Author: Carolann

Dear Friends,

Tangents:

In answer to the question, What Is the Point?  The Poet, John Burnside writes:

As any teenager can tell you, it’s a short step from asking the question: “What does it all mean?” to arriving at the inevitable answer: “Nothing.”  Meaning is constructed by each person after her own fashion, his own nature; there is no universal formula or divine plan – no “all” – that can make individual lives meaningful.  At first, such a realization can lead to dismay; befuddled by the schemes and promises of our elders and betters we had trotted dutifully to school and kirk and community discos full of the blithe enthusiasm youth is cursed with, in the sure expectation that a worthwhile life would just fall into place, with a modicum of effort, so long as we did the right things.  Maturity, love and marriage, job satisfaction, happiness – they were all out there, waiting to be achieved.  So we thought, until this perennial teenager’s question cropped up, and we began to doubt.

  Doubt is a good thing, most of the time.  As is the shedding of illusions, however painful the process.  For after dismay, after the insomniac nights and the hollow feeling in the pit of the mind, what follows (if our supposed betters can be persuaded to refrain from meddling) is the gradual understanding that, since meaning is neither fixed nor universal, it is determined, to a significant extent, by the power of the individual imagination.  True, there is a world out there that would compel us to conform, to consume, to render unto Caesar.  But we are, nevertheless, free to resist, free to imagine, free to furnish our lives, and the terrain we inhabit, with meanings that derive from our own nature, and from the nature of our home terrain.

  Henry Miller remarked that “life has to be given a meaning because of the obvious fact that it has no meaning.”  But he also said that “the aim of life is to live, and to live means to be aware, joyously, drunkenly, serenely, divinely aware.”  In a conformist society, the attainment of that joyous, drunken, serene awareness is both an act of resistance and a personal achievement, for it says to hell with Caesar and his tawdry coin, and leaves each of us to invest life with all the intangible and unaccountable forms of wealth that the imperial minions in their counting house can scarcely begin to imagine.

PHOTOS OF THE DAY

Dark clouds fill the Autumn sky over the jetty in Andernos, southwestern France. Regis Duvignau/Reuters

A person looks at the almost complete ceramic poppy art installation by artist Paul Cummins entitled ‘Blood Swept Lands and Seas of Red’ in the dry moat of the Tower of London in London, Sunday. The finished installation will be made up of 888,246 ceramic poppies, with the final poppy being placed on Armistice Day on November 11. Each poppy represents a British and Commonwealth military fatality from World War I. Thousands of visitors have come to see the installation over the last few days. Tim Ireland/AP

Market Closes for November 4^th, 2014    

Market Index	Close	Change
Dow Jones	17383.84	+17.60
		+0.10%
S&P 500	2011.91	-5.90   -0.29%
NASDAQ	4623.637	-15.270   -0.33%
TSX	14390.43	-147.19
		-1.01%

International Markets

Market Index	Close	Change
NIKKEI	16862.47	+448.71
		+2.73%
HANG SENG	23845.66	-70.31
		-0.29%
SENSEX	27860.38	-5.45
		-0.02%
FTSE 100	6453.97	-34.00
		-0.52%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	2.029	2.040
CND. 30 Year Bond	2.577	2.588
U.S.    10 Year Bond	2.3353	2.3425
U.S. 30 Year Bond	3.0486	3.0638

Currencies

BOC Close	Today	Previous
Canadian $	0.87669	0.88056
US $	1.14066	1.13564
Euro Rate 1 Euro=		Inverse
Canadian $	1.43126	0.69868
US $	1.25477	0.79696

Commodities

Gold	Close	Previous
London Gold Fix	1168.45	1166.56
Oil	Close	Previous
WTI Crude Future	77.19	78.78

Market Commentary:

Canada

By Eric Lam

     Nov. 4 (Bloomberg) — Canadian stocks fell for a second day, sending the benchmark index to a two-week low, as crude oil dropped to the lowest level in three years and Bank of Nova Scotia cut jobs amid writedowns in Latin America.

     Scotiabank, the third-largest lender by assets in Canada, dropped 2.3 percent as it eliminates 1,500 jobs and writes down its investment in Venezuela. Lightstream Resources Ltd. and Athabasca Oil Corp. retreated at least 6.1 percent as energy shares traded near the lowest level in a year. WestJet Airlines Ltd. lost 5.7 percent after third-quarter profit missed estimates. The Canadian dollar sank to a five-year low versus the U.S. currency.

     The Standard & Poor’s/TSX Composite Index fell 147.19 points, or 1 percent, to 14,390.43 at 4 p.m. in Toronto, the lowest since Oct. 22. The index gained 0.5 percent last week, paring its second straight monthly loss to 2.3 percent.

     “It appears Saudi Arabia’s meddling has rattled resolve,”  said Greg Eckel, a fund manager at Morgan Meighen & Associates Ltd. in Toronto. His firm manages about C$1.4 billion. “These have been very volatile times. Hopefully this isn’t the start of another long drop-off we have to climb out of with energy getting spooked.”

     Five of the 10 industries in the benchmark Canadian equity gauge retreated today on trading volume 13 percent above the 30- day average at this time of the day.

     The loonie, as the Canadian dollar is known for the image of the aquatic waterfowl on the C$1 coin, lost 0.4 percent to C$1.1408 per U.S. dollar after touching C$1.1427, the weakest since July 2009. One loonie buys 87.65 U.S. cents.

     Scotiabank declined 2.3 percent to C$67.19, the biggest decline in two months. The bank will take a C$451 million ($396 million) charge as it cuts about 1,500 jobs, writes down its investment in Venezuela and loans sour in the Caribbean.

     Two-thirds of the job losses will be in Canada, including some head-office positions. The charge, to be taken in the fourth quarter, will cut diluted earnings per share by 28 Canadian cents.                           

     Athabasca Oil tumbled 9.7 percent to C$3.16, a record, and Talisman Energy Inc. sank 9.5 percent to C$6.26 as the S&P/TSX Energy Index retreated 3.2 percent, the most in three weeks. Lightstream Resources lost 6.1 percent for an eighth straight day of losses, reaching an all-time low.

     Bellatrix Exploration dropped 8.5 percent to C$4.72, the biggest decline in two years, after reporting third-quarter earnings short of analysts’ estimates.

     Crude for December delivery fell 2 percent to $77.19 a barrel in New York. U.S. crude inventories climbed 1.9 million barrels last week to a four-month high, a Bloomberg News survey shows before government data tomorrow. Saudi Arabia yesterday cut prices for crude exports to U.S. customers while also raising prices in Asia and Europe, sparking a selloff.

     WestJet lost 5.7 percent to C$30.20, the most since May 2013. The Calgary-based airliner said net income dropped 20 percent in the quarter as the Canadian dollar fell, spending rose on new capacity and maintaining planes and an aircraft disposal resulted in a one-time charge.

US

By Joseph Ciolli

     Nov. 4 (Bloomberg) — Most U.S. stocks fell, pulling the Standard & Poor’s 500 Index down from near a record, as energy companies slumped after oil reached a three-year low and forecasts from Sprint Corp. to Priceline Group Inc. disappointed investors.

     Exxon Mobil Corp. and Chevron Corp. paced losses in energy shares as oil sank to as low as $75.84 a barrel in New York. Sprint tumbled 16 percent as the wireless carrier lost subscribers for an 11th straight quarter. Priceline slid 8.4 percent on a weaker-than-projected sales forecast.

     The Standard & Poor’s 500 Index fell 0.3 percent to 2,012.10 at 4 p.m. in New York as investors also await election results to see if Republicans wrest control of the Senate. The Dow Jones Industrial Average rose 17.6 points, or 0.1 percent, to 17,383.84 as Procter & Gamble Co. and Wal-Mart Stores Inc. led gains. About 7 billion listed shares changed hands in the U.S., 9.5 percent higher than the three-month daily average.

     “Look at the price of oil way down — that tells you everything you need to know,” Michael James, a Los Angeles- based managing director of equity trading at Wedbush Securities Inc., said in a phone interview. “There might be some important things that come out of the election, but none of them will be bigger than the momentum from earnings and the impact that the price of oil will have on market sentiment.”

     The S&P 500 rebounded 8.3 percent from a six-month low on Oct. 15 through yesterday, fueled by better-than-forecast economic data and improving earnings reports. The gain has pushed the index to trade at 16.7 times the members’ projected profit, near its highest multiple since 2009. Both the S&P 500 and the Dow closed at all-time highs last week amid optimism the Bank of Japan’s stimulus will fill some of the gap left by the end of Federal Reserve bond buying.

     Republicans are poised to make gains in U.S. elections today, though several races remain tight and it’s too close to call yet whether the party will capture enough seats to seize control of the Senate. In the House, Republicans appeared likely to expand their majority. The Senate is the question, with Republicans looking to pick up a net gain of six seats.

     A Commerce Department report showed factory orders slipped 0.6 percent in September, matching economists’ forecasts. Other data today showed the trade deficit in the U.S. widened in September as exports cooled from a record, highlighting how weakening global growth will affect the American economy. The gap grew by 7.6 percent to $43 billion, the largest since May.

     Concern over the global economy intensified as the European Commission cut its growth forecast for the euro area and said inflation will be even weaker than the European Central Bank predicts. The ECB meets Nov. 6 to deliberate on monetary policy amid increasing the pressure for the central bank to consider additional stimulus.

     Paul Singer’s Elliott Management Corp. said optimism on U.S. growth is misguided as economic data understate inflation and overstate growth, and central bank policies of the past six years aren’t sustainable.

     The market turmoil in the first half of October may be a “coming attractions” for the next real crash that could turn into a “deep financial crisis” if investors lose confidence in the effectiveness of monetary stimulus, Elliott wrote in a third-quarter letter to investors, a copy of which was obtained by Bloomberg News.

     Fed Bank of St. Louis President James Bullard said a drop in oil is bullish for the economy. He said in an interview on Fox Business Network that he’s looking for a fairly robust economy in the fourth quarter.

     About three stocks declined for every two that rose in the U.S. The Russell 2000 Index of smaller companies lost 0.4 percent. Energy shares sank 1.9 percent for the biggest drop among the 10 main industries in the S&P 500.

     Exxon Mobil slid 0.8 percent and Chevron fell 1.2 percent as 38 of 43 energy companies in the S&P 500 retreated. West Texas Intermediate crude slid for a fourth straight day as Saudi Arabia cut prices for oil exports to U.S. customers amid speculation that stockpiles increased. WTI has lost 28 percent from this year’s high in June. Brent crude touched a four-year low today.

     Investors are also watching earnings for further clues to the health of the U.S. economy. Prudential Financial Inc., 21st Century Fox Inc., and Walt Disney Co. are among more than 80 S&P 500 companies posting financial results this week.

     Of the S&P 500 companies that have reported results so far for the third quarter, 81 percent have exceeded profit projections, while 61 percent posted better-than-forecast sales.

     Sprint plunged 16 percent. Efforts to lure subscribers with price reductions have taken a toll on industry profits, and Sprint lowered its forecast for earnings for this year, citing the ongoing loss of customers. The wireless carrier also is eliminating about 6.5 percent of its 31,000 employees, a month after announcing an earlier round of job cuts.

     Priceline slipped 8.4 percent after forecasting fourth- quarter revenue less than analysts’ estimates as customers cut back on travel plans and a stronger dollar curbs growth. Third- quarter revenue climbed 25 percent, topping analysts’ average projection.

     Herbalife Ltd. tumbled 21 percent. The nutrition company cut its earnings forecast for the year and said sales are suffering following a change in some policies for its distributors in response to criticism by hedge-fund manager Bill Ackman.                          

     Johnson & Johnson, Hewlett-Packard Co. and Cisco Systems Inc. gained after Jefferies & Co. published a report naming them as companies that could benefit from tax reform. The companies may see a lower headline tax rate, fewer deductions and an improved ability to repatriate overseas cash at a lower tax rate, the report said.

     The Bloomberg U.S. Airlines Index rose 2.8 percent to its highest level since 2001 as the slump in crude oil boosted their earnings prospects. Delta Air Lines climbed 4.2 percent, while United Continental Holdings Inc. and American Airlines Group Inc. gained more than 1.6 percent.

     Michael Kors Holdings Ltd. shares fell 8.4 percent after same-store sales missed estimates, raising concern that one of fashion’s biggest growth stories is losing momentum.

     L Brands Inc. climbed 2.5 percent. The owner of the Victoria’s Secret lingerie brand raised its third-quarter earnings forecast. Office Depot Inc. surged 25 percent after boosting its forecast for the year.

 

Have a wonderful evening everyone.

 

Be magnificent!

The key to cosmic awareness, to a consciousness of God,

is in the understanding of the soul.

Rabindranath Tagore

As ever,

 

Carolann

 

Learning never exhausts the mind.

     -Leonardo da Vinci, 1452-1519

 

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM

Senior Vice-President &

Senior Investment Advisor

 

Queensbury Securities Inc.,

St. Andrew’s Square,

Suite 340A, 730 View St.,

Victoria, B.C. V8W 3Y7

Dear Friends,

Tangents:

November, from the  Latin novem,  meaning  nine.  It was the ninth month in the ancient Roman calendar, when the year began in March.
No sun – no moon.
No morn – no noon –
No dawn – no dusk – no proper time of day.
No warmth, no cheerfulness, no healthful ease,
No comfortable feel in any member –
No shade, no shine, no butterflies, no bees,
No fruits, no flowers, no leaves, no birds –
November!

                -Thomas Hood, 1844.

I finished reading Longbourn by Jo Baker last night and I highly recommend it.  Baker tells the servants’ story of the family from Jane Austen’s Pride & Prejudice.  It really is a very good read.

PHOTOS OF THE DAY

The late Earl of Pueckler-Muskau Hermann’s grave ‘Tumulus’ is seen against autumn colors in Branitz park in Cottbus, Germany. The Earl was buried in 1871. Hannibal/Reuters

Daredevil Nik Wallenda performs his blindfolded walk along a tightrope between two skyscrapers suspended 500 feet above the Chicago River in Chicago Sunday night. Jim Young/Reuters

Market Closes for November 3^rd, 2014    

Market Index	Close	Change
Dow Jones	17366.24	-24.28
		-0.14%
S&P 500	2017.37	-0.68   -0.03%
NASDAQ	4638.906	+8.165   +0.18%
TSX	14531.40	-81.92
		-0.56%

International Markets

Market Index	Close	Change
NIKKEI	16413.76	+755.56
		+4.83%
HANG SENG	23915.97	-82.09
		-0.34%
SENSEX	27860.38	-5.45
		-0.02%
FTSE 100	6487.97	-58.50
		-0.89%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	2.040	2.047
CND. 30 Year Bond	2.588	2.589
U.S.    10 Year Bond	2.3425	2.3281
U.S. 30 Year Bond	3.0638	3.0582

Currencies

BOC Close	Today	Previous
Canadian $	0.88056	0.88762
US $	1.13564	1.12661
Euro Rate 1 Euro=		Inverse
Canadian $	1.41785	0.70529
US $	1.24850	0.80096

Commodities

Gold	Close	Previous
London Gold Fix	1166.56	1171.96
Oil	Close	Previous
WTI Crude Future	78.78	80.54

Market Commentary:

Canada:

By Eric Lam

     Nov. 3 (Bloomberg) — Canadian stocks fell, erasing an earlier gain, as crude oil dropped to the lowest level in more than two years after Saudi Arabia lowered the cost of its oil to U.S. customers.

     Lightstream Resources Ltd. plunged for a seventh straight day. Athabasca Oil Corp. and Suncor Energy Inc. sank at least3.6 percent as energy shares led the Standard & Poor’s/TSX Composite Index lower. Torex Gold Resources Inc. jumped 12 percent after making the first loan drawdown in connection with its gold project in Mexico.

     The S&P/TSX fell 75.70 points, or 0.5 percent, to 14,537.62 at 4 p.m. in Toronto. The index gained 0.5 percent last week, paring its second straight monthly loss to 2.3 percent.

     Five of the 10 industries in the benchmark Canadian equity gauge retreated today on trading volume 15 percent lower than the 30-day average.

     China’s Purchasing Managers’ Index slowed to 50.8 in October, trailing the 51.2 median estimate of analysts in a Bloomberg News survey and compared with September’s 51.1. A property slump and slowdown in investment growth has put the world’s second-largest economy on course for the slowest full- year growth since 1990. Readings above 50 indicate expansion.

     Athabasca Oil fell 4.1 percent to C$3.50 and Suncor Energy sank 3.6 percent to C$38.57, the biggest drop since April 2013. Crude in New York tumbled 2.2 percent to close at $78.78 a barrel, the lowest since June 2012. Saudi Arabian Oil Co. cut prices for all grades to the U.S. in the face of soaring North American output.

     Lightstream Resources lost 7.1 percent to C$2.77, a record low. The stock has plunged 27 percent in seven days. The company last week reported third-quarter profit slumped to C$6.9 million from C$52 million a year ago.

     Torex Gold climbed 12 percent to C$1.34 after drawing $45 million from a $375 million loan facility to pay for development at its El Limon-Guajes project in Mexico. The company will receive further advances on a monthly basis.

US

By Joseph Ciolli

     Nov. 3 (Bloomberg) — Most U.S. stocks fell, following a monthly advance that sent benchmark indexes to records, as energy companies dropped with the price of oil after Saudi Arabia cut the cost of crude sent to American customers.

     The Standard & Poor’s 500 Index slipped less than 0.1 percent to 2,017.81 at 4 p.m. in New York as about five U.S. stocks fell for every four that rose. The Dow Jones Industrial Average lost 24.28 points, or 0.1 percent, to 17,366.24. The Nasdaq Composite Index rose 0.2 percent to the highest level since March 2000. Almost 7 billion listed shares changed hands in the U.S., 9 percent higher than the three-month daily average.

     “The market was trading in a range before oil went south on Saudi Arabia’s announcement that it’ll temper U.S. prices,” Stephen Carl, principal and head equity trader at New York-based Williams Capital Group LP, said in a phone interview. “The market made a quick reversal back to elevated levels, so that’s always a concern, and perhaps you’re seeing a bit of profit taking and resistance to start the week.”

     The S&P 500 has rebounded 8.3 percent from a six-month low on Oct. 15, fueled by better-than-forecast economic growth and improving earnings reports. The gain has pushed the index to trade at 16.8 times the members’ projected profit, near its highest multiple since 2009.

     Both the S&P 500 and the Dow closed at all-time highs last week amid optimism the Bank of Japan’s stimulus will fill some of the gap left by the end of Federal Reserve bond buying.

     Manufacturing data today added to evidence that the world’s largest economy can sustain a withdrawal in central-bank stimulus. The Institute for Supply Management’s factory index increased to 59 in October, matching August as the highest since March 2011, after 56.6 the prior month. Readings above 50 indicate expansion. A gauge of production was the strongest in a decade.

     A slowdown in Chinese manufacturing highlighted diverging growth outlooks for America, Asia and Europe. The Chinese government’s Purchasing Managers’ Index released over the weekend was at 50.8 in October, trailing the 51.2 median estimate of analysts in a Bloomberg News survey and compared with September’s 51.1. Readings above 50 indicate expansion.

     Other U.S. releases this week will probably show services industries grew last month, while the unemployment rate remained at a six-year low.

     Earnings reports may provide further clues to the health of the U.S. economy. American International Group Inc., Time Warner Inc., and Walt Disney Co. are among more than eighty S&P 500 companies posting financial results this week. Analysts predict profit for members of the gauge rose 8 percent in the third quarter, higher than the 4.9 percent growth projected a month ago. Sales probably increased 3.6 percent in the three-month period, the estimates show.

     Seven out of 10 major industries in the S&P 500 rose, with technology and consumer-staples companies leading gains.

     Energy shares in the S&P 500 decreased 1.7 percent as a group, reversing an earlier gain of 0.8 percent. Exxon Mobil Corp., Chevron Corp. and Schlumberger Ltd. lost at least 1.5 percent to pace declines in 38 of the 43 stocks.

     West Texas Intermediate oil dropped to the lowest level in more than two years after Saudi Arabia reduced the cost of its crude to U.S. customers in the face of soaring North American output. Futures tumbled 2.2 percent to close at $78.78 a barrel in New York. Saudi Arabian Oil Co. cut prices for all grades to the U.S., the company said today in an e-mailed statement.

     Apple Inc. climbed 1.3 percent to $109.40. The company is holding calls with investors today to discuss a bond sale, according to a person familiar with the matter.

     The world’s most valuable technology company hired Goldman Sachs Group Inc. and Deutsche Bank AG to organize the calls, said the person, who asked not to be identified because they’re not authorized to speak about it. A London-based spokesman for Apple declined to comment on whether the securities would be denominated in euros.

     Sapient Corp. jumped 42 percent to $24.60. Publicis Groupe SA, a French advertising company, agreed to pay $3.7 billion for Boston-based Sapient, which owns digital advertising agency SapientNitro. Sapient shareholders will get $25 in cash for each share they own.

     Covance Inc., a provider of contract research services for drug companies, surged 26 percent to $100.57. Laboratory Corp. of America Holdings will buy the company for about $6.1 billion, or cash and stock valued at $105.12 a share, according to a statement today.
 

Have a wonderful evening everyone.

 

Be magnificent!

Your reactions  are shared by all humanity.

Your brain is not yours,

it has evolved through centuries of time.

So we are questioning deeply whether there is an

individual at all.  We are the whole of humanity, we are the rest of mankind.

Krishnamurti

As ever,

 

Carolann

 

A fanatic is one who can’t change his mind and won’t change the subject.

                                                         –Winston Churchill, 1874-1965

 

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM

Senior Vice-President &

Senior Investment Advisor

 

Queensbury Securities Inc.,

St. Andrew’s Square,

Suite 340A, 730 View St.,

Victoria, B.C. V8W 3Y7

Dear Friends,

Tangents:

Samhain: Wiccan New Year.

By Zoe Mintz, International Business Times:
Candles lit for the celebration of Samhain. Flickr

Many Wiccans, Druids and other pagans across the globe will be marking the beginning of their spiritual new year with the two-day festival of Samhain. The most widely observed pagan festival begins for most pagans on Oct. 31 — known to others as Halloween.

“At its core, Samhain is the start of winter and of the new year in the old Celtic calendar,” Jason Pitzl, a Wiccan from Eugene, Oregon, told International Business Times. “This is a time when the ancestors are honored, divinations for the new year are performed, and festivals are held in honor of the gods. It is a time of final harvest before the long winter ahead.”

Depending on geographical location, pagans celebrate Samhain at different times and in different ways. Some will choose to wait until the nearest weekend to the full moon to hold ceremonies. Others observe it a bit later, around Nov. 6, to mark the midpoint between fall equinox and winter solstice. In the southern hemisphere, Samhain takes place towards the end of April and beginning of May.

Rituals can include bonfires, dancing, feasting and ceremonies honoring ancestors and those who have died in the past year. For those unfamiliar with Samhain, below are three answers to common questions surrounding the pagan festival.

What is Samhain?

Samhain, pronounced saah-win or saa-ween, comes from the Gaelic word “Samhuin,” which means summer’s end. It is one of the eight annual Celtic festivals and one of eight “sabbats” that modern pagans celebrate in the course of the year. Paganism is an umbrella term for a movement of different nature-based religions. It is not related to Satanism or any form of devil worship.

“Samhain is the turning of the wheel. It feels almost like shutting off the lights for the evening or closing down the store for the night,” Heather Greene, the managing editor of a pagan news site, the Wild Hunt, told IBTimes. “It is time to go inward and focus on family and self.”

For many, the festival is a time to honor ancestors and those who have died in the past year. Seances are popular rituals since this is the time when the veil between this world and the spiritual one is at its thinnest, pagans believe.   

“It’s a kind of memorial day for pagan people. The strongest theme is that of remembering, honoring and paying respects to the beloved dead,” Selena Fox, a pagan priestess and co-executive director of Circle Sanctuary, a Wiccan church based in southwestern Wisconsin, told IBTimes.

Common rituals?

There are several rituals that can be practiced during Samhain. Some decide to celebrate in group settings, while others choose to perform rituals in private.

“For me, Samhain has always been a very personal festival. My own celebrations have been either as a solitary practitioner or in a group of very close friends,” Green, who has celebrated Samhain as a Wiccan for 20 years, told IBTimes.

Many rituals involve creating an altar table with objects that relate to a particular ceremony. For instance, to honor one’s ancestors, an altar can include family photos and heirlooms. A family tree, postcards and flags from that person’s country or hometown can also be used. Family members can say blessings, light candles to honor the deceased and, later, eat a meal. 

Other rituals include bonfires, divinations like tarot card readings, reflecting on the past year, meditative nature walks and commemorating the dead with a cemetery visit, telling ancestors’ stories and preparing a Feast of the Dead. The latter involves placing an empty setting at the dinner table for the deceased. Each person is meant to give an offering from their plate to the one that belongs to the deceased. A variation of this is called a “Samhain Dumb Supper” where the meal is conducted in silence.

“Typically, my family and I celebrate Samhain by having an Ancestor’s Feast. I make foods that highlight both mine and my husband’s ethnic backgrounds to honor our ancestors,” Danie Newcomb, a practicing pagan from Arkansas, told IBTimes. Her family also goes to a local cemetery to pick up trash and lay flowers. “This is a great way to show our respect for those who have passed, while also respecting the earth through cleaning the grounds,” she said.  

Jasmeine Moonsong, a Wiccan high priestess in Massachusetts, says Samhain is also a time to set plans in motion for the coming year.

“An example of this would be to write down what it is we desire in the New Year and light some candles and incense that correspond to our desires in the hopes of raising the energy to attract those things,” she told IBTimes. “A simple example would be money. If you are wishing to attract more prosperity you could light green candles, use bay leaves and burn a honeysuckle candle in the hopes of attracting more wealth in the coming year.”

What’s the difference between Samhain and Halloween?

In the eighth century, the Catholic Church decided to mark Nov. 1 as All Saints Day to honor saints and martyrs. This was in part influenced by the pagan festivals already taking place during this time of the year. The mass on All Saint’s Day was called Allhallowmas in English. As a result, the night before became known as All Hallows Eve. This eventually became the popular holiday, Halloween.

While they might take place on the same day and mark the end-of-harvest season, Samhain and Halloween have different focuses. Halloween is considered a secular folk holiday celebrated by people of all denominations. Samhain is a religious observance honoring the dead. Rituals are somber and done in private.  

While part of Samhain festivities involve a certain level of grief and mourning, there are celebrations orcéilidh (a Gaelic term) that take place. At Circle Sanctuary, a Wiccan church in Wisconsin, there’s a witch’s ball where people dress up in every version of witch imaginable. The term signifies herbalists, healers, medicine persons and shamans who lived in old European villages — not necessarily the black hat, green-faced women flying on broomsticks seen today. Although some people do dress up as those kinds of witches, Selena Fox said.

“We have a joyful evening. Some dress up outfits, sometimes in classic witch garb seen in pop culture,” Fox says, describing battery-operated wands and broomsticks she sees at the annual celebration — especially since the release of the Harry Potter books and movies. “We have some fun with it,” she said.

And…

On this day in 1926, Harry Houdini, the great escape artist, found a trap from which he couldn’t escape. Twelve days prior, speaking to a group of students in his dressing room, he commented on the strength of his stomach muscles. One of the students sought to test him, and punched him, hard. Houdini was taken off guard, and the blows actually ruptured his appendix (whether or not he was already suffering from appendicitis isn’t clear). He died on Halloween day of peritonitis.

PHOTOS OF THE DAY

A man in a scarecrow costume, part of a Hershey candies promotion for Halloween, walks on the floor of the New York Stock Exchange. Richard Drew/AP

A polar bear eats a pumpkin during a Halloween celebration in the Tiergarten Schoenbrunn zoo in Vienna. Leonhard Foeger/Reuters

Market Closes for October 31^st, 2014    

Market Index	Close	Change
Dow Jones	17390.32	+194.90
		+1.13%
S&P 500	2015.96	+21.31   +1.07%
NASDAQ	4630.742	+64.604   +1.41%
TSX	14618.92	+160.23
		+1.11%

International Markets

Market Index	Close	Change
NIKKEI	16413.76	+755.56
		+4.83%
HANG SENG	23998.06	+296.02
		+1.25%
SENSEX	27865.83	+519.50
		+1.90%
FTSE 100	6546.47	+82.92
		+1.28%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	2.047	2.047
CND. 30 Year Bond	2.589	2.587
U.S.    10 Year Bond	2.3281	2.3058
U.S. 30 Year Bond	3.0582	3.0463

Currencies

BOC Close	Today	Previous
Canadian $	0.88762	0.89340
US $	1.12661	1.11932
Euro Rate 1 Euro=		Inverse
Canadian $	1.41204	0.70820
US $	1.25327	0.79791

Commodities

Gold	Close	Previous
London Gold Fix	1171.96	1200.73
Oil	Close	Previous
WTI Crude Future	80.54	81.12

Market Commentary:

Canada

By Eric Lam

     Oct. 31 (Bloomberg) — Canadian stocks rose, capping a third straight weekly advance, after the Bank of Japan’s surprise decision to expand its monetary stimulus program sparked a global rally in equity markets.

     Toronto-Dominion Bank and Bank of Nova Scotia advanced more than 1.1 percent to lead gains among bank shares. Kinross Gold Corp. and First Majestic Silver Corp. plunged at least 7.7 percent as gold and silver prices slumped to the lowest levels since 2010. A measure of raw-materials producers retreated to the lowest price since December 2008.

     The Standard & Poor’s/TSX Composite Index rose 154.63 points, or 1.1 percent, to 14,613.32 at 4 p.m. in Toronto, capping a 0.5 percent gain for the week. The index pared its second straight monthly loss to 2.3 percent. It had rallied three consecutive months before that.

     “This is where we do have an opportunity and some very healthy upside potential,” said Philip Petursson, director of director of institutional equities at Manulife Asset Management Ltd. in Toronto. His firm manages about $281 billion. “It is contingent on where commodity prices go.”

     Eight of the 10 industries in the benchmark Canadian equity gauge advanced today on trading volume 17 percent higher than the 30-day average.

     Toronto-Dominion, the largest bank in Canada, climbed 1.3 percent to a one-month high, and Bank of Nova Scotia increased 1.1 percent to C$69.02. The S&P/TSX Financials Index rallied 1.1 percent for a second straight advance.

     Bank of Japan Governor Haruhiko Kuroda and four of eight board members voted to raise the central bank’s annual target for enlarging the monetary base to 80 trillion yen ($723 billion) from 60 to 70 trillion yen, an increase forecast by only three of 32 analysts surveyed by Bloomberg.

     Air Canada, the nation’s largest airline, rose for a seventh straight day, adding 1.5 percent to a three-month high of C$9.30. The union representing the company’s pilots ratified a 10-year labor agreement.

     The Canadian economy unexpectedly shrank in August, led by a decline in oil and gas extractors. Gross domestic product decreased 0.1 percent, Statistics Canada said. The economy remains hobbled by weak exports and business investment, which Bank of Canada Governor Stephen Poloz says are critical to building the recovery.

     Lightstream Resources Ltd. tumbled 8.3 percent to a record low of C$2.98, after reporting declining profit yesterday. The stock has slumped 22 percent in the past six days.

     Goldcorp Inc., the biggest producer of gold by market value, rose 1.7 percent to C$21.20 to erase an earlier loss and snap a two-day slide. The stock had dropped 17 percent in the prior two days after Goldcorp posted a surprise loss amid higher costs and lower-than-estimated production.

     Kinross Gold sank 12 percent to C$2.41 and First Majestic Silver dropped 7.7 percent to C$5.78. Gold futures for December delivery fell 2.3 percent and silver futures for the same month dropped as much as 4.8 percent.

     Raw-materials producers retreated 0.6 percent as a group for a third straight loss. The measure has declined 12 percent this month, the worst in more than a year.

US

By Callie Bost

     Oct. 31 (Bloomberg) — U.S. stocks jumped, sending benchmark indexes to records, as an unexpected boost in stimulus from the Bank of Japan spurred optimism in the global economy.

     Energy companies led gains, with Exxon Mobil Corp. and Chevron Corp. each rising 2.4 percent. LinkedIn Corp. soared 13 percent after third-quarter sales exceeded estimates. GoPro Inc. jumped 13 percent after its prediction for fourth-quarter profit surpassed analysts’ projections. Starbucks Corp. fell 2.3 percent after posting disappointing quarterly revenue.

     The Standard & Poor’s 500 Index advanced 1.2 percent to 2,018.05 at 4 p.m. in New York, topping its previous all-time closing high of 2,011.36 on Sept. 18. The Dow Jones Industrial Average rallied 195.1 points, or 1.1 percent, to 17,390.52, also an all-time high. The Nasdaq Composite Index surged 1.4 percent to the highest since March 2000.

     “The BOJ move is the icing on the cake,” said Patrick Moonen, who helps oversee $241 billion as a senior strategist at ING Investment Management. “Fundamentals are still good. Corporate earnings are better than expected, U.S. macro data came in strong and even the data in the euro zone show signs of stabilization.”

     U.S. equities joined a global rally as Japan’s Government Pension Investment Fund said it will put half its holdings in local and foreign stocks, double previous levels, and invest in alternative assets. The Bank of Japan raised its annual target for monetary expansion to 80 trillion yen ($724 billion) from as much as 70 trillion yen. The Topix index soared the most in a year, leading a rally in equities around the world.

     Better-than-forecast corporate earnings and optimism in the economy helped the S&P 500 rebound after a 7.4 percent dip from Sept. 18 to Oct. 15. The gauge advanced 2.3 percent in October, extending its gain this year to 9.2 percent.

     The Russell 2000 Index rallied 6.5 percent in October for its best month since July 2013. The Dow gained 2 percent in the month and the Nasdaq Composite Index jumped 3.1 percent.

     The S&P 500 climbed 2.7 percent this week after posting its best week since January 2013 through Oct. 24. Equities rose yesterday after data showed the U.S. economy expanded faster than forecast last quarter, signaling growth is strong enough to withstand the end of Federal Reserve bond buying.

     Data today showed consumer spending in the U.S. unexpectedly dropped in September as incomes rose at the slowest pace of the year. The Institute for Supply Management-Chicago Inc.’s business barometer rose to 66.2 in October from 60.5 in the prior month, according to a report today. A reading less than 50 signals contraction.

     The Thomson Reuters/University of Michigan final October index of consumer sentiment increased to 86.9 from 84.6 a month earlier.

     “When we have some positive headlines out there, the market only focuses on that aspect,”  Jonathan Corpina, senior managing partner at Meridian Equity Partners who works on the floor of the New York Stock Exchange, said by phone.  “Since we’ve bounced off those lows 7, 8, 9 percentage points ago, the market seems to be determined to hit new highs.”

     The Chicago Board Options Exchange Volatility Index fell 3.4 percent to 14.03, capping its second weekly drop since closing at the highest since June 2012 on Oct. 15. About 8.3 billion U.S. shares changed hands today, 27 percent higher than the three-month average. All 10 of the main industries in the S&P 500 advanced. Raw- materials shares climbed 1.9 percent and while technology stocks rose 1.8 percent for the biggest gains after energy companies.

     Energy shares increased 2 percent even as oil continued a selloff. Exxon surged 2.4 percent to $96.71 after unexpectedly boosting profit last quarter as lower crude prices helped its refining business.

     Chevron climbed 2.4 percent to $119.95 as third-quarter net income rose for the first time in three years. Chevron warned investors in August that full-year output will be 1 percent to 2 percent below the company’s previous estimate.

     LinkedIn gained 13 percent to $228.96. New business lines including news content boosted third-quarter revenue by 45 percent to $568.3 million. That beat the $557.7 million average forecast of analysts surveyed by Bloomberg. Profit excluding some costs also beat estimates.

     GoPro surged 13 percent to $77.10 after predicting fourth- quarter adjusted earnings of 65 cents to 69 cents a share. Analysts on average estimated 53 cents. The maker of cameras used in action sports also posted better-than-estimated third- quarter sales and profit, and said it will make a decision about returning cash to shareholders.

     Starbucks dropped 2.3 percent to $75.56. The world’s biggest coffee-shop chain posted fiscal fourth-quarter revenue of $4.18 billion, missing the $4.24 billion average analyst estimate, as competition intensified.
 

Have a wonderful weekend everyone.

 

Be magnificent!

The world in its essence is the reconciliation of opposite forces.

These forces, like the right hand and left hand of the creator, act in perfect harmony,

and yet in opposite directions.

 

Rabindranath Tagore

As ever,

 

Carolann

 

Eat, drink and be scary.

 

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM

Senior Vice-President &

Senior Investment Advisor

 

Queensbury Securities Inc.,

St. Andrew’s Square,

Suite 340A, 730 View St.,

Victoria, B.C. V8W 3Y7

Dear Friends,

Tangents:

I’ve been away attending a couple of investment conferences in New York and then San Francisco.  I headed to the airport in San Francisco last night to catch the flight back to Victoria (so wonderful there is now the non-stop SF- Victoria flight now) and every restaurant/bar in the airport that had television set had crowds gathered in front of the screens to watch the game.  It was so exciting when the Giants won 3-2 –their third world series win in 5 years – the noise throughout the airport sounded like thunder.

PHOTOS OF THE DAY

The San Francisco Giants celebrate after Game 7 of baseball’s World Series against the Kansas City Royals Wednesday night in Kansas City, Mo. The Giants won 3-2 to take the series. Jeff Roberson/AP

Hindu devotees pray while standing in the Arabian Sea as they worship the Sun god Surya during the Hindu religious festival ‘Chatt Puja’ in Mumbai, India. Hindu women fast for the whole day for the betterment of their family and the society during the festival. Danish Siddiqui/Reuters

Market Closes for October 30^th, 2014    

Market Index	Close	Change
Dow Jones	17195.42	+221.11
		+1.30%
S&P 500	1994.65	+12.35   +0.62%
NASDAQ	4566.137	+16.911   +0.37%
TSX	14458.69	-68.88
		-0.47%

International Markets

Market Index	Close	Change
NIKKEI	15658.20	+104.29
		+0.67%
HANG SENG	23702.04	-117.83
		-0.49%
SENSEX	27346.33	+248.16
		+0.92%
FTSE 100	6463.55	+9.68
		+0.15%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	2.047	2.055
CND. 30 Year Bond	2.587	2.589
U.S.    10 Year Bond	2.3058	2.3192
U.S. 30 Year Bond	3.0463	3.0526

Currencies

BOC Close	Today	Previous
Canadian $	0.89340	0.89366
US $	1.11932	1.11900
Euro Rate 1 Euro=		Inverse
Canadian $	1.41162	0.70840
US $	1.26114	0.79293

Commodities

Gold	Close	Previous
London Gold Fix	1200.73	1211.39
Oil	Close	Previous
WTI Crude Future	81.12	82.20

Market Commentary:

Canada

By Eric Lam

     Oct. 30 (Bloomberg) — Canadian stocks fell a second day, as materials producers plunged to a six-year low after the price of gold erased its gain for 2014.

     Goldcorp Inc., the biggest producer of the precious metal by market value, tumbled 13 percent to the lowest since 2008 on missed estimates as costs rose. Yamana Gold Inc. sank 16 percent as gold futures fell below $1,200 an ounce in New York. Seven Generations Energy Ltd climbed 17 percent in its trading debut.

     The Standard & Poor’s/TSX Composite Index fell 68.88 points, or 0.5 percent, to 14,458.69 at 4 p.m. in Toronto, trimming its advance since a low on Oct. 15 to 4.3 percent.

     Six of the 10 industries in the benchmark Canadian equity gauge advanced today, with Valeant Pharmaceuticals International Inc. leading health-care stocks to a 3.5 percent gain. Trading volume in Canada was in line with the 30-day average.

     The S&P/TSX Materials Index sank 5 percent, its worst performance since June 2013. Gold producers led losses. The S&P/TSX Gold Index tumbled 9.3 percent to an April 2003 low. All 24 members of the gauge retreated.

     Gold slumped as a stronger dollar cut demand after the U.S. Federal Reserve ended its asset-purchase program because of an improving labor market.

     Goldcorp dropped 13 percent to C$20.85, the lowest since 2008, after the gold producer drifted to a loss as sales declined. The company’s average so-called all-in sustaining cost was $1,066 an ounce, compared with $995 a year earlier.

     Yamana Gold Inc. plunged 16 percent to C$4.99, the lowest since November 2008, after the company reported an unexpected third-quarter loss.

     Seven Generations jumped 8.7 percent to C$19.55 after pricing its initial offering at C$18 a share to raise about C$810 million. The oil and gas explorer began preliminary trading today ahead of the deal’s expected close the week of Nov. 5.

US

By Oliver Renick

     Oct. 30 (Bloomberg) — U.S. stocks rallied as a report showed faster-than-estimated growth in gross domestic product, fueling speculation the economy is strong enough to withstand higher interest rates.

     Visa Inc. and MasterCard Inc. added more than 9 percent each as the two largest U.S. payment networks reported results that topped estimates. Bristol-Myers Squibb Co jumped 8.9 percent after a drug improved survival rates for cancer patients. Energy shares retreated as oil resumed a selloff after U.S. production rose to the highest level since the 1980s.

     The Standard & Poor’s 500 Index rose 0.6 percent to a one- month high of 1,994.65 at 4 p.m. in New York, closing within 1 percent of its last record on Sept. 18. The Dow Jones Industrial Average rallied 221.11 points, or 1.3 percent, to 17,195.42. Visa is the Dow’s largest member by weighting. The Russell 2000 Index increased 0.8 percent and the Nasdaq Composite Index climbed 0.4 percent

     “It’s now about the economy and earnings, we’ve all over- analyzed the Fed,” Bob Doll, chief equity strategist at Nuveen Asset Management, said by phone. “Job growth has picked up and the GDP report was a little stronger than consensus and that buttresses the view that the economy’s getting a little better.  Stocks will continue to grind their way higher.”

     The computer system that carries prices for thousands of equities listed by the New York Stock Exchange malfunctioned today, sowing confusion among traders. The market operator later said the issue had been resolved.                          

     The oldest American exchange reported an “ongoing issue with the NMS SIP,” or the securities information processor for NYSE stocks, at about 1:40 p.m. in New York. Two NYSE venues were “experiencing issues publishing and receiving trades and quotes,” the alert said. A notice 10 minutes later said the markets were processing trades and quotes normally.

     The S&P 500 lost 0.1 percent yesterday after the Fed ended its quantitative easing program, indicating the U.S. economy is on a stable growth path. Officials said labor market conditions “improved somewhat further,” and that a range of indicators suggests that “underutilization of labor resources is gradually diminishing,” modifying earlier language that referred to “significant underutilization.”

     The central bank reiterated its commitment to keep interest rates low for a considerable time until inflation increases toward its goal.

     Data today showed fewer Americans filed applications for unemployment benefits over the past month than at any time in more than 14 years, a sign the strengthening U.S. economy is buoying the labor market.

     A separate report said the economy in the U.S. expanded 3.5 percent in the third quarter, capping its strongest six months in more than a decade, as gains in government spending and a shrinking trade deficit made up for a slowdown in household purchases. Economists on average had forecast growth of 3 percent.

     “The GDP number’s fine, not spectacular,” Michael Block, chief equity strategist at Rhino Trading Partners LLC in New York, said by phone. “The inflation data isn’t great and the quality of the GDP beat isn’t great as a lot of it is from government and defense spending. It adds to dovishness.”

     Concerns that Europe will slip into a recession just as Fed bond buying ends sent the S&P 500 down 7.4 percent from an all- time high of 2,011.36 in mid-September through Oct. 15. The index has rebounded and is now about 0.8 percent below its record.

     Visa jumped 10 percent, the most in three years, to a record $236.65. The world’s largest payments network reported fiscal fourth-quarter profit that beat analysts’ estimates as customer spending abroad improved. The company also said it planned to charge some U.S. banks higher card-processing fees.

     MasterCard climbed 9.4 percent to $83.13 for its biggest gain since 2011. The second-largest U.S. payments network posted third-quarter profit that beat analysts’ estimates as customer spending climbed. Net income increased 15 percent to $1.02 billion, or 87 cents a share, from $879 million, or 73 cents, a year earlier.

     Bristol-Myers added 8.9 percent to $58.98 after its experimental cancer drug Opdivo improved survival rates for late-stage lung cancer patients.

     MetLife Inc. gained 1.3 percent to $53.01. The largest U.S. life insurer reported earnings per share of $1.60, topping analysts’ estimates of $1.38, on growth in its home market, fueled by investment results.

     Level 3 Communications Inc. gained 1.8 percent to $45.41 after S&P Dow Jones Indices said the provider of integrated communications services will replace Jabil Circuit Inc. in the equity benchmark after trading ends Nov. 4.

     Avon Products Inc. plunged 9 percent after the maker of beauty products reported revenue that missed analysts’estimates. Third-quarter revenue was $2.14 billion, compared with an average estimate of $2.15 billion.

 

Have a wonderful evening everyone.

 

Be magnificent!

A civilization must be judged and assessed, not by the level of power it has reached,

but by how it develops and expresses a love of humanity

through its laws and institutions.

The first and last criterion one must submit to is:

Is it recognizable, and to what level, that man is more a spirit than a machine?

Rabindranath Tagore

As ever,

 

Carolann

 

Work hard, be kind, and amazing things will happen.

                                       -Conan O’Brien, 1963-

 

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM

Senior Vice-President &

Senior Investment Advisor

 

Queensbury Securities Inc.,

St. Andrew’s Square,

Suite 340A, 730 View St.,

Victoria, B.C. V8W 3Y7

Dear Friends,

Tangents:

Carolann is out of the office today, I will be writing the newsletter on her behalf.

PHOTOS OF THE DAY

Dew drops hang on a spider web in Vertou near Nantes, France. Stephane Mahe/Reuters

An opera singer, wearing a dress covered in poppies, sings during a ceremony at the King Albert I Monument in Nieuwpoort, Belgium. The ceremony commemorates the WWI 100th anniversary of the First Battle of Ypres. Geert Vanden Wijngaert/AP

Market Closes for October 29^th, 2014    

Market Index	Close	Change
Dow Jones	16974.31	-31.44
		-0.18%
S&P 500	1982.30	-2.75   -0.14%
NASDAQ	4549.227	-15.068   -0.33%
TSX	14527.57	-96.68
		-0.66%

International Markets

Market Index	Close	Change
NIKKEI	15553.91	+224.00
		+1.46%
HANG SENG	23819.87	+299.51
		+1.27%
SENSEX	27098.17	+217.35
		+0.81%
FTSE 100	6453.87	+51.70
		+0.81%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	2.055	2.029
CND. 30 Year Bond	2.589	2.581
U.S.    10 Year Bond	2.3192	2.2960
U.S. 30 Year Bond	3.0526	3.0678

Currencies

BOC Close	Today	Previous
Canadian $	0.89366	0.89553
US $	1.11900	1.11674
Euro Rate 1 Euro=		Inverse
Canadian $	1.41307	0.70768
US $	1.26285	0.79186

Commodities

Gold	Close	Previous
London Gold Fix	1211.39	1228.64
Oil	Close	Previous
WTI Crude Future	82.20	81.42

Market Commentary:

Canada

By Eric Lam

     Oct. 29 (Bloomberg) — Canadian stocks fell, after climbing to a three-week high, as financial shares and gold producers slipped after the U.S. Federal Reserve ended its asset-purchase program.

     Toronto-Dominion Bank and Royal Bank of Canada, the nation’s largest lenders, paced losses in financial shares. Barrick Gold Corp. retreated 4.9 percent to its lowest level since 1992 as gold prices fell. Teck Resources Ltd. gained 1.9 percent after boosting its forecast for zinc-concentrate production. Horizon North Logistics Inc. plunged 29 percent after earnings fell short of analysts’ expectations.

     The Standard & Poor’s/TSX Composite Index fell 96.68 points, or 0.7 percent, to 14,527.57 at 4 p.m. in Toronto, trimming its advance since a low on Oct. 15 to 4.7 percent.

     Eight of the 10 industries in the benchmark Canadian equity gauge declined today.

     Barrick Gold lost 4.9 percent to C$14.36, closing at its lowest level since 1992, as the gold producer prepares to report earnings after the market close. Gold futures fell, extending losses, after the central bank decision cut demand for the metal.

     The Fed maintained its pledge to keep interest rates low for a “considerable time” as it ended a quantitative easing program that added $1.66 trillion to its balance sheet. Policy makers said while inflation in the near term will probably be held down by lower energy prices, it repeated language from September that the likelihood of inflation running persistently below 2 percent has “diminished somewhat.”

     Bankers Petroleum Ltd. climbed 1.6 percent to C$4.34 and Athabasca Oil Corp. increased 0.5 percent to C$3.87. Brent crude rose to a two-week high after OPEC’s Secretary-General said the recent plunge in prices doesn’t reflect the balance between supply and demand.

US

By Oliver Renick and Jeremy Herron

     Oct. 29 (Bloomberg) — U.S. stocks pared declines, Treasuries retreated and the dollar rallied after the Federal Reserve confirmed it will end its asset-purchase program amid signs of a strengthening economy.

     The Standard & Poor’s 500 Index slid 0.1 percent at 4 p.m. in New York. The index fell as much as 0.8 percent after the Fed’s policy statement before trimming the slide. The 10-year Treasury note yield rose three basis points to 2.32 percent. The Bloomberg Dollar Spot Index jumped 0.6 percent, erasing earlier losses. Gold prices headed for the biggest drop in three weeks. The New Zealand dollar retreated against its major peers after the central bank held interest rates steady.

     The Fed retained its commitment to keep interest rates low for a “considerable time” as it ended a two-day policy meeting. Officials said labor market conditions “improved somewhat further,” and that a range indicators suggests that “underutilization of labor resources is gradually diminishing,” modifying earlier language that referred to “significant underutilization.”

     “The Fed’s decision is a surefire indication that the U.S. economy is continuing to move along at a robust pace,” Chad Morganlander, a money manager at St. Louis-based Stifel Nicolaus & Co., which oversees about $160 billion, said in a telephone interview. “The liquidity program has been a major stimulant to the market, and investors will now have to readjust to the new environment.”

     Policy makers said that while inflation in the near term will probably be held down by lower energy prices, it repeated language from its September statement that “the likelihood of inflation running persistently below 2 percent has diminished somewhat.”

     Concerns that Europe will slip into a recession just as Fed bond buying ends sent the S&P 500 down 7.4 percent from an all- time high of 2,011.36 in mid-September through Oct. 15.

     The gauge then rallied 6.6 percent through yesterday after latest rally began after Fed Bank of St. Louis President James Bullard said policy makers should consider delaying the end of quantitative easing.

     “Anybody who was holding out hope that QE would continue now has to throw in the towel,” Joe “JJ” Kinahan, chief strategist at TD Ameritrade Holding Corp., which oversees $666 billion in client assets, said via phone. “Just like a kid moving out for the first time, until they actually have to pay those first bills, it hasn’t really registered.”

     The Bloomberg Dollar Spot Index, which tracks the greenback against 10 major currencies, reversed after earlier dropping 0.2 percent.

     The index was headed for its first monthly decline since June on concern slowing global growth and rising risks of disinflation will spill over into the world’s biggest economy, prompting traders to push back on their bets on the timing of the Fed’s rate increase. Policy makers have kept their key interest rate at zero to 0.25 percent since December 2008.

     Gold prices fell as the end of bond purchases cut demand for the metal as hedge against inflation. Bullion for immediate delivery dropped 1 percent to $1,215.69 an ounce in New York, heading for the biggest drop since Oct. 3. Prices touched $1,215.47, the lowest since Oct. 8.

     West Texas Intermediate gained for a second day after an Energy Information Administration report showed growth in U.S. inventories slowed. Brent climbed.

     Stockpiles rose 2.06 million barrels in the seven days ended Oct. 24, following a combined increase of 21 million in the previous three weeks, the EIA said.

     Brent touched a two-week high after OPEC’s Secretary- General said the recent plunge in prices doesn’t reflect the balance between supply and demand.

     Investors have also been watching U.S. corporate results. About 80 percent of S&P 500 companies that have posted quarterly earnings this season have topped analysts’ estimates for profit, while 60 percent beat sales projections, data compiled by Bloomberg show.

     Seven of the 10 of the main S&P 500 groups slid today, with energy and bank shares advancing at least 0.1 percent. Commodity producers sank 1.3 percent to pace losses.

     Facebook Inc. declined 6.1 percent, the most since March, after predicting the slowest revenue growth since the first quarter of 2013. Gilead Sciences Inc. slid 2.4 percent after third-quarter profit missed estimates. U.S. Steel Corp. rallied 5.1 percent after reporting better-than-expected quarterly results.

     “The economic outlook and earnings outlook still looks largely intact going forward and we’re seeing earnings come through not wildly exceeding expectations but exactly where we need them to be to drive equity markets,” Darrell Cronk, deputy chief investment officer at Wells Fargo Private Bank in New York, said by phone.

     The Stoxx Europe 600 Index closed 0.3 percent higher rising for a second day to the highest level since Oct. 7.

     Total SA rose 2.6 percent after posting third-quarter net income that beat analysts’ estimates. Deutsche Bank AG declined 1.9 percent after Germany’s biggest lender swung to a loss in the third quarter. Air France-KLM Group slid 0.5 percent after quarterly profit fell. Sanofi dropped 4.4 percent after firing its chief executive officer.

     The MSCI Emerging Markets Index pared an earlier gain to 0.9 percent.

     The Shanghai Composite Index rose for a second day, climbing 1.5 percent. The Hang Seng China Enterprises Index of mainland companies listed in Hong Kong jumped 1.7 percent, recover losses since protesters and police clashed outside the government’s headquarters on Sept. 26.

     The ruble weakened 1 percent to 42.8816 per dollar and bringing this month’s drop to 7.7 percent, the most among 24 developing nations.

     The slide in the face of $24 billion of interventions is stoking speculation the Bank of Russia will accelerate its switch to a free float. The central bank, which plans to stop managing the ruble in 2015, is scheduled to meet Oct. 31.

 

Have a wonderful evening everyone.

 

Be magnificent!

“Strength does not come from physical capacity. It comes from an indomitable will.” Mahatma Gandhi

 

Karen

“Life is really simple, but we insist on making it complicated.” Confucius

Queensbury Securities Inc.,

St. Andrew’s Square,

Suite 340A, 730 View St.,

Victoria, B.C. V8W 3Y7

Dear Friends,

Tangents:

I am writing the Newsletter on Carolann’s behalf as she is away.

PHOTOS OF THE DAY

A camel herder walks his camels at Pushkar Fair in the desert Indian state of Rajasthan. Thousands of animals, mainly camels, are brought to the fair to be sold and traded. Himanshu Sharma/Reuters

Two of the dromedaries for the ‘Living Nativity’ scene in the ‘Radio City Christmas Special’ walk under the marquee of New York’s Radio City Music Hall. The show is scheduled to open Nov. 7 and continue through Dec. 31. Richard Drew/AP

Five-year-old Carter struggles to lift a pumpkin at Tulleys Farm pumpkin patch during their Halloween festival, near Crawley in southern England.  Luke MacGregor/Reuters

Market Closes for October 28^th, 2014    

Market Index	Close	Change
Dow Jones	17005.75	+187.81
		+1.12%
S&P 500	1985.05	+23.42   +1.19%
NASDAQ	4564.294	+78.361   +1.75%
TSX	14624.25	+155.25
		+1.07%

International Markets

Market Index	Close	Change
NIKKEI	15329.91	-58.81
		-0.38%
HANG SENG	23520.36	+377.13
		+1.63%
SENSEX	26880.82	+127.92
		+0.48%
FTSE 100	6402.17	+38.71
		+0.61%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	2.029	2.016
CND. 30 Year Bond	2.581	2.561
U.S.    10 Year Bond	2.2960	2.2605
U.S. 30 Year Bond	3.0678	3.0368

Currencies

BOC Close	Today	Previous
Canadian $	0.89553	0.88908
US $	1.11674	1.12476
Euro Rate 1 Euro=		Inverse
Canadian $	1.42199	0.70324
US $	1.27344	0.78528

Commodities

Gold	Close	Previous
London Gold Fix	1228.64	1225.75
Oil	Close	Previous
WTI Crude Future	81.42	81.00

Market Commentary:

Canada

By Joseph Ciolli

     Oct. 28 (Bloomberg) — Canadian stocks rose to a three-week high after banks and energy producers rallied as U.S. Federal Reserve policy makers begin a two-day meeting to determine the course of stimulus.

     Toronto-Dominion Bank and Canadian Imperial Bank of Commerce rose at least 0.9 percent to lead financial firms higher. Westport Innovations Inc. climbed 7.2 percent, while Canadian Pacific Railway Ltd. added 0.8 percent. FirstService Corp. declined 6.9 percent after reporting third-quarter earnings that fell short of analyst estimates.

     The Standard & Poor’s/TSX Composite Index increased 155.25 points, or 1.1 percent, to 14,624.25 at 4 p.m. in Toronto, the highest  close since Oct. 8. The gauge has rallied 5.4 percent since a low on Oct. 15.

     Nine of the 10 industries in the benchmark Canadian equity gauge advanced today. Trading was 9.3 percent below the 30-day average.

     Energy producers added 2 percent to pace gains as West Texas Intermediate crude climbed 0.5 percent for the first advance in three days after touching the lowest in almost 28 months yesterday. Paramount Resources Ltd. jumped 4.2 percent to C$48.03. BlackBerry Ltd. added 2.1 percent to C$11.92, the highest in a month. Kim Kardashian shared her love for the Waterloo, Ontario-based company’s smartphone at a technology event yesterday. The reality television star praised BlackBerry’s trademark physical keyboard as the best for typing out e-mails.

     The S&P/TSX Gold Index rose 1.1 percent, erasing an earlier loss and snapping a two-day decline. Torex Gold Resources Inc. climbed 4.1 percent to C$1.54 and Semafo Inc. gained 2.9 percent to C$3.91.

     Fed policy makers begin their two-day meeting today after six weeks of volatility in global financial markets. Chair Janet Yellen and her colleagues will focus instead on a robust U.S.outlook and end their bond-buying program as planned, according to 62 of 64 economists surveyed by Bloomberg News.

     By smaller margins, most also expect the officials to reiterate rates will stay low for a “considerable time” and that there’s a “significant underutilization of labor resources.”

US

By Oliver Renick and Jeremy Herron

     Oct. 28 (Bloomberg) — U.S. stocks rallied, pushing the Standard & Poor’s 500 Index to within 1.5 percent of a record, after corporate results topped estimates and consumer confidence surged as Federal Reserve officials start a two-day meeting. The dollar retreated with Treasuries.

     The S&P 500 Index rose 1.2 percent to a one-month high at 4 p.m. in New York, while the Russell 2000 Index of small companies surged 2.9 percent for its best day since June 2012.The Stoxx Europe 600 Index climbed 1 percent after two days of losses. Emerging market shares surged the most in 11 months as Brazil rebounded. Benchmark 10-year note yields rose three basis points to 2.28 percent. Copper added 0.9 percent. The Bloomberg Dollar Spot Index dropped 0.3 percent.

     Confidence among U.S. consumers rose in October to a seven- month high as gasoline prices dropped and the job market improved. Separate data showed durable goods orders unexpectedly fell in September and a gauge of home prices showed slower growth. The Fed is on pace to end its monthly bond-buying and leave its key interest rate unchanged near zero, according to Bloomberg surveys of analysts. Facebook Inc. is among U.S.companies scheduled to release earnings.

     “There’s a continued slew of earnings and the numbers overall are good,” Mark Kepner, an equity trader at Chatham, New Jersey-based Themis Trading LLC, said by phone. “Consumer confidence was a strong number, seeing those sub-$3 gasoline prices is exciting for consumers. What’s happening is you start to think about what $80 oil means and what that means for future earnings.” The S&P 500 has rebounded 6.6 percent since a low on Oct.15 amid better-than-expected earnings and signs of a strengthening economy even as the Fed prepares to end its bond purchases.

     About 80 percent of S&P 500 companies that have posted quarterly earnings this season have topped analysts’ estimates for profit, while 61 percent beat sales projections, data compiled by Bloomberg show.

     Some of the biggest decliners in the selloff that began Sept. 19 led gains today. The Dow Jones Transportation Average jumped 1.5 percent for its 10th gain in 11 sessions. The gauge has advanced 13 percent since Oct. 13 to an all-time high.

     The Russell 2000’s gain today pushed its rally from an Oct.13 low to 9.5 percent. The Nasdaq Biotechnology Index surged 1.3 percent to a record.

     Industrial shares and energy producers paced gains among the 10 main S&P 500 groups today with advances of at least 1.7 percent.

     Parker-Hannifin Corp. jumped 4.9 percent after raising the low end of its profit estimate. Amgen Inc. rose 6.1 percent after the maker of arthritis treatment Enbrel raised its 2014 forecast. Twitter Inc. sank 9.8 percent after reporting another quarter of decelerating growth.

     Yahoo! Inc. surged 2.6 percent for a ninth straight gain, the longest rally since 2006. The stock has gained 21 percent during the streak to close at the highest since September 2000. West Texas Intermediate crude rose for the first time in three days after futures touched $79.44 yesterday, the lowest intraday level since June 29, 2012. Prices have slipped 11 percent this month on signs that global oil production is growing faster than demand for fuel.

     The Conference Board’s confidence index climbed to 94.5 this month, the highest since October 2007, from a September reading of 89 that was stronger than initially estimated.

     “The consumer really has the wind at their backs,” Chris Rupkey, chief financial economist at Bank of Tokyo-Mitsubishi UFJ Ltd. in New York, said before the report. “The consumer at this point seems to have the wherewithal to power the economy forward.”

     Fed policy makers began their two-day policy meeting today and will end their bond-buying program as planned, according to 62 of 64 economists surveyed by Bloomberg News. By smaller margins, most also expect the officials to reiterate rates will stay low for a “considerable time” and that there’s a “significant underutilization of labor resources.” Minutes from the last meeting showed officials expressed concern that U.S. growth may be at risk from a global slowdown.

     Durable goods orders dropped for a second month, on waning demand for machinery and computers that signals companies are reluctant to invest in updating equipment. The S&P/Case-Shiller index of property values rose at a weaker pace in the year ended in August as borrowing standards remain tight and wage gains fail to accelerate.

     “The Fed meeting takes priority for the moment,” Neil Grossman, the St. Petersburg, Florida-based chief investment officer at Tkng Capital Partners, said in a phone interview. “Durables were weak and overall those numbers are down, but in the bigger scheme of things with everything going on, it’s marginal. They’re on track to normalize rates.”

     In Europe, all but one of the 19 industry groups in the Stoxx 600 gained as the gauge advanced for the first time in three days. Novartis AG, the world’s biggest drugmaker by sales, climbed 1.9 percent and Roche Holding AG gained 0.6 percent. UBS AG added 5.5 percent as Switzerland’s biggest bank set aside1.84 billion Swiss francs ($1.94 billion) for litigation provisions, easing investor concern about the future cost of legal challenges.

     The MSCI Emerging Markets Index climbed 1.6 percent, the most since November, as Brazil’s Ibovespa rebounded 3.6 percent after President Dilma Rousseff’s re-election sent valuations to a six-month low.

     The real strengthened 1.5 percent versus the dollar on speculation its drop yesterday was excessive.

     The Micex rose 1.5 percent, advancing for a third day, as Russia’s acceptance of the outcome of Ukraine’s weekend elections increased bets sanctions will be relaxed. Gauges of Chinese shares rallied more than 2 percent after industrial profits increased and President Xi Jinping signaled a nationwide  expansion of free-trade zones.

     The Shanghai Composite Index halted a five-day losing streak, climbing 2.1 percent. The Hang Seng China Enterprises Index of mainland companies listed in Hong Kong surged 2.4 percent, the most in seven weeks. Taiwan’s Taiex jumped 1.7 percent.

     The dollar dropped 0.4 percent to $1.2756 per euro. It rose 0.3 percent to 108.14 yen. Japan’s currency fell 0.6 percent to 137.71 per euro.

     Sweden’s currency dropped at least 0.1 percent against all of its 16 major counterparts following the central bank’s decision to cut interest rates.

     Gold futures rose less than 0.1 percent to settle at $1,229.40 an ounce in New York as investors awaited the conclusion of the Fed’s meeting. The metal earlier fell to a two-week low.

     Bullion rebounded as much as 6.1 from this year’s low reached on Oct. 6 after the Fed cited slowing foreign economies as a risk to the U.S.

     Traders have cut the probability the central bank will raise borrowing costs by October 2015 to a 49 percent chance from 79 percent odds on Sept.30. Rising interest rates reduce gold’s allure because the metal generally only offers investors returns through price gains.

     U.S. crude stockpiles probably expanded to the highest level since July last week, a Bloomberg News survey showed before a government report tomorrow. Prices have slumped about 25 percent since June.

 

Have a wonderful evening everyone.

“The Pleasures of love are always in proportion to our fears.” – Stendhal

Be magnificent!
 

“Never Mistake Activity for Achievement.” – John Wooden

As ever,

 

Brianna

 

Queensbury Securities Inc.,

St. Andrew’s Square,

Suite 340A, 730 View St.,

Victoria, B.C. V8W 3Y7

 

Dear Friends,

Tangents:

I will be writing the Newsletter on Carolann’s behalf as she is away. 

PHOTOS OF THE DAY

A man dressed as a woman, carries a pig’s head on a platter balanced on his head during the celebration of “Torovenado,” in honor of Masaya’s patron saint, San Jeronimo, in Masaya, Nicaragua, Sunday. The “Torovenado” is a satirical dance festival that ridicules social and political characters since the early years of the Spanish conquest. Esteban Felix/AP

Andy Murray and Tommy Robredo play at the ATP 500 World Tour Valencia Open tennis tournament at the agora building of the Ciudad de las Artes y las Ciencias in Valencia, Spain, Sunday. Alberto Saiz/AP

Market Closes for October 27^th, 2014    

Market Index	Close	Change
Dow Jones	16817.94	+12.53
		+0.07%
S&P 500	1961.63	-2.95   -0.15%
NASDAQ	4485.934	+2.218   +0.05%
TSX	14469	-74.82
		-.051%

International Markets

Market Index	Close	Change
NIKKEI	15388.72	97.08
		+0.63%
HANG SENG	23143.23	158.97
		-0.68%
SENSEX	26752.90	-98.15
		-0.37%
FTSE 100	6363.46	-25.27
		-0.40%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	2.016	2.014
CND. 30 Year Bond	2.561	2.562
U.S.    10 Year Bond	2.2605	2.2623
U.S. 30 Year Bond	3.0368	3.0352

Currencies

BOC Close	Today	Previous
Canadian $	0.88908	0.89033
US $	1.12476	1.12317
Euro Rate 1 Euro=		Inverse
Canadian $	1.42827	0.70015
US $	1.26984	0.78750

Commodities

Gold	Close	Previous
London Gold Fix	1225.75	1230.75
Oil	Close	Previous
WTI Crude Future	81.00	81.26

 Market Commentary:

Canada

By Joseph Ciolli and Eric Lam

     Oct. 27 (Bloomberg) — Canadian stocks fell, snapping a two-day gain, as commodity producers sank with the price of oil as Goldman Sachs Group Inc. joined other banks in lowering price forecasts.

     Energy stocks decreased the most in the benchmark index as Bankers Petroleum Ltd. and Calfrac Well Services Ltd. sank at least 8 percent. Materials producers declined, with Fortuna Silver Mines Inc. and Argonaut Gold Inc. slipping more than 4.5 percent amid falling gold and silver prices. Precision Drilling Corp. dropped to a more than 15-month low after reporting third- quarter sales that fell short of analyst estimates.

     The Standard & Poor’s/TSX Composite Index decreased 74.82 points, or 0.5 percent, to 14,469 at 4 p.m. in Toronto. The gauge has rallied 6.2 percent this year.

     Four of the 10 industries in the benchmark Canadian equity gauge declined today. Energy producers plunged 2.1 percent as Brent crude fell for a second day and West Texas Intermediate traded near a June 2012 low after Goldman Sachs lowered its price forecast amid concern supplies are outpacing demand.

     The S&P/TSX Gold Index fell 1.6 percent for a fourth drop in five days, as gold futures settled 0.2 percent lower. Argonaut Gold decreased 4.6 percent to C$3.15, while Barrick Gold Corp. fell 1.5 percent to C$14.96. Fortuna Silver Mines slumped 6.9 percent to C$4.88, the most in a month, as silver lost 0.1 percent in New York.

     Canaccord Genuity Group Inc. plunged 8.1 percent to C$8.85 for a third decline in four days. The financial services company has slumped 21 percent in October for a third monthly decline, the worst streak in two years.

     Valeant Pharmaceuticals International Inc. rose 1.1 percent to C$146.84, the highest in a month, after the drugmaker said it’s prepared to raise its hostile takeover bid for Allergan Inc. to at least $200 a share.

US

By Lu Wang

     Oct. 27 (Bloomberg) — The speed of the rebound in U.S. stocks from the biggest selloff in three years is giving  Laszlo Birinyi confidence in his forecast for the Standard & Poor’s 500 Index to reach 2,100 by year-end.

     The benchmark gauge jumped 5.5 percent over the eight days through Oct. 24, recouping about 70 percent of its losses over the previous 27 days, data compiled by Bloomberg show. Since March 2009, declines of 5 percent or more have lasted 26 days and it took median 24 days to fully recover from the retreats, the data show.

     Leading the rebound are Caterpillar Inc., 3M Co. and Delta Air Lines Inc., companies whose earnings are more tied to economic expansion. To Birinyi, president of Birinyi Associates Inc. and one of the earliest bulls of the 5 1/2-year bull market, those gains signal genuine investment, not just short sellers buying back stock they’d borrowed and sold.

     “I was surprised by the intensity of the rally,” Birinyi said in a phone interview on Oct. 24. “If you look at stocks like 3M, Caterpillar, the market is saying that maybe we finally reach the tipping point of real growth, instead of tepid growth.

It’s not just the social network and some of the other stocks which are more speculative.”

     “These are real investors, rather than just somebody trying to cover their short,” he said. “That’s encouraging.”

The S&P 500 last week rallied the most since January 2013, halting a four-week slide amid better-than-estimated earnings and data signaling a strengthening economy. Shares of Peoria, Illinois-based Caterpillar jumped 4.6 percent last week, while 3M, based in St Paul, Minnesota, surged 8.1 percent.

     U.S. stocks fell today, with the S&P 500 slipping 0.2 percent to 1,961.63 at 4 p.m. in New York, as lower oil prices weighed on energy producers.

     The Dow Jones Transportation Average added 0.7 percent today, posting its ninth gain in 10 days. Airline stocks rallied in the past two weeks as Delta, American Airlines and United Airlines beat profit estimates with a boost from higher fares and falling fuel prices.

     Concerns that Europe will slip into a recession just as Federal Reserve bond buying ends sent the S&P 500 down 7.4 percent from an all-time high of 2,011.36 in mid-September.Speculation that Ebola is spreading, concern about the health of the global economy and selling by hedge funds drove the Chicago Board Options Exchange Volatility Index above 26 on Oct. 15, a two-year high.

     Birinyi said that while he wasn’t sure about the reason for the selloff, his firm didn’t cut equity holdings. His year-end forecast for the S&P 500 represents about a 7 percent gain from the recent levels.

     “Sometimes you just have to take a rest,” Birinyi said. “We never stopped being bullish. I’ve felt all along this is going to be a very strong, very long bull market, and it’s even longer perhaps than I would have expected.”

 

Have a wonderful evening everyone.

“If you want to be found, stand where the seeker seeks.” – Sidney Lanier

Be magnificent!

“The excellence of a gift lies in its appropriateness rather than its value.” – Charles Dudley Warner

As ever,

 Brianna

Queensbury Securities Inc.,

St. Andrew’s Square,

Suite 340A, 730 View St.,

Victoria, B.C. V8W 3Y7

Dear Friends,

Tangents:

Carolann is out of the office today, I will be writing the newsletter on her behalf.

PHOTOS OF THE DAY

Lightning strikes over Lycabettus hill in Athens. A fierce storm wreaked havoc in Athens as it uprooted trees, swept cars and flooded basements and streets. The torrential downpour in Greece’s capital turned streets into rivers trapping commuters in their vehicles and overturning parked cars. In some districts, cars were seen stacked one on top of another as the deluge swept them away. Alkis Konstantinidis/Reuters

Visitors sit inside a sculpture titled ‘We’re Frying Out Here’ created by artist Andrew Hankin at Sculpture By The Sea, in Sydney, Australia. Sculptures created by 109 artists from 16 countries, are displayed across the coastal area of Sydney. Rob Griffith/AP

Market Closes for October 24^th, 2014    

Market Index	Close	Change
Dow Jones	16805.41	+127.51
		+0.76%
S&P 500	1964.58	+13.76   +0.71%
NASDAQ	4483.75	+30.923   +0.69%
TSX	14543.82	+56.99
		+0.39%

International Markets

Market Index	Close	Change
NIKKEI	15291.64	+152.68
		+1.01%
HANG SENG	23302.20	-30.98
		-0.13%
SENSEX	26851.05	+63.82
		+0.24%
FTSE 100	6388.73	-30.42
		-0.47%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	2.014	2.002
CND. 30 Year Bond	2.562	2.560
U.S.    10 Year Bond	2.2623	2.2748
U.S. 30 Year Bond	3.0352	3.0463

Currencies

BOC Close	Today	Previous
Canadian $	0.89033	0.89037
US $	1.12317	1.12312
Euro Rate 1 Euro=		Inverse
Canadian $	1.42314	0.70267
US $	1.26707	0.78922

Commodities

Gold	Close	Previous
London Gold Fix	1230.75	1232.08
Oil	Close	Previous
WTI Crude Future	81.26	82.34

Market Commentary:

Canada

By Eric Lam

     Oct. 24 (Bloomberg) — Canadian stocks rose a second day, capping its best weekly gain since July 2013, as Agrium Inc. paced gains in the benchmark index, offsetting a decline among oil producers.

     Agrium jumped 7.6 percent, the most in five years, after activist investor VA Partners disclosed a stake in the fertilizer company. Corus Entertainment Inc. sank 7.6 percent after analysts at Canaccord Genuity Corp. and National Bank of Canada cut their ratings for the stock due to an earnings miss. Athabasca Oil Corp. and Bellatrix Exploration Ltd. dropped more than 4.2 percent to pace declines among energy shares.

     The Standard & Poor’s/TSX Composite Index rose 56.99 points, or 0.4 percent, to 14,543.82 at 4 p.m. in Toronto. The benchmark equity gauge rallied 2.2 percent this week, for a second straight gain after six weeks of declines. Trading volume today was 32 percent below the 30-day average, according to data compiled by Bloomberg.

     The S&P/TSX trades at 18.5 times reported earnings, down from a peak of 21 set in June, according to data compiled by Bloomberg.

     Nine of the 10 main groups in the equity benchmark advanced. Materials producers rallied 1.1 percent, while consumer-staples stocks paced gains with 2.5 percent rally. Loblaw Cos. Ltd. climbed 4 percent to C$56.71 after being raised to an “action list buy” at TD Securities.

     Corus sank 7.6 percent to C$21.51 for a fourth straight decline that left it at the lowest since February 2012. The media company yesterday reported fourth-quarter earnings short of analysts’ forecasts.

     Athabasca Oil sank 3.3 percent to C$4.17 and Bellatrix Exploration retreated 4.2 percent to C$5.48 as energy shares declined 0.6 percent as a group.

     West Texas Intermediate fell following the biggest gain since September and Brent crude slid in London amid speculation a drop in Saudi Arabian oil supplies isn’t a signal that OPEC’s largest producer has decided to cut production.

     MTY Food Group Inc. rose 0.8 percent to C$30.32 after agreeing yesterday to acquire the assets of a group of companies operating the Manchu Wok, Wasabi Grill & Noodle and SenseAsian brands in Canada and the U.S. for C$7.9 million.

US

By Oliver Renick

     Oct. 24 (Bloomberg) — U.S. stocks rose, with the Standard & Poor’s 500 Index capping its best week since 2013, as companies from Procter & Gamble Co. to Microsoft Corp. climbed after reporting earnings.

     P&G added 2.3 percent after saying it would exit its Duracell battery business. Microsoft gained 2.5 percent as quarterly sales topped estimates on cloud-computing growth. SodaStream International Ltd. surged 15 percent after a report that it is testing PepsiCo Inc. brands. Amazon.com Inc. slid 8.3 percent after posting the biggest quarterly net loss since at least 2003.

     The S&P 500 added 0.7 percent to 1,964.57 at 4 p.m. in New York. The equity rallied 4.1percent this week, the most since January 2013. The Dow Jones Industrial Average climbed 127.51 points, or 0.8 percent, to 16,805.41.

     “Earnings have been very good,” Mark Spellman, a portfolio manager who helps oversee $4.3 billion at Alpine Funds in Purchase, New York, said by phone. “A large part of this market rise since the decline has been on the idea the Fed will be here to protect you.”

     Markets started to turn around on Oct. 16 after St. Louis Federal Reserve Bank President James Bullard said policy makers should consider delaying the end of quantitative easing. The S&P 500 is up more than 5 percent since then, recouping about half of the drop since its record in mid-September.

     The Chicago Board Options Exchange Volatility Index slid 1.4 percent to 16.30 today. The gauge known as the VIX has fallen 38 percent since the S&P touched a 6-month low on Oct. 15.

     Health-care shares added 1.4 percent, the biggest gain among the 10 main industries in the S&P 500. A New York City doctor tested positive for Ebola after returning from aid work in West Africa.

     Almost 80 percent of S&P 500 companies that have released results this season beat profit projections, while 61 percent surpassed revenue estimates.

     P&G gained 2.3 percent to $85.16. The company said it would exit Duracell, preferably by splitting the business into a standalone company and giving shareholders the option of exchanging P&G shares for stock in the new entity.

     Microsoft climbed 2.5 percent to $46.13. Revenue at the ailing Nokia handset business, which Microsoft acquired earlier this year, also topped projections, while sales of Azure cloud software and Web-based versions of Office programs more than doubled.

     United Parcel Service Inc. advanced 0.1 percent to $100.59 after profit beat estimates. The company said it expects shipments during December to climb 11 percent. FedEx this week forecast record shipments of packages between Black Friday and Christmas Eve, an 8.8 percent increase from last year, as e- commerce hits a peak.

     SodaStream surged 15 percent to $24.45, the most since May 2012, after industry newsletter Beverage Digest said the company plans to test PepsiCo-branded products.

     Amazon shares lost 8.3 percent to $287.06, the lowest since August 2013. The online retailer forecast sales and profit for the fourth quarter that missed analysts’ projections. That puts Amazon on track to lose an estimated $40.5 million for the year, which would be the company’s largest annual loss in 12 years, according to data compiled by Bloomberg.

     Pandora Media Inc. plunged 13 percent to $20, the lowest in a year. The largest Internet radio service reported user growth slowed to 5.2 percent in the third quarter.

 

Have a wonderful weekend everyone.

 

Be magnificent!

“Put your heart, mind, and soul into even your smallest acts. This is the secret of success.” Swami Sivananda 

 

Karen

“The measure of who we are is what we do with what we have”. Vince Lombardi

 

Queensbury Securities Inc.,

St. Andrew’s Square,

Suite 340A, 730 View St.,

Victoria, B.C. V8W 3Y7

Dear Friends,

Tangents:

Caught Gordon Lightfoot’s concert at the Royal last night….he’s performing  a second show there  tonight and there are apparently still a few tickets available. He is in Vancouver on Saturday night as the Canadian part of his tour takes off.  What an amazing talent he is – such a prolific songwriter and musician.  A living legend really.  Gary used to play guitar with some bandmates in bars and coffee houses during medical school to try to make some money and they were big fans of Lightfoot – his music composing most of their repertoire and so, I’ve listened to him play guitar and sing mostly Lightfoot all our married years together.   So when I read he was going to be touring, I was on the phone as soon as the ticket office opened.  Glad I did – it was a memorable evening.  It’s amazing that at 75 years old, Lightfoot can effortlessly remember all the lyrics still.

  We learned recently that one of the guys Gary grew up with – who became a really successful commercial developer in Ontario and always kept in touch with us, visiting Victoria with his wife and kids , has been recently diagnosed with beginning stage of Alzheimer’s at the prime of his life.   Forgetting things etc. led to the diagnosis.  So, I wanted to share something with you that I came across recently:

Low Vitamin D and Dementia

  Low vitamin D is associated with an increased risk of Alzheimer’s disease and other forms of dementia, according to a new report, though whether low vitamin D is a cause of the disorders remains unknown.

  The scientists measured blood levels of vitamin D in 1,658 men and women with an average age of 73 (Gary’s friend is much younger than this) and without dementia at the start of the study.  Over an average follow-up of more than five years, 171 developed dementia.

  The study, published online in the journal Neurology, controlled for many dementia risk factors, including age, education, sex, body mass index, smoking, alcohol use, diabetes and hypertension.  It found that compared with those who had vitamin D levels of 50 or more nanomoles per liter, those with levels of 25 to 50 had a 53 percent increased risk for Alzheimer’s.  People with readings of 25 or less were more than twice as likely to have Alzheimer’s or another form of dementia.

  There is little agreement on the ideal vitamin D level,  but according to the National Institutes of Health, levels below 50 are inadequate.

  “These are exciting and suggestive results, but they’re only observational,” said a co-author, Iain A. Lang, a senior lecturer at the University of Exeter in England.

  “We can’t say anything about whether people should be supplementing, because that’s beyond the scope of what we looked at.”

PHOTOS OF THE DAY

Tenements housing mostly fishermen’s families are illuminated with lights to celebrate Diwali in Mumbai, India. Diwali, the festival of lights, is one of Hinduism’s most important festivals dedicated to the worship of Lakshmi, the Hindu goddess of wealth. Rafiq Maqbool/AP

A shopping cart presentation is among Judith Scott’s cocoon-like sculptures installed at the Brooklyn Museum in New York. Scott, who is a deaf mute, and who was born with Down syndrome, was in her 40’s when she began creating intricate sculptures of yarn, fabric, and other fibers tightly wrapped around an array of found objects. The exhibition opens Friday and runs through March 29. Bebeto Matthews/AP

Market Closes for October 23^rd, 2014    

Market Index	Close	Change
Dow Jones	16677.90	+216.58
		+1.32%
S&P 500	1950.82	+23.71   +1.23%
NASDAQ	4452.793	+69.946   +1.60%
TSX	14486.83	+174.76
		+1.22%

International Markets

Market Index	Close	Change
NIKKEI	15138.96	-56.81
		-0.37%
HANG SENG	23333.18	-70.79
		-0.30%
SENSEX	26851.05	+63.82
		+0.24%
FTSE 100	6419.15	+19.42
		+0.30%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	2.002	1.964
CND. 30 Year Bond	2.560	2.533
U.S.    10 Year Bond	2.2748	2.2181
U.S. 30 Year Bond	3.0463	2.9927

Currencies

BOC Close	Today	Previous
Canadian $	0.89037	0.88996
US $	1.12312	1.12365
Euro Rate 1 Euro=		Inverse
Canadian $	1.42052	0.70397
US $	1.26479	0.79064

Commodities

Gold	Close	Previous
London Gold Fix	1232.08	1241.21
Oil	Close	Previous
WTI Crude Future	82.34	81.42

Market Commentary:

Canada

By Eric Lam

     Oct. 23 (Bloomberg) — Canadian stocks rallied, after slumping the most in 16 months yesterday amid a shooting in the nation’s capital, as energy producers rebounded with oil.

     Penn West Petroleum Ltd. climbed 3.4 percent after agreeing to sell non-core assets to a private company. Bankers Petroleum Ltd. and Surge Energy Inc. jumped at least 3.6 percent as energy shares rallied more than 2 percent as a group. Bombardier Inc. and Air Canada surged more than 3.7 percent to pace gains among industrial shares. Rogers Communications Inc. lost 1.5 percent after posting third-quarter earnings that fell short of expectations.

     The Standard & Poor’s/TSX Composite Index climbed 174.76 points, or 1.2 percent, to 14,486.83 at 4 p.m. in Toronto. The Canadian benchmark equity gauge plunged 1.6 percent yesterday, halting a four-day advance, after a shooting on Parliament Hill in Ottawa that left two people dead.

     Trading volume today was 2.8 percent below the 30-day average, according to data compiled by Bloomberg.

     The S&P/TSX trades at 18.4 times reported earnings, down from a peak of 21 set in June, according to data compiled by Bloomberg.

     Nine of the 10 main groups in the equity benchmark advanced, led by energy and industrial shares.

     Penn West Petroleum climbed 3.4 percent to C$5.50 after agreeing to sell assets in south central Alberta to an unidentified private company for about C$355 million. The assets currently produce about 7,500 barrels of oil equivalent a day.

     Cenovus Energy Inc. jumped 6.5 percent to C$27.97, its biggest ever increase, after the company’s third-quarter earnings beat analysts’ estimates, helped by added oil-sands production.

     Bankers Petroleum gained 4.3 percent to C$4.64 and Surge Energy rose 3.6 percent to C$6.57. The S&P/TSX Energy Index added 2.1 percent.

     West Texas Intermediate rose from a two-year low and Brent crude advanced the most in four months. Saudi Arabia, the world’s largest crude exporter, cut September supply to clients by 328,000 barrels a day to 9.36 million, according to a person familiar with the country’s policy.

US

By Callie Bost

     Oct. 23 (Bloomberg) — U.S. stocks rallied, recovering from yesterday’s loss, as earnings from Caterpillar Inc. to 3M Co. exceeded analysts’ estimates and data signaled stronger growth in the European economy.

     Benchmark indexes pared gains following a New York Post report that a doctor who had been treating Ebola patients in Africa was rushed to a New York hospital with symptoms of the virus. The paper cited unnamed sources.

     Caterpillar, the largest construction equipment maker, added 5 percent after raising its full-year earnings forecast amid higher sales of construction machinery in North America. 3M climbed 4.4 percent as the maker of Post-it notes boosted sales in all of its businesses. Tractor Supply Co. surged 16 percent, the most in the Standard & Poor’s 500 Index, after increasing its profit forecast. Amazon.com Inc. sank 10 percent in late trading after its earnings and forecast missed estimates.

     The S&P 500 gained 1.2 percent to 1,950.82 at 4 p.m. in New York after earlier surging as much as 1.8 percent. The index recouped losses from yesterday, when it slid 0.7 percent. The Dow Jones Industrial Average increased 216.58 points, or 1.3 percent, to 16,677.9 today, erasing its loss for the year. The Nasdaq Composite Index advanced 1.6 percent.

     “We’re seeing some peace here in earnings and better macro data, which is helping to fuel investor confidence,” Alan Gayle, who helps oversee $45 billion as director of asset allocation for RidgeWorth Investments in Atlanta, said by phone. “That trend in jobless claims suggests we are going to see another good job increase for October.”

     The S&P 500 has risen five times in the past six days, pushing the gauge up 4.7 percent since Oct. 15 and recouping about half the losses from a selloff that began in mid- September. The equity benchmark is still down 3 percent from a record.

     Economic data today suggested the euro-area economy may have moved one step away from another recession. A Purchasing Managers’ Index showed manufacturing in the region unexpectedly grew this month, while Spain’s economy showed signs of a further recovery, with third-quarter unemployment dropping to the lowest level since 2011. In Germany, factories rebounded from a slump in September.

     Fewer Americans filed applications for unemployment benefits over the past month than at any time in 14 years as an improving economy prompted employers to hold on to staff. The four-week average of jobless claims, a less-volatile measure than the weekly figure, dropped to 281,000, the lowest since May 2000, from 284,000 the week before, a Labor Department report showed.

    The Chicago Board Options Exchange Volatility Index dropped 7.5 percent to 16.53. About 7.1 billion shares changed hands on U.S. exchanges, 13 percent higher than the three-month average.

     Eight of 10 main industries in the S&P 500 rose. Industrials jumped 2.2 percent, while energy shares advanced 1.8 percent. Phone companies slid 1.2 percent.

     Caterpillar rallied 5 percent to $99.27. The improvement in office and commercial construction in North America, and the gradual pickup in residential activity, is boosting demand for the company’s excavators and bulldozers.

     “The Caterpillar earnings were really good,” Joe “JJ” Kinahan, chief strategist at TD Ameritrade Holding Corp., which oversees $666 billion in client assets, said in a phone interview. “It’s hard not to be optimistic on this market if we close above 1,950. If we get above 1,950, we’re in general striking distance of all-time highs again.”

     3M increased 4.4 percent to $145.05. Since taking over in 2012, Chief Executive Officer Inge Thulin has emphasized international growth that now accounts for about two-thirds of sales. Revenue rose in all units, led by a 4.7 percent gain in the health-care business.

     Tractor Supply soared 16 percent to $71. The farm supplies retailer reported higher-than-estimated earnings and analysts at Raymond James Financial Inc. told clients to buy the shares.

     Parker Hannifin Corp. surged 6.6 percent to $116.39. The company yesterday boosted its quarterly dividend and announced plans to buy back as many as 35 million shares. The stock has increased 11 percent since Oct. 17, poised for the biggest weekly gain in three years.

     Alibaba Group Holding Ltd. jumped 3.1 percent to $94.45, an all-time high. Shares of the Chinese e-commerce company have climbed 39 percent since it raised a record $25 billion in an initial public offering last month.

     Yelp Inc. plunged 19 percent to $57.17, the biggest drop since the company went public in 2012. The local-reviews company said yesterday that fourth-quarter revenue would be $107 million to $108 million, below the $111 million estimated on average by analysts, according to data compiled by Bloomberg.

     AT&T Inc. slumped 2.4 percent to $33.66. The second-largest U.S. wireless carrier missed profit estimates and cut its sales forecast for 2014 as promotions and price cuts took a toll.

     Amazon.com sank 11 percent to $279.87 in late trading. The company forecast sales and profit for the holiday quarter that missed analysts’ projections, underlining the limits to Chief Executive Officer Jeff Bezos’s strategy of spending big to fuel growth. The stock was little changed during the regular session.

     “The fundamental focus is on earnings,” Leo Grohowski, chief investment officer at New York-based BNY Mellon Wealth Management, which oversees about $187 billion, said in a phone interview. “The bigger picture fear of global growth slowdown is going to remain with us. That’s going to prevent any meaningful market appreciation. Investors should be prepared for a choppy ride.”

 

Have a wonderful evening everyone.

 

Be magnificent!

True civilization does not mean congregating in cities and living a foolish life,

but going Godward, controlling the senses, and thus becoming the ruler in this house of the Self.

Swami Vivekananda

As ever,

 

Carolann

 

Roots are not in landscape or a country, or a people, they are inside you.

                                                                -Isabel Allende, 1942-

 

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM

Senior Vice-President &

Senior Investment Advisor

 

Queensbury Securities Inc.,

St. Andrew’s Square,

Suite 340A, 730 View St.,

Victoria, B.C. V8W 3Y7

Dear Friends,

Tangents:

The Economist recently published comments made by selected persons to whom the  question was posed:  What is the point?

The novelist, Philip Pullman answered:

  Here we are, alive and conscious, in a universe that seems to be made of material things like atoms and quarks and Higgs bosons and so on, which  are undoubtedly there but possess enigmatic, ghostlike properties that are hard to grasp, such as entanglement and the wave/particle duality.  What are we to make of it all?

  I start with consciousness.  I am certainly conscious, and I’m equally certainly made of matter; so I conclude that matter is capable of consciousness, and there’s no need to make up a thing called a soul to do the consciousness while the dull, inert, clod-like body does the carrying around.  I’m certain that animals are conscious, and I see no reason to deny a form of consciousness to plants too.  Don’t they sense where the sun is, and turn towards it?

  Humans and animals and plants are alive, though.  Perhaps consciousness depends on being alive, and not just on existing.  Surely stone, air and water aren’t conscious?

  I’m not so sure.  It’s not hard to imagine that consciousness might be a normal property of matter, like mass.  Thanks to the Higgs boson and its associated field, we  now know how mass exists.  Maybe there’s another field and another particle, as yet unsuspected, which deal with consciousness.  Maybe what we call dark matter and dark energy are aspects of that very field.  Or maybe not.  But when by chance complex structures like the human brain evolve, consciousness is able to think about itself, and reason, and imagine, and empathise.

  That sort of self-reflexive consciousness is a good thing.  The more of it there is, the better we’re able to understand and create and be kind.  So here I come to what the point is:  the point is to bring about more consciousness.  By teaching, or doing mathematics or science or philosophy, or writing novels and poems, or making music, or painting picture, or studying history, or healing the sick, or bringing up our children to be generous and kind, we leave the universe a little more conscious than we found it.  And that’s the point.

Ann Wroe, Biographer & Obituarist:  The point is love.

PHOTOS OF THE DAY

Passengers ride in a bus past a brightly-painted building in the King’s Cross area of central London. Toby Melville/Reuters

People visit the Great Temple of Ramses II to observe the sun sending a beam of light into the ancient temple’s dark inner chamber for ten minutes, in Abu Simbel, Egypt. Hundreds of people visited the temple to watch the sun illuminate the colossal statues, a rare 3,200-year-old astronomical ceremony that happens twice a year. Ibrahim Zayed/AP

At dawn, a stag stands in the long grass in Richmond Park, London, as the rutting season is in full swing. The rut, or breeding season, occurs in Britain from the end of September through November when stags compete by engaging in elaborate displays of dominance. Anthony Devlin/PA/AP

Market Closes for October 22^nd, 2014    

Market Index	Close	Change
Dow Jones	16461.32	-153.49
		-0.92%
S&P 500	1927.11	-14.17   -0.73%
NASDAQ	4382.848	-36.631   -0.83%
TSX	14312.07	-235.64
		-1.62%

International Markets

Market Index	Close	Change
NIKKEI	15195.77	+391.49
		+2.64%
HANG SENG	23403.97	+315.39
		+1.37%
SENSEX	26787.23	+211.58
		+0.80%
FTSE 100	6399.73	+27.40
		+0.43%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	1.964	1.966
CND. 30 Year Bond	2.533	2.541
U.S.    10 Year Bond	2.2181	2.2217
U.S. 30 Year Bond	2.9927	2.9943

Currencies

BOC Close	Today	Previous
Canadian $	0.88996	0.89085
US $	1.12365	1.12253
Euro Rate 1 Euro=		Inverse
Canadian $	1.42092	0.70377
US $	1.26456	0.79079

Commodities

Gold	Close	Previous
London Gold Fix	1241.21	1248.69
Oil	Close	Previous
WTI Crude Future	81.42	82.81

Market Commentary:

Canada

By Joseph Ciolli

     Oct. 22 (Bloomberg) — Canadian stocks fell the most since June 2013, halting a four-day rally after a shooting at the national legislature and as the central bank said the economy won’t reach full output until the second half of 2016.

     Commodity producers sank after the price of oil tumbled to a two-year low and silver led metals lower. Raw-material producers in the equities benchmark slid 2.5 percent, while energy stocks lost 2.9 percent. Pretium Resources Inc. fell 6.2 percent, while First Quantum Minerals Ltd. and Eldorado Gold Corp. slipped at least 3.4 percent. Canaccord Genuity Group Inc. declined 10 percent after TD Securities cut the stock’s rating to hold from buy.

     The Standard & Poor’s/TSX Composite Index fell 1.6 percent to 14,312.07 at 4 p.m. in Toronto. The equity gauge had rallied almost 5 percent in the past four days. Trading was in line with the 30-day average.

     “People are continuing to have a very dim view of global growth, and commodities are out of favor,” Ian Nakamoto, director of research at MacDougall MacDougall & MacTier Inc. in Toronto. The firm manages about C$5 billion ($4.5 billion). “The sectors being hit the most are energy, mines and metals.”

     Canada is reeling after a day of violence in the nation’s capital, including a shootout in its main legislature building and the gunning down of a soldier guarding the country’s war memorial.

     Stores and office buildings in downtown Ottawa were locked down for about five hours after the unprecedented attack in Canada’s usually sleepy capital, raising terrorism concerns nationwide. Police are continuing to search for suspects after a gunman was killed by parliamentary security officials.                          

     The S&P/TSX dropped almost 14 points in the 10-minute period when the first headline said shots were fired in Ottawa.  It fell a further 60 points in the next 10 minutes.

     The Bank of Canada kept its policy interest rate at 1 percent today, as expected, and removed the word “neutral” from its statement, saying that it’s stopping the use of “forward guidance” on the future path of interest rates for now.

     Inflation will slow to an average of 1.4 percent in the second quarter of 2015, the bank said, compared with its July forecast for inflation to slow to 1.7 percent in the second quarter of 2015.

     All of the 10 main industries in the benchmark Canadian equity gauge decreased. Energy stocks plunged 2.9 percent after four days of gains. West Texas Intermediate crude slid to the lowest settlement in two years as U.S. inventories increased.

     The S&P/TSX Gold Index fell 3.4 percent, adding to a selloff that’s seen it fall 24 percent from a five-month high.

US

By Callie Bost

     Oct. 22 (Bloomberg) — U.S. stocks retreated, after the Standard & Poor’s 500 Index rose the most in a year yesterday, as energy shares led losses amid a drop in oil prices.

     Cimarex Energy Co. and Helmerich & Payne Inc. lost more than 4.6 percent to lead all 43 energy stocks in the S&P 500 lower. Biogen Idec Inc. slid 5.4 percent as sales of its top drug missed analyst estimates. Yahoo! Inc. added 4.5 percent after sales topped estimates. Broadcom Corp. jumped 5.5 percent after reporting earnings that beat estimates and giving a forecast that eased concern chip orders might be drying up.

     The S&P 500 slipped 0.7 percent to 1,927.11 at 4 p.m. in New York. The Dow Jones Industrial Average slid 153.49 points, or 0.9 percent, to 16,461.32. The Nasdaq Composite Index lost 0.8 percent. Crude oil slid 2.4 percent to $80.52 a barrel, the lowest level on a closing basis in more than two years, after a U.S. report showed inventories increased by 7.11 million barrels last week.

     “The market is driven primarily by trader and investor emotion and sentiment,” Michael James, a Los Angeles-based managing director of equity trading at Wedbush Securities Inc., said in a phone interview. “All that’s going to remain consistent in the short term is that volatility is going to continue and that you’re going to have significant swings just based on trader sentiment, without any specific data points.”     Four consecutive advances in the S&P 500 through yesterday pushed the gauge up 4.2 percent since Oct. 15, recouping half the losses from a selloff that began in mid-September. The equity index surged 2 percent yesterday, its best day since October 2013, as speculation the European Central Bank will boost stimulus to spur growth in the region.

     The cost of living in the U.S. barely rose in September, leaving inflation below the Federal Reserve’s goal as fuel prices plunge this month. The consumer-price index climbed 0.1 percent after decreasing 0.2 percent in August, a Labor Department report showed.

     Canada’s S&P/TSX Composite Index fell 1.6 percent after a shooting at the national legislature in Ottawa. Stores and office buildings in downtown Ottawa were locked down for about five hours after the unprecedented attack in Canada’s usually sleepy capital, raising terrorism concerns nationwide. Police are continuing to search for suspects after a gunman was killed by parliamentary security officials.

     BlackRock Inc. Chief Executive Officer Laurence D. Fink said yesterday the selloff last week in U.S. equity markets “weeded out the excesses,” making stocks a good investment for those who aren’t going to sell their positions soon.

     “As a long-term investor, yes, I’d be buying equities,” Fink said yesterday in an interview with Bloomberg Television’s Erik Schatzker. “This is just a market correction, and we need market corrections to clean the market out.”

     His remarks were echoed by billionaire hedge-fund manager Dan Loeb. Loeb, who runs Third Point LLC, told investors in a letter yesterday that “going forward, we expect that the U.S. will remain the best place to invest” and that “markets will resume an overall upward trajectory in the U.S. through year- end.”

     About 77 percent of S&P 500 companies that have released quarterly results this season beat profit projections, while 61 percent surpassed revenue estimates. Profit for index members rose 5.9 percent in the third quarter and sales increased 4 percent, analysts predicted.

     The Chicago Board Options Exchange Volatility Index added11 percent to 17.87. About 7 billion shares changed hands on U.S. exchanges, 12 percent higher than the three-month average.                        

     Eight of 10 main industries in the S&P 500 declined. Energy shares slipped 1.7 percent as a group for the biggest decline as crude oil slid. Utilities gained 0.6 percent for the biggest advance.

     Biogen Idec slumped 5.4 percent to $309.07. Revenue from Tecfidera was $787 million in the third quarter, falling short of the average analyst estimate of $794 million. A patient on the treatment died after developing a rare brain infection known as progressive multifocal leukoencephalopathy, or PML, Chief Executive Officer George Scangos said on a call.

     Boeing Co. dropped 4.5 percent to $121.45 for the biggest loss in the Dow. Investors signaled concern that the world’s largest planemaker isn’t moving fast enough to curb costs on the 787 Dreamliner, a carbon-fiber jet on which the company still loses money, after the company reported third-quarter earnings today. Per-share profit growth also was buoyed by expanding margins in the defense business, which is dwarfed by the commercial unit.

     Yahoo climbed 4.5 percent to $42. The Web portal reported third-quarter revenue, excluding sales shared with partner websites, that beat estimates and forecast sales of $1.14 billion to $1.18 billion for the current period, exceeding analysts’ average prediction of $1.17 billion.

     Chief Executive Officer Marissa Mayer detailed in a conference call after earnings results how Yahoo has bought back 24 percent of shares since late 2012 and said the company’s dealmaking has been “meaningful.” She added that Yahoo is making progress in mobile and the Web portal has been focused on cost efficiencies.

     Broadcom jumped 5.5 percent to $39.37. Excluding certain charges, profit last quarter was 91 cents, topping an average analyst estimate of 84 cents. The maker of communications chips also said revenue in the current period will be $2 billion to $2.15 billion, compared with an average estimate of $2.11 billion, according to data compiled by Bloomberg.

     Six Flags Entertainment Corp. soared 13 percent to $38.90 for its biggest one-day gain on record. The theme park operator reported adjusted earnings per share and revenue last quarter that beat analysts’ estimates.

 

Have a wonderful evening everyone.

 

Be magnificent!

We think as our ancestors did, away back in pre-historic ages.

Where even tradition cannot pierce the gloom of that past,

there our glorious ancestors have taken up their side of the problem

and have thrown the challenge to the world.

Our solution is renunciation, giving up, fearlessness, and love;

these are the fittest to survive.  Giving up the senses makes a nation survive.

Swami Vivekananda

As ever,
 

Carolann

 

Change your thoughts and you change your world.

                    -Norman Vincent Peale, 1898-1993

 

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM

Senior Vice-President &

Senior Investment Advisor

 

Queensbury Securities Inc.,

St. Andrew’s Square,

Suite 340A, 730 View St.,

Victoria, B.C. V8W 3Y7