Month: September 2022

Dear Friends,

Tangents: Happy Friday.
September 16, 1620: Mayflower Day – pilgrims deported from England.  They set sail for America, where they founded Plymouth, Massachusetts, after 41 men, including William Bradford and Myles Standish, signed the Mayflower Compact.
1810: Mexican Independence Day.
1908: General Motors was formed in Flint, Mich., by William Durant. Go to article »

Oktoberfest is back, but the beer’s dear.

You have to wake up very early to have a day like Ferris Bueller …

Michael Jordan’s ‘Last Dance’ jersey fetches a record $10.1 million.  The record sale price now makes it the most expensive basketball jersey ever to sell at auction.

France unveils high-speed trains of the future.  This swanky new train, operating at a maximum speed of nearly 220 mph, will premiere on the Paris rail network next year.

Blazing comet tail is whipped by solar winds in astonishing astronomy photo:  An ethereal image of Comet Leonard traveling against the solar wind has taken the top prize in the Royal Observatory Greenwich’s Astronomy Photographer of the Year contest.  Austrian photographer Gerald Rhemann caught the view of the comet and its sweeping tail on Christmas Day, 2021 from Namibia. Rhemann’s image reveals a ghostly veil of gas from the comet being caught and swept away by solar wind.  Full Story: Live Science (9/16)
PHOTOS OF THE DAY

People queue to visit the Palace of Westminster, where the body of Queen Elizabeth II is lying in state
Photograph: Carl Court/Getty Images

Fireworks light up the sky in celebration of the 212th anniversary of the independence of Mexico.
Photograph: Arturo Hernández/NurPhoto/Rex/Shutterstock

​​​​​​​Life returns to ground burnt during the recent wildfires in south-west France
Photograph: Philippe Lopez/AFP/Getty Images
Market Closes for September 16, 2022

Market Index	Close	Change
Dow Jones	30822.42	-139.40
		-0.45%
S&P 500	3873.33	-28.02
		-0.72%
NASDAQ	11448.40	-103.96
		-0.90%
TSX	19385.88	-174.28
		-0.89%

International Markets

Market Index	Close	Change
NIKKEI	27567.65	-308.26
		-1.11%
HANG SENG	18761.69	-168.69
		-0.89%
SENSEX	58840.79	-1093.22
		-1.82%
FTSE 100*	7236.68	-45.39
		-0.62%

Bonds

Bonds		% Yield		Previous % Yield
CND. 10 Year Bond		3.139		3.150
CND. 30 Year Bond		3.072		3.048
U.S.    10 Year Bond		3.4494		3.4451
U.S. 30 Year Bond		3.5131		3.4707

Currencies

BOC Close	Today	Previous
Canadian $	0.7537	0.7559
US $	1.3268	1.3229
Euro Rate 1 Euro=		Inverse
Canadian $	1.3288	0.7526
US  $	1.0014	0.9986

Commodities

Gold	Close	Previous
London Gold Fix	1689.10	1703.90
Oil
WTI Crude Future	85.11	85.10

Market Commentary:
On this day in 1920, a bomb went off outside of J.P. Morgan’s Wall Street headquarters. A horse-drawn wagon exploded, killing more than 30 and injuring hundreds. The case was never solved.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite fell for the second day, dropping 0.9%, or 174.28 to 19,385.88 in Toronto.
The index dropped to the lowest closing level since Sept. 7.
Shopify Inc. contributed the most to the index decline, decreasing 5.9%.
Cargojet Inc. had the largest drop, falling 7.7%.
Today, 163 of 237 shares fell, while 73 rose; 9 of 11 sectors were lower, led by energy stocks.
Insights
* This year, the index fell 8.7%, heading for the worst year since 2018
* This quarter, the index rose 2.8%
* So far this week, the index fell 2%
* The index declined 5.9% in the past 52 weeks. The MSCI AC Americas Index lost 15% in the same period
* The S&P/TSX Composite is 12.7% below its 52-week high on April 5, 2022 and 6.7% above its low on July 14, 2022
* S&P/TSX Composite is trading at a price-to-earnings ratio of 13.1 on a trailing basis and 12 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.2% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.12t
* 30-day price volatility rose to 15.17% compared with 14.96% in the previous session and the average of 13.62% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Energy | -50.7944| -1.4| 6/32
Industrials | -46.6491| -1.9| 3/25
Financials | -44.9794| -0.7| 2/27
Information Technology | -30.3578| -2.9| 1/13
Materials | -5.0030| -0.2| 27/23
Real Estate | -2.7153| -0.5| 8/15
Utilities | -2.2737| -0.2| 7/9
Health Care | -2.1140| -2.8| 2/5
Consumer Discretionary | -2.0645| -0.3| 4/9
Consumer Staples | 4.4314| 0.5| 6/5
Communication Services | 8.2401| 0.9| 7/0
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
Shopify | -20.7800| -5.9| 107.6| -75.8
Canadian Pacific | -18.7800| -2.9| 310.8| 7.0
RBC | -14.2600| -1.1| 175.8| -5.8
Agnico Eagle Mines | 3.1730| 1.9| 43.9| -17.7
Barrick Gold | 3.9250| 1.6| 14.6| -15.5
BCE | 4.4550| 1.2| 102.4| -5.3
US
By Stephen Kirkland
(Bloomberg) — Stocks fell, capping the worst week since the market hit its low for the year in June, as FedEx Corp.’s warning added to growing concern over outsized Federal Reserve interest-rate hikes.
The S&P 500 fell for a third day this week, down close to 5% for the period.
Dip buyers emerged in afternoon trading, with gains in some big tech names including Nvidia Corp. and Intel Corp.
FedEx plunged more than 20% after the package-delivery giant withdrew its earnings forecast, citing weakening business conditions.
Equity markets took an abrupt pivot lower this week after hotter-than-expected inflation data spurred traders to ratchet up wagers for rate hikes and sparked the worst one-day stock selloff in two years.
Since then swaps continue to price in a 75 basis-point hike when the Fed meets next week — with some wagers leaning toward a full point — and policy-sensitive two-year yields have climbed this week to the highest level since 2007, deepening the curve inversion that’s seen as a recession signal.
“The US is probably at the gate of a recession of an unknown depth — equities see it as very limited, credit markets as contained while the 2-10 slope expects a more dire situation,” said Florian Ielpo, head of macro research at Lombard Odier Asset Management. “A significant layer of macro uncertainty now dominates markets.”
On the technical side, the S&P 500’s pivot below a key Fibonacci retracement of June-August rally has Win Thin, head of currency strategy at Brown Brothers Harriman, suggesting stocks could revisit June lows.
“It really reflects the ongoing repricing of risk assets in a world of tighter and tighter liquidity,” he said. “Equities, EM, risk all benefited from years of zero interest rates and now we are seeing the other side of that trade.”
FedEx’s warning comes as companies across industries start to paint a grimmer picture of the economy.
Bank of America Corp.’s Michael Hartnett said an earnings recession will likely drive US stocks to new lows, well below current levels.
Traders briefly priced the Fed’s key policy rate peaking at 4.5% in March this week as the central bank escalates its effort to contain inflation.
That expected peak was up by a full percentage point since the Fed’s last policy meeting in July.
A gauge of dollar strength was little changed, with greenback trading mixed against major peers.
A University of Michigan survey showed inflation expectations dipped, with consumers expecting prices will climb at an annual rate of 2.8% over the next five to 10 years, the lowest since July 2021, according to the survey.
They see costs rising 4.6% over the next year, the lowest since last September.
Europe’s benchmark share gauge fell for a fourth day of losses, with mail and parcel delivery companies taking a hit after FedEx’s warning.
The UK’s benchmark outperformed as the British pound sank to its weakest level against the dollar since 1985. 
Some of the main moves in markets:
Stocks
* The S&P 500 fell 0.7% as of 4 p.m. New York time
* The Nasdaq 100 fell 0.6%
* The Dow Jones Industrial Average fell 0.5%
* The MSCI World index fell 1%
Currencies
* The Bloomberg Dollar Spot Index was little changed
* The euro rose 0.1% to $1.0013
* The British pound fell 0.4% to $1.1424
* The Japanese yen rose 0.4% to 142.91 per dollar
Bonds
* The yield on 10-year Treasuries was little changed at 3.45%
* Germany’s 10-year yield declined one basis point to 1.76%
* Britain’s 10-year yield declined three basis points to 3.14%
Commodities
* West Texas Intermediate crude rose 0.2% to $85.30 a barrel
* Gold futures rose 0.4% to $1,683.80 an ounce
–With assistance from Matthew Burgess, Robert Brand, Isabelle Lee and Emily Graffeo.
Have a lovely weekend everyone.

Be magnificent!

As ever,

Carolann

Heaven will solve our problems, but not, I think, by showing us subtle reconciliations between all our apparently contradictory notions.
The notions will all be knocked from under our feet.  We shall see that there never was any problem.  And, more than once, that
impression which I can’t describe except by saying that it’s like sound of a chuckle in the darkness.  The sense that some
shattering and disarming simplicity is the real answer. –C.S. Lewis, 1898-1963.

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: Happy Friday eve.
September 15, 1997: google.com is registered as a domain name.
“We do lots of stuff.  The only way you are going to heave success is to have lots of failures first.” -Sergey Brin, Co-founder of Google.

September 15, 2008: Lehman Brothers Holdings Inc. filed for bankruptcy protection – the largest in U.S. history.  Go to article »

$100 million: That’s the annual profits of Patagonia, the private company that sells outdoor apparel and equipment. On Wednesday, Patagonia’s founder announced he is transferring ownership of the company into two entities that will ensure 98% of the company’s annual profits will be used to combat climate change.

Patagonia’s owner has cut out the middle man between profit and charity. — Matt Levine.

Global warming may end San Francisco’s fog.

Climate ‘points of no return’ may be much closer than we thought: Climate tipping points — the “points of no return” past which key components of Earth’s climate will begin to irreversibly break down — could be triggered by much lower temperatures than scientists previously thought, with some tipping points potentially already reached. There are also many more potential tipping points than scientists previously identified, according to a new study.
In climatology, a tipping point is defined as a rise in global temperature past which a localized climate system, or “tipping element” — such as the Amazon rainforest or the Greenland ice sheet — starts to irreversibly decline. Once a tipping point has been reached, that tipping element will experience runaway effects that essentially doom it forever, even if global temperatures retreat below the tipping point. Full Story: Live Science (9/15)

Early-medieval woman was buried with a rare item: a metal folding chair:  Coins, weaponry, jewels and other valuables are often found in the ancient burials of prominent people, but archaeologists recently discovered a truly rare grave good: a metal folding chair.  Constructed of an iron frame, the medieval chair measures approximately 28 by 18 inches (70 by 45 centimeters) when folded and was found by a team of archaeologists from the Bavarian State Office for Monument Protection (BLfD) last month in Endsee, a village in southeastern Germany.  Full Story: Live Science (9/15)

A new study reveals how air pollution can foster lung and other cancers. — Lisa Jarvis.

Should you take a multivitamin?  The answer is yes, according to a new study. Taking a daily multivitamin may improve cognition in older adults, especially those with a history of cardiovascular disease.

Ranking the world’s best business schools.
PHOTOS OF THE DAY

Ohio Democrat Joyce Beatty poses next to the unveiled official portrait of the late congressman Elijah Cummings during a ceremony on Capitol Hill
Photograph: José Luis Magaña/AP

A mother poses for photographs with her daughter in a cosmos flower field
Photograph: Kim Hong-Ji/Reuters

A woman walks along the seaside at dawn on a beach in the Basque Country in northern Spain
Photograph: Javier Etxezarreta/EPA
Market Closes for September 15, 2022

Market Index	Close	Change
Dow Jones	30961.82	-173.27
		-0.56%
S&P 500	3901.35	-44.66
		-1.13%
NASDAQ	11552.36	-167.32
		-1.43%
TSX	19557.56	-168.58
		-0.85%

International Markets

Market Index	Close	Change
NIKKEI	27875.91	+57.29
		+0.21%
HANG SENG	18930.38	+83.28
		+0.44%
SENSEX	59934.01	-412.96
		-0.68%
FTSE 100*	7282.07	+4.77
		+0.07%

Bonds

Bonds		% Yield		Previous % Yield
CND. 10 Year Bond		3.150		3.160
CND. 30 Year Bond		3.048		3.097
U.S.    10 Year Bond		3.4451		3.4004
U.S. 30 Year Bond		3.4707		3.4564

Currencies

BOC Close	Today	Previous
Canadian $	0.7559	0.7594
US $	1.3229	1.3168
Euro Rate 1 Euro=		Inverse
Canadian $	1.3224	0.7562
US  $	0.9997	1.0003

Commodities

Gold	Close	Previous
London Gold Fix	1703.90	1704.85
Oil
WTI Crude Future	85.10	88.48

Market Commentary:
On this day in 1890, Baring Brothers, one of England’s leading investment banks, disclosed that loans to the likes of Argentina and Chile had gone bad and that the firm would go bust unless the Bank of England came to its aid. The bank stepped in, rounding up a rescue syndicate of other investment banks and assumed £28.5 million worth of Barings’ liabilities.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite fell 0.8% at 19,560.16 in Toronto.
The move follows the previous session’s increase of 0.4%.
Today, energy stocks led the market lower, as 9 of 11 sectors lost; 176 of 237 shares fell, while 59 rose.
Nutrien Ltd. contributed the most to the index decline, decreasing 2.7%.
Energy Fuels Inc/Canada had the largest drop, falling 6.5%.
Insights
* This year, the index fell 7.8%, heading for the worst year since 2018
* This quarter, the index rose 3.7%
* So far this week, the index fell 1.1%
* The index declined 5.5% in the past 52 weeks. The MSCI AC Americas Index lost 14% in the same period
* The S&P/TSX Composite is 11.9% below its 52-week high on April 5, 2022 and 7.7% above its low on July 14, 2022
* The S&P/TSX Composite is up 0.8% in the past 5 days and fell 3.1% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 13.2 on a trailing basis and 12.1 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.2% 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 14.96% compared with 14.73% in the previous session and the average of 13.59% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Energy | -71.1906| -1.9| 2/36
Materials | -59.7303| -2.7| 2/48
Industrials | -16.5739| -0.7| 7/21
Utilities | -14.5731| -1.4| 4/12
Consumer Staples | -8.0174| -1.0| 4/7
Consumer Discretionary | -6.9293| -1.0| 1/12
Information Technology | -2.4261| -0.2| 5/9
Real Estate | -0.7468| -0.1| 9/13
Health Care | -0.2446| -0.3| 4/3
Communication Services | 6.4470| 0.7| 4/3
Financials | 8.0001| 0.1| 17/12
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
Nutrien | -12.2000| -2.7| -1.5| 23.6
Suncor Energy | -11.2100| -2.7| -61.2| 30.3
Brookfield Asset Management | -9.1650| -1.4| 29.6| -15.5
Bank of Montreal | 4.3050| 0.7| 14.9| -6.1
TD Bank | 5.0160| 0.5| 6.3| -9.2
RBC | 9.0830| 0.7| -9.9| -4.7
US
By Stephen Kirkland
(Bloomberg) — US stocks fell and Treasury yields climbed after the latest batch of economic data did little to dial back expectations for the Federal Reserve’s next move.
The S&P 500 extended declines to close at the lowest level since July 18. It ended just above 3,900, a level that has become a battle line for bulls and bears in recent months, acting as a support in mid-May and then keeping a lid on
advances briefly in June and July.
The tech-heavy Nasdaq 100 underperformed major indexes Thursday, with growth related stocks under pressure.
Adobe Inc. tumbled after agreeing to buy software design startup Figma Inc. in a deal valued at about $20 billion.
Treasury yields rose across the board, with the policy-sensitive two-year rate up as much as eight basis points at 3.87%, the highest since 2007 after the latest data painted a mixed picture for the economy.
Swaps traders are currently pricing in a 75 basis-point hike when the Fed meets next week, with some wagers appearing for a full-point move.
Bets ratcheted higher after a hot consumer inflation reading Tuesday, which also sparked the biggest selloff in stocks in two years.
“Data in hand mean the Fed is most likely to raise the fed funds target three-quarters of a percent at its decision next week,” said Bill Adams, chief economist at Comerica Bank. “A hike of a full percentage point is the month’s dark horse candidate.”
Traders expect the Fed fund rate to peak at close to 4.5% next year, from the current range of 2.25% and 2.5% and Ray Dalio said a rise to about that level could sink stock prices around 20% based on the present value discount effect.
The continued rise in rate-sensitive Treasuries deepened the curve inversion, a harbinger for a looming recession.
The curve from five to 30 years inverted by as much as 20 basis points in US trading Thursday, a day after the two- to 30-year spread also became the most negative in more than two decades.
Mortgage rates in the US topped 6% for the first time in nearly 14 years.
Data Thursday showed applications for US unemployment insurance fell for a fifth straight week, suggesting demand for workers remains healthy.
Retail sales indicated spending on goods is moderating.
Other data showed factory production rose slightly in August while total industrial production, including mining and utilities, fell.
University of Michigan data Friday will be parsed for clues on inflation expectations.
“This is a market waiting for the next catalyst,” Fiona Cincotta, senior financial markets analyst at City Index, said by phone. “What we saw in the selloff on Tuesday is the repricing of expectations of the Fed. Until we really hear from
the Fed we are not going to get a very clear direction.”
The offshore yuan weakened past 7 per dollar for the first time since July 2020.
The yen traded around 143.4 per dollar, away from just under the closely-watched 145 level Wednesday on signs the Bank of Japan was preparing an intervention.
Oil fell after the Department of Energy said its plan to restock US emergency oil reserves doesn’t include a trigger price and deliveries likely won’t happen until after fiscal year 2023.
Natural gas futures sold off in US trading after railroads and unions reached a tentative deal to avert a strike that threatened to disrupt domestic coal deliveries.
Gold fell to the lowest since April 2020 amid expectations of more aggressive interest-rate hikes by the Fed.

Here are some key events to watch this week:
* China home sales, retail sales, industrial production, fixed assets, surveyed jobless rate, Friday
* Euro area CPI, Friday
* University of Michigan consumer sentiment, Friday

Some of the main moves in markets:
Stocks
* The S&P 500 fell 1.1% as of 4 p.m. New York time
* The Nasdaq 100 fell 1.7%
* The Dow Jones Industrial Average fell 0.6%
* The MSCI World index fell 1%
Currencies
* The Bloomberg Dollar Spot Index rose 0.2%
* The euro rose 0.2% to $0.9996
* The British pound fell 0.6% to $1.1470
* The Japanese yen fell 0.3% to 143.45 per dollar
Bonds
* The yield on 10-year Treasuries advanced five basis points to 3.45%
* Germany’s 10-year yield advanced five basis points to 1.77%
* Britain’s 10-year yield advanced three basis points to 3.17%
Commodities
* West Texas Intermediate crude fell 3.7% to $85.20 a barrel
* Gold futures fell 2.2% to $1,672.10 an ounce
–With assistance from Matthew Burgess, Michael Msika, Abigail Moses, Robert Brand, Peyton Forte, Isabelle Lee and Lu Wang.
Have a lovely evening.

Be magnificent!

As ever,

Carolann

Truth alone will endure; all the rest will be swept away before the tide of time. –Mahatma Gandhi, 1869-1948.

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:
September 14, 2022: great fire of Moscow begins as Napoleon approaches the city and retreating Russians burn it – fire continues to burn for five days.
2000: Chase Manhattan agreed to buy J.P. Morgan for more than $35 billion, creating the third largest financial company in the U.S. Go to article »

‘The Crown’ viewership surged on Netflix after Queen Elizabeth’s death.  Following the death of Queen Elizabeth II, Netflix viewers tuned into the show about her life.

Ferrari’s first four-door car is here.  It looks like an SUV… but the company insists people shouldn’t call it that.

New James Webb telescope images reveal the chaotic beauty of Orion’s sword: How do you know you’re looking at Orion’s belt? It’s just a waist of space.  Dad jokes aside, Orion is one of the best known and most studied constellations in the Milky Way. With its nearest stars located just a few hundred light-years from Earth, the constellation is home to some of the largest and brightest stars in the sky (including the infamous red star Betelgeuse) and a thriving nursery of fiery, newborn stars ripe for studying. Now, using the powerful new James Webb Space Telescope (JWST), researchers have captured the sharpest and most detailed images of Orion in history.
Full Story: Live Science (9/13)

Vanished arm of Nile helped ancient Egyptians transport pyramids materials:  When the ancient Egyptians built the pyramids of Giza around 4,500 years ago, the Nile River had an arm — one that has long since vanished — with high water levels that helped laborers ship materials to their construction site, a new study finds.  The discovery builds on previous archaeological and historical findings that the Nile had an extra arm flowing by the pyramids. But now, by analyzing ancient pollen samples taken from earthen cores, it’s clear that “the former waterscapes and higher river levels” gave the Giza Pyramid’s builders a leg up, a team of researchers wrote in a paper published Aug. 29 in the journal the Proceedings of the National Academy of Sciences.  Full Story: Live Science (9/14)

Uranus will vanish during ‘lunar occultation’ Wednesday night:  Depending on where in the world you’ll be Wednesday night (Sept. 14), you may be able to see Uranus disappear. (Don’t worry; it’ll be back again a few hours later.)  On Wednesday, the sixth planet from the sun will appear to pass directly behind Earth’s moon, going completely out of sight for three and a half hours. The great disappearing act, also known as the lunar occultation of Uranus, begins around 4:41 p.m. ET (2041 GMT) and ends by 8:11 p.m. ET (0011 GMT on Sept. 15), according to In-the-sky.org. However, only viewers in Europe, northern Africa and western Asia will be at the exact right angle to see the illusion work.  Full Story: Live Science (9/13)
PHOTOS OF THE DAY

The Queen’s coffin travels down Horse Guards Parade
Photograph: Andy Hall/The Observer

The Imperial State Crown lies on top of the Queen’s coffin
Photograph: Tom Jenkins/WPA/Getty Images

The coffin is laid in Westminster Hall.
Photograph: Linda Nylind/The Guardian
Market Closes for September 14, 2022

Market Index	Close	Change
Dow Jones	31135.09	+30.12
		+0.10%
S&P 500	3946.01	+13.32
		+0.34%
NASDAQ	11719.68	+86.11
		+0.74%
TSX	19726.14	+80.74
		+0.41%

International Markets

Market Index	Close	Change
NIKKEI	27818.62	-796.01
		-2.78%
HANG SENG	18847.10	-479.76
		-2.48%
SENSEX	60346.97	-224.11
		-0.37%
FTSE 100*	7277.30	-108.56
		-1.47%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	3.160	3.196
CND. 30 Year Bond	3.097	3.150
U.S.    10 Year Bond	3.4004	3.4099
U.S. 30 Year Bond	3.4564	3.4913

Currencies

BOC Close	Today	Previous
Canadian $	0.7594	0.7591
US $	1.3168	1.3174
Euro Rate 1 Euro=		Inverse
Canadian $	1.3139	0.7611
US  $	0.9979	1.0021

Commodities

Gold	Close	Previous
London Gold Fix	1704.85	1726.40
Oil
WTI Crude Future	88.48	87.31

Market Commentary:
On this day in 2008, U.K. bank Barclays withdrew as the last potential buyer for Lehman Brothers, setting the stage for the bank’s collapse.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose 0.4% at 19,726.14 in Toronto.
The move follows the previous session’s decrease of 1.7%.
Canadian Natural Resources Ltd. contributed the most to the index gain, increasing 2.4%.
New Gold Inc. had the largest increase, rising 9.7%.
Today, 130 of 237 shares rose, while 105 fell; 6 of 11 sectors were higher, led by energy stocks.
Insights
* This year, the index fell 7.1%, heading for the worst year since 2018
* This quarter, the index rose 4.6%
* The index declined 4% in the past 52 weeks. The MSCI AC Americas Index lost 13% in the same period
* The S&P/TSX Composite is 11.2% below its 52-week high on April 5, 2022 and 8.6% above its low on July 14, 2022
* The S&P/TSX Composite is up 2.5% in the past 5 days and fell 2.2% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 13.3 on a trailing basis and 12.2 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.1% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.14t
* 30-day price volatility rose to 14.73% compared with 14.70% in the previous session and the average of 13.53% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Energy | 73.3206| 2.0| 37/1
Materials | 15.0552| 0.7| 30/21
Information Technology | 11.6900| 1.1| 10/4
Financials | 10.0855| 0.2| 16/13
Health Care | 1.4946| 2.0| 5/2
Utilities | 0.7340| 0.1| 7/9
Consumer Discretionary | -1.8843| -0.3| 5/7
Consumer Staples | -2.3673| -0.3| 6/4
Real Estate | -5.6611| -1.1| 2/21
Industrials | -8.7324| -0.3| 10/18
Communication Services | -12.9915| -1.4| 2/5
================================================================
| | |Volume VS |
| Index | | 20D AVG |YTD Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
Canadian Natural Resources | 13.6100| 2.4| 56.6| 41.1
Nutrien | 10.5700| 2.4| -18.2| 27.0
Shopify | 9.7620| 2.9| -23.7| -74.5
Telus | -3.0190| -1.1| -40.8| -4.2
Canadian National | -3.2370| -0.5| -3.4| 1.6
Canadian Pacific | -3.5260| -0.5| 6.8| 11.7
US
By Stephen Kirkland
(Bloomberg) — US stocks rebounded in late trading a day after hot inflation sparked the biggest rout in more than two years.
The dollar fell, while short-end Treasury yields edged higher.
After swinging between gains and losses throughout the day, dip buyers emerged to send the S&P 500 into the green at the close.
Trading volume was about 20% above the 30-day average for the time of day, as investors weighed the Federal Reserve’s next policy steps.
The benchmark sank more than 4% Tuesday following a shock consumer-price figure that prompted investors to ratchet up wagers for interest-rate increases.
Those jitters eased Wednesday after data showed producer prices fell for a second month.
Retail sales due Thursday and University of Michigan readings Friday will be parsed for clues on the strength of the economy and inflation expectations.
Swaps traders are now pricing in a hike of three-quarters of a percentage point when the Fed meets next week, with some wagers appearing for a full-point move.
The two-year Treasury yield, the most sensitive to policy changes, rose two basis points after jumping as much as 22 basis points Tuesday, pushing it more than 30 basis points above the 10-year rate.
That deepened the curve inversion in what is generally a recession warning.
“Investors are trying to figure out if yesterday changes anything, and that is a tug of war,” Brent Schutte, chief investment officer at Northwestern Mutual Wealth Management, said. “Everyone is waiting to see the next inflation data point and importantly hear what the Fed thinks next week. Friday’s University of Michigan is important from the inflation expectation outlook.”
While the magnitude of Tuesday’s rout was impressive, the S&P 500 only reversed most of the gains made in the previous four sessions.
The lack of a surge in the VIX index — known as the “fear gauge” — suggests that the selloff was a recalibration of those expectations rather than panic selling.
“The fact that the market was not able to break above its morning highs must be disappointing for the bulls,” said Matt Maley, chief market strategist at Miller Tabak & Co. “During the summer selloffs, the market always seemed to be able to bounce back quickly. Since it hasn’t been able to do that today, some short-term traders seem to be backing away from the market a bit more.”
More commentary:
* “History tells us that whenever we have had a 4% one-day decline, we usually see a bounce of about 1% the day after,” Sam Stovall, chief investment strategist at CFRA Research, told Bloomberg Television’s Surveillance. “But then we sort of trade sideways for the next month before resuming an uptrend three months down the road. Investors just have to hold onto their hats right now.”
* “The biggest and growing downside risk for the market is increasing recession risk as the Fed aggressively tightens into a slowing economy,” Keith Lerner, co-chief investment officer at Truist Advisory Services, said in a note. “On the other side, there is at least one partial offset: Investor expectations are low and already braced for bad news.”
* “Financial conditions are biased to tighten, but PEs are much lower now vs previous financial conditions tightening periods,” Dennis DeBusschere, founder of 22V Research, wrote. “Investors are likely discounting much weaker EPS, but those negative outcomes are largely priced in. A much more aggressive Fed does increase the odds of a harder economic landing though.”
* “People with a plan don’t panic — so in days like yesterday where volatility is at extremes, good investors and good advisors are looking for opportunity,” Tom Mantione, private wealth advisor at UBS Financial Services, said on Bloomberg Radio, noting Wednesday’s PPI report was “constructive.” “I kind of think the Fed may be overdoing it here a little bit. Maybe we need to let this play out a bit.”

In corporate news, Verizon Communications Inc. fell after signaling another weak quarter in terms of new subscribers while Twilio Inc. rose after the maker of customer communication and marketing software said it will cut about 11% of jobs and restructure the company.
California sued Amazon.com Inc., saying the company forces third-party merchants to agree to policies that lead to “artificially high prices” for consumers.
Natural gas futures surged the most among major US-traded commodities as hot weather forecasts and a looming rail strike added to concern about tight supplies ahead of winter.
The Stoxx Europe 600 index slipped almost 1%, extending Tuesday’s 1.6% drop.
Utilities were the among the worst-performing sectors as the European Commission considers plans to contain the energy crisis, which may include revenue caps.
The yen pulled back from a slide toward the key 145 level versus the dollar after a Nikkei report that the Bank of Japan conducted a so-called rate check with traders to see the price of the currency against the greenback.
The finance minister warned he wouldn’t rule out any response if current trends continued. The country’s 10-year bond yield rose to 0.25%, the upper end of the central bank’s policy band.

Here are some key events to watch this week:
* US business inventories, empire manufacturing, retail sales, initial jobless claims, industrial production, Thursday
* China home sales, retail sales, industrial production, fixed assets, surveyed jobless rate, Friday
* Euro area CPI, Friday
* US University of Michigan consumer sentiment, Friday

Some of the main moves in markets:
Stocks
* The S&P 500 rose 0.3% as of 4 p.m. New York time
* The Nasdaq 100 rose 0.8%
* The Dow Jones Industrial Average was little changed
* The MSCI World index fell 0.3%
Currencies
* The Bloomberg Dollar Spot Index fell 0.2%
* The euro was little changed at $0.9979
* The British pound rose 0.4% to $1.1540
* The Japanese yen rose 1% to 143.19 per dollar
Bonds
* The yield on 10-year Treasuries was little changed at 3.41%
* Germany’s 10-year yield declined one basis point to 1.72%
* Britain’s 10-year yield declined four basis points to 3.13%
Commodities
* West Texas Intermediate crude rose 1.7% to $88.78 a barrel
* Gold futures fell 0.7% to $1,705.60 an ounce
–With assistance from Matthew Burgess, Matt Turner, Allegra Catelli, Denitsa Tsekova, Robert Brand, John McCorry, Isabelle Lee and Peyton Forte.
Have a lovely evening.

Be magnificent!

As ever,

Carolann

Go often to the house of thy friend, for weeds choke the unused path. –Ralph Waldo Emerson, 1803-1882.

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:
September 13, 1959: The Soviet space probe Luna 2 became the first man-made object to reach the moon as it crashed onto the lunar surface.  Go to article »
1899: The first recorded automobile fatality in the US takes place.  Henry H. Bliss was struck by a taxi cab while crossing the street in New York City.  He died the next day due to his injuries.
1814: Star-Spangled Banner inspired by the attack on Fort McHenry.

Ferrari is selling a $390,000 SUV.

RIP,  Jean-Luc Godard.

Massive ‘bullseye’ in Australian desert is evidence of an ancient reef: A strange doughnut-shaped mound in a desert in southern Australia recently made a surprise appearance in high-resolution satellite images.
The odd formation, which from space resembles a big bullseye, is likely the remains of an ancient reef, made by microbes and left over from a time when a vast ocean covered the now-arid environment, new research suggests.
Full Story: Live Science (9/13)

Did Nero really fiddle while Rome burned? The Roman emperor Nero ranks among the most infamous rulers of the Roman Empire for supposedly fiddling while Rome burned. But did that really happen? And does Nero really deserve his bad reputation?   As with all stories, we have to consider the source.  Full Story: Live Science (9/10)

Dining at 1,820 feet, in South Korea’s highest restaurant.  Your dinner table is ready… and it’s a window seat on the 123rd floor. What do you think about the view?

150-million-year-old dinosaur skeleton will be auctioned in Paris.  A paleontology expert said fossil collectors have been asking for “a dinosaur that can fit my living room.” Well, here it is — colossal price tag and all.

PHOTOS OF THE DAY

The top of One World Trade Center appears in the clouds in New York
Photograph: Justin Lane/EPA

People visit a lantern show during the mid-autumn festival in China’s southern Guangdong province
Photograph: AFP/Getty Images

Members of the Hillsborough Court Guard wait for King Charles III and Camilla, the Queen Consort, to arrive at Hillsborough Castle
Photograph: Mark Marlow/EPA
Market Closes for September 13, 2022

Market Index	Close	Change
Dow Jones	31104.97	-1276.37
		-3.94%
S&P 500	3932.69	-177.72
		-4.32%
NASDAQ	11633.57	-632.84
		-5.16%
TSX	19645.40	-341.83
		-1.71%

International Markets

Market Index	Close	Change
NIKKEI	28614.63	+72.52
		+0.25%
HANG SENG	19326.86	-35.39
		-0.18%
SENSEX	60571.08	+455.95
		+0.76%
FTSE 100*	7385.86	-87.17
		-1.17%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	3.196	3.141
CND. 30 Year Bond	3.150	3.164
U.S.    10 Year Bond	3.4099	3.3539
U.S. 30 Year Bond	3.4913	3.5030

Currencies

BOC Close	Today	Previous
Canadian $	0.7591	0.7701
US $	1.3174	1.2985
Euro Rate 1 Euro=		Inverse
Canadian $	1.3132	0.7615
US  $	0.9967	1.0033

Commodities

Gold	Close	Previous
London Gold Fix	1726.40	1713.40
Oil
WTI Crude Future	87.31	87.78

Market Commentary:
On this day in 1982, Forbes published its first American rich list. Of the 13 billionaires, 10 derived their fortunes from oil. Shipping magnate Daniel K. Ludwig topped the pile at over $2 billion.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite fell 1.7% at 19,645.40 in Toronto.
The move was the biggest since falling 3.1% on June 16 and follows the previous session’s increase of 1.1%.
Today, financials stocks led the market lower, as all sectors lost; 214 of 237 shares fell, while 22 rose.
Toronto-Dominion Bank contributed the most to the index decline, decreasing 2.2%.
Canopy Growth Corp. had the largest drop, falling 8.1%.
Insights
* In the past year, the index had a similar or greater loss nine times. The next day, it declined seven times for an average 0.6% and advanced twice for an average 0.3%
* This year, the index fell 7.4%, heading for the worst year since 2018
* This quarter, the index rose 4.2%
* The index declined 4.9% in the past 52 weeks. The MSCI AC Americas Index lost 13% in the same period
* The S&P/TSX Composite is 11.6% below its 52-week high on April 5, 2022 and 8.1% above its low on July 14, 2022
* The S&P/TSX Composite is up 2.9% in the past 5 days and fell 2.6% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 13.3 on a trailing basis and 12.1 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.2% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.19t
* 30-day price volatility rose to 14.70% compared with 14.01% in the previous session and the average of 13.48% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | -116.4243| -1.8| 2/27
Materials | -47.8208| -2.1| 2/49
Information Technology| -39.1287| -3.6| 0/14
Industrials | -31.6741| -1.2| 4/24
Energy | -31.3486| -0.9| 9/28
Communication Services| -21.2825| -2.2| 0/7
Consumer Discretionary| -17.2454| -2.5| 0/13
Real Estate | -15.2323| -2.9| 0/23
Consumer Staples | -13.6052| -1.6| 0/11
Utilities | -6.0184| -0.6| 4/12
Health Care | -2.0656| -2.7| 1/6
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
TD Bank | -24.7000| -2.2| -28.9| -10.2
Shopify | -20.0000| -5.6| 214.0| -75.2
RBC | -19.9200| -1.6| -30.4| -5.5
Waste Connections | 0.5850| 0.2| 9.6| 11.7
Brookfield Renewable Partners | 0.6830| 1.0| 6.6| 9.6
ARC Resources | 0.7520| 0.9| 45.5| 62.8
US
By Stephen Kirkland
(Bloomberg) — A broad-based selloff sent equities to their worst day in more than two years after hotter-than-expected inflation data fueled bets on a jumbo hike by the Federal Reserve next week.
Treasury yields surged and the dollar gained.
Across the board selling sent the S&P 500 down more than 4%, while the tech-heavy Nasdaq 100 losses surpassed 5% as yield-sensitive stocks took the biggest hit.
Both benchmarks are poised for their worst one-day routs since 2020.
Swaps traders are now fully pricing in a rate increase of three-quarters of a percentage point, with wagers rising for a similar move in November and policy rates ultimately reaching around 4.3% early in 2023.
The two-year Treasury yield, the most sensitive to policy changes, jumped as much as 22 basis points, pushing it more than 30 basis points above the 10-year rate and deepening an inversion in what is generally a recession warning.
The consumer price index increased 0.1% from July, after no change in the prior month, Labor Department data showed Tuesday.
From a year earlier, prices climbed 8.3%, a slight deceleration but still more than the median estimate of 8.1%.
So-called core CPI, which strips out the more volatile food and energy components,  also topped forecasts.
“Overall, today was a surprising day against the trend of what had appeared to be some moderation across most indicators of growth and pricing pressure, so the Fed’s job is clearly not finished,” Rick Rieder, the chief investment officer of global fixed income at BlackRock Inc., the world’s biggest asset manager, wrote. “We think the Fed will pause the rate hiking cycle potentially at year-end, but maybe now the central bank will have to wait a bit longer to do that after having reached a restrictive policy stance.”
More comments:
* “Headline inflation has peaked but, in a clear sign that the need to continue hiking rates is undiminished, core CPI is once again on the rise, confirming the very sticky nature of the US inflation problem,” Seema Shah, chief global strategist at Principal Global Investors, said in a note. “In fact, 70% of the CPI basket is seeing an annualized price rise of more than 4% month-on-month. Until the Fed can tame that beast, there is simply no room for a discussion on pivots or pauses.”
* “The CPI report was an unequivocal negative for equity markets,” wrote Matt Peron, director of research at Janus Henderson Investors. “The hotter than expected report means we will get continued pressure from Fed policy via rate hikes. It also pushes back any ‘Fed pivot’ that the markets were hopeful for in the near term.”
* “Core cost-of-living prices falling when labor markets are tight with nominal wages rising rapidly is not going to produce the soft-landing fairy tale,” Steven Blitz, chief US economist at TS Lombard, said. “The Fed had better odds of rolling a hard eight than engineering a soft landing. There is no Fed pivot to prevent one, there is no turning back from the path they are on.”
* “Although today’s announcement shows that inflation remains historically high, there may be signs that the pressure of inflation is abating,” said Richard Flynn, managing director of Charles Schwab UK. “Company inventories are rising relative to sales, global economic growth has weakened, and the U.S. dollar is strong — all indications that price hikes may begin to slow soon. That being said, inflation is still far-above the Fed’s target.”
* “I’d buy this dip,” said Peter Tchir, head of macro strategy at Academy Securities. “There are bigger issues facing us, but this seems like an algo driven response to the data, chasing out recent weak longs, so I’m a buyer of stocks and bonds here.”

On the corporate front, Twitter Inc. shareholders approved Elon Musk’s proposed $44 billion buyout, paving the way for a trial next month.
JPMorgan Chase & Co. says deal fees may fall by half in the third quarter, and Citigroup Inc. warned trading revenue in the third quarter will likely drop as a slowdown in its business dedicated to securitized products crimps fixed-
income trading revenue.
The latest inflation data came amid debate about the outlook for the global economy and how that will affect markets.
While stocks rallied in recent days, with the S&P 500 completing its biggest four-day surge since June on Monday, Bank of America Corp.’s latest survey showed the number of investors expecting a recession has reached the highest since May 2020.
A gauge of the dollar climbed more than 1%, advancing against all of its Group-of-10 counterparts.
Bitcoin fell 10%.
Here are some key events to watch this week:
* UK CPI, Wednesday
* US PPI, Wednesday
* US business inventories, empire manufacturing, retail sales, initial jobless claims, industrial production, Thursday * China home sales, retail sales, industrial production, fixed assets, surveyed jobless rate, Friday
* Euro area CPI, Friday
* US University of Michigan consumer sentiment, Friday

Some of the main moves in markets:
Stocks
* The S&P 500 fell 4.3% as of 4 p.m. New York time
* The Nasdaq 100 fell 5.5%
* The Dow Jones Industrial Average fell 3.9%
* The MSCI World index fell 3.4%
Currencies
* The Bloomberg Dollar Spot Index rose 1.2%
* The euro fell 1.5% to $0.9973
* The British pound fell 1.6% to $1.1500
* The Japanese yen fell 1.2% to 144.49 per dollar
Bonds
* The yield on 10-year Treasuries advanced six basis points to 3.42%
* Germany’s 10-year yield advanced eight basis points to 1.73%
* Britain’s 10-year yield advanced nine basis points to 3.17%
Commodities
* West Texas Intermediate crude fell 0.3% to $87.55 a barrel
* Gold futures fell 1.6% to $1,712.80 an ounce
–With assistance from Sagarika Jaisinghani, Brett Miller, Tony Jordan, Peyton Forte, Robert Brand and Isabelle Lee.
Have a lovely evening.

Be magnificent!

As ever,

Carolann

Anyone who stops learning is old, whether at twenty or eighty.  Anyone who keeps learning stays young. –Henry Ford, 1863-1947.

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 Monday.
“One small positive thought in the morning can change your whole day.” -Tenzin Gyatso, 14^th Dalai Lama.

September 12, 2020: The United Kingdom is brought to a standstill as fuel tax protesters, backed by tanker drivers, causes petrol shortages.

Hot housing markets are cooling around the world.

Hot housing markets are cooling around the world.

Online art communities are banning AI art.

What happens in your brain while you sleep?  Our brains are complex and elaborate. They contain billions of neurons, don’t fully form until we reach age 25, and can generate around 25 watts of power — enough to illuminate a light bulb.  Scientists are constantly learning new information about how the brain functions, but what do we know about how this incredible organ operates during sleep? Is it a total mystery, or are there some things we know for sure? Full Story: Live Science (9/11)

Countless civilizations have risen and fallen over the millennia. But which one is the oldest on record?  About 30 years ago, this question seemed to have a straightforward answer. Around 4000 B.C., the earliest phase of the Sumerian culture arose as the oldest civilization in the Mesopotamia region, in what is now mostly Iraq. The Sumerians are named after the ancient city of Sumer, which was a few miles south of the modern city of Kut, in eastern Iraq. Archaeologists call the earliest Sumerian phase the Uruk period, after the equally ancient city of Uruk about 50 miles (80 kilometers) to the southwest, where many of the oldest Sumerian artifacts were found. But evidence uncovered in the past few decades indicates that the Sumerians have a few contenders, including ancient Egypt, for the title of “oldest civilization.”  Full Story: Live Science (9/12)

Who will take care of the Queen’s dogs?  Queen Elizabeth’s adorable corgis, Muick and Sandy, will move in with the Duke and Duchess of York. Take a look at this photo gallery of Queen Elizabeth II and her pups over the years.
PHOTOS OF THE DAY

The Tribute in Light in Manhattan commemorates the 21st anniversary of 9/11
Photograph: Andrew Kelly/Reuters

President Volodymyr Zelenskiy leaves his condolence message to Elizabeth II at the residence of the British ambassador
Photograph: Ukrainian Presidential Press Service/Reuters

Icelandic horses play on a meadow at a stud farm near Frankfurt as the sun rises
Photograph: Michael Probst/AP
Market Closes for September 12, 2022

Market Index	Close	Change
Dow Jones	32381.34	+229.63
		+0.71%
S&P 500	4110.41	+43.05
		+1.06%
NASDAQ	12266.41	+154.10
		+1.27%
TSX	19987.23	+213.89
		+1.08%

International Markets

Market Index	Close	Change
NIKKEI	28542.11	+327.36
		+1.16%
HANG SENG	MARKET CLOSE	N.A
SENSEX	60115.13	+321.99
		+0.54%
FTSE 100*	7473.03	+121.96
		+1.66%

Bonds

Bonds		% Yield		Previous % Yield
CND. 10 Year Bond		3.141		3.133
CND. 30 Year Bond		3.164		3.148
U.S.    10 Year Bond		3.3539		3.3154
U.S. 30 Year Bond		3.5030		3.4527

Currencies

BOC Close	Today	Previous
Canadian $	0.7701	0.7676
US $	1.2985	1.3028
Euro Rate 1 Euro=		Inverse
Canadian $	1.3142	0.7609
US  $	1.0120	0.9881

Commodities

Gold	Close	Previous
London Gold Fix	1713.40	1709.35
Oil
WTI Crude Future	87.78	86.79

Market Commentary:
On this day in 1968: As tech stocks boomed, H. Ross Perot took his company Electronic Data Systems public for $16.50 a share, or 118 times earnings. Mr. Perot had steadfastly kept his company private, refusing 17 offers to do an IPO, until investment banker Ken Langone declared that he could sell the stock for more than 100 times earnings.  By early 1970, the stock was at $160
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose for the fourth day, climbing 1.1%, or 213.89 to 19,987.23 in Toronto.
The index advanced to the highest closing level since Aug. 25.
Enbridge Inc. contributed the most to the index gain, increasing 2.3%.
New Gold Inc. had the largest increase, rising 8.1%.
Today, 201 of 237 shares rose, while 33 fell; all sectors were higher, led by financials stocks.
Insights
* This year, the index fell 5.8%, heading for the worst year since 2018
* This quarter, the index rose 6%, heading for the biggest advance since the second quarter of 2021
* The index declined 3.1% in the past 52 weeks. The MSCI AC Americas Index lost 9.5% in the same period
* The S&P/TSX Composite is 10% below its 52-week high on April 5, 2022 and 10% above its low on July 14, 2022
* The S&P/TSX Composite is up 3.7% in the past 5 days and fell 1% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 13.5 on a trailing basis and 12.3 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.1% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.16t
* 30-day price volatility fell to 14.01% compared with 14.11% in the previous session and the average of 13.48% over the past month
================================================================
|Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | 68.6893| 1.1| 26/3
Energy | 64.7465| 1.8| 32/5
Industrials | 28.3290| 1.1| 22/6
Information Technology | 10.6361| 1.0| 13/1
Consumer Discretionary | 9.8135| 1.4| 12/1
Real Estate | 9.0874| 1.7| 23/0
Utilities | 6.8385| 0.7| 13/3
Consumer Staples | 6.8345| 0.8| 8/3
Communication Services | 5.8033| 0.6| 4/3
Materials | 2.1792| 0.1| 42/7
Health Care | 0.9345| 1.2| 6/1
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
Enbridge | 17.7400| 2.3| 33.0| 12.8
TD Bank | 12.4100| 1.1| -34.3| -8.2
RBC | 12.2100| 1.0| -15.2| -4.0
CAE | -0.4370| -0.8| -6.8| -23.8
Dollarama | -3.1920| -2.1| 92.9| 24.7
Nutrien | -21.6300| -4.6| 80.5| 24.2
US
By Stephen Kirkland
(Bloomberg) — US stocks rose on the final day of trading before the release of key consumer-price data, with risk sentiment buoyed by speculation inflation is near peaking.
The dollar fell for a second day.
The S&P 500 extended last week’s rally, notching the biggest gain over a four-day span since June as all 11 major industry groups rose.
Apple Inc. was the largest contributor to the benchmark’s advance as pre-order data showed the iPhone 14 Pro Max was the best selling model, surpassing what the older version did over a similar timeframe.
The dollar declined versus all of its G-10 peers except the yen.
The Treasury curve steepened, with 10-year yields rising after a weak auction of similar-maturity notes.
US inflation data due Tuesday is expected to show headline CPI cooled in August to an 8% a year pace while the core measure that excludes food and energy is seen accelerating.
Meanwhile, traders almost fully expect another jumbo-sized Federal Reserve hike next week, following two 75-basis-point increases, taking their cue from central bank officials supporting that view.
US bond-market indicators suggest that investors are gaining confidence that this year’s spike in inflationary pressures will be brought under control.
The cost of hedging high inflation has fallen, while so-called breakeven rates on Treasury Inflation Protected Securities — a proxy for where markets expect inflation to be — have also dropped.
“I cannot see any scenario where the market doesn’t decide that CPI is heading in the right direction and that October will be lower than September and so on,” Peter Tchir, head of macro strategy at Academy Securities, wrote in a note. “That combination should allow markets to continue to enjoy the strength that they saw towards the end of last week.”
Stocks are building a bullish technical trend after the S&P 500 rallied above 3,900 week with an increasing number of stocks passing key thresholds, according to Bank of America Corp.’s technical strategist Stephen Suttmeier.
Swap markets are pricing in more than 70 basis points of hikes at the central bank’s September meeting.
Fed Governor Christopher Waller said last week he favors “another significant” increase in interest rates, and St. Louis Fed President James Bullard said he was leaning “more strongly” toward a third straight jumbo hike.
“The bad news is that US CPI inflation above 8% keeps the Fed hawkish and interest-rate volatility high,” Yuri Seliger, credit strategist at Bank of America, wrote. “The good news is that US inflation is peaking now according to our economists, and the trend should flip to a clear downward trajectory in 4Q and into 2023.”
The euro jumped the most in six months after Bundesbank President Joachim Nagel signaled support for further interest-rate hikes in Europe.
The Stoxx Europe 600 index climbed for a third day, with retailers leading the advance amid optimism over plans to curb energy bills.
The European Union is set to propose a mandatory target to cut power use — a step toward rationing — along with measures to funnel energy company profits to struggling consumers as it tries to stem the crisis.
Crude oil and industrial metals advanced as the dollar’s descent countered demand concerns.
Bitcoin extended a rally amid a brighter mood in global markets, climbing to a three-week high above $22,000. 
Here are some key events to watch this week:
* US CPI, Tuesday
* UK CPI, Wednesday
* US PPI, Wednesday
* US business inventories, empire manufacturing, retail sales, initial jobless claims, industrial production, Thursday
* China home sales, retail sales, industrial production, fixed assets, surveyed jobless rate, Friday
* Euro area CPI, Friday
* US University of Michigan consumer sentiment, Friday

Some of the main moves in markets:
Stocks
* The S&P 500 rose 1.1% as of 4 p.m. New York time
* The Nasdaq 100 rose 1.2%
* The Dow Jones Industrial Average rose 0.7%
* The MSCI World index rose 1.3%
Currencies
* The Bloomberg Dollar Spot Index fell 0.4%
* The euro rose 0.7% to $1.0115
* The British pound rose 0.8% to $1.1677
* The Japanese yen fell 0.3% to 142.84 per dollar
Bonds
* The yield on 10-year Treasuries advanced four basis points to 3.35%
* Germany’s 10-year yield declined four basis points to 1.65%
* Britain’s 10-year yield declined one basis point to 3.08%
Commodities
* West Texas Intermediate crude rose 1.3% to $87.88 a barrel
* Gold futures rose 0.4% to $1,736.10 an ounce
–With assistance from Matthew Burgess, Tassia Sipahutar, Garfield Reynolds, Robert Brand, Vildana Hajric and Isabelle Lee.
Have a lovely evening.

Be magnificent!

As ever,

Carolann

The biggest argument against democracy is a five-minute discussion with the average voter. -Winston Churchill, 1874-1965.

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

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

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

Dear Friends,

Tangents: Happy Friday.
Chrysanthemum Day, Japan, festival of happiness.
Remember to gaze at the Harvest full moon tomorrow night.

September 9, 2022: Charles III commences his first full day as King of the United Kingdom and 14 other Commonwealth realms following the death of Queen Elizabeth II.
Marxist revolutionary Mao Zedong, who died this day in 1976, emerged as the undisputed Chinese Communist Party leader following the Long March (1934–35) and dominated China in the period after the communist takeover in 1949.  Go to article »

490 BC: Battle of Marathon.
Leo Tolstoy, b. 1828.
William the Conqueror, d.1087.

James Corden says he stole from President Biden’s bathroom.  Many people who visit the White House are tempted to swipe a memento, but very few admit it. James Corden, on the other hand, told the entire world in this hilarious confession.

Kellogg’s wants you to add water to its new cereal.  Yes, cereal-ously.

Luxury fashion houses are funneling millions into the metaverse.  Some people are spending big bucks on their digital wardrobes in the metaverse — and luxury labels want a slice of the market.

Most stylish new hotels and spas for 2022 revealed.  Take a moment to marvel at these peaceful destinations created by world-renowned architects.

2022 NFL season preview.  Finally! The wait is over. Here are the teams you should keep an eye on this football season.
PHOTOS OF THE DAY

Queen Elizabeth II waits in the drawing room to receive Liz Truss and invite her to become prime minister and form a new government. The monarch died peacefully at Balmoral on Thursday afternoon, two days after undertaking her final public constitutional duty
Photograph: Jane Barlow/AP

Crowds cheer King Charles III and Camilla, the Queen Consort, as they walk into Buckingham Palace. Huge crowds gathered at the palace, many of whom also laid flowers in tribute to the Queen
Photograph: John Sibley/Reuters

People outside Buckingham Palace react to the announcement of the death of Queen Elizabeth II.
Photograph: Henry Nicholls/Reuters
Market Closes for September 9, 2022

Market Index	Close	Change
Dow Jones	32151.71	+377.19
		+1.19%
S&P 500	4067.36	+61.18
		+1.53%
NASDAQ	12112.31	+250.18
		+2.11%
TSX	19773.34	+360.34
		+1.86%

International Markets

Market Index	Close	Change
NIKKEI	28214.75	+149.47
		+0.53%
HANG SENG	19362.25	+507.63
		+2.69%
SENSEX	59793.14	+104.92
		+0.18%
FTSE 100*	7351.07	+89.01
		+1.23%

Bonds

Bonds		% Yield		Previous % Yield
CND. 10 Year Bond		3.133		3.198
CND. 30 Year Bond		3.148		3.198
U.S.    10 Year Bond		3.3154		3.3151
U.S. 30 Year Bond		3.4527		3.4705

Currencies

BOC Close	Today	Previous
Canadian $	0.7676	0.7637
US $	1.3028	1.3095
Euro Rate 1 Euro=		Inverse
Canadian $	1.3083	0.7644
US  $	1.0043	0.9957

Commodities

Gold	Close	Previous
London Gold Fix	1709.35	1702.65
Oil
WTI Crude Future	86.79	83.54

Market Commentary:
On this day in 1974: Wall Street fell the day after President Gerald Ford pardoned Richard Nixon for the Watergate scandal. The Dow Jones Industrial Average dropped 2.2% that day, on fears that the pardon wouldn’t bring full closure to the scandal. The Dow proceeded to soar by 24.9% over the next year.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose for the third day, climbing 1.9%, or 360.34 to 19,773.34 in Toronto.
The move was the biggest since rising 2% on May 13.
Shopify Inc. contributed the most to the index gain, increasing 8.3%.
Bausch Health Cos. had the largest increase, rising 9.7%.
Today, 213 of 237 shares rose, while 21 fell; all sectors were higher, led by financials stocks.
Insights
* In the past year, the index had a similar or greater gain two times. The next day, it advanced after both occasions
* This year, the index fell 6.8%, heading for the worst year since 2018
* This quarter, the index rose 4.8%
* So far this week, the index rose 2.6%
* The index declined 4.5% in the past 52 weeks. The MSCI AC Americas Index lost 11% in the same period
* The S&P/TSX Composite is 11% below its 52-week high on April 5, 2022 and 8.8% above its low on July 14, 2022
* S&P/TSX Composite is trading at a price-to-earnings ratio of 13.3 on a trailing basis and 12.2 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.1% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.1t
* 30-day price volatility rose to 14.11% compared with 13.35% in the previous session and the average of 13.67% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | 103.8314| 1.7| 29/0
Energy | 71.1909| 2.0| 33/4
Materials | 53.8425| 2.4| 48/2
Information Technology | 41.0643| 4.0| 10/4
Industrials | 40.0137| 1.6| 27/0
Consumer Staples | 16.8002| 2.0| 11/0
Communication Services | 10.8474| 1.1| 6/1
Real Estate | 9.2661| 1.8| 23/0
Consumer Discretionary | 9.2600| 1.4| 10/3
Health Care | 3.0177| 4.1| 7/0
Utilities | 1.2092| 0.1| 9/7
================================================================
| | |Volume VS | YTD
| Index | | 20D AVG | Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
Shopify | 27.4000| 8.3| 19.6| -74.0
TD Bank | 23.2000| 2.2| -29.5| -9.2
RBC | 19.9200| 1.6| -36.3| -4.9
Corus Entertainment | -0.5890| -11.7| 530.2| -33.6
Turquoise Hill | -0.8570| -3.0| 63.2| 95.8
Enghouse | -0.9520| -10.0| 230.7| -38.9
US
By Rita Nazareth
(Bloomberg) — Stocks joined gains in riskier corners of the market, with the dollar slumping after a seemingly unstoppable surge that rattled global currencies and stoked fears of more headwinds for Corporate America.
In a bullish signal, the S&P 500 topped its 100-day average, snapping a three-week losing streak.
The Nasdaq 100 outperformed. Profitless tech firms, meme shares and Bitcoin all rallied.
The greenback pushed away from a record, challenging skeptics who dubbed the drop a correction as calls for a stronger currency were still in place amid tighter Federal Reserve policy.
Investors defied hawkish Fed remarks and recession worries after a rout that drove equities to nearly oversold levels.
Citigroup Inc. said the mood was so pessimistic it would indicate a rebound is afoot if there weren’t so many risks ahead.
The Levkovich Index, a sentiment gauge, fell to -16 this week, a hair away from the -17 level that defines panic.
Bank of America Corp.’s bull-and-bear indicator slid to the “maximum bearish” level — often seen as a contrarian buy signal.  “The tug of war between the bull and bear case for markets boils down to the ability of the Fed to tamp down inflation without crushing economic growth, and how much tightening of monetary policy has been effectively priced in,” wrote Art Hogan, chief market strategist at B. Riley.
Traders almost fully expected another jumbo-sized hike in September, following two 75-basis-point increases.
Fed Bank of St. Louis President James Bullard said he was leaning “more strongly” toward a third straight boost of that magnitude.
His Kansas City counterpart Esther George noted officials have a “clear-cut” case for continuing to remove monetary support.
Fed Governor Christopher Waller said he favors “another significant” increase in rates.
To David Donabedian at CIBC Private Wealth US, this week’s market recovery has shown there is continued resilience in the economy.
But he also pointed out that a sustainable bull market would hinge upon three factors falling into place:
a belief that the Fed is about done with tightening, a convincing inflation downward trend and more realistic expectations for corporate earnings.
“Despite the idea that the Fed will kill the economy, we have not seen any signs of that,” said Donabedian. “We have not reached the bottom of the bear-market yet. Indeed, the journey to the next bull market will take time, and will be marked by a series of setbacks and recoveries.”
In fact, data show that investors might still be more likely to sell the dip than buy it.
The S&P 500’s performance in 2022 following daily moves of at least 1% in either direction has resulted in the worst next-day performance on record, according to Bespoke Investment Group.
This is a stark contrast to 2021, which delivered the best buy-the-dip year since 1963.
US stock funds had outflows of $10.9 billion in the week to Sept. 7, according to EPFR Global data cited by BofA strategists led by Michael Hartnett.
They said an “appalling” mode fueled the biggest exodus in 11 weeks, which was led by tech stocks.
Global equity funds had outflows of $14.5 billion, while $6.1 billion was poured into government and Treasury bonds.
Looking ahead, markets will be focused on the August consumer-price index due Tuesday, the last report before policy makers decide on rates.
While an expected 8% rise in the CPI on the year would suggest inflation is cooling, the core measure that excludes food and energy is seen accelerating.
“For investors, the bottom line is that the central bank shock — particularly from the Fed — is not over,” BofA economists including Ethan Harris wrote. “This means more pressure on interest rates, more weakness in risk assets and further upside for the super-strong dollar.”
Two years after Wall Street lost a closely monitored source of updates on their investing behavior, Robinhood Markets Inc. will distribute information on its users’ top stock holdings in a new index.
The gauge will offer a monthly snapshot of the top 100 stocks that its users are holding with the most “conviction.”
Tesla Inc., Apple Inc. and Amazon.com Inc. are among the top 10 shares.
The list also includes AMC Entertainment Holdings Inc., a meme stock whose volatility has been driven by retail investors.
Some of the main moves in markets:
Stocks
* The S&P 500 rose 1.5% as of 4 p.m. New York time
* The Nasdaq 100 rose 2.2%
* The Dow Jones Industrial Average rose 1.2%
* The MSCI World index rose 1.7%
Currencies
* The Bloomberg Dollar Spot Index fell 0.6%
* The euro rose 0.5% to $1.0044
* The British pound rose 0.7% to $1.1589
* The Japanese yen rose 1% to 142.71 per dollar
Bonds
* The yield on 10-year Treasuries was little changed at 3.32%
* Germany’s 10-year yield declined two basis points to 1.70%
* Britain’s 10-year yield declined five basis points to 3.10%
Commodities
* West Texas Intermediate crude rose 3.3% to $86.30 a barrel
* Gold futures rose 0.4% to $1,727 an ounce
–With assistance from John Viljoen, Emily Graffeo and Isabelle Lee.
Have a wonderful weekend everyone.

Be magnificent!

As ever,
Carolann

It is worth remembering that it is often the small steps, not the giant leaps, that bring about the most lasting change. –Queen Elizabeth II, 1926-2022.

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 Eve.

Queen Elizabeth II may have been given a crown, but her global admiration was earned. — Therese Raphael.

Head here to read more following the death of Britain’s longest-reigning monarch.

PHOTO OF THE DAY

The Union flag is lowered on Windsor Castle on September 08, 2022 in Windsor, England.
Photographer: Chris Jackson

Market Closes for September 8, 2022

Market Index	Close	Change
Dow Jones	31774.52	+193.24
		+0.61%
S&P 500	4006.18	+26.31
		+0.66%
NASDAQ	11862.13	+70.23
		+0.60%
TSX	19413.00	+171.56
		+0.89%

International Markets

Market Index	Close	Change
NIKKEI	28065.28	+634.98
		+2.31%
HANG SENG	18854.62	-189.68
		-1.00%
SENSEX	59688.22	+659.31
		+1.12%
FTSE 100*	7262.06	+24.23
		+0.33%

Bonds

Bonds		% Yield		Previous % Yield
CND. 10 Year Bond		3.198		3.134
CND. 30 Year Bond		3.198		3.135
U.S.    10 Year Bond		3.3151		3.2711
U.S. 30 Year Bond		3.4705		3.4180

Currencies

BOC Close	Today	Previous
Canadian $	0.7637	0.7620
US $	1.3095	1.3123
Euro Rate 1 Euro=		Inverse
Canadian $	1.3091	0.7639
US  $	0.9998	1.0002

Commodities

Gold	Close	Previous
London Gold Fix	1702.65	1702.60
Oil
WTI Crude Future	83.54	81.94

Market Commentary:
On this day in 1916: The U.S. Congress enacted that year’s Revenue Act, creating the federal estate tax
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose for the second day, climbing 0.9%, or 171.56 to 19,413.00 in Toronto.
The move was the biggest gain since Aug. 12.
Royal Bank of Canada contributed the most to the index gain, increasing 1.4%.
NexGen Energy Ltd. had the largest increase, rising 10.0%.
Today, 164 of 237 shares rose, while 67 fell; 8 of 11 sectors were higher, led by financials stocks.
Insights
* This year, the index fell 8.5%, heading for the worst year since 2018
* This quarter, the index rose 2.9%
* So far this week, the index rose 0.7%
* The index declined 6.4% in the past 52 weeks. The MSCI AC Americas Index lost 13% in the same period
* The S&P/TSX Composite is 12.6% below its 52-week high on April 5, 2022 and 6.8% above its low on July 14, 2022
* The S&P/TSX Composite is up 0.4% in the past 5 days and fell 1.3% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 13.1 on a trailing basis and 11.9 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.2% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.07t
* 30-day price volatility fell to 13.35% compared with 13.81% in the previous session and the average of 13.70% over the past month
================================================================
|Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | 96.4824| 1.6| 26/3
Materials | 32.1170| 1.5| 41/8
Industrials | 19.7796| 0.8| 25/3
Energy | 16.9846| 0.5| 25/12
Information Technology | 12.8905| 1.3| 10/4
Consumer Discretionary | 3.2169| 0.5| 10/3
Utilities | 1.6994| 0.2| 11/4
Real Estate | 0.0500| 0.0| 6/16
Health Care | -0.0567| -0.1| 5/1
Consumer Staples | -5.3610| -0.6| 4/7
Communication Services | -6.2469| -0.6| 1/6
================================================================
| | |Volume VS |
| Index | | 20D AVG |YTD Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
RBC | 16.8000| 1.4| -39.6| -6.4
Brookfield Asset Management | 14.9100| 2.3| 9.3| -15.3
Bank of Nova Scotia| 14.1200| 2.4| 45.9| -18.9
Couche-Tard | -2.1920| -0.7| 14.0| 10.4
Enbridge | -2.2350| -0.3| -71.6| 8.9
TC Energy | -3.3500| -0.8| -7.4| 6.1
US
By Rita Nazareth
(Bloomberg) — Volatility gripped the stock market as unsurprising remarks from Jerome Powell and his colleagues did little to alter bets on another super-sized rate hike during the Federal Reserve’s September gathering.
In the final 15 minutes of trading, the S&P 500 extended its advance to close above 4,000 for the first time since late August — pushing further away from a level seen by chartists as critical for short-term direction.
The benchmark swung between gains and losses all day as the Fed’s boss reprised his hawkish views from the Jackson Hole confab, saying officials are strongly committed to their fight against inflation.
A selloff in Treasuries sent the yield on the policy-sensitive two-year note up eight basis points to 3.51%.
Swap traders priced a roughly four-in-five chance that Fed officials will implement a 75-basis-point hike this month.
Powell said the central bank won’t flinch in its efforts to curb inflation “until the job is done.” “We need to act now, forthrightly, strongly as we have been doing,” he noted at a Cato Institute’s conference. “It is very important that
inflation expectations remain anchored,” Powell said, adding that “what we hope to achieve is a period of growth below trend, which will cause the labor market to get back into better balance.”
Separately, Fed Bank of Chicago President Charles Evans said “we could very well do 75 in September,” while adding that he’s “open minded.”
His St. Louis counterpart James Bullard noted that bringing inflation back down to the 2% target is the “top priority.”
“Fedspeak has once again injected volatility (after all, it is September) into the rangebound environment,” wrote Julian Emanuel, chief equity and quantitative strategist at Evercore, highlighting “Powell’s view that the ‘clock is ticking’ on intolerably high inflation expectations becoming part of the American consumer’s behavioral norm.”
To Michael Gapen at Bank of America Corp., the September Fed meeting may still be a “game-time decision.”
Should next week’s consumer inflation data surprise to the downside, that could open the door to a smaller rate increase.
Still, the economist says it’s more likely than not that the Fed will deliver a 75-basis-point hike.
Seasoned investors, staring at a world clouded by war, inflation and economic uncertainty, are buying catastrophe insurance at a record clip.
Institutional traders paid a total of $8.1 billion to initiate purchases of equity puts last week, the highest premium in at least 22 years, Options Clearing Corp. data compiled by Sundial Capital Research show.
Adjusted for market capitalization, demand for hedges matches levels from the 2008 financial crisis.
US stocks could slide a further 25% if the economy tips into recession, with risks to a sustained equity rally mounting, according to Deutsche Bank AG strategists.
With company profits set to drop, valuations still high and economic risks looming, the fundamental picture is challenging, strategists led by Binky Chadha wrote in a note dated Sept. 7.
Their base-case scenario still sees shares rising by year-end.
The recent equity selloff has left beaten-down small caps at the cheapest levels compared to their larger counterparts in nearly two decades, according to Bank of America.
The group’s valuations could offer evidence of a stock bottom since historically, broader markets don’t bounce higher until small caps bottom.
“Very elevated valuation dispersion within the Russell 2000 overall — which can suggest more opportunity for stock selection  — is also supportive for value near-term,”  wrote Jill Carey Hall, equity and quantitative strategist at the firm.
Meantime, European bonds slid after the region’s central bank said it would temporarily remove a 0% cap for remunerating government deposits.
That reduces the incentive to shift billions of euros of public money from cash into short-term debt.
Officials are prepared to deliver another jumbo rate increase at their October meeting if the inflation outlook warrants an additional big step, according to people familiar with the debate.
Elsewhere, oil rebounded from an eight-month low as the market shrugged off a US report showing swelling crude stockpiles and slumping demand.
Traders characterized the move as a technical correction following crude’s descent into oversold territory.
Some of the main moves in markets:
Stocks
* The S&P 500 rose 0.7% as of 4 p.m. New York time
* The Nasdaq 100 rose 0.5%
* The Dow Jones Industrial Average rose 0.6%
* The MSCI World index rose 0.8%
Currencies
* The Bloomberg Dollar Spot Index was little changed
* The euro was little changed at $0.9999
* The British pound fell 0.3% to $1.1503
* The Japanese yen fell 0.2% to 144.02 per dollar
Bonds
* The yield on 10-year Treasuries advanced five basis points to 3.31%
* Germany’s 10-year yield advanced 14 basis points to 1.72%
* Britain’s 10-year yield advanced 11 basis points to 3.15%
Commodities
* West Texas Intermediate crude rose 0.9% to $82.71 a barrel
* Gold futures fell 0.6% to $1,718 an ounce
–With assistance from Andreea Papuc, John Viljoen, Michael MacKenzie, Isabelle Lee and Emily Graffeo.
Have a lovely evening.

Be magnificent!
As ever,

Carolann

I have in sincerity pledged myself to your service, as so many of you are pledged to mine. Throughout all my life and with all my heart
I shall strive to be worthy of your trust. –Queen Elizabeth on her Coronation Day, 1953.
Grief is the price we pay for love. –Queen Elizabeth, on the September 11^th attacks, September 11, 2001.

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:
1822: Independence Day, Brazil.
1914: Opening of NY Post Office.
1996: Rapper Tupac Shakur was shot on the Las Vegas Strip; he died six days later at age 25. Go to article »
 
Queen Elizabeth I, b. 1533.
Grandma Moses, b. 1860.
Buddy Holly, b. 1936.
 
Tips for counting your steps.  If you wear a smartwatch, here’s the magic number of steps you should take each day to reduce your risk of dementia, according to a new study.
 
McDonald’s is adding a new treat for fall.  And surprisingly, it’s not pumpkin or maple flavored…
Apple unveils iPhone 14 with camera upgrades and a satellite feature.
The doomsday glacier in Antarctica is melting faster than once thought.
A lost branch of the Nile helped build the Pyramids.
 
PHOTOS OF THE DAY

This image was taken by a drone to show the working time of rural people during the monsoon season in the wetlands of West Bengal. Two workers occupy the scene with their colourful hats and clothes. Waterlilies create two concentric coloured rings from which one of the two characters seems to emerge
Credit: The Guardian, 7 Sep 2022

Some labourers at work in a salt pan where they move the salt to form circular lines, allowing a slow evaporation in the sun. At the end of the day the salt will be collected in baskets
Credit: The Guardian, 7 Sep 2022

Flamingos sleep together at night for greater security and stay close during the day. In this crowd of bodies the colourful nuances of their plumage and the reflections of the light are eye-catching
Credit: The Guardian, 7 Sep 2022
Market Closes for September 7, 2022

Market Index	Close	Change
Dow Jones	31581.28	+435.98
		+1.40%
S&P 500	3979.99	+71.80
		+1.84%
NASDAQ	11791.90	+246.99
		+2.14%
TSX	19246.40	+158.25
		+0.83%

International Markets

Market Index	Close	Change
NIKKEI	27430.30	-196.21
		-0.71%
HANG SENG	19044.30	-158.43
		-0.82%
SENSEX	59028.91	-168.08
		-0.28%
FTSE 100*	7237.83	-62.61
		-0.86%

Bonds

Bonds		% Yield		Previous % Yield
CND. 10 Year Bond		3.134		3.194
CND. 30 Year Bond		3.135		3.157
U.S.    10 Year Bond		3.2711		3.3454
U.S. 30 Year Bond		3.4180		3.4948

Currencies

BOC Close	Today	Previous
Canadian $	0.7620	0.7604
US $	1.3123	1.3151
Euro Rate 1 Euro=		Inverse
Canadian $	1.3137	0.7612
US  $	1.0010	0.9990

Commodities

Gold	Close	Previous
London Gold Fix	1702.60	1710.95
Oil
WTI Crude Future	81.94	86.88

Market Commentary:
On this day in 1950, as the Japanese economy started struggling back to its feet, the Tokyo Stock Exchange began calculating its share-price index—which in 1970 became the Nikkei 225 average—with a retroactive starting date of May 16, 1949
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose 0.8% at 19,241.44 in Toronto.
The move was the biggest since rising 0.9% on Aug. 12 and follows the previous session’s decrease of 0.9%.
Royal Bank of Canada contributed the most to the index gain, increasing 1.2%.
Osisko Mining Inc. had the largest increase, rising 9.0%.
Today, 185 of 237 shares rose, while 51 fell; 10 of 11 sectors were higher, led by financials stocks.
Insights
* This year, the index fell 9.3%, heading for the worst year since 2018
* This quarter, the index rose 2%
* The index declined 7.5% in the past 52 weeks. The MSCI AC Americas Index lost 14% in the same period
* The S&P/TSX Composite is 13.4% below its 52-week high on April 5, 2022 and 5.9% above its low on July 14, 2022
* The S&P/TSX Composite is down 1.4% in the past 5 days and fell 1.9% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 13 on a trailing basis and 11.8 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.2% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.05t
* 30-day price volatility rose to 13.81% compared with 13.78% in the previous session and the average of 13.72% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | 62.8840| 1.1| 26/3
Industrials | 41.6275| 1.7| 27/1
Materials | 39.1267| 1.8| 45/6
Information Technology | 22.2818| 2.3| 14/0
Consumer Discretionary | 11.5753| 1.7| 11/2
Utilities | 7.1260| 0.7| 14/2
Real Estate | 5.9439| 1.2| 23/0
Communication Services | 4.1246| 0.4| 6/1
Consumer Staples | 3.3259| 0.4| 8/3
Health Care | 2.2952| 3.2| 7/0
Energy | -47.0061| -1.3| 4/33
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
RBC | 13.8700| 1.2| -31.4| -7.7
Canadian Pacific | 12.8900| 2.1| -0.2| 8.4
TD Bank | 12.7900| 1.2| -26.4| -12.2
Cenovus Energy | -7.6230| -3.7| 21.5| 48.9
Suncor Energy | -8.8670| -2.2| 29.6| 26.3
Canadian Natural Resources | -14.6400| -2.6| 17.1| 31.6
US
By Rita Nazareth
(Bloomberg) — Stocks climbed the most in about a month as Treasury yields halted a surge to multiyear highs, with traders sifting through remarks from a slew of Federal Reserve speakers.
Oil plunged, easing concern about price pressures that could imperil the central bank’s war against inflation.
About 95% of the companies in the S&P 500 moved higher, with every group but energy ending in the green.
Only four of the Nasdaq 100’s members fell as a rally in the tech-heavy gauge topped 2%.
Apple Inc. rose after unveiling a new lineup of devices with few surprises beyond one major one: It didn’t raise its US prices during one of the worst years for inflation in decades.
“Stocks are rebounding as the global bond market selloff takes a break,” wrote Edward Moya, senior market analyst at Oanda. “Economic momentum remains for the US economy, and that could only improve if inflation continues to soften. Investors seem poised to enter a holding pattern until the September 13^th inflation report.”
Oil benchmarks took a hit as demand concerns emanating from China prompted a wave of selling as prices breached technical warning levels.
West Texas Intermediate settled below $82 a barrel while Brent closed at $88.
The dollar fell after a rally that rattled currencies around the globe and briefly drove gold below the “danger zone” of $1,700 per ounce.
In the final week before officials enter a blackout period ahead of the Sept. 20-21 policy meeting, Fed Vice Chair Lael Brainard said the US will have to raise interest rates to restrictive levels, while cautioning risks would become more two-sided in the future.
She also sees the scope for lower retail margins to ease price pressures.
Separately, Fed Bank of Cleveland President Loretta Mester warned against declaring early victory on inflation, while her Boston counterpart Susan Collins said it’s too soon to specify what policy makers should do at this month’s gathering.
Fed Vice  Chair for Supervision Michael Barr said that inflation is “far too high” and central bankers are committed to restoring price stability.
High prices and a tight labor market weighed on US economic prospects over the next year, though inflation showed signs of decelerating, the Fed said in its Beige Book.
Equities have tumbled since mid-August amid a panoply of risks spanning from restrictive central banks, Europe’s energy crisis and China’s economic slowdown.
The recent slide in the S&P 500 pared a bounce from June lows that a Goldman Sachs Group Inc. team led by Peter Oppenheimer described as a “bear-market rally.”
The strategists “expect further weakness and bumpy markets before a decisive trough is established.”
American stocks haven’t fallen enough to account for the elevated inflation pressures that will drive the Fed to keep interest rates high for a sustained period of time, said billionaire investor Thomas Peterffy.
The founder and chairman of Interactive Brokers Group Inc. told Bloomberg Television the S&P 500 won’t hit a bottom until it trades at levels between 3,300 and 3,500.
After it reaches that trough, it will stay there for “a while” until the US contends with an inflation-fueled economy.
The gauge closed at 3,979.87 Wednesday.
“Economies all around the world are slowing down, and that’s really not a market that says we’re on the verge of a dynamic rebound in equities,” Margaret Patel, senior portfolio manager at Allspring Global Investments, told Bloomberg Television. “Earnings are going to decelerate a lot. That says a lot of stocks could go down.”
Bank of America Corp. clients were net sellers of US equities for a third straight week.
As the S&P 500 posted weekly losses of over 3%, the group sold $1.9 billion in equities, including exchange-traded funds and single stocks, strategists led by Jill Carey Hall wrote.
The weakening economy should favor continued outperformance for cheaper, so-called value stocks over their growth equivalents, a separate Goldman note from strategists led by Cormac Conners said.
“History shows value stocks outperform around the start of recessions,” they wrote.
What to watch this week:
* European Central Bank rate decision, Thursday
* Fed Chair Jerome Powell due to speak, Thursday
* Chicago Fed President Charles Evans and his Minneapolis counterpart Neel Kashkari due to speak, Thursday
* EU energy ministers extraordinary meeting on emergency intervention in electricity markets, Friday

Some of the main moves in markets:
Stocks
* The S&P 500 rose 1.8% as of 4 p.m. New York time
* The Nasdaq 100 rose 2.1%
* The Dow Jones Industrial Average rose 1.4%
* The MSCI World index rose 1.1%
Currencies
* The Bloomberg Dollar Spot Index fell 0.4%
* The euro rose 1% to $1.0007
* The British pound was little changed at $1.1528
* The Japanese yen fell 0.7% to 143.74 per dollar
Bonds
* The yield on 10-year Treasuries declined nine basis points to 3.26%
* Germany’s 10-year yield declined six basis points to 1.58%
* Britain’s 10-year yield declined seven basis points to 3.03%
Commodities
* West Texas Intermediate crude fell 5.8% to $81.85 a barrel
* Gold futures rose 0.9% to $1,728.60 an ounce
–With assistance from Andreea Papuc, John Viljoen, John McCorry, Sophie Caronello, Alex Longley, John Deane and Edward Bolingbroke.
Have a lovely evening.
 
Be magnificent!
As ever,
 
Carolann
 
 
I want to know God’s thoughts; the rest is details. -Albert Einstein, 1879-1955.
 
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:
September 6, 1997: The funeral of Diana, Princess of Wales, starts at 9:08 am when the tenor bell of Westminster Abbey begins tolling to signal the departure of the cortège from Kensington Palace.
1970:  Palestinian guerrillas seized control of three jetliners, which were later blown up on the ground in Jordan after the passengers and crews were evacuated.  Go to article »
1921: Frist radio broadcast of a prizefight.

Reap the beauty of the full ‘Harvest Moon’ on Sept. 10:  Autumn is on the way, and it’s time to reap the beauty of September’s full moon — popularly called the Harvest Moon.
The next full moon peaks on Saturday, Sept. 10 at approximately 6 a.m. EDT (10 a.m. UTC), although it will appear bright and full in the sky beginning on Friday (Sept. 9) and into Sunday (Sept. 11) as well.
Full Story: Live Science (9/6)

Launch of NASA’s ‘mega moon rocket’ delayed by more than a month: The launch of NASA’s Artemis “mega moon rocket” has been pushed out more than a month, likely to mid-October, after Saturday’s (Sept. 3) second launch attempt was canceled because of an engine leak.The gigantic Artemis 1 rocket — made up of the Orion capsule perched atop the 30-story Space Launch System (SLS) — will be rolled back to the vehicle assembly building, and the next launch window won’t open until at least early October, NASA announced.  Full Story: Live Science (9/5)
PHOTOS OF THE DAY

The Fairview fire in California
Photograph: David Swanson/Reuters
Ferries sail along the Bosphorus as the sun breaks through clouds
Photograph: Francisco Seco/AP

Fifteen-hundred dance school students perform in Piazza del Duomo during the OnDance festival
Photograph: Matteo Corner/EPA
Market Closes for September 6, 2022

Market Index	Close	Change
Dow Jones	31145.30	-173.14
		-0.55%
S&P 500	3908.19	-16.07
		-0.41%
NASDAQ	11544.91	-85.95
		-0.74%
TSX	19088.27	-182.58
		-0.95%

International Markets

Market Index	Close	Change
NIKKEI	27626.51	+6.90
		+0.03%
HANG SENG	19202.73	-22.97
		-0.12%
SENSEX	59196.99	-48.99
		-0.08%
FTSE 100*	7300.44	+13.01
		+0.18%

Bonds

Bonds		% Yield		Previous % Yield
CND. 10 Year Bond		3.194		3.085
CND. 30 Year Bond		3.157		3.033
U.S.    10 Year Bond		3.3454		3.1875
U.S. 30 Year Bond		3.4948		3.3392

Currencies

BOC Close	Today	Previous
Canadian $	0.7604	0.7617
US $	1.3151	1.3128
Euro Rate 1 Euro=		Inverse
Canadian $	1.3023	0.7679
US  $	0.9903	1.0098

Commodities

Gold	Close	Previous
London Gold Fix	1710.95	1694.30
Oil
WTI Crude Future	86.88	86.87

Market Commentary:
On this day in 1993, a consultant named Peter de Jager published “Doomsday 2000,” the first major article to warn about what becomes known as the “Y2K” bug. The world spent hundreds of billions of dollars to reprogram computers so that they could accept dates beyond “1999.” On Jan. 1, 2000, when worldwide meltdown was widely forecast by doomsayers like de Jager, absolutely nothing happened.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite fell 0.9% at 19,088.27 in Toronto. The index dropped to the lowest closing level since July 26 after the previous session’s increase of 0.7%.
Today, energy stocks led the market lower, as all sectors lost; 170 of 238 shares fell, while 64 rose.
Toronto-Dominion Bank contributed the most to the index decline, decreasing 1.7%. Aurora Cannabis Inc. had the largest drop, falling 8.1%.
US
By Rita Nazareth
(Bloomberg) — Stocks trimmed losses from nearly oversold levels, while bond yields soared on bets the Federal Reserve will stay hawkish as it confronts the hottest inflation in about four decades.
After exhausting gyrations, the S&P 500 managed to close slightly above 3,900 — a threshold seen by some technical analysts as a make-or-break level for short-term direction. Treasuries tumbled across the curve, taking the 30-year rate to the highest since 2014. The Bloomberg Dollar Spot Index rose to another record, while the Japanese yen hit a fresh 24-year low.
“We continue to advise against big market direction calls,” said Solita Marcelli, chief investment officer Americas at UBS Global Wealth Management. “Investors should keep their asset allocations closer to their long-term strategic benchmarks. We also recommend incrementally tilting portfolios toward higher- quality and more defensive assets, which should hold up better across multiple scenarios.”
Hedge funds have raised exposure in back-to-back weeks, data from Goldman Sachs Group Inc.’s prime brokerage show, increasing short sales via macro products such as index futures while buying shares of individual firms. The data suggest that money managers are both keen to pick up bargains and leery about the broader market’s direction.
US shares have given up about half of a rally from their June lows after a raft of Fed speakers signaled the central bank will keep its policy tight. While the equity market should still remain in “choppy waters,” several indicators suggest the selling is getting overdone, according to Keith Lerner at Truist Advisory Services.
“Markets do not typically move in a straight line,” said Lerner. “Of course, oversold markets can get more oversold. Still, after advocating for trimming equities on strength, we would be less apt to do so now — at least over the short term.” To Matt Maley at Miller Tabak + Co., any stock gains at his point should be seen as a short-term relief rally. He says traders should use those bounces as an opportunity to get more defensive.
Meantime, one of Wall Street’s biggest bears is turning even more pessimistic on the outlook for profits.
Morgan Stanley strategist Mike Wilson cut his expectations for earnings-per-share growth, saying that a slowing economy is now likely to be a bigger concern for stocks. In 2023, he expects profits to fall 3% — even in the absence of an economic recession.
Investors are unwinding their equity positions as if a deep recession is already here. So say strategists at Deutsche Bank AG, who found that a historically strong link between discretionary investors’ equity exposure and the ISM
manufacturing index is unwinding.
Their current stock exposure stands at the bottom-10^th percentile of historical observations after a sharp drop last week. Historically, that’s been consistent with an ISM print of 47, below the level of 50 that signals an economic contraction.
Traders bracing for a recession jolt have recently accelerated their retreat from stocks, with global equity funds posting outflows of $9.4 billion in the week to Aug. 31 – the fourth-largest redemptions this year, according to EPFR Global data cited by Bank of America Corp.
Amid rising borrowing costs, US companies extended a worldwide wave of issuance — offering the largest amount of bonds in 12 months. The newfound urgency to raise debt is sparked by the potential for greater uncertainty — and higher cost — after this month’s meeting of the Federal Open Market Committee.
Data showing the US service sector expanded at the fastest pace in four months just reinforced trader bets on a still restrictive Fed policy.
In the final week before officials enter a blackout period ahead of the Sept. 20-21 policy meeting, Fed Chair Jerome Powell leads a hefty lineup of central bankers offering their views.
Their remarks will be weighed carefully for evidence of a tilt toward another 75 basis-point rate increase, or if there’s scope for the hiking pace to be dialed back.
“The Fed is going to do whatever it takes to get inflation under control,” said Gene Podkaminer, head of research at Franklin Templeton Investment Solutions. “If market participants don’t believe them, it’s probably at their own peril.”

Some of the main moves in markets:
Stocks
* The S&P 500 fell 0.4% as of 4 p.m. New York time
* The Nasdaq 100 fell 0.7%
* The Dow Jones Industrial Average fell 0.5%
* The MSCI World index fell 0.5%
Currencies
* The Bloomberg Dollar Spot Index rose 0.5%
* The euro fell 0.3% to $0.9903
* The British pound was little changed at $1.1516
* The Japanese yen fell 1.6% to 142.82 per dollar
Bonds
* The yield on 10-year Treasuries advanced 15 basis points to 3.34%
* Germany’s 10-year yield advanced seven basis points to 1.64%
* Britain’s 10-year yield advanced 16 basis points to 3.10%
Commodities
* West Texas Intermediate crude fell 0.2% to $86.67 a barrel
* Gold futures fell 0.7% to $1,711.10 an ounce

–With assistance from Andreea Papuc, John Viljoen, Sagarika Jaisinghani, Emily Graffeo and Isabelle Lee.

Have a lovely evening.

Be magnificent!
As ever,

Carolann

Thinking is difficult, that’s why most people judge. –Carl Jung, 1875-1961.

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.

September 2, 1969: The first automatic teller machine to use magnetic-striped cards opened to the public at Chemical Bank in Rockville Centre, New York.  Go to article »

1666: The Great Fire of London begins accidentally in the house of the king’s baker; it burned four days and destroyed a large part of the city, including Old St. Paul’s Cathedral and about 13,000 houses.
1864: Sherman enters Atlanta.

These cute robots could deliver your next coffee.  Some cafes and hotels have already deployed these coffee-delivering robots that resemble R2D2.

Webb telescope captures its first direct image of an exoplanet.   This planet outside of our solar system is a gas giant located about 385 light-years away from Earth. Take a look at the exoplanet here.

Photographer captures a rainbow in a very unusual place.  Now, these are the type of unexpected photos we actually like to see. Check out this stunning natural phenomenon captured in Washington state.

Stunningly perfect ‘Einstein ring’ captured by James Webb Space Telescope: NASA’s James Webb Space Telescope has snapped a perfect shot of an “Einstein ring.” The stunning halo is the result of light from a distant galaxy passing through warped space-time surrounding another galaxy aligned between the distant light source and Earth.
The new image, which was created by a Reddit-based astronomy enthusiast, is one of the best examples of the trippy astronomical phenomenon ever captured.

7,500-year-old Spanish ‘Stonehenge’ discovered on future avocado farm: Archaeologists have unearthed one of Europe’s largest Neolithic standing stone complexes near the city of Huelva in southwestern Spain, ahead of plans to grow avocados there.  The oldest upright stones — called “menhirs” in many parts of Europe, possibly from a Celtic word for “stone” — could be up to 7,500 years old, and the entire complex consists of thousands of individual stones spread out over 1,500 acres (600 hectares) of the sides and top of a small hill.  Full Story: Live Science (8/30) 

17 people found in a medieval well in England were victims of an antisemitic massacre, DNA reveals: The remains of 17 people, mainly children, found in 2004 during a construction project in Norwich, England, are probably those of medieval Jews massacred for their religion, according to a new study.   Genetic analysis of the remains indicates the dead were all Ashkenazi Jews — that is, the descendants of Jews who had established communities in northern Europe, mainly in what are now Germany and France, during the early medieval period. (Many Ashkenzai later moved from these regions to eastern Europe, after the 11th to 13th centuries.) And other research suggests the dead people in Norwich were murdered during an antisemitic massacre in the city in 1190, by crusaders who had pledged to campaign against Muslims in Jerusalem.  Full Story: Live Science (9/2)
PHOTOS OF THE DAY

A man dressed in a Spider-Man suit checks his phone
Photograph: Mark Baker/AP

Mapuche men, wearing ceremonial masks outside their homes. The men are in charge of driving away negative energies during the Mapuche new year
Photograph: Rodrigo Abd/AP

The world’s largest zoetrope, created by Peter Hudson with Building 180 and Les Machines de l’île, had its premiere in Canning Town as part of the Greenwich and Docklands international festival. The artwork, called Charon, is a 9.8-metre (32ft) high rotating zoetrope with posed human skeletons
Photograph: David Levene/The Guardian
Market Closes for September 2, 2022

Market Index	Close	Change
Dow Jones	31318.44	-337.98
		-1.07%
S&P 500	3924.26	-42.59
		-1.07%
NASDAQ	11630.86	-154.27    -1.31%
TSX	19270.85	+128.13
		+0.67%

International Markets

Market Index	Close	Change
NIKKEI	27650.84	-10.63
		-0.04%
HANG SENG	19452.09	-145.22
		-0.74%
SENSEX	58803.33	+36.74
		+0.06%
FTSE 100*	7281.19	+132.69   +1.86%

Bonds

Bonds		% Yield		Previous % Yield
CND. 10 Year Bond		3.085		3.178
CND. 30 Year Bond		3.033		3.096
U.S.    10 Year Bond		3.1875		3.2552
U.S. 30 Year Bond		3.3392		3.3678

Currencies

BOC Close	Today	Previous
Canadian $	0.7617	0.7603
US $	1.3128	1.3152
Euro Rate 1 Euro=		Inverse
Canadian $	1.3071	1.3081
US  $	0.9956	0.9946

Commodities

Gold	Close	Previous
London Gold Fix	1694.30	1715.90
Oil
WTI Crude Future	86.87	86.61

Market Commentary:
On this day in 1776, a committee led by Thomas Jefferson recommended to the Continental Congress that the U.S. create a basic unit of currency called the “dollar.” The U.S. dollar derived its name from a Spanish and Austrian coin originally called the “thaler” (named for Joachimsthal, a silver-mining town in Bohemia).
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose 0.7% at 19,270.85 in Toronto.
The move was the biggest since rising 0.8% on Aug. 25 and follows the previous session’s decrease of 1%.
Toronto-Dominion Bank contributed the most to the index gain, increasing 1.2%.
Eldorado Gold Corp. had the largest increase, rising 6.2%.
Today, 175 of 238 shares rose, while 60 fell; 7 of 11 sectors were higher, led by materials stocks.
Insights
* This year, the index fell 9.2%, heading for the worst year since 2018
* This quarter, the index rose 2.2%
* So far this week, the index fell 3%, heading for the biggest decline since the week ended July 15
* The index declined 7.3% in the past 52 weeks. The MSCI AC Americas Index lost 15% in the same period
* The S&P/TSX Composite is 13.2% below its 52-week high on April 5, 2022 and 6.1% above its low on July 14, 2022
* S&P/TSX Composite is trading at a price-to-earnings ratio of 13 on a trailing basis and 11.9 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.2% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.06t
* 30-day price volatility rose to 13.59% compared with 13.52% in the previous session and the average of 14.20% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Materials | 53.5234| 2.6| 46/5
Energy | 50.4868| 1.4| 36/1
Financials | 38.3953| 0.6| 24/5
Consumer Staples | 5.2516| 0.6| 8/3
Real Estate | 2.0705| 0.4| 18/4
Communication Services | 0.7647| 0.1| 4/3
Consumer Discretionary | 0.0014| 0.0| 8/5
Health Care | -1.3449| -1.8| 2/4
Industrials | -1.7091| -0.1| 20/9
Utilities | -4.5748| -0.4| 2/14
Information Technology | -14.7371| -1.5| 7/7
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
TD Bank | 12.7800| 1.2| -27.4| -11.8
Royal Bank of Canada | 11.2300| 0.9| -6.0| -8.4
Canadian Natural Resources | 10.7400| 1.9| -33.1| 38.1
Thomson Reuters | -1.8260| -1.1| -4.3| -5.1
Canadian National | -2.5400| -0.4| -4.5| -1.0
Shopify | -12.6700| -3.9| 20.0| -77.3
US
By Elaine Chen
(Bloomberg) — US stocks suffered a third weekly loss after jobs data did little to alter views on the Federal Reserve’s next policy move.
The S&P 500 contended with its longest weekly losing streak since mid-June, as the central bank’s hawkish chorus grew louder in recent days.
The index also ended Friday lower, erasing the gains it notched earlier in the session after the jobs report showed some signs of easing in a still-tight American labor market.
A delay in the opening of a key gas pipeline to Europe bruised sentiment in the afternoon, ahead of a three-day weekend for American markets.
Treasuries rallied on Friday, led by short maturities.
The policy-sensitive two-year yield ended the week nearly where it began, after topping 3.5% earlier.
The labor-market data on Friday add to a bevy of reports this week that validate the Fed’s assertion that the economy is robust enough to withstand more tightening.
Risk assets have been under pressure since Fed Chair Jerome Powell made clear the central bank will raise rates further and keep them elevated until price gains slow.
Despite the reassuring report, markets are still pricing in the likelihood of a three-quarters of a percentage point interest-rate hike this month.
“Unemployment remains relatively low, but the cause may be minimal labor force participation rather than a booming economy,” said Richard Flynn, managing director at Charles Schwab UK. “Investors will be mindful that jobs reports are a lagging indicator that are often strong heading into a recession. Indeed, broader economic indicators have been weakening recently.”
Meanwhile, in a massive blow to Europe, Russia’s Gazprom PJSC said its key gas pipeline to Europe can’t reopen as planned on Saturday as a new technical issue has been discovered.
The news moves the region a step closer to blackouts, rationing and a severe recession.
Investors are already concerned about the European Central Bank possibly raising rates by three-quarters of a percentage point next week.
That, combined with the restriction of natural gas supplies and escalating US-China tensions has worried investors, said Sam Stovall, chief investment strategist at CFRA Research.
Traders “don’t want to take extended long positions and thereby potentially be exposed over the long weekend,” he said.
Concern that rising rates will hurt growth has already weighed on markets, pushing global bonds into their first bear market in a generation.
The Bloomberg Global Aggregate Total Return Index of government and investment-grade corporate bonds down more than 20% from a 2021 peak.

Some of the main moves in markets:
Stocks
* The S&P 500 fell 1.1% as of 4 p.m. New York time
* The Nasdaq 100 fell 1.4%
* The Dow Jones Industrial Average fell 1.1%
* The MSCI World index fell 0.8%
Currencies
* The Bloomberg Dollar Spot Index was little changed
* The euro was little changed at $0.9952
* The British pound fell 0.3% to $1.1508
* The Japanese yen was little changed at 140.25 per dollar
Bonds
* The yield on 10-year Treasuries declined five basis points to 3.20%
* Germany’s 10-year yield declined four basis points to 1.53%
* Britain’s 10-year yield advanced four basis points to 2.92%
Commodities
* West Texas Intermediate crude rose 0.5% to $87 a barrel
* Gold futures rose 0.6% to $1,720.30 an ounce
–With assistance from Cecile Gutscher, Emily Graffeo, Elaine Chen and Vildana Hajric.

Have a wonderful weekend everyone.

Be magnificent!
As ever,

Carolann

Continuous effort, not strength or intelligence – is the key to unlocking our potential. -Sir Winston Churchill, 1874-1965.

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

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

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