway productions received the most nods this year.

Top 10 hotels in the world and the US for 2022, according to TripAdvisor – the world’s best hotels. 

Tips from the ultimate traveller.

Archaeologists have discovered the oldest structure ever found in the United Arab Emirates (UAE) — the remains of a building that may be 8,500 years old.

The structure, which dates to the Neolithic period, was found by archaeologists on the island of Ghagha off Abu Dhabi.  Full Story: Live Science (5/9) 

Ads are coming for your Netflix account.
PHOTOS OF THE DAY

A Christie’s auctioneer claps after ending the auction of Shot Sage Blue Marilyn by Andy Warhol, which sold for $170m (£140m) during a sale of works from the collection of Thomas and Doris Ammann
CREDIT: Sarah Yenesel/EPA

Prince Charles sits on the throne, the imperial state crown at his side, for the state opening of parliament
CREDIT: Dan Kitwood/AFP/Getty Images

Four-month-old spectacled bear cub twins play in their enclosure at Noah’s Ark zoo farm in Clevedon, where the Andean bears, the only bear species native to South America, are slowly venturing from their cubbing den to spend more time outdoors with their mother
CREDIT: Ben Birchall/PA

Market Closes for May 10^th, 2022

Market Index	Close	Change
Dow Jones	32160.74	-84.96
		-0.26%
S&P 500	4001.05	+9.81
		+0.25%
NASDAQ	11737.67	+114.42 +0.98%
TSX	19890.06	-109.63
		-0.55%

 

 

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	26167.10	-152.24
		-0.58%
HANG SENG	19633.69	-368.27
		-1.84%
SENSEX	54364.85	-105.82
		-0.19%
FTSE 100*	7243.22	+26.64 +0.37%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	3.004	3.021
CND. 30 Year Bond	2.972	2.977
U.S.    10 Year Bond	2.9908	3.0338
U.S. 30 Year Bond	3.1231	3.1504

Currencies

BOC Close	Today	Previous
Canadian $	0.7675	0.7684
US $	1.3029	1.3014
Euro Rate 1 Euro=		Inverse
Canadian $	1.3719	0.7289
US $	1.0530	0.9497

Commodities

Gold	Close	Previous
London Gold Fix	1860.90	1882.35
Oil
WTI Crude Future	99.76	103.09

Market Commentary:
The stock market is a device for transferring money from the impatient to the patient. -Warren Buffet, b. 1930.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite fell for the fourth day, dropping 0.5%, or 109.63 to 19,890.06 in Toronto.
The index dropped to the lowest closing level since July 19.
Today, financials stocks led the market lower, as 10 of 11 sectors lost; 159 of 239 shares fell, while 77 rose.
Royal Bank of Canada contributed the most to the index decline, decreasing 1.1%.
Bausch Health Cos. had the largest drop, falling 27.1%.
Insights
* The index advanced 2.7% in the past 52 weeks. The MSCI AC Americas Index lost 6.2% in the same period
* The S&P/TSX Composite is 10.5% below its 52-week high on April 5, 2022 and 4.3% above its low on May 13, 2021
* The S&P/TSX Composite is down 4.9% in the past 5 days and fell 9.1% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 15.8 on a trailing basis and 12.4 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.9% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.2t
* 30-day price volatility fell to 17.88% compared with 18.05% in the previous session and the average of 12.94% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
* Financials | -32.3448| -0.5| 5/22
* Energy | -13.2526| -0.4| 14/20
* Materials | -13.0624| -0.5| 13/39
* Information Technology | -11.6612| -1.1| 6/10
* Industrials | -10.8274| -0.5| 9/21
* Health Care | -9.5281| -9.3| 2/6
* Communication Services | -7.0116| -0.7| 2/5
* Real Estate | -4.6411| -0.9| 9/14
* Consumer Staples | -4.2236| -0.5| 2/8
* Utilities | -4.2211| -0.4| 6/9
* Consumer Discretionary | 1.1400| 0.2| 9/5
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
* Royal Bank of Canada | -13.2900| -1.1| -9.1| -5.9
* Bausch Health | -8.9980| -27.1| 153.1| -65.0
* Canadian Pacific | -8.6280| -1.5| 85.5| -2.6
* Ritchie Bros | 6.1630| 12.2| 231.7| -3.9
* Nutrien | 7.4280| 1.6| 17.8| 29.2
* Brookfield Asset Management | 11.3400| 1.9| 34.2| -19.6

US
By Rita Nazareth
(Bloomberg) — Stocks closed higher in another session marked by several twists and turns, with investors trying to make sense of comments from a multitude of Federal Reserve speakers ahead of key US inflation data on Wednesday.
The S&P 500 bounced back after a selloff that erased $9 trillion from the US equity market this year, while the tech- heavy Nasdaq 100 outperformed following the biggest three-day wipeout in two decades.
Treasury 10-year yields fell.
Oil settled below $100 a barrel, shedding almost 10% in two days.
Investors awaited the consumer-price index report, which is expected to show that while pressures were still elevated, inflation likely moderated in April.
“Positioning in the market is obviously very light right now and liquidity remains very challenged, so it won’t take much to move things a lot,” said Scott Ladner, chief investment officer at Horizon Investments. “I’d probably attribute this move mostly to position squaring ahead of CPI tomorrow. People don’t want to be short ahead of what is widely seen as a likely soft CPI print and a resulting squeeze higher.”
Fed officials reinforced Chair Jerome Powell’s message that half-point hikes are on the table in June and July, but a larger move could be warranted later in the year.
Cleveland Fed President Loretta Mester told Bloomberg Television that “we don’t rule out 75 forever.”
Her New York peer John Williams expects the central bank “will move expeditiously in bringing the federal funds rate back to more normal levels this year.”
Fed Governor Christopher Waller said a strong US economy can take higher rates.
More comments:
* “A market bounce after a big selloff is not uncommon,” said Lindsey Bell, chief markets and money strategist at Ally. “But it doesn’t mean we are out of the woods. And it doesn’t necessarily mean we’ve reached a bottom in the market. Investors are looking for some level of clarity on the path forward.”
* “Stocks will likely find a bottom when the Federal Reserve signals a pause in its tightening campaign, inflation shows signs of moderation or stock multiples become very attractive,” wrote Richard Saperstein, chief investment officer at Treasury Partners.
* “Despite our expectation of falling inflation and sustained growth, we believe investors should brace for further equity volatility amid significant moves in key economic variables and bond markets,” wrote Mark Haefele, chief investment officer at UBS Global Wealth Management.
* “Equities are starting to look attractive for medium-to-longer term buyers,” Peter Oppenheimer, chief global equity strategist at Goldman Sachs Group Inc., told Bloomberg Television on Tuesday. While the downside risks still lurk, “all of that really is absorbed into the market already.”

In corporate news, Peloton Interactive Inc. reported a deeper loss than analysts predicted and cut its revenue guidance, marking the latest setbacks for the once pandemic darling.
Prologis Inc., the giant warehouse owner, unveiled a roughly $24 billion all-stock offer to acquire Duke Realty Corp., taking its bid public after months of private pushback from the Indianapolis-based real estate investment trust. 
Here are key events to watch this week:
* US CPI, Wednesday
* EIA crude oil inventory report, Wednesday
* San Francisco Fed President Mary Daly speaks, Thursday
* US PPI, initial jobless claims, Thursday
* University of Michigan consumer sentiment, Friday

Some of the main moves in markets:
Stocks
* The S&P 500 rose 0.2% as of 4 p.m. New York time
* The Nasdaq 100 rose 1.3%
* The Dow Jones Industrial Average fell 0.3%
* The MSCI World index was little changed
Currencies
* The Bloomberg Dollar Spot Index rose 0.1%
* The euro fell 0.3% to $1.0534
* The British pound fell 0.1% to $1.2318
* The Japanese yen was little changed at 130.37 per dollar
Bonds
* The yield on 10-year Treasuries declined four basis points to  2.99%
* Germany’s 10-year yield declined nine basis points to 1.00%
* Britain’s 10-year yield declined 11 basis points to 1.85%
Commodities
* West Texas Intermediate crude fell 3.3% to $99.65 a barrel
* Gold futures fell 1.2% to $1,837.10 an ounce
–With assistance from Sunil Jagtiani, John Viljoen, Srinivasan Sivabalan, Vildana Hajric, Isabelle Lee, Lu Wang and Peyton Forte.

Have a lovely evening.

Be magnificent!

As ever,

Carolann

Nowhere can man find a quieter or more untroubled retreat than in his own soul. –Marcus Aurelius, 121 AD-180 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

Dear Friends,

Tangents:
May 9, 1974: A concert in Cambridge, Mass., prompted rock critic Jon Landau to write, “I saw rock and roll future and it’s name is Bruce Springsteen.” Go to article »

Billy Joel, singer/songwriter, b. 1949.
What Trader Joe saw that everyone else missed.  Check out the brief origin story of the popular grocery store empire. 

‘Doctor Strange’ conjures big box office opening for Marvel.  Don’t worry, no spoilers here. Just big news that the film has already made $450 million worldwide in a few days.

HBO released its latest trailer for the ‘Game of Thrones’ prequel. It’s the trailer that fans have waited so patiently for… House Targaryen is back and coming to your screens in August. 

The newish Dutch city of Almere could be the city of the future.

Archaeologists have uncovered the ruins of a dwelling that was built up to 800 years ago during the Aztec Empire in the Centro neighborhood of Mexico City, Mexico, during works to modernize the area.

The centuries-old abode was discovered by archaeologists and construction workers ahead of an initiative to update electrical power substations.  Full Story: Live Science (5/6) 

You can watch a lunar eclipse turn the Flower Moon red on May 15 or 16, depending on your location, and it’s even broadcast online in case you can’t see it in person.

This is going to be the first of only two lunar eclipses in 2022, and the only one visible to people in North America this year, so be sure not to miss what happens when the new moon passes
into Earth’s shadow.  Full Story: Live Science (5/9) 
PHOTOS OF THE DAY

Children take part in the Royal May Day procession. The festival made its return after a two-year break owing to the Covid-19 pandemic, the only time it has been missed since its start in 1864, other than the two world wars. Over 600 children dress in colourful costumes and characters as they walk through the town. The Knutsford event is one of the most famous May Day events still celebrated in the UK
CREDIT: Martin Rickett/PA

Fans enjoy themselves in the paddock area at the Kentucky Derby at Churchill Downs
CREDIT: Andy Lyons/Getty Images

A woman arrives at a registration and processing area for internally displaced people in Zaporizhzhia after leaving Russian occupied territory.
CREDIT: Dimitar Dilkoff/AFP/Getty Images

Market Closes for May 9^th, 2022

Market Index	Close	Change
Dow Jones	32245.70	-653.67
		-1.99%
S&P 500	3991.24	-132.10
		-3.20%
NASDAQ	11623.25	-521.41 -4.29%
TSX	19999.69	-633.60
		-3.07%

 

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	26319.34	-684.22
		-2.53%
HANG SENG	20001.96	-791.44
		-3.81%
SENSEX	54470.67	-364.91
		-0.67%
FTSE 100*	7216.58	-171.36 -2.32%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	3.021	3.127
CND. 30 Year Bond	2.977	3.051
U.S.    10 Year Bond	3.0338	3.1364
U.S. 30 Year Bond	3.1504	3.2310

Currencies

BOC Close	Today	Previous
Canadian $	0.7684	0.7747
US $	1.3014	1.2908
Euro Rate 1 Euro=		Inverse
Canadian $	1.3744	0.7276
US $	1.0561	0.9469

Commodities

Gold	Close	Previous
London Gold Fix	1882.35	1892.30
Oil
WTI Crude Future	103.09	109.77

Market Commentary:
On this day in 1894, Benjamin Grossbaum was born in London, to a homemaker and an importer of Austrian china. His family later changed its surname to Graham, and he became the founder of securities analysis and value investing.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite fell for the third day, dropping 3.1%, or 633.6 to 19,999.69 in Toronto.
The move was the biggest since falling 4.1% on June 11, 2020.
Today, energy stocks led the market lower, as 10 of 11 sectors lost; 211 of 239 shares fell, while 26 rose.
Nutrien Ltd. contributed the most to the index decline, decreasing 9.6%. Bausch Health Cos. had the largest drop, falling 18.9%.
Insights
* The index advanced 2.7% in the past 52 weeks. The MSCI AC Americas Index lost 7.3% in the same period
* The S&P/TSX Composite is 10% below its 52-week high on April 5, 2022 and 4.9% above its low on May 13, 2021
* The S&P/TSX Composite is down 3.3% in the past 5 days and fell 8.6% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 15.9 on a trailing basis and 12.5 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.9% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.3t
* 30-day price volatility rose to 18.05% compared with 15.84% in the previous session and the average of 12.69% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
* Energy | -209.2148| -5.5| 0/34
* Materials | -154.4281| -5.6| 3/47
* Financials | -81.4684| -1.3| 2/26
* Industrials | -74.4052| -3.2| 4/26
* Information Technology| -55.1094| -5.0| 1/15
* Communication Services| -17.6050| -1.6| 2/5
* Real Estate | -16.1450| -2.9| 0/23
* Consumer Discretionary| -15.2800| -2.3| 1/13
* Health Care | -10.6775| -9.4| 1/7
* Utilities | -2.5794| -0.3| 6/10
* Consumer Staples | 3.3173| 0.4| 6/5
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
* Nutrien | -48.6200| -9.6| 15.0| 27.1
* Canadian Natural Resources | -47.1900| -7.2| -22.3| 42.5
* Shopify | -34.2300| -9.0| 22.1| -74.6
* BCE | 2.9370| 0.7| 39.8| 6.3
* Fortis | 3.3620| 1.6| 25.9| 4.8
* Loblaw | 4.9660| 4.0| 42.8| 12.1

US
By Rita Nazareth
(Bloomberg) — Stocks tumbled to a 13-month low in a widespread selloff amid concern about the Federal Reserve’s ability to tame inflationary spirals without throwing the economy into a recession.
The slide in the S&P 500 topped 3%, while the Treasury curve steepened, with the gap between five- and 30-year rates hitting the widest since March.
Investors are increasingly worried about the limits to Fed policy at a time when supply-chain disruptions pose a significant threat to inflation amid a ravaging war in Ukraine and China’s Covid lockdowns.
Data Monday showed U.S. consumers project prices in three years to be higher compared with a month ago — a troubling sign for officials trying to keep longer-term expectations anchored.
Pandemic-era stars bore the brunt of the selling, with Cathie Wood’s flagship exchange-traded fund sinking about 10% and an ETF tracking newly public companies down the most since the onset of the pandemic.
Bitcoin slipped below $32,000, falling more than 50% from its all-time high.
The rout also spread to energy producers, easily the market’s strongest sector in 2022.
The group plunged over 8% as crude slid.
Big tech was not spared, with the likes of Tesla Inc., Amazon.com Inc. and Nvidia Corp. off by at least 5%.
The Cboe Volatility Index spiked to its highest in two months.
Traders will be closely watching a host of central bank speakers this week after Chair Jerome Powell on Wednesday played down the option of 75 basis-point rate hike.
Fed Bank of Atlanta President Raphael Bostic told Bloomberg Television he favors policy makers continuing to raise rates by half-point increments rather than doing anything larger.
In a later interview with Reuters broadcast on Twitter, Bostic added that while he saw low odds for a 75-basis-point hike in the next several months, he’s “not taking anything off the table.”
The April consumer-price index report on Wednesday is the highlight of an otherwise quiet week for economic releases.
Inflation is projected to have moderated on both a monthly and annual basis, partly reflecting a dip in gasoline prices that have since picked back up.
While inflation likely peaked in March at 8.5%, the hottest in four decades, price pressures are expected to remain elevated, keeping Fed officials on track to steadily lift borrowing costs in the months ahead.
High inflation readings, a slowing economy and aggressive tightening by the Fed to rein in soaring prices have weighed on risk appetite and valuations.
Even if an outright recession is avoided, the outlook for U.S. stocks isn’t particularly bright, according to Goldman Sachs Group Inc. strategists.
“Swings will remain large until the path of inflation is clarified,” strategists led by David Kostin wrote in a note to clients, adding that “tightening financial conditions and poor market liquidity make it difficult to argue for a short-term
rally similar in size to the one in late March.”
More comments:
* “The big question is if inflation can head below 3% without the Fed causing a recession,” wrote Dennis DeBusschere, founder of 22V Research. “Until that question is answered, financial conditions are biased tighter, and markets will struggle despite oversold conditions.”
* “Sentiment is bearish, but not at capitulation levels, market liquidity is poor which leads to greater volatility, and investors are pulling money out of equity and bond funds rather than putting it in,” wrote Solita Marcelli, chief investment officer Americas at UBS Global Wealth Management. “These technical factors can dominate economic news over a few weeks or couple of months, and it will probably take that long for inflation improvement to become apparent.”

Here are key events to watch this week:
* Cleveland Fed President Loretta Mester, Atlanta Fed President Raphael Bostic, New York Fed President John Williams, Fed Governor Christopher Waller speak, Tuesday
* Atlanta Fed President Raphael Bostic speaks, Wednesday
* U.S. CPI, Wednesday
* EIA crude oil inventory report, Wednesday
* San Francisco Fed President Mary Daly speaks, Thursday
* U.S. PPI, initial jobless claims, Thursday
* University of Michigan consumer sentiment, Friday

Some of the main moves in markets:
Stocks
* The S&P 500 fell 3.2% as of 4 p.m. New York time
* The Nasdaq 100 fell 4%
* The Dow Jones Industrial Average fell 2%
* The MSCI World index fell 3.1%
Currencies
* The Bloomberg Dollar Spot Index rose 0.3%
* The euro was little changed at $1.0559
* The British pound fell 0.1% to $1.2333
* The Japanese yen rose 0.3% to 130.22 per dollar
Bonds
* The yield on 10-year Treasuries declined 10 basis points to 3.03%
* Germany’s 10-year yield declined four basis points to 1.09%
* Britain’s 10-year yield declined four basis points to 1.96%
Commodities
* West Texas Intermediate crude fell 6.8% to $102.28 a barrel
* Gold futures fell 1.6% to $1,852.70 an ounce
–With assistance from Sunil Jagtiani, Srinivasan Sivabalan, John Viljoen and Vildana Hajric.

Have a lovely evening

Be magnificent!
As ever,

Carolann
The superior man, in dealing with the world, is not for anything or against anything.  He follows righteousness as the standard. -Confucius, 551 BC-479 BC.

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. 

May 6, 1527: Sack of Rome.
1955: West Germany joins NATO.
On May 6, 1937, the hydrogen-filled German dirigible Hindenburg burned and crashed in Lakehurst, N.J., killing 36 of the 97 people on board.  Go to article »
2004: The final episode of the television sitcom Friends aired and was watched by more than 52 million viewers.

Sigmund Freud, founder of psychoanalysis, b. 1856.
Orson Welles, actor/director, b.1915.
George Clooney, b. 1961.

Passenger opens emergency exit and walks on wing of plane at Chicago airport.  Another crazy airport story. Can we all just fly in peace? 

See priest’s reaction when 7-year-old chugs first communion wine.  Is it Happy Hour? Check out the funny viral video here.

A weak solar storm could brush past Earth on Saturday (May 7), potentially leading to minor radio blackouts, the National Oceanic and Atmospheric Administration (NOAA) reported in a new space weather forecast.  Continuing a months-long spate of heightened activity, the sun is currently crackling with powerful solar flares, which are often accompanied by giant explosions of plasma known as coronal mass ejections (CMEs). When CMEs pass over Earth, they can temporarily compress our planet’s magnetic shield, resulting in geomagnetic storms that can knock out power grids, muddle radio waves and damage satellites in their path.
Full Story: Live Science (5/6) 
 

Happy Mother’s Day for Sunday to all the Moms out there.
The First Mother’s Day – Proclamation: Mother’s Peace Day, May 8^th.  “Arise, then women of this day!  Arise all women who have hearts, whether your baptism be that of water or tears!  Say firmly:  ‘We will not have great questions decided by irrelevant agencies.  Our husbands shall not come to us, reeking with carnage, for caresses and applause.  Our sons shall not be taken from us to unlearn all that we have taught them of charity, mercy and patience.  We women of one country will be too tender to those of another country to allow our sons to be trained to injure theirs.’  From the bosom of the devastated earth, a voice goes up with our own.  It says, ‘Disarm, Disarm!’  The sword of murder is not the balance of justice.  Blood does not wipe out dishonor, nor violence indicate possession.  As men have often forsaken the plow and the anvil at he summons of war, let women now leave all that may be left of home for a great and earnest day of counsel.  Let them meet first, as women, to bewail and commemorate the dead.  Let them solemnly take counsel with each other as to the means whereby the great human family can live in peace, each bearing after his own time the sacred impress, not of Caesars but of God.
  In the name of womanhood and of humanity, I earnestly ask that a general congress of women without limit of nationality be appointed and held at some place deemed most convenient and at the earliest period consistent with its objects, to promote the alliance of the different nationalities, the amicable settlement of international questions, the great and general  interests of peace.” – Julia Ward Howe, 1870.
Julia Ward Howe was born May 27, 1819, in New York City.   A passionate defender of equal rights, she wrote the Battle Hymn of the Republic and was the first woman elected to the American Academy of Arts and Letters.  This proclamation marked the day Howe organized to encourage mothers worldwide to rally for peace.  It is important to remember that Mother’s Day began as a day to celebrate peace, before it was hijacked by commercial interests, especially this Mother’s Day.

PHOTOS OF THE DAY

Alla hugs her son Savelii near the grave of Ihor Krotkih, her husband, in Irpin. Krotkih was killed during the Russian occupation of the city. His older son Vladsylav and his brother Yurii were badly injured in the battle as they tried to evacuate him. The practice of visiting relatives’ graves the week after orthodox Easter, a tradition referred to as hrobki or provody, held added poignancy as the country mourned the civilians and soldiers lost to the war with Russia.
CREDIT: Alexey Furman/Getty Images

Natalia Pototska, with her grandson Matviy, at a centre for displaced people in Zaporizhzhia.
CREDIT:  Evgeniy Maloletka/AP

Two women visit the grave of fallen soldier Rostyslav Dumansky, who was killed on 16 March, at the Lychakiv cemetery reserved for fallen soldiers from the Russian invasion.
CREDIT: Leon Neal/Getty Images

Market Closes for May 6^th, 2022

Market Index	Close	Change
Dow Jones	32899.37	-98.60
		-0.30%
S&P 500	4123.34	-23.53
		-0.57%
NASDAQ	12144.66	-173.03 -1.40%
TSX	20633.28	-62.89
		-0.30%

 

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	27003.56	+185.03
		+0.69%
HANG SENG	20001.96	-791.44
		-3.81%
SENSEX	54835.58	-866.65
		-1.56%
FTSE 100*	7387.94	-115.33 -1.54%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	3.127	3.023
CND. 30 Year Bond	3.051	2.955
U.S.    10 Year Bond	3.1364	3.0365
U.S. 30 Year Bond	3.2310	3.1192

Currencies

BOC Close	Today	Previous
Canadian $	0.7747	0.7790
US $	1.2908	1.2837
Euro Rate 1 Euro=		Inverse
Canadian $	1.3611	0.7347
US $	1.0544	0.9484

Commodities

Gold	Close	Previous
London Gold Fix	1892.30	1863.65
Oil
WTI Crude Future	109.77	108.26

Market Commentary:
On this day in 1929, just in time to lure investors into the worst stock decline in modern history, the Luxembourg Stock Exchange opened for trading. As a special favor to his subjects, the Grand Duke of Luxembourg structured the stock exchange as a stock corporation owned 20% by members of the public
Canada
By Stefanie Marotta
(Bloomberg) — Canadian equities slumped for a second straight day as technology stocks fell to their lowest point in two years as Shopify continued its tumble.
The S&P/TSX Composite dropped 0.3%, or 62.89, to 20,633.28 in Toronto.
The index dropped to the lowest closing level since Jan. 27.
Shopify Inc. contributed the most to the index decline and had the largest move, decreasing 8.2%.
Today, 160 of 239 shares fell, while 79 rose; 8 of 11 sectors were lower, led by information-technology stocks.
Insights
* The index fell 0.6% this week
* The index advanced 7% in the past 52 weeks. The MSCI AC Americas Index lost 3.3% in the same period
* The S&P/TSX Composite is 7.1% below its 52-week high on April 5, 2022 and 8.2% above its low on May 13, 2021
* S&P/TSX Composite is trading at a price-to-earnings ratio of 16.7 on a trailing basis and 12.9 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.8% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.31t
* 30-day price volatility fell to 15.84% compared with 15.92% in the previous session and the average of 12.28% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
* Information Technology | -36.1802| -3.2| 4/12
* Financials | -29.9713| -0.5| 6/22
* Materials | -18.7578| -0.7| 13/39
* Industrials | -9.1298| -0.4| 11/19
* Real Estate | -5.9729| -1.1| 3/20
* Consumer Discretionary | -5.2289| -0.8| 5/9
* Health Care | -2.5843| -2.2| 2/6
* Consumer Staples | -1.9847| -0.2| 2/9
* Communication Services | 7.8341| 0.7| 4/3
* Utilities | 8.5960| 0.9| 13/3
* Energy | 30.5039| 0.8| 16/18
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
* Shopify | -34.1400| -8.2| 44.5| -72.1
* Canadian National | -8.1700| -1.3| 99.8| -3.5
* Brookfield Asset Management | -7.4270| -1.2| 39.7| -18.3
* TC Energy | 6.5400| 1.4| -19.8| 21.4
* Pembina Pipeline | 6.6170| 3.6| 0.7| 32.3
* Enbridge | 17.2700| 2.2| 107.1| 18.3

US
By Rita Nazareth
(Bloomberg) — Volatility continued to dominate financial markets, with stocks pushing lower as the latest U.S. jobs data cemented expectations the Federal Reserve will remain on its rate-hike path to combat stubbornly high inflation.
At the end of a week marked by fickle trading, quick reversals and heightened anxiety, the S&P 500 failed to stay in the green and fell to its lowest level in about a year.
The gauge posted its fifth straight weekly drop — the longest losing streak since June 2011.
The tech-heavy Nasdaq 100 underperformed.
Treasury 10-year yields remained above 3%, while the dollar rose.
Gasoline futures in New York settled at a record high.
“The markets have been on a roller-coaster ride,” said Lindsey Bell, chief markets and money strategist at Ally. “There is a significant amount of uncertainty. A key question for many investors is how big of a hurdle a quickly rising interest-rate environment is going to be for stocks to overcome.”
The long-awaited jobs report showed U.S. hiring advanced at a robust pace in April, yet a smaller labor force may increase pressure on employers to boost wages even more to bring workers back.
That dynamic will likely complicate the Fed’s fight to tame decades-high inflation, as central bankers work to bring labor demand in line with supply.
Fed Bank of Richmond President Thomas Barkin said he would not take anything off the table in the central bank’s fight to curb inflation, including raising interest rates by 75 basis points — an option downplayed
by Chair Jerome Powell.

More comments:
* “Investors just can’t confidently buy stocks as too much uncertainty persists with what will happen with global growth and how far the Fed will take tightening beyond the summer,” wrote Ed Moya, senior market analyst at Oanda.
* “No big surprises from today’s jobs report — it largely confirms that the labor market remains tight, affording the Fed the flexibility to tackle its price stability mandate head-on,” said Jason Pride, chief investment officer of private wealth at Glenmede.
Some of the main moves in markets:
Stocks
* The S&P 500 fell 0.6% as of 4 p.m. New York time
* The Nasdaq 100 fell 1.2%
* The Dow Jones Industrial Average fell 0.3%
* The MSCI World index fell 1%
Currencies
* The Bloomberg Dollar Spot Index rose 0.2%
* The euro was little changed at $1.0547
* The British pound fell 0.2% to $1.2342
* The Japanese yen fell 0.3% to 130.54 per dollar
Bonds
* The yield on 10-year Treasuries advanced eight basis points to 3.12%
* Germany’s 10-year yield advanced nine basis points to 1.13%
* Britain’s 10-year yield advanced three basis points to 2.00%
Commodities
* West Texas Intermediate crude rose 2.1% to $110.49 a barrel
* Gold futures rose 0.3% to $1,881.60 an ounce
–With assistance from Sunil Jagtiani, Cecile Gutscher, Denitsa Tsekova, Vildana Hajric, Isabelle Lee and Emily Graffeo

Have a wonderful weekend everyone.

Be magnificent!

As ever,

Carolann

Sometimes I wonder if the world is being run by smart people who are putting us on or by imbeciles who really mean it.  Mark Twain -1835-1910.

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: CINCO DE MAYO
On May 5, 1961, astronaut Alan B. Shepard Jr. became America’s first space traveler as he made a 15-minute suborbital flight in a capsule launched from Cape Canaveral, Fla.  Go to article »

2021: US President Joe Biden announces the US will support temporarily lifting patent protection on COVID-19 vaccines with he WHO, siding after holding our against international efforts to bolster production and allowing drugmakers globally access amid concerns about vaccine access in developing nations.

Karl Marx, communist, b. 1818,
Soren Kierkegaard, philosopher, b. 1813.

Oligarchs are desperately moving their mega-yachts around the world.

Behold, a 2,000-year-old postcard.

A key ocean current is at its weakest in 1,000 years.

This story has everything: Tinder, a crypto scam, murder.
PHOTOS OF THE DAY

A 1911 tiny copy of the Bible is displayed at Leeds city library. The replica of a so-called Chained Bible is not much bigger than a £1 coin but contains both testaments printed on 876 gossamer-thin India paper pages, which can only be read with a magnifying glass. Librarians are unsure as to its origins as it only resurfaced when the library decided to do a comprehensive survey during lockdown closures
CREDIT: Danny Lawson/PA

A brood of goslings follow their mother on the lake in Sefton park
CREDIT: Peter Byrne/PA

Pallbearers from the 2nd Battalion, Royal Regiment of Scotland carry the coffin of Pte William Johnston, of the 7th Battalion, Royal Scots Fusiliers, during a reburial service at Loos British cemetery. An engraving on a spoon found alongside Johnston, a soldier in the first world war, enabled the Commonwealth War Graves Commission and the Ministry of Defence Joint Casualty and Compassionate Centre to identify his remains
CREDIT: Virginia Mayo/AP

Market Closes for May 5^th, 2022

Market Index	Close	Change
Dow Jones	32997.97	-1063.09
		-3.12%
S&P 500	4146.87	-153.30
		-3.57%
NASDAQ	12317.69	-647.17 -4.99%
TSX	20696.17	-488.78
		-2.31%

 

 

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	26818.53	-29.37
		-0.11%
HANG SENG	20793.40	-76.12
		-0.36%
SENSEX	55702.23	+33.20
		+0.06%
FTSE 100*	7503.27	+9.82 +0.13%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	3.023	2.923
CND. 30 Year Bond	2.955	2.872
U.S.    10 Year Bond	3.0365	2.9344
U.S. 30 Year Bond	3.1192	3.0345

Currencies

BOC Close	Today	Previous
Canadian $	0.7790	0.7848
US $	1.2837	1.2742
Euro Rate 1 Euro=		Inverse
Canadian $	1.3533	0.7389
US $	1.0543	0.9485

Commodities

Gold	Close	Previous
London Gold Fix	1863.65	1869.70
Oil
WTI Crude Future	108.26	107.81

Market Commentary
On this day in 1850, the National Bank of Belgium was founded as a public limited-liability company. Its shares are still publicly traded—making it one of the world’s only central banks you can own a piece of.
Canada
By Stefanie Marotta
(Bloomberg) — Canadian equities tumbled in their biggest drop in five months amid a broad sell-off in North American markets.
The technology sector plunged to a two-year low as Shopify tumbled after reporting worse-than-expected earnings and a softer outlook for the year. The S&P/TSX Composite fell 2.3% at 20,696.17 in Toronto.
Today, financials stocks led the market lower, as all sectors lost; 223 of 239 shares fell, while 15 rose.
Shopify Inc. contributed the most to the index decline and had the largest move, decreasing 14.3%.
Insights
* In the past year, the index had a similar or greater loss once
* So far this week, the index fell 0.3%
* The index advanced 7.2% in the past 52 weeks. The MSCI AC Americas Index lost 2% in the same period
* The S&P/TSX Composite is 6.8% below its 52-week high on April 5, 2022 and 8.6% above its low on May 13, 2021
* The S&P/TSX Composite is down 2% in the past 5 days and fell 5.6% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 16.9 on a trailing basis and 13 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.8% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.38t
* 30-day price volatility rose to 15.92% compared with 14.48% in the previous session and the average of 12.09% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
* Financials | -123.4560| -1.9| 0/28
* Information Technology| -99.8251| -8.1| 0/16
* Materials | -85.3086| -3.0| 0/52
* Industrials | -64.4349| -2.7| 3/27
* Energy | -47.1988| -1.2| 2/32
* Consumer Discretionary| -21.3462| -3.1| 1/12
* Consumer Staples | -16.5011| -2.0| 2/9
* Real Estate | -12.6013| -2.2| 0/23
* Communication Services| -8.2416| -0.8| 1/6
* Health Care | -7.3509| -6.0| 0/8
* Utilities | -2.5351| -0.3| 6/10
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
* Shopify | -69.4900| -14.3| 62.8| -69.6
* Brookfield Asset Management | -29.1100| -4.4| 20.4| -17.3
* Royal Bank of Canada | -22.2800| -1.7| -16.7| -2.9
* Cenovus Energy | 1.4730| 0.7| 50.1| 66.8
* Fortis | 2.1220| 1.1| -0.8| 1.0
* Tourmaline Oil | 3.1730| 2.1| 97.4| 83.3

US
By Rita Nazareth
(Bloomberg) — The stock surge that followed the Federal Reserve decision proved short lived ahead of Friday’s jobs report, with traders worried that officials could struggle to fight inflation amid the threat of a recession.
Just a day after notching the biggest rally in two years, the S&P 500 tumbled, with more than 95% of its companies moving lower.
The Nasdaq 100 suffered one of its sharpest U-turns ever.
The tech benchmark plunged about 5%, wiping out its post-Fed gains.
A selloff in long-end Treasuries pushed the 10-year yield above 3%. The dollar climbed.
Doubts that policy makers can arrest runaway prices rocked markets, with the prospect of stagflation unsettling investors.
By pushing back on a jumbo-hike of 75 basis points in June, Fed Chair Jerome Powell beat back traders’ most-aggressive predictions.
However, it’s still a bumpy road ahead, with pivotal economic data and global developments that could seed doubts about the central bank’s approach.
Friday’s jobs reading is expected to show solid payroll growth and wages holding at exceptionally high levels — remaining an enduring source of inflationary pressures. 
Comments:
* “I expected some selloff, but the great puking that’s happening, I didn’t expect,” said Kim Forrest, founder and chief investment officer at Bokeh Capital Partners. “Is this capitulation? I remember what capitulation feels like — this
kind of feels like capitulation, when everything, even the good names, are getting barfed out.”
* “It’s going to be incredibly difficult for the Fed to normalize interest rates without having a negative impact on growth and earnings,” said Paul Nolte, portfolio manager at Kingsview Investment Management. “So stock prices are too high if we’re going to see a flattening or a decline in earnings per share.”
* “Make no mistake, the Fed is in the early stages of what we believe will be a very aggressive tightening cycle,” wrote Win Thin, global head of currency strategy at Brown Brothers Harriman.
The swing higher in longer-dated yields certainly matters for the broader economic picture as they influence borrowing costs.
Mortgage rates in the U.S. resumed their upward jump, reaching the highest level since August 2009.
Separate data Thursday showed that productivity dropped in the first quarter by the most since 1947 as the economy shrank, while labor costs surged and illustrated an extremely tight job market.

Corporate Highlights:
* Shares of e-commerce companies from Etsy Inc. to Shopify Inc. tumbled after weaker-than-expected quarterly earnings and forecasts deepened concern that the pace of online shopping has slowed.
* eBay Inc. gave a lackluster sales and profit outlook for the current quarter, accelerating its decline from the peaks reached when shoppers were stuck at home during the pandemic.
* Elon Musk has secured about $7.1 billion of new financing commitments, including from billionaire Larry Ellison, a Saudi Prince, and Sequoia Capital, to help fund his proposed $44 billion takeover of Twitter Inc.
Elsewhere, the pound slumped as investors looked past the Bank of England’s rate increase and turned their focus on forecasts for a recession in 2023.
BOE Governor Andrew Bailey said the U.K. economy is already slowing because of a squeeze on consumer spending power, and that will help reduce inflation next year.

Key events this week:
* U.S. April jobs report, Friday

Some of the main moves in markets:
Stocks
* The S&P 500 fell 3.6% as of 4 p.m. New York time
* The Nasdaq 100 fell 5.1%
* The Dow Jones Industrial Average fell 3.1%
* The MSCI World index fell 2.6%
Currencies
* The Bloomberg Dollar Spot Index rose 0.9%
* The euro fell 0.7% to $1.0548
* The British pound fell 2.1% to $1.2366
* The Japanese yen fell 0.7% to 130.04 per dollar
Bonds
* The yield on 10-year Treasuries advanced nine basis points to 3.03%
* Germany’s 10-year yield advanced seven basis points to 1.04%
* Britain’s 10-year yield was little changed at 1.96%
Commodities
* West Texas Intermediate crude rose 0.4% to $108.29 a barrel
* Gold futures rose 0.5% to $1,877.90 an ounce
–With assistance from Andreea Papuc, Cecile Gutscher, Denitsa Tsekova, John Viljoen, Vildana Hajric, Isabelle Lee and Peyton Forte.
Have a lovely evening.

Be magnificent!
As ever,

Carolann

Change is the law of life.  And those who look only to the past or the present are certain to miss the future. –John F. Kennedy, 1917-1963.

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:
1959: the first Grammy Awards were presented, and the winners included Frank Sinatra, Ella Fitzgerald, and the Kingston Trio.

On May 4, 1970, Ohio National Guardsmen opened fire on anti-war protesters at Kent State University, killing four students and wounding nine others.  Go to article »

Stay at the Moulin Rouge.  The famous Parisian nightclub is partnering with Airbnb to give a handful of guests a “once in a lifetime” opportunity. 

Lets talk about cooking burnout.  We all have a go-to easy recipe when we don’t feel like cooking… If some of your dishes are overplayed, check out these “good enough” strategies. 

May the 4th be with you: 7 wild ‘Star Wars’ technologies scientist are building right now.   A long time ago, in a galaxy far, far away, technology was way cooler than it is in our reality: Commercial spaceships bending space-time to cross galaxies in seconds; autonomous androids capable of translating any language on the fly, or leaving a battlefield in ruin; deadly swords of plasma that fit comfortably under your bathrobe.  These classic “Star Wars” technologies have captured imaginations for decades — and some of them are finally coming to fruition.  Here are seven futuristic Star Wars technologies that could soon become a reality.  Full Story: Live Science (5/3) 

Archaeologists in Alabama have discovered the longest known painting created by early Indigenous Americans, a new study finds. Indigenous Americans crafted this 1,000-year-old record-breaking image — of a 10-foot-long (3 meters) rattlesnake — as well as other paintings, out of mud on the walls and ceiling of a cave, likely to depict spirits of the underworld, the researchers said.  Archaeologists in Alabama have discovered the longest known painting created by early Indigenous Americans, a new study finds. Indigenous Americans crafted this 1,000-year-old record-breaking image — of a 10-foot-long (3 meters) rattlesnake — as well as other paintings, out of mud on the walls and ceiling of a cave, likely to depict spirits of the underworld, the researchers said.  Full Story: Live Science (5/3) 

PHOTOS OF THE DAY

Union flags are hung outside Buckingham Palace in preparation for the Queen’s platinum jubilee
CREDIT:  Dan Kitwood/Getty Images

A person sits on the Kadikoy dock bench in the rain, on the second day of the Eid al-Fitr festival
CREDIT: Onur Dogman/Sopa Images/Rex/Shutterstock

Teenagers read plaques on Memorial Day at Mount Herzl military cemetery
CREDIT: Ronen Zvulun/Reuters

Market Closes for May 4^th, 2022

Market Index	Close	Change
Dow Jones	34061.06	+932.27
		+2.81%
S&P 500	4300.17	+124.69
		+2.99%
NASDAQ	12964.86	+401.10 +3.19%
TSX	21184.95	+279.67
		+1.34%

 

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	26818.53	-29.37
		-0.11%
HANG SENG	20869.52	-232.37
		-1.10%
SENSEX	55669.03	-1306.96
		-2.29%
FTSE 100*	7493.45	-67.88 -0.90%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	2.923	2.958
CND. 30 Year Bond	2.872	2.875
U.S.    10 Year Bond	2.9344	2.9712
U.S. 30 Year Bond	3.0345	3.0088

Currencies

BOC Close	Today	Previous
Canadian $	0.7848	0.7789
US $	1.2742	1.2839
Euro Rate 1 Euro=		Inverse
Canadian $	1.3539	0.7386
US $	1.0625	0.9412

Commodities

Gold	Close	Previous
London Gold Fix	1869.70	1911.30
Oil
WTI Crude Future	107.81	102.41

Market Commentary:
On this day in 1979, the first modern leveraged buyout using high-yield junk bonds—a $381 million deal to take Houdaille Industries private—was completed by Kohlberg, Kravis, Roberts. Over the next six years, Houdaille produced a 33.9% average annual return for KKR’s institutional investors.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose for the second day, climbing 1.3%, or 279.67 to 21,184.95 in Toronto.
The index advanced to the highest closing level since April 22.
Canadian National Railway Co. contributed the most to the index gain, increasing 3.1%.
Paramount Resources Ltd. had the largest increase, rising 12.0%.
Today, 207 of 239 shares rose, while 29 fell; all sectors were higher, led by energy stocks.
Insights
* In the past year, the index had a similar or greater gain seven times. The next day, it advanced four times for an average 0.5% and declined three times for an average 0.9%
* The index advanced 10% in the past 52 weeks. The MSCI AC Americas Index gained 1.9% in the same period
* The S&P/TSX Composite is 4.6% below its 52-week high on April 5, 2022 and 11.2% above its low on May 4, 2021
* The S&P/TSX Composite is up 2.1% in the past 5 days and fell 4.1% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 17.4 on a trailing basis and 13.3 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.7% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.34t
* 30-day price volatility rose to 14.48% compared with 13.84% in the previous session and the average of 11.91% over the past month
================================================================
|Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
* Energy | 87.7029| 2.3| 32/2
* Financials | 67.4106| 1.0| 24/4
* Materials | 47.1175| 1.7| 46/5
* Industrials | 38.1498| 1.6| 26/4
* Information Technology | 15.8103| 1.3| 12/4
* Real Estate | 9.3122| 1.7| 22/0
* Utilities | 8.2158| 0.8| 14/2
* Communication Services | 3.8524| 0.4| 4/2
* Health Care | 1.1911| 1.0| 7/1
* Consumer Discretionary | 0.9106| 0.1| 11/3
* Consumer Staples | 0.0091| 0.0| 9/2
================================================================
| | |Volume VS | YTD
| Index | | 20D AVG | Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
* Canadian National | 19.1600| 3.1| 126.0| 0.6
* Canadian Pacific | 17.8300| 3.0| 28.0| 5.2
* Enbridge | 17.1300| 2.2| 9.3| 16.4
* Restaurant Brands | -3.4240| -2.3| 212.2| -9.8
* Constellation Software | -5.0790| -1.8| 24.2| -13.9
* Waste Connections | -8.8930| -2.9| 106.9| -3.1

US
By Rita Nazareth
(Bloomberg) — Stocks rallied the most since May 2020 and Treasury yields fell after Federal Reserve Chair Jerome Powell eased concern the central bank will embark on a more aggressive pace of tightening after delivering its steepest rate increase in two decades.
Traders pared their bets on a bigger June hike after Powell said there was “a broad sense on the committee that additional 50 basis-point increases should be on the table for the next couple of meetings.”
He also dashed speculation that the Fed was weighing an even larger hike of 75 basis points in the months ahead, saying that it is “not something that the committee is actively considering.”
The dollar had its largest decline in two months.
The Federal Open Market Committee voted unanimously to increase the benchmark rate by a half percentage point.
It will begin allowing its holdings of Treasuries and mortgage-backed securities to decline in June at an initial combined monthly pace of $47.5 billion, stepping up over three months to $95 billion.
Comments: 
* “This is what it sounds like when doves FLY!” wrote Cliff Hodge, chief investment officer at Cornerstone Wealth. “The key takeaway from the press conference for the markets is that 75 basis points is off the table. The Fed is also optimistic that inflation will ‘flatten out’ over the coming months.”
* “Hiking rates at 50 basis points per meeting is fairly benign considering that market expectations are already priced in. What matters more is where the direction of inflation is headed once the lagging Fed policy has caught up,” said Charlie Ripley, senior investment strategist at Allianz Investment Management.
* “Signaling a series of 50bp moves might be the compromise against doing 75bps in one meeting,” said Neil Dutta, head of economics at Renaissance Macro Research, who noted that the markets had been priced for “peak hawkishness.”
Before the Fed decision, JPMorgan Chase & Co.’s chief Jamie Dimon said the U.S. central bank should have raised rates sooner as price pressures hit the global economy. Treasury Secretary Janet Yellen sees a possible “soft landing” as the Fed moves to bring down inflation. “I do believe we’re going to see solid growth in the coming year,” she said in an interview at a Wall Street Journal event on Wednesday. 
Corporate highlights:
* Lyft Inc. and Uber Technologies Inc. reported quarterly results that pointed to strong demand for rides, but failed to reassure Wall Street that a driver shortage that’s cost the companies hundreds of millions of dollars in bonuses was abating.
* Moderna Inc. reported revenue that beat expectations, but said its Covid vaccine purchase orders for 2022 were unchanged from what it reported three months ago.
* Marriott International Inc.’s earnings topped expectations as avid vacationers bid up room rates, advancing the lodging recovery.

Key events this week: 
* Bank of England rate decision and briefing, Thursday
* OPEC+ convenes virtually for a regular meeting, Thursday
* U.S. April jobs report, Friday

Some of the main moves in markets:
Stocks
* The S&P 500 rose 3% as of 4 p.m. New York time
* The Nasdaq 100 rose 3.4%
* The Dow Jones Industrial Average rose 2.8%
* The MSCI World index rose 1.9%
Currencies
* The Bloomberg Dollar Spot Index fell 0.9%
* The euro rose 0.8% to $1.0608
* The British pound rose 0.9% to $1.2616
* The Japanese yen rose 0.7% to 129.17 per dollar
Bonds
* The yield on 10-year Treasuries declined five basis points to 2.92%
* Germany’s 10-year yield was little changed at 0.97%
* Britain’s 10-year yield was little changed at 1.97%
Commodities
* West Texas Intermediate crude rose 5.4% to $107.95 a barrel
* Gold futures rose 0.7% to $1,884.30 an ounce
–With assistance from Andreea Papuc, Abigail Moses, Vildana Hajric, Isabelle Lee and Peyton Forte.

Have a lovely evening.

Be magnificent!
As ever,

Carolann

Yesterday’s home runs don’t win today’s games. –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:
1670 The Hudson Bay Co. was chartered by England’s King Charles II.   Go to article »

1971: National Public Radio’s first news broadcast.
Niccolò Machiavelli, b. 1469.

Tiny crystals unearthed in South Africa contain evidence of a sudden transition on the planet’s surface 3.8 billion years ago.  These crystals, each no bigger than a grain of sand, show that around that time, Earth’s crust broke up and began moving — a precursor to the process known as plate tectonics.  Full Story: Live Science (4/30) 

An Astro photographer captured a beautiful picture of two planets aligned in the sky above Rome — and a little rain didn’t stop him.   Gianluca Masi spotted Venus and Jupiter hiding behind a thin cloud shortly after scuttling a planned livestream of the conjunction Sunday (May 1) on his astronomy broadcast service, the Virtual Telescope Project.  Full Story: Live Science (5/2) 

Here’s what stars wore at the Met Gala.  Some celebrities embraced the “Gilded Glamour” theme, but others marched to the beat of their own drum — because why not? Fashion has no limits!

Jackie Robinson All-Star Game bat sells for $1.08 million.  The seven-figure price tag places the bat among the most expensive pieces of sports memorabilia. Legendary! 

Inside the space hotel scheduled to open in 2025.  Have you heard the buzz about the space hotel? Yes, it’s happening. And yes, the room rates will likely be astronomical. 

A CNN story helped a former refugee find the mystery woman who gave her $100 on a plane decades ago.  Some people enter your life at the right time and right place. This is one of those beautiful instances.

PHOTOS OF THE DAY

Part of the construction site of a tourist train project in the Yucatán peninsula. Work was halted by a district judge pending resolution of an injunction sought by environmentalists
CREDIT: Pedro Pardo/AFP/Getty Images

Theary Seng, a US-Cambodian lawyer and activist who is facing treason and incitement charges, poses in front of Phnom Penh municipal court before her hearing
CREDIT: Tang Chhin Sothy/AFP/Getty Images

A man plays with his daughter after offering Eid al-Fitr prayers at Jama Masjid
CREDIT: Naveen Sharma/Sopa Images/Rex/Shutterstock

Market Closes for May 3^rd, 2022

Market Index	Close	Change
Dow Jones	33128.79	+67.29
		+0.20%
S&P 500	4175.48	+20.10
		+0.20%
NASDAQ	12563.76	+27.74 +0.22%
TSX	20905.28	+213.06
		+1.03%

 

 

 

 

 

 

 

 

 

 

 

International Markets

Market Index	Close	Change
NIKKEI	26818.53	-29.37
		-0.11%
HANG SENG	21101.89	+12.50
		+0.06%
SENSEX	56975.99	-84.88
		-0.15%
FTSE 100*	7561.33	+16.78 +0.22%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	2.958	2.942
CND. 30 Year Bond	2.875	2.865
U.S.    10 Year Bond	2.9712	2.9807
U.S. 30 Year Bond	3.0088	3.0327

Currencies

BOC Close	Today	Previous
Canadian $	0.7789	0.7764
US $	1.2839	1.2880
Euro Rate 1 Euro=		Inverse
Canadian $	1.3508	0.7403
US $	1.0522	0.9504

Commodities

Gold	Close	Previous
London Gold Fix	1911.30	1888.50
Oil
WTI Crude Future	102.41	105.17

Market Commentary:
On this day in in 1999, the Dow closes above 11,000 for the first time. It was just 24 trading days after breaking the 10,000 mark, the shortest interval on record between 1,000-point milestones. 
Canada
By Geoffrey Morgan
(Bloomberg) — Natural resources stocks surged and led a 1% rise for Canada’s S&P/TSX Composite index to 20,905.28 in Toronto, snapping a two-day losing streak.
Nutrien Ltd. contributed the most to the index gain, increasing 6.0%.
SSR Mining Inc. had the largest percentage increase, rising 7.5%.
On Tuesday, 159 of 239 shares rose, while 79 fell; 6 of 11 sectors were higher, led by energy and materials stocks.
Insights
* In the past year, the index had a similar or greater gain 18  times. The next day, it advanced 11 times for an average 0.6% and declined seven times for an average 0.6%
* The index advanced 8.8% in the past 52 weeks. The MSCI AC Americas Index lost 1.8% in the same period
* The S&P/TSX Composite is 5.9% below its 52-week high on April 5, 2022 and 9.7% above its low on May 4, 2021
* The S&P/TSX Composite is up 1% in the past 5 days and fell 4.8% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 17.2 on a trailing basis and 13.1 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.7% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.31t
* 30-day price volatility rose to 13.84% compared with 13.41% in the previous session and the average of 11.79% over the past month
================================================================
|Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
* Energy | 94.9414| 2.6| 34/0
* Materials | 62.7132| 2.3| 47/5
* Financials | 58.7637| 0.9| 24/4
* Information Technology | 15.3417| 1.3| 7/9
* Communication Services | 2.3716| 0.2| 4/3
* Real Estate | 0.7562| 0.1| 12/10
* Health Care | -1.3630| -1.1| 1/7
* Consumer Discretionary | -3.4250| -0.5| 9/5
* Industrials | -4.1527| -0.2| 13/17
* Utilities | -4.7470| -0.5| 5/11
* Consumer Staples | -8.1326| -1.0| 3/8
================================================================
| | |Volume VS |
| Index | | 20D AVG |YTD Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
* Nutrien | 29.0700| 6.0| 55.0| 42.5
* Canadian Natural Resources | 24.9600| 4.0| -36.9| 53.2
* TD Bank | 12.5400| 1.1| -51.2| -3.4
* Loblaw | -2.7640| -2.1| 23.6| 10.0
* Intact Financial | -3.8370| -1.8| 20.9| 6.5
* Restaurant Brands | -5.4020| -3.5| 111.2| -7.7

US
By Rita Nazareth
(Bloomberg) — Stocks faced another volatile session, with traders awaiting more clues on whether the Federal Reserve will be able to pull off a soft landing that brings down inflation without triggering a recession.
After several twists and turns, the S&P 500 closed higher, led by gains in economically sensitive shares like commodity producers and banks. Small caps also climbed, while technology companies underperformed.
Treasury 10-year yields stabilized amid speculation that the worst of the bond-market selloff may be over even though the Fed’s monetary-policy tightening is only just getting underway.
The dollar fell.
Markets have whipsawed amid concerns about persistent inflationary spirals and risks to global growth from rising yields.
Fed Chair Jerome Powell and his colleagues are expected to raise rates by 50 basis points Wednesday and signal they’re on track to lift them to around 2.5% by the end of the year.
It’s not clear, though, if that’ll be enough to tame inflation, which is running above the central bank’s target.
The Fed will have to boost rates to as much as 5% just as the world faces a “perfect storm” of potential recessions in the U.S., European Union and China, former International Monetary Fund chief economist Kenneth Rogoff said. Bond markets will continue to face pressures from inflation and tighter monetary policy, making stocks a better bet during this stage of the economic cycle, Pacific Investment Management Co. noted in its May asset-allocation outlook.

Comments:
* “The 50-basis-point hike is baked in the cake. We see less than 10% chance of a 75-basis point hike,” said Leo Grohowski, chief investment officer for BNY Mellon Wealth Management, adding that traders will be closely watching any clues from Powell on “whether or not 75 basis points could be in the cards for the June meeting.”
* “Because the market has priced in a 50-basis-point rate hike at the Federal Reserve’s May meeting, the focus will immediately shift to just how many half-point hikes the Fed expects to initiate over the balance of 2022,” wrote Danielle DiMartino zBooth, chief executive officer of Quill Intelligence. “Powell’s greatest folly would be to insist that the economy is very strong in the face of overwhelming evidence that it is slowing and slowing fast.”
* “Clearly there’s just a great deal of volatility,” said Mark Hamilton, chief investment officer at Hirtle Callaghan & Co. “The biggest risk possibly really going on into next year is this question of: ‘Does the Fed tighten at the same time as other forces are causing the economy to weaken, and does that lead to a recession?”’  After the close of regular trading:
* Starbucks Corp. reported profit and comparable sales that missed analysts’ estimates in its latest quarter, signaling that interim Chief Executive Officer Howard Schultz has a difficult road ahead of him as inflation and China’s Covid measures hurt the coffee giant’s performance.
* Advanced Micro Devices Inc. gave a strong sales forecast for the current quarter, indicating that it continues to win in its most lucrative market: data-center chips.
* Airbnb Inc. gave a forecast for revenue in the current quarter that easily surpassed Wall Street’s estimates as the company sees “substantial demand” for travel heading into the busy summer season.
* Lyft Inc. reported first-quarter revenue that beat analysts’ estimates, but recorded fewer-than-expected riders.

Key events this week:
* Fed rate decision, briefing with Chair Jerome Powell, Wednesday
* EIA crude oil inventory report, Wednesday
* Bank of England rate decision and briefing, Thursday
* OPEC+ convenes virtually for a regular meeting, Thursday
* U.S. April jobs report, Friday

Some of the main moves in markets:
Stocks
* The S&P 500 rose 0.5% as of 4 p.m. New York time
* The Nasdaq 100 rose 0.1%
* The Dow Jones Industrial Average rose 0.2%
* The MSCI World index rose 0.4%
Currencies
* The Bloomberg Dollar Spot Index fell 0.3%
* The euro rose 0.2% to $1.0526
* The British pound was little changed at $1.2497
* The Japanese yen was little changed at 130.12 per dollar
Bonds
* The yield on 10-year Treasuries was little changed at 2.97%
* Germany’s 10-year yield was little changed at 0.96%
* Britain’s 10-year yield advanced five basis points to 1.96%
Commodities
* West Texas Intermediate crude fell 2.2% to $102.89 a barrel
* Gold futures rose 0.1% to $1,866 an ounce
–With assistance from Andreea Papuc, Abigail Moses, Vildana Hajric and Isabelle Lee.
Have a lovely evening.

Be magnificent!

As ever,

Carolann

Remember that failure is an event, not a person. -Zig Ziglar, 1926-2012.

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