November 8, 2018 Newsletter

Dear Friends,

Tangents:

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

PHOTOS OF THE DAY

Brazilian Lucas Chumbo big waves surfer drops a wave during a surf session at Praia do Norte in Nazare, Portugal. CREDIT: Octavio Passos/Getty Images

After a voyage of more than 20,000 km, York Minster has taken delivery of a brand new concert grand piano in a project financed and led by Bresbode Pianos of Leeds. The piano will be on loan to the cathedral by kind permission of Bresbode’s for the next two years during the renovation of the Minister’s grand organ. CREDIT: Charlotte Graham

Russian honour guards march during the military parade at Red Square in Moscow, as Russia marks the 77th anniversary of the 1941 historical parade, when Red Army soldier marched past the Kremlin walls towards the front line to fight Nazi Germany troops during World War Two. CREDIT: Mladen Antonov/AFP/Getty Images 
Market Closes for November 8^th, 2018

International Markets

Bonds

Currencies

Commodities

Market Commentary:
Canada
By Carolina Wilson
    (Bloomberg) — Canadian stocks closed lower on Thursday for the first time this week, as Wednesday’s rally for weed stocks took a quick turn, pushing shares of cannabis companies into the red.
    The S&P/TSX Composite Index fell less than 0.1 percent, with the health care and energy sectors adding the most downward pressure to the benchmark. Consumer discretionary and telecommunications stocks led gains.
     In energy, oil producers are pressing the government to consider how to revive Enbridge’s proposed Northern Gateway pipeline in a bid to add capacity, but there’s no sign that’s likely. Figures released from Canada’s statistics agency revised down its gross domestic product figures for the last three
years, largely reflecting an even bigger growth slowdown in 2015 and 2016.
Stocks
* Bombardier Inc. plunged 24 percent after making 5,000 job cuts, and selling its Turboprop and training units
* Trican Well Service dropped 14 percent after third-quarter revenue missed the average analyst estimate 
* Altus Group lost 13 percent one day after trading was halted
* Canadian Tire Corp. rose almost 11 percent after the retailer of everything from hockey sticks to hammers posted higher-than- expected profit and raised its dividend
Commodities
* Western Canada Select crude oil traded at a $43 discount to WTI
* Gold lost 0.4 percent to $1,224.30 an ounce
FX/Bonds
* The Canadian dollar fell 0.3 percent to C$1.31510 per U.S. dollar
* The Canada 10-year government bond yield dropped to 2.544%
US
By Vildana Hajric
     (Bloomberg) — U.S. stocks fell from a one-month high as traders awaited the results of a Federal Reserve policy meeting in Washington. Benchmark Treasury yields dipped while the dollar strengthened.
     Tech shares underperformed after Jack Dorsey’s Square Inc. gave a disappointing earnings forecast and Roku Inc. reported slower growth. European stocks pared an earlier advance spurred by strong earnings from companies including AstraZeneca Plc, though they remained in the green after an upbeat day in Asia.
     Oil fell for a ninth straight session. While the resignation of Attorney General Jeff Sessions has threatened to prolong U.S. political uncertainty after Tuesday’s midterm elections, attention may now shift to the Fed meeting.
     Investors largely anticipate interest rates won’t change, so instead they’ll be focused on looking for any signals on the pace of policy tightening into 2019. “After you’ve seen a big move up yesterday, it’s not surprising that markets are somewhat flat,” said Wayne Wicker, the chief investment officer at Vantagepoint Funds. “Fundamentals seem to be solid. Now analysts will move past the midterm elections to focus on calibrating what future growth will be.”
     Meanwhile, Italian bond yields jumped after the European Union warned the nation’s budget deficit will move dangerously close to the bloc’s limit of 3 percent. U.S. filings for unemployment benefits held near an almost five-decade low, indicating a robust job market. China reported a surge in exports and imports for October, months before the next round of tariff hikes in the trade war with the U.S. is set to kick in. 
These are the main moves in markets:
Stocks
* The S&P 500 Index fell 0.3 percent as of 1:32 p.m. in New York; the Nasdaq 100 sank 0.7 percent.
* The Stoxx Europe 600 Index increased 0.2 percent after gaining as much as 0.8 percent.
* The Nikkei-225 Stock Average rose 1.8 percent to a two-week high
* The MSCI Emerging Market Index slipped 0.3 percent.
Currencies
* The Bloomberg Dollar Spot Index increased 0.4 percent.
* The euro fell 0.3 percent to $1.1394.
* The British pound declined 0.3 percent to $1.3087.
* The Japanese yen fell 0.4 percent to 113.92 per dollar, the weakest in almost five weeks.
Bonds
* The yield on 10-year Treasuries declined one basis point to 3.23 percent.
* Germany’s 10-year yield rose one basis point to 0.45 percent.
* The yield on Italy’s 10-year bonds jumped six basis points to 3.39 percent.
Commodities
* Gold fell 0.2 percent to $1,224.70 an ounce, its fifth consecutive decline.
* West Texas Intermediate crude fell 1.3 percent to $60.88 a barrel, the ninth consecutive decline.

Have a wonderful evening.  

Be magnificent!

As ever,

Dani

“I learned this, at least, by my experiment; that if one advances confidently in the direction of his dreams, and endeavors to live the life which he has imagined, he will meet with a success unexpected in common hours.” Henry David Thoreau

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