June 25, 2019 Newsletter

Dear Friends,

Tangents:
Today is Anthony Bourdain’s birthday. Two of the late CNN host’s long-time friends, chefs José Andrés and Eric Ripert, want fans to share memories of him with the hashtag #BourdainDay. -CNN

ICYMI
Mirazur is the best restaurant in the world. This is the first time chef Mauro Colagreco and his sunny Provencal dining room have clinched the top spot; previously it was No. 3. That’s in part because executives behind the World’s 50 Best Restaurants list made a profound change to the rules this year, decreeing that no previous winner can be tops again — or even be ranked. Gaggan in Bangkok was No. 4 and the best restaurant in Asia. The best of North America was Mexico City’s Pujol, coming in at No. 12. Listen to the Latest in Food podcast about the world’s best restaurants. -Bloomberg News

And…
On June 25, 1951, The first commercial color telecast took place as CBS transmitted a one-hour special from New York to four other cities.  Go to article »

June 25, 1950: Korean War Begins
After decades of Japanese occupation, Korea was divided in two by Allied Forces at the end of World War II, with the south administered by the US and the north by Soviet Russia.  Deep divisions built over several years, leading to skirmishes and finally an invasion by North Korean troops on June 25^th, 1950.  The United Nations sent troops and support from 21 countries to support South Korea, primarily from the United States and Britain.  The war lasted for three years, with large advances and retreats on both sides, and many casualties.  Hundreds of thousands of civilians and soldiers were killed.  The two Koreas are technically still at war since hostilities ended in a ceasefire, not a peace treaty, in 1953.  It is often referred to as “The Forgotten War.”

Canadian Memorial Naechon/Kapyong
PHOTOS OF THE DAY

Performer Lijana Wallenda begins her high wire walk near the New Years Eve Ball above Time Square in New York City. On Saturday night, Nik and Lijana Wallenda successfully walked and crossed paths a quarter-mile on a wire strung 25 stories above Midtown Manhattan.
CREDIT: UPOO/BARCROFT MEDIA

Members of the public attend an opening event for the “Fly The Flag” project, a major new project for which artist and activist Ai Weiwei has designed a new flag at Somerset House in London, England. The project marks the 70^th anniversary of the Universal Declaration of Human Rights.
CREDEIT: JOHN PPHILLIPS/ GETTY IMAGES

Former U.S. astronauts Harrison Schmitt, Clarlie Duke, Alfred Warden, Buzz Aldrin, Russel Schweickart and Walter Cunningham address a news conference of the Starmus Festival V in Zurich, Switzerland.
CREDIT: REUTERS/ARND WIEGMANN
Market Closes for June 25th, 2019

International Markets

Bonds

Currencies

Commodities

Market Commentary:
On this day in 1974, Texas Instruments and three of its key engineers, Jack S. Kilby, Jerry D. Merryman and James H. VanTassel, received U.S. Patent No. 3,819,921 for their hand-held aluminum calculator. The gizmo weighed 2 lbs. and 13 oz. It could add, subtract, multiply and divide. It sold for between $84.95 and $119.95.
Canada
By Michael Bellusci
     (Bloomberg) — Canadian equities fell for a third-straight session, following the U.S. market lower.
     The S&P/TSX Composite Index fell 0.9% to 16,371 led by technology while materials also underperformed. No sector advanced Tuesday. Shopify Inc.’s biggest drop of 2019 shows the e-commerce stock is testing the limits of what investors are willing to pay for rapid revenue growth.
In other moves:
Stocks
* New Gold Inc. gained 9.1% after B.C. environmental approval
* MedMen Enterprises Inc. jumped 6.8% 
* Flowr Corp. lost 20% after an equity offering
* MAG Silver Corp. dropped 6.4% 
* Osisko Gold Royalties Ltd. fell 5.3% after share offering
Commodities
* Western Canada Select crude oil traded at a $12.95 discount to WTI
* Spot gold rose 0.2 to $1,422.75 an ounce
FX/Bonds
* The Canadian dollar strengthened 0.1% to C$1.3163 per U.S. dollar
* The Canada 10-year government bond yield fell to 1.440%
US
By Randall Jensen and Sarah Ponczek
     (Bloomberg) — U.S. stocks fell the most in more than three weeks as Federal Reserve Chairman Jerome Powell warned the downside risks to the economy have increased and Trump administration officials signaled a trade deal at the Group of 20 meeting is unlikely. Treasuries and the dollar advanced.
     The S&P 500 fell for a third-straight session, the longest streak since May 9, as Powell reiterated the case for somewhat lower interest rates, but stopped short of signaling a cut was imminent. Markets have been pricing in a reduction of nearly 50 basis points in July. St. Louis Fed President James Bullard said a cut of that magnitude seemed unwarranted.
     Tech shares led losses, with the Nasdaq 100 falling more than 1.7%, after a senior Trump administration official told Bloomberg the U.S. won’t accept further conditions on tariffs as part of reopening negotiations and no detailed trade deal is expected from the leaders’ summit.
     The two-year Treasury was little changed around 1.73%, while the 10-year dropped below 2%, a level that until last week it hadn’t breached in three years. The dollar rose for the first time in six sessions.
     With stress between the U.S. and Iran building and the White House apparently playing down hopes of a trade breakthrough when Trump and China’s Xi Jinping meet this week, investors have edged away from risk assets following the recent central bank-fueled rally. The market has been betting the Fed will produce deep cuts to interest rates this year, and comments by officials Tuesday highlighted investor sensitivity to any hints that may not happen.
     There’s “the short-term headlines related to people watching the G-20 and the potential for any news related to the US-China negotiations. That’s one piece that in the shorter run is making the markets a little uneasy. The other one is related to the geopolitical tensions with Iran,” said Omar Aguilar, the chief investment officer for equities at Charles Schwab Investment Management. “The bigger picture still drives the markets, which is we have lower interest rates coming up and the market continues to place a big bet on a July rate cut by the Fed.”
     Elsewhere, Drugmaker Allergan surged after agreeing to be bought by AbbVie Inc. Bitcoin extended its gains through $11,000. West Texas oil edged lower as investors weighed escalating tensions between the U.S. and Iran against the possibility of OPEC+ extending production cuts.
Here are some key events coming up:
* MSCI Inc. announces results of its 2019 Market Classification Review on Tuesday, including whether Kuwait gets upgraded from frontier to emerging-market status.
* The Group of 20 summit is in Osaka, Japan on Friday and Saturday.
These are the main moves in markets:
Stocks
* The S&P 500 Index fell 0.95%, the biggest decline since May 31, as of 4 p.m. New York time.
* The Stoxx Europe 600 Index dipped 0.1%.
* The MSCI Emerging Market Index sank 0.8%.
* The MSCI Asia Pacific Index decreased 0.4%.
Currencies
* The Bloomberg Dollar Spot Index rose 0.1%.
* The euro dropped 0.3% to $1.1370, the first retreat in a week.
* The British pound declined 0.4% to $1.2696.
* The Japanese yen climbed 0.1% to 107.16 per dollar.
Bonds
* The yield on 10-year Treasuries declined three basis points to 1.99%.
* Germany’s 10-year yield fell two basis points to -0.31%, the lowest on record.
* Britain’s 10-year yield dipped two basis points to 0.794%.
Commodities
* West Texas Intermediate crude was little changed at $57.89 a barrel.
* Gold increased 0.6% to $1,426.50 an ounce.
–With assistance from Cormac Mullen and Samuel Potter

Have a great night.

Be magnificent!
As ever,

 Carolann

 Champions keep playing until they get it right.

                            -Billie Jean King, b. 1943

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
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www.carolannsteinhoff.com