April 18, 2018 Newsletter

Dear Friends,

Tangents:
1775- Paul Revere’s midnight ride.
1906- San Francisco earthquake and fire kills over 500.
1955- Albert Einstein died.
1999- Ranger Wayne Gretzky plays his last game and retires from hockey. 
Go to article »
Superman was introduced 80 years ago today. To celebrate, we looked back at the Man of Steel’s milestones. -NYTimes, 4/18/18.
PHOTOS OF THE DAY

A great egret stands in calm water in Fremont, California, US. 
Credit: Vivek Vijaykumar/Solent News & Photo Agency

The city centre of Beijing seen at night. Credit: Fred Dufour/AFP/Getty Images

An Israeli soldier stands in front of a monument engraved with names of fallen Israeli soldiers, ahead of a ceremony marking Memorial Day in Jerusalem, Israel. Credit: Ronen Zvulun/Reuters
Market Closes for April 18^th, 2018

International Markets

Bonds

Currencies

Commodities

Market Commentary:
On this day in 1933, President Franklin D. Roosevelt announced an executive order to embargo exports of gold and free the exchange rate of the U.S. dollar to float against foreign currencies.
Number of the Day
$2.5 billion
The amount that the combined earnings of the four major national banks—JPMorgan Chase, Wells Fargo, Citigroup and Bank of America—increased in the first quarter because of the lower corporate rates under the tax-overhaul law, according to an analysis by The Wall Street Journal.
Canada
By Kristine Owram
     (Bloomberg) — Canadian stocks closed at the highest level in four weeks as oil prices climbed to levels not seen since 2014, while the loonie weakened after the Bank of Canada held rates steady.
     The S&P/TSX Composite Index added 177 points or 1.2 percent to 15,529.97. Energy stocks were the biggest gainers, jumping 2.6 percent as crude prices rose on declines in U.S. stockpiles.
     The materials sector added 1.9 percent as nickel prices surged as much as 12 percent in London, the biggest gain since 2009. Traders are speculating that the U.S. could widen sanctions to more Russian metals companies, pressuring output.
     In other moves:
                          Stocks
* Roots Corp. jumped 9.9 percent to the highest since its October IPO after reporting a 15 percent increase in same-store sales
* Kinder Morgan Canada Ltd. rose 2.8 percent. A poll showed support for its Trans Mountain pipeline expansion is rising in British Columbia, where Premier John Horgan is looking to block it
* DHX Media Ltd. fell 4.7 percent to the lowest since 2013 after announcing new executive appointments
                          Commodities
* Western Canada Select crude oil traded at a $17.25 discount to WTI, the widest gap in more than two weeks
* Gold rose 0.3 percent to $1,351.20 an ounce, the highest in a week
                          FX/Bonds
* The Canadian dollar weakened 0.6 percent to C$1.2630 per U.S.dollar
* The Canada 10-year government bond yield rose four basis points to 2.29 percent
US
By Randall Jensen
     (Bloomberg) — U.S. stocks edged higher as investors parsed a mixed bag of earnings and rising oil prices boosted energy producers. Treasuries fell and the dollar advanced amid signs geopolitical tensions are easing.
     The S&P 500 eked out a third straight gain, with the advance fading in the final half hour of trading amid light volume. IBM Corp.’s weak results dragged the Dow Jones Industrial Average to a loss. Oil surged around 3 percent after an industry report showed crude inventories fell, driving energy stocks higher.
     Treasury yields rose toward 2.87 percent in the wake of a Federal Reserve report Wednesday that showed trade concerns cast a shadow over an otherwise solid outlook for the economy. The dollar gained for a second day after the U.S. said it’s already started direct talks with North Korea and Russian leader Vladimir Putin was said to be seeking to dial down tensions with America.
     “It’s important to note that whenever we get periods where the politics are quiet or looking like they’re going to stabilize, markets are doing well,” George Maris, Janus Henderson’s co-head of equities, said in an interview at Bloomberg’s New York headquarters. “And the reason for that is the underpinning of the economy and of companies right now is really good.”
     There’s once again no shortage of catalysts for investors across the globe, from corporate fundamentals and geopolitics to simmering trade tensions and growth concerns. The bulls appear to have the upper hand as the earnings season starts.
     Elsewhere, nickel surged to the highest in more than three years on the London Metal Exchange on worries that the metal used in stainless steel could be caught in the crossfire of any further sanctions against Russia. Turkey’s lira extended gains after Prime Minister Recep Tayyip Erdogan called for snap elections.
     Here’s what to watch out for this week:
* Finance ministers and central bank chiefs from around the world gather for spring meetings at the IMF in Washington.
     Here are the main moves in markets:
                           Stocks
* The S&P 500 Index rose 0.1 percent to 2,708.64 as of 4 p.m.New York time.
* The Stoxx Europe 600 Index advanced 0.3 percent.
* The U.K.’s FTSE 100 Index gained 1.3 percent to the highest in two months.
* Germany’s DAX Index rose 0.1 percent.
* The MSCI Emerging Market Index advanced 1 percent, the biggest rise in more than a week.
                           Currencies
* The Bloomberg Dollar Spot Index rose 0.2 percent.
* The euro was steady at $1.2373.
* The British pound decreased 0.6 percent to $1.4199.
* The Japanese yen fell 0.2 percent to 107.23 per dollar.
                            Bonds
* The yield on 10-year Treasuries increased four basis points to 2.87 percent, the highest in more than three weeks.
* Germany’s 10-year yield gained two basis points to 0.53 percent.
* Britain’s 10-year yield fell two basis points to 1.414 percent.
                            Commodities
* West Texas Intermediate crude advanced 3.4 percent to $68.76 a barrel.
* Copper surged 2.6 percent to $3.18 a pound, the highest in five weeks.
* Gold rose 0.1 percent to $1,348.47 an ounce.
* LME nickel surged 8 percent to $15,335 per metric ton, the highest in more than three years on the biggest jump in more than six years.
–With assistance from Paul Dobson, Janine Wolf, Samuel Potter and Sarah Ponczek.

Have a great evening.

Be magnificent!

As ever,

Carolann

Money doesn’t buy everything.  It’s accomplishments, and what you’re doing and giving.
-Barbara Bush, 1925-2018

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