October 7, 2021 Newsletter

Dear Friends,

Tangents:
On Oct. 7, 1985 Palestinian gunmen hijacked the Italian cruise ship Achille Lauro in the Mediterranean with more than 400 people aboard.  Go to article »

Neils Bohr, mathematician, b.1885
Vladimir Putin, President, b. 1952
Yo-Yo Ma, cellist, b.1955.

‘Luxury’ 2,700-year-old toilet discovered in Jerusalem.  It was private AND ergonomically designed! Very fancy. 

How to break a phone addiction.

Chipmunks cause an energy crisis. (h/t Ellen Kominers)

PHOTOS OF THE DAY

Mustasinur Rahman Alvi, 23, from Barishal, Bangladesh, snapped the farmers as they floated through a canal collecting water lilies. Mustasinur says that pink lilies and green lily pads cover the 10,000-acre canal and wetlands area in Barishal Division, Bangladesh and that the flowers are only in bloom during the seasonal flooding which begins in August and ends in November
CREDIT: MUSTASINUR RAHMAN ALVI/ CATERS NEWS AGENCY

The London skyline is seen as the sun begins to set behind it on what has been a warm and sunny day for most of the country. This incredible picture was taken almost 30 miles away from the City of London
CREDIT: RICK FINDLER / STORY PICTURE AGENCY

National Gallery’s Poussin and the Dance exhibition. A pair of performers from Hetain Patel’s upcoming live performance, Baa’s Gold dance amongst the Poussin and Classical Artworks. Posed in front of A Dance to the Music of Time c1634
CREDIT: JULIAN SIMMONDS FOR THE TELEGRAPH

Australian endurance swimmer Chloe McCardel approaches France at sunrise during her attempt to swim across the English Channel to equal the World Record, currently held at 43 crossings, before attempting her record breaking 44th crossing due on Sunday
CREDIT: GARETH FULLER/ PA WIRE

Market Closes for October 7^th, 2021

International Markets

Bonds

Currencies

Commodities

Market Commentary:
     On this day in 1896, the Dow Jones Industrial Average began continuous daily publication. Its 12 members were the great industrial giants of the time: American Cotton Oil, American Sugar, American Tobacco, Chicago Gas, American Spirits Manufacturing, General Electric, Laclede Gas, National Lead, U.S. Cordage, Tennessee Coal & Iron, U.S. Leather, and U.S. Rubber.
Canada
By Natasha Abellard
(Bloomberg) — Canadian equities advanced on Thursday with tech and consumer discretionary stocks leading the way.  The S&P/TSX Composite rose for the third day, climbing 1.1% in Toronto. The move was the biggest since rising 1.2% on June 1. Today, information technology stocks led the market higher, as all sectors gained; 188 of 234 shares rose, while 44 fell. Shopify contributed the most to the index gain, increasing 3.4%. Richelieu Hardware had the largest increase, rising 7.0%.
Insights
* In the past year, the index had a similar or greater gain 13 times. The next day, it advanced 10 times for an average 0.5% and declined three times for an average 0.6%
* This year, the index rose 17%, heading for the best year since 2019
* So far this week, the index rose 1.3%, heading for the biggest advance since the week ended Aug. 27
* The index advanced 24% in the past 52 weeks. The MSCI AC Americas Index gained 29% in the same period
* The S&P/TSX Composite is 2.3% below its 52-week high on Sept. 7, 2021 and 32.4% above its low on Oct. 30, 2020
* The S&P/TSX Composite is up 1.7% in the past 5 days and fell 1.9% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 19.4 on a trailing basis and 16 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.6% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.18t
* 30-day price volatility rose to 9.95% compared with 9.38% in the previous session and the average of 7.90% over the past month
================================================================
|Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
* Information Technology | 69.1285| 3.0| 14/0
* Financials | 45.0218| 0.7| 26/2
* Energy | 37.2105| 1.4| 21/1
* Materials | 28.9482| 1.3| 42/13
* Consumer Discretionary | 16.6663| 2.3| 12/1
* Industrials | 10.0533| 0.4| 26/4
* Real Estate | 7.2839| 1.2| 19/6
* Communication Services | 3.6949| 0.4| 5/2
* Consumer Staples | 3.0861| 0.4| 9/4
* Health Care | 2.1579| 1.1| 6/3
* Utilities | 1.2866| 0.1| 9/7
================================================================
| | |Volume VS | YTD
| Index | | 20D AVG | Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
* Shopify | 45.6900| 3.4| -8.9| 22.2
* Brookfield Asset | | | |
* Management | 16.2000| 2.3| -27.4| 34.0
* Magna International | 9.2960| 4.9| 42.3| 14.0
* Algonquin Power | -0.7290| -0.9| -10.7| -12.7
* Canadian Pacific | -1.7590| -0.4| -17.0| -3.1
* Canadian National | -7.3630| -1.2| -51.1| 4.8

US
By Elaine Chen and Vildana Hajric
(Bloomberg) — U.S. equities rose on Thursday, bolstered by progress on U.S. debt-ceiling talks and easing concerns about Europe’s energy crunch. The S&P 500 climbed as much as 1.5% before nearly halving gains on China’s plans to tighten its supervision over technology companies. The advance was led by the materials and consumer discretionary sectors, extending a three-day rally to 2.3%. The yield on the U.S. 10-year Treasury note climbed to 1.57%, the highest since June. “We’ve had a 24-hour stretch where we’ve pulled back from a few of the key risk drivers that have been concerning markets,” said Giorgio Caputo, senior portfolio manager at J O Hambro Capital Management. Markets have been buffeted in the past month by worries about an energy crisis, elevated inflation, reduced stimulus and slower growth. However, the prospect of a short-term U.S. debt limit extension is easing concern over political bickering. Natural gas prices were also lower on Thursday after signals Russia may increase supplies to Europe. “The volatility we’ve seen in the markets here this week — where we’re up one day, down the next — is really a reflection of the news cycles and the different news that we’ve been receiving,” Chris Gaffney, president of world markets at TIAA Bank, said by phone.
Up next, all eyes will be on Friday’s U.S. nonfarm payrolls, which may shed light on the Federal Reserve’s timeline to cut bond purchases. There is growing optimism the report will show the kind of “decent” jobs growth Fed Chair Jerome Powell said he wants.  U.S. initial jobless claims fell more than expected last week and ADP employment figures beat expectations for September. “Both really reflect that the job market is strengthening and that people are getting back to work,” Gaffney said of the latest employment data. “That certainly bodes well for the markets going forward in that the more people that are working, the more spending can occur as people get back to work.” Oil reversed losses after the U.S. Energy Department said it has no plans to tap oil reserves. The dollar was little changed. Gold fell.

Here are some events to watch this week:
* Reserve Bank of India monetary policy decision on Friday
* The U.S. Labor Department releases unemployment and job creation data Friday

Some of the main moves in markets:
Stocks
* The S&P 500 rose 0.8% as of 4 p.m. New York time
* The Nasdaq 100 rose 0.9%
* The Dow Jones Industrial Average rose 1%
* The MSCI World index rose 1.1%
Currencies
* The Bloomberg Dollar Spot Index was little changed
* The euro was little changed at $1.1554
* The British pound rose 0.3% to $1.3617
* The Japanese yen fell 0.2% to 111.60 per dollar
Bonds
* The yield on 10-year Treasuries advanced five basis points to 1.57%
* Germany’s 10-year yield was little changed at -0.19%
* Britain’s 10-year yield was little changed at 1.08%
Commodities
* West Texas Intermediate crude rose 1.8% to $78.85 a barrel
* Gold futures fell 0.3% to $1,755.80 an ounce
–With assistance from Namitha Jagadeesh, Akshay Chinchalkar, Cecile Gutscher and Andreea Papuc.
Have a wonderful evening.

Be magnificent!
As ever,

Carolann

Once the game is over, the King and the pawn go back into the same box. -Italian Proverb.

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