August 30, 2021 Newsletter

Dear Friends,

Tangents:
On Aug. 30, 2005, Hurricane Katrina struck the Gulf Coast with devastating force, killing more than 1,700 people and flooding New Orleans after the city’s levees failed.  Go to article »

Coffee may reduce risk of death from stroke and heart disease.  Just a little something to tell yourself as you head to the coffee pot for a refill

Greenland expedition discovers ‘world’s northernmost island’.  For when you really, REALLY wanna get away. 

The U.S. withdrawal from Afghanistan is complete: The war is over.

Hurricane Ida’s wrath—in pictures.

An AI figured out why “Macbeth” is so creepy. (h/t Alexandra Ivanoff)

PHOTOS OF THE DAY

Thirsty birds guzzle water from a dripping tap. The Cinnamon-breasted bunting, which has a striped head and brown features, was spotted in Salalah, the largest city in Oman. The little group had come to rehydrate at the tap, commonly used by those who live in the mountains for their camels, after feeding mid-morning. 
CREDIT: AMARDEEP SINGH/ SOLENT NEWS & PHOTO AGENCY UK

Flames surround a chair lift at Sierra-at-Tahoe Resort, a skiing area, during the Caldor fire in Twin Bridges, California.
CREDIT: JOSH EDELSON/AFP VIA GETTY IMAGES

Artists dressed in costumes of Hindu deity lord Krishna and his mythological accomplices wait before they perform as a part of Janmashtami festival to mark the birth of Lord Krishna in Kolkata.
CREDIT: DIBYANGSHU SARKAR/AFP VIA GETTY IMAGES

The Pferdestunt stunt horse riding team are pictured riding through flames at the Medieval festival at Herstmonceux Castle, in East Sussex, UK.
CREDIT: ED BROWN/COVER-IMAGES.COM
Market Closes for August 30^th, 2021

International Markets

Bonds

Currencies

Commodities

Market Commentary:
     On this day in 1930, and with the Dow at 240.42, Warren Edward Buffett was born in Omaha, Neb., to stockbroker Howard Buffett and homemaker Leila Stahl Buffett.
Canada
By Aoyon Ashraf
(Bloomberg) — Canadian equity markets dropped as cyclical stocks such as materials, financials and health care companies underperformed. The S&P/TSX Composite fell 0.2% in Toronto, following on the previous session’s increase of 0.7%. Materials stocks were the worst performers, led by miners. Consumer staples and tech stocks were the best performers. Royal Bank of Canada contributed the most to the index decline, decreasing 0.9%. Westport Fuel Systems Inc. had the largest drop, falling 5.6%. The national election next month raises the possibility Canada could impose five-year targets to reduce the oil industry’s greenhouse gas emissions or switch to synchronizing rules with those of economic partners, depending on who among the top political parties forms the country’s next government. Terminal users can read more in our markets live blog.

Insights
* This month, the index rose 1.5%
* The index advanced 23% in the past 52 weeks. The MSCI AC Americas Index gained 30% in the same period
* The S&P/TSX Composite is 0.3% below its 52-week high on Aug.27, 2021 and 33.6% above its low on Oct. 30, 2020
* The S&P/TSX Composite is up 0.6% in the past 5 days and rose 1.5% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 19.3 on a trailing basis and 16.2 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.5% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.25t
* 30-day price volatility fell to 6.63% compared with 7.86% in the previous session and the average of 8.58% over the past month

================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
* Financials | -49.6688| -0.8| 7/21
* Materials | -21.9827| -0.9| 15/38
* Energy | -7.6384| -0.3| 8/14
* Consumer Discretionary | -2.8577| -0.4| 5/6
* Health Care | -1.9359| -0.8| 2/7
* Industrials | -1.6539| -0.1| 18/12
* Utilities | -0.5482| -0.1| 11/4
* Real Estate | 1.3403| 0.2| 19/5
* Communication Services | 4.4084| 0.4| 5/2
* Consumer Staples | 7.9163| 1.0| 11/2
* Information Technology | 22.9555| 0.9| 8/4
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
* Royal Bank of | | | |
* Canada | -12.0100| -0.9| -33.1| 25.3
* TD Bank | -6.8510| -0.7| -20.0| 15.1
* Bank of Nova Scotia| -6.7660| -1.0| 40.3| 14.2
* CGI Inc | 3.6590| 2.2| 28.2| 11.6
* Couche-Tard | 3.8520| 1.3| -12.6| 19.6
* Shopify | 14.0500| 0.9| -51.1| 35.8

US
By Rita Nazareth
(Bloomberg) — Stocks climbed, led by some of the world’s largest technology companies.  Traders also assessed the impacts from Tropical Storm Ida, which sank insurers and energy firms, while pushing gasoline higher. The S&P 500 notched its 12th all-time high in August, and the Nasdaq 100 rallied as Apple Inc.’s market value topped $2.5 trillion.  Robinhood Markets Inc. and Charles Schwab Corp. slid as Securities and Exchange Commission’s Chairman Gary Gensler told Barron’s that a full ban of payment for order flow is “on the table.” As the earnings season draws to a close, the S&P 500 is on track for its seventh straight monthly advance — the longest winning streak since January 2018. Federal Reserve Chair Jerome Powell did just enough last week to preserve the view that his goals align with investors’: growth that is fast enough to boost hiring and corporate profits, but not inflation. U.S. pending home sales fell in July, while traders looked to Friday’s payrolls data for a guide as to whether there’s any slowdown. “Tactical investors should tilt portfolios in favor of stocks over bonds,” said Ryan Detrick, chief market strategist at LPL Financial.  “This certainly does not mean that an exogenous shock could not cause stocks to correct. However, when looking at the recent pace of earnings, the policy environment and market history, we fail to see a compelling bear case against equities.”
For veteran strategist Robert Doll, while the equity-market rally may be getting “a little tired,” it has more than enough fuel to continue. A “still good” economy means that stocks will “generally go up,” Doll, chief investment officer at Crossmark Global Investments Inc., said in an interview on Bloomberg TV’s Surveillance Monday. “A good economy means good earnings, so the path of least resistance has been and likely will continue to be to the upside.”

Some other corporate highlights:
* Affirm Holdings Inc. surged after entering a partnership with Amazon.com Inc. to help consumers finance large purchases made on the e-commerce giant’s website.
* Vinco Ventures Inc., a digital media company, and software firm Support.com Inc. extended rallies fueled by retail investors in chatrooms like StockTwits and on Reddit.
* Airlines fell as European Union countries voted to reimpose restrictions on non-essential travel from the U.S. amid a surge in coronavirus cases.
* Chinese gaming stocks listed in the U.S. were under pressure after regulators in Beijing cut back the amount of time minors can play each week, with NetEase Inc. and Bilibili Inc. dropping.

Here are some key events to watch this week:
* OPEC+ meeting on output Wednesday
* Euro zone manufacturing PMI Wednesday
* China Caixin manufacturing PMI Wednesday
* U.S. jobs report Friday

Some of the main moves in markets:
Stocks
* The S&P 500 rose 0.4% as of 4 p.m. New York time
* The Nasdaq 100 rose 1.1%
* The Dow Jones Industrial Average fell 0.2%
* The MSCI World index rose 0.5%
Currencies
* The Bloomberg Dollar Spot Index was little changed
* The euro was little changed at $1.1799
* The British pound was little changed at $1.3761
* The Japanese yen was little changed at 109.90 per dollar
Bonds
* The yield on 10-year Treasuries fell three basis points to 1.28%
* Germany’s 10-year yield declined two basis points to -0.44%
* Britain’s 10-year yield was little changed at 0.58%
Commodities
* West Texas Intermediate crude rose 0.5% to $69.05 a barrel
* Gold futures fell 0.4% to $1,813.10 an ounce
–With assistance from Andreea Papuc, Robert Brand, Nancy Moran, Vildana Hajric and Kamaron Leach.
Have a lovely evening.

Be magnificent!
As ever,

Carolann

An adventure is only an inconvenience rightly considered.  An inconvenience is only an adventure wrongly considered. –G.K. Chesterton, 1874-1936.

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
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