July 11, 2019 Newsletter

Dear Friends,
Tangents:
On July 11, 1979, the abandoned United States space station Skylab made a spectacular
return to Earth, burning up in the atmosphere and showering debris over the Indian Ocean and Australia.     Go to article »

July 11, 1804: Burr-Hamilton duel.

From todays’ New York Times:
Our art critic…. thought quite highly of “Saint Jerome Praying in the Wilderness,” by Leonardo da Vinci, on loan to the Met in New York from the Vatican’s collections for the 500th anniversary of Leonardo’s death.

The unfinished painting “leaves an expression of fever-pitch emotion ever burning,” he writes.
PHOTOS OF THE DAY

The images show a free diver being swallowed by a massive fish bait ball, made to attract sharks. Vincent E Sousa, an author from Paris, France, photographed his friend Scott Wilson underwater, in the Solomon Islands in the Marovo Lagoon.
CREDIT: CATERS NEWS AGENCY

Children play with water in the fountains around the Unisphere at the Flushing Meadows Corona Park in New York, the United States.
CREDIT: XINHUA / BARCROFT MEDIA
First Edinburgh base jump.
CREDITS: CATRES NEWS AGENCY
Market Closes for July 11^th, 2019

International Markets

Bonds

Currencies

Commodities

Market Commentary:
Cooperation is essential to address 21^st-century challenges; you can’t fire cruise missiles at the global financial crises. -Nicholas D. Kristof, New York Times columnist, 10/23/08.
Canada
By Kristine Owram
(Bloomberg) — Canadian stocks fell even as U.S. equities closed at a record high, with cannabis companies and materials weighing on the benchmark.
The S&P/TSX Composite Index lost 0.2% to 16,527.90. Health- care shares led the decline as pot stocks weakened and pharma company Bausch Health Cos. slid 4.3%. CannTrust Holdings Inc. fell 1.9%, its fourth day of declines after a regulatory breach.
Materials lost 0.8% as gold prices slipped. A key measure of U.S. consumer prices rose more than forecast in June. That failed to boost gold or the miners. Yamana Gold Inc. fell 3.2% and Kinross Gold Corp. slid 2.6%.
In other moves:
Stocks
* Methanex Corp. fell 2.9% to the lowest since 2017 after CIBC downgraded it to neutral on a “lower-for-longer” methanol market outlook
* Cogeco Communications Inc. gained 5.5% to a record high. Third-quarter earnings per share beat analyst estimates
* Alimentation Couche-Tard Inc. slipped 1.5% after the stock was downgraded at TD Securities and Desjardins Securities
Commodities
* Western Canada Select crude oil traded at an $11.25 discount to WTI
* Gold fell 0.4% to $1,406.70 an ounce
FX/Bonds
* The Canadian dollar strengthened 0.1% to C$1.3065 per U.S. dollar
* The Canada 10-year government bond yield rose 4 basis points to 1.62%
US
By Vildana Hajric and Olivia Rinaldi
(Bloomberg) — U.S. equities rallied late to close at a record high, while Treasuries retreated after the latest American inflation reading came in hotter than anticipated. The dollar dropped for a second day and gold slipped.
The S&P 500 gained for a straight third day after drifting much of the session. The benchmark briefly crossed above 3,000, while the Dow Jones Industrial Average surpassed 27,000. A mid- morning tweet from President Donald Trump, complaining about China trade policy, sent equities into a fleeting swoon and showed how sensitive the market remains to trade-related developments. Financial and technology shares led gainers in the
S&P, while real estate and communications lagged. An oil rally stalled out as investors weighed the threat of a tropical storm off the U.S. Gulf Coast against the prospects of more trade conflict. Yields on 10-year Treasuries hit a one-month high. Federal Reserve Chair Jerome Powell, who struck a dovish tone before a congressional panel Wednesday, returned to Capitol Hill to answer senators’ questions and suggested that the
central bank has room to ease as the tie between the inflation and jobless rates has broken down.
“Inflation appears to have stabilized and this will put a wrench in some Fed rate-cut bet forecasts,” Edward Moya, senior market analyst at Oanda, wrote in a note. “With wage pressure not delivering a powerful effect on inflation, we should still see day two of Fed Chair Powell’s testimony keep the rate cut expectations in place for the July 30-31st meeting.”
The Stoxx Europe 600 Index faded late in the session, putting in its fifth straight daily drop. Shares rallied across most of Asia, with the South Korean and Hong Kong markets
outperforming and stocks in China edging higher. Emerging-market equities jumped alongside developing-nation currencies, while the pound continued its rebound from a two-year low as the greenback fell.
This year’s rallies across stocks, bonds and credit got a fresh jolt on Wednesday thanks to comments from Powell that persuaded investors rates are headed lower by at least a
quarter-point in July. Minutes from the central bank’s last meeting further cemented expectations for a cut in borrowing costs.
Here are some key events coming up:
* U.S. producer prices are due on Friday.
Here are the main moves in markets:
Stocks
* The S&P 500 Index rose 0.2% to close at a record high as of 4:01 p.m. New York time.
* The Stoxx Europe 600 Index fell 0.1%.
* The U.K.’s FTSE 100 Index fell 0.3%, its sixth consecutive decline.
* The MSCI Emerging Market Index increased 0.6%.
Currencies
* The Bloomberg Dollar Spot Index dipped 0.1% to the lowest in a week.
* The euro climbed less than 0.05% to $1.1255.
* The British pound climbed 0.2% to $1.2525.
* The Japanese yen rose less than 0.05% to 108.45 per dollar.
Bonds
* The yield on 10-year Treasuries climbed seven basis points to 2.13%, the highest in four weeks.
* Britain’s 10-year yield jumped eight basis points to 0.836%, the largest surge in 14 weeks.
Commodities
* West Texas Intermediate crude rose 0.1% to $60.47 a barrel.
* Gold dipped 0.8% to $1,407.11 an ounce.
–With assistance from Ruth Carson, Chester Yung, Cormac Mullen,
Gregor Stuart Hunter and Laura Curtis.

Have a great evening.

Be magnificent!
As ever,

Carolann

The most wasted day of all is that on which we have not laughed.
                                               -Nicolas Chamfort, 1741-1794

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