June 22, 2018 Newsletter

Dear Friends,

Tangents:
Carolann is out of the office this afternoon, I will be writing the newsletter on her behalf.

PHOTOS OF THE DAY

Children play on an art installation that features a projection of a waterfall and flowers at the Mori Building Digital Art Museum in Tokyo, Japan. CREDIT: SHUJI KAJIYAMA/AP

The sun breaks the horizon and shines through the stones at Stonehenge onto crowds of people celebrating the longest day in the UK. CREDIT: GEOFF PUGH FOR THE TELEGRAPH

Barry Balkin takes a dip in a swimming hole prepared at the Casey research station by plunging into icy waters as part of a “mad tradition” as they look forward to brighter days after weeks of darkness. CREDIT: AUSTRALIAN ANTARCTIC DIVISION/AFP/GETTY IMAGES
Market Closes for June 22nd, 2018

International Markets

Bonds

Currencies

Commodities

Market Commentary:
Canada
By Stefanie Marotta
(Bloomberg) — Canadian stocks rose to a fresh record as energy soared amid news of OPEC’s plans to boost output less than some investors had anticipated.
The S&P/TSX Composite Index rose 0.7 percent to 16,450.14 points. Energy climbed 2.3 percent, with Whitecap Resources, Inc. leading gains, up 7.9 percent.
Blackberry plummeted 9.3 percent after investors focused on weak growth in software revenues.
In other moves:
Stocks
* Canada Goose Holdings Inc. tumbled 7.4 percent amid reports that Canada retail sales fell 1.2 percent.
* Canopy Growth Corp. fell 9.1 percent as health care slid 4.1 percent for the first time since surging earlier this week when the Canadian government passed a bill to legalize recreational marijuana.
Commodities
* Western Canada Select crude oil traded at a $24.00 discount to WTI
* Aeco natural gas traded at a $1.63 discount to Henry Hub
* Gold rose 0.1 percent to $1,271.70 an ounce
FX/Bonds
* The Canadian dollar strengthened 0.3 percent to C$1.3272 per U.S. dollar
* The Canada 10-year government bond yield fell two basis points to 2.126 percent
US
By Sarah Ponczek
(Bloomberg) — U.S. stocks climbed following gains in Europe as OPEC’s plans to boost output less than some investors had anticipated sent oil on a tear. Energy shares surged.
The S&P 500 Index rose the most in a week even after Donald Trump revived concerns about a global trade war with a tweet threatening to impose 20 percent tariffs on cars imported from the European Union. Treasuries steadied and the dollar slumped, while a gauge of emerging-market currencies climbed from its lowest level since November.
The benchmark U.S. gauge posted its first weekly loss in more than a month as traders contended with an escalation of trade tensions between the U.S. and China, just as the Federal Reserve signals a faster pace of policy tightening. Positive economic news from Europe provided a counterbalance Friday as a measure of private-sector activity unexpectedly picked up in June, underpinning the European Central Bank’s prediction that a rebound is in the cards.
West Texas oil surged the most since November 2016, climbing above $69 as OPEC and allies including Russia agreed to boost oil production starting next month, overcoming Iran’s threats to veto any supply hike.
“With OPEC, the rumors started yesterday afternoon that this was what they would do,” Joe “JJ” Kinahan, the chief market strategist at TD Ameritrade, said by phone. “When you think about this in terms of the total production, it’s just not that big an increase, so it should be able to support it without a problem.”
Elsewhere, developing-nation stocks advanced. Greece’s creditors struck a landmark deal to ease repayment terms on some of the nation’s loans. Greek bonds jumped, while Italian debt also gained after Thursday’s plunge.
Here’s the main market moves.
Stocks
* The S&P 500 Index rose 0.2 percent at the close of trading in New York, leaving it down 0.9 percent for the week.
* The Stoxx Europe 600 Index rose 1.1 percent.
* The U.K.’s FTSE 100 Index surged 1.7 percent.
* Japan’s Nikkei 225 Stock Average fell 0.8 percent.
* Hong Kong’s Hang Seng Index rose 0.1 percent.
Currencies
* The Bloomberg Dollar Spot Index fell 0.3 percent.
* The euro increased 0.5 percent to $1.166.
* The British pound rose 0.2 percent to $1.3261.
* The Japanese yen was little changed at 109.99 per dollar.
Bonds
* The yield on 10-year Treasuries was little changed at 2.9 percent.
* Germany’s 10-year yield was little changed at 0.33 percent.
* Britain’s 10-year yield jumped four basis points to 1.32 percent.
Commodities
* West Texas Intermediate crude surged 5.7 percent to $69.24 a barrel.
* Gold rose 0.2 percent to $1,270.28 an ounce.

Have a great weekend.

Be magnificent!

As ever,

Megan

“The greatest glory in living lies not in never falling, but in rising every time we fall.” – Nelson Mandela

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