February 8, 2019 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

Waves batter the sea defences at Aberystwyth on the Cardigan Bay coats of West Wales at high tide this morning. A yellow Met Office warning for wind has been covering most of the UK issued for tomorrow until Saturday, with the likelihood of travel disruption. Credit: Keith Morris/LNP

Kitesurfers kitesurf in good wind and weather on in Tableview, about 15km from the centre of Cape Town, South Africa. Credit:  Rodger Bosch AFP/Getty Images

Misty sunrise captured in Dorset. Photographer James Loveridge said “This was taken from Lambert’s Castle on the Dorset/Devon border, looking across the Marshwood Vale countryside, a fantastic view to see when driving out of the fog and cloud – I never knew pylons could look beautiful!”. Credit:  BNPS
Market Closes for February 8^th, 2019

International Markets

Bonds

Currencies

Commodities

Market Commentary
Canada
     (Bloomberg) — Canadian stocks fell for a second day, despite employment increasing by 66,800 in January.
     The S&P/Toronto Stock Exchange Composite Index weakened 0.5 percent Friday. Health care led the decliners and energy stocks extended their retreat. The Horizons Marijuana Life Sciences Index ETF lost 2.7 percent.
Stocks
* Hive Blockchain Technologies Ltd. gained 18.6 percent
* Plus Products Inc. rose 5.8 percent 
* ARC Resources Ltd. advanced 8 percent after 4Q EPS beat estimates 
* Emerald Health Therapeutics Inc. lost 10.4 percent 
* Linamar Corp. dropped 7.6 percent after being downgraded to neutral at Macquarie 
* Interfor Corp. lost 4.7 percent;the CFO said on an earnings call “the tariffs for lumber heading to China have certainly had their impact” 
* Enbridge Inc. lost 2.8 percent after being downgraded to neutral at UBS 
Commodities
* Western Canada Select crude oil traded at a $11 discount to WTI
* Gold rose about 0.3 percent to $1,314.10 an ounce
FX/Bonds
* The Canadian dollar gained 0.3 percent to C$1.3265 per U.S. dollar
* The Canada 10-year government bond yield climbed to 1.883%
US
By Jeremy Herron
     (Bloomberg) — U.S. stocks ended virtually unchanged after a tech-led rally in the final minutes of trading salvaged the session.
     The S&P 500 eked out a gain to avoid its worst weekly drop since December, led by a rebound in tech shares spurred by better-than-expected earnings. Equities were under pressure all day after Australia’s central bank joined European and British officials in tamping down economic forecasts, while at the same time the prospects for an extension of the U.S.’s trade detente with China continued to fade.
     In corporate news, Motorola Solutions surged after a strong report. Hasbro tumbled after its earnings disappointed, while rival Mattel gained on a positive results. Amazon slid as the feud between its CEO and President Donald Trump took an unexpected turn.
     The 10-year Treasury yield slumped a fourth day and gold futures remained above $1,300 an ounce. Renewed fears over the potential for more protectionist measures helped push emerging-market equities down for a third session. China’s market remained shut for Lunar New Year, though Hong Kong reopened and shares finished slightly lower.
     The host of threats that sent equities into a tailspin at the end of 2018 bubbled back to the surface this week. The U.S. and China look unlikely to reach a deal before the March 1 deadline for higher tariffs, while warnings mount that the dispute is hurting global growth and corporate profits. The U.S. government could be headed for another shutdown as political tensions flare between Congress and the president. Only the Federal Reserve, which made an abrupt about-face in its policy stance, hasn’t added to anxiety this week.
These are the main moves in markets:
Stocks
* The S&P 500 rose less than 0.1 percent at 4 p.m. in New York.
* The MSCI All-Country World Index dropped 0.5 percent, pushing a weekly slide to 0.7 percent.
* The Stoxx Europe 600 Index decreased 0.6 percent.
* The MSCI Emerging Market Index dipped 0.6 percent.
Currencies
* The Bloomberg Dollar Spot Index was little changed.
* The euro fell 0.2 percent at $1.1322.
* The British pound fell 0.2 percent to $1.2932.
* The Japanese yen was steady at 109.78 per dollar.
Bonds
* The yield on 10-year Treasuries declined five basis points to 2.63 percent, the lowest in more than a week.
* Germany’s 10-year yield fell eight basis points to 0.087 percent.
* Britain’s 10-year yield dropped nine basis points to 1.151 percent.
Commodities
* West Texas Intermediate crude rose 0.1 percent $52.71 a barrel.
* Gold advanced 0.3 percent to $1,318.60 an ounce.

Have a great weekend.

Be magnificent!

As ever,

Karen

“There is only one happiness in this life, to love and be loved.” George Sand

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