March 20, 2019 Newsletter

Dear Friends,

Tangents: The first day of Spring is here!

The night sky will shine a little brighter than usual and…
There will be a full moon on Wednesday at 9:43 p.m. ET, just a few hours after the official start of spring. It’s the first time since 1981 that the spring equinox and a full moon coincide on the same day.
This full moon is also extra special because it will be a supermoon. That means the moon will appear larger than normal because of its close proximity to Earth.
The vernal equinox also is the Persian New Year, known as Nowruz (and other spellings). For more than 300 million people worldwide it’s the start of a monthlong celebration of new beginnings.
In Chichen Itza, Mexico, thousands gather at the Kulkulkan pyramid. In the late afternoon, the sun creates a shadow that looks like a snake sliding down the northern staircase.
And in Stonehenge, England, pagans, druids and tourists watch the picturesque sunrise at the prehistoric monument.
Holi, a major festival in India that marks the start of spring, also begins on March 20 this year. During Holi, people come together for song, dance and to splash their loved ones with colored powder and water.  -from CNN.
Purim also begins tonight.

March 20, 1602: Dutch East India Company was established; it lasted for 196 years.
1852: Uncle Tom’s Cabin was published.
PHOTOS OF THE DAY

People celebrate the early stages of Holi festival in Barsana, India. Credit: Antik Sharma/Solent news & Photo Agency

The Flying Scotsman, passes Corfe Castle on the Swanage Railway in Dorset. The locomotive, owned by the National Railway Museum in York, will be on the Purbeck heritage railway for 20 days from Friday, 22 March to Wednedat, 10 April, 2019. Credit: Andrew Matthews/PA Wire

The William II ship passes a wind turbine as it sails along the north east coast near Whitley Bay in Tyne and Wear after it set off from Blyth in Northumberland on a voyage round the coastline of Great Britain calling at 10 ports en route and changing crews at each stage. Credit: Owen Humphreys/PA Wire
Market Closes for March 20^th, 2019

International Markets

Bonds

Currencies

Commodities

Market Commentary:
On this day in 1929, the most notorious “pool,” or stock manipulation of the 1920s, hit its peak as RCA rose to a new high of $115, or 73 times earnings and 17 times book value. RCA—the dot-com stock of its time—was being bought (and sold short) by such respectable figures as auto maker Walter Chrysler, General Motors executive John J. Raskob and Percy Rockefeller. They got out at the top while most retail investors suffered losses of up to 77% after the bubble burst in the Great Crash.
Canada
By Aoyon Ashraf
     (Bloomberg) — Canadian stocks pared mid-day Fed related gains and closed Wednesday’s session slightly down, along with U.S. stocks. Energy and materials were the best performing sectors, while consumer discretionary was the worst.
     The S&P/TSX Composite Index fell 0.1 percent to 16,167.56. Westshore Terminals was the best performing stock, while BRP Inc was the worst performer.
     Meanwhile, Montreal homes could be the way to play Trudeau’s latest measures to help first-time homebuyers. The new policies could price out much of the Toronto and Vancouver markets. But it could be a big change for more modestly priced markets, including Montreal, Canada’s second-most-populous city.
In other moves:
Stocks
* Westshore Terminals rose 12 percent after 6-day decline
* Canadian energy stocks such Crescent Point Energy, MEG Energy and Nuvista Energy rose after Fed’s dovish stance
* BRP Inc. of Canada fell 3.7 percent. Reports fourth quarter earnings on March 22 
* Franco-Nevada fell 2.1 percent after reporting adjusted EPS that missed estimates on Tuesday afternoon
Commodities
* Western Canada Select crude oil traded at a $10.35 discount to WTI
* Gold futures rose 0.5 percent to $1,313.40 an ounce
FX/Bonds
* The Canadian dollar rose 0.2 percent to C$1.3300 per U.S. dollar
* The Canada 10-year government bond yield fell to 1.670 percent
US
By Vildana Hajric and Sarah Ponczek
     (Bloomberg) — U.S. equities enjoyed a brief recovery, before fading again, after the Federal Reserve signaled it won’t raise rates this year, saying economic growth has slowed. Ten-year Treasury yields headed to their lowest in over a year and the dollar fell.
     The dovish tone of Wednesday’s Fed announcement unleashed a short rally that saw technology shares surge and energy stocks add to gains, lifting the S&P 500 Index out of a session-long funk and pushing the Nasdaq 100 to its highest level since October. But weakness in the financial and health-care sectors left the S&P lower for the day.
     In Europe, a raft of negative corporate news dragged down the Stoxx Europe 600 Index. Germany’s DAX Index led the retreat as BMW AG warned earnings would fall and chemical maker Bayer AG headed for the biggest drop in 15 years after losing the first phase of a U.S. trial over claims its weed killer caused cancer.
     In Asia, Japanese shares finished higher, while most other markets dipped. The pound fell as U.K. Prime Minister Theresa May sought to extend the Brexit deadline, while the opposition called for the public to have the final say over the country’s EU exit. The euro gained after German producer prices missed estimates.
     European sovereign bonds gained. Gold advanced. West Texas crude spiked after an unexpected drop in U.S. oil inventories.
Here are some key events coming up this week:
* Company earnings this week include Tencent, Hermes, Tiffany, Micron, Nike and PetroChina.
* Central banks in the U.K., the Philippines and Indonesia are all scheduled for policy meetings.
* Euro-zone purchasing manager survey numbers on Friday will give an indication of the health of the region’s industrial and service sectors.
And these are the main moves in markets:
Stocks
* The S&P 500 Index fell 0.3 percent as of 4:01 p.m. New York time.
* The Stoxx Europe 600 Index declined 0.9 percent.
* The U.K.’s FTSE 100 Index fell 0.5 percent.
* The DAX Index sank 1.6 percent, its biggest tumble in almost six weeks.
* The MSCI Emerging Market Index gained less than 0.05 percent.
Currencies
* The Bloomberg Dollar Spot Index fell 0.5 percent to a six-week low.
* The euro advanced 0.7 percent to $1.1433, the strongest in over six weeks.
* The British pound sank 0.5 percent to $1.3203.
* The Japanese yen climbed 0.7 percent to 110.62 per dollar.
Bonds
* The yield on 10-year Treasuries decreased eight basis points to 2.53 percent, a 14-month low.
* Germany’s 10-year yield declined one basis point to 0.08 percent.
* Britain’s 10-year yield dipped three basis points to 1.157 percent.
Commodities
* West Texas Intermediate crude gained 1.4 percent to $59.83 a barrel, a four-month high.
* Gold rose 0.6 percent to $1,314.14 an ounce.
–With assistance from Adam Haigh, Charlotte Ryan, Eddie van der Walt, Luke Kawa and Reade Pickert.

Have a great night.

Be magnificent!

As ever,

Carolann

Let us be grateful to people who make us happy:
They are the charming gardeners who make our souls blossom.
                                                  -Marcel Proust, 1871-1922

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