|
A Himalayan monal in Shannan City, Tibet. The pheasant is native to forests and shrublands at elevations of 2,100 metres to 4,500 metres.
Fireflies in a forest at Pitrufquen, Chile.
London, UKJanuary 25, 2024 Newsletter
Dear Friends,
Tangents: Happy Friday Eve. First full moon of 2024 is tonight.
Burns’ Night tonight.
“Oh wad some power the giftie gie us – To see ourselves as others see us. “ –Robert Burns.
On Jan. 25, 1915, the inventor of the telephone, Alexander Graham Bell, inaugurated U.S. transcontinental telephone service. Go to article >>
Robert Burns, poet, b. 1759.
- Somerset Maugham, author, b. 1874.
Virginia Woolf, writer, b. 1882.
A 99-year-old swimmer broke three world records.
Science says a pinch of salt makes tea taste better.
The reason why you’re TATT (Tired All The Time).
Jon Stewart to return to ‘The Daily Show’
After almost a decade, the comedian will return to the show as a weekly host starting February 12. Watch this short video to learn how his return could impact the 2024 presidential race.
A judge is set to rule on a dispute over who created one of India’s best-known dishes globally. One restaurant claims it created the curry in the 1930s, but another rival chain said the restaurant’s story is complete naan-sense.
Why the ‘sleepy girl mocktail’ might be a good idea
The internet is raving about a cherry juice mocktail … but does the concoction actually help you get a better night’s rest? Dietitians and health experts are weighing in.
Alzheimer’s comes in at least 5 distinct forms, study reveals
Knowing that Alzheimer’s comes in at least five distinct forms could change the treatment landscape, the scientists behind the new study say. Read More.
Watch chameleon erupt in color ‘as if uttering her last words’ in her final moments before death
Footage of Labord’s chameleon in last moments of her short life shows her skin burst into ‘chaotic technicolor patterns.’ Read More.
This tiny radioactive battery can last 50 years without recharging
BetaVolt’s BV100 is smaller than a coin and contains a radioactive isotope of nickel that decays into copper and supplies power to a device for up to 50 years. But it probably won’t power your
smartphone anytime soon, an expert suggests. Read More.
Scientists accidentally create world’s tightest, smallest knot
The tangle is known as a trefoil knot and it’s made up of just 54 atoms. Read More.
A “chicken from hell” dinosaur that lived just before the asteroid struck has been discovered in South Dakota. Read More.
PHOTOS OF THE DAY
Kuala Lumpur, Malaysia
Hindu devotees climb the 272 stairs to the Batu Caves temple to make offerings during the Thaipusam festival
Photograph: Mohd Rasfan/AFP/Getty Images
Bogotá, Colombia
Flames rise from a forest fire in the mountains outside the city
Photograph: Guillermo Munoz/AFP/Getty Images
Ankara, Turkey
A person holds newborn rabbits left on a bridge in the city
Photograph: Anadolu/Getty Images
Market Closes for January 25th, 2024
| Market Index |
Close | Change |
| Dow Jones |
38049.13 | +242.74 |
| +0.64% | ||
| S&P 500 | 4894.16 | +25.61 |
| +0.53% | ||
| NASDAQ | 15510.50 | +28.58 |
| +0.18% | ||
| TSX | 21101.54 | +75.76 |
| +0.36% |
International Markets
| Market Index |
Close | Change |
| NIKKEI | 35858.38 | -378.09 |
| -1.04% | ||
| HANG SENG |
16211.96 | +312.09 |
| +1.96% | ||
| SENSEX | 70700.67 | -359.64 |
| -0.51% | ||
| FTSE 100* | 7529.73 | +2.06 |
| +0.03% |
Bonds
| Bonds | % Yield | Previous % Yield |
| CND. 10 Year Bond |
3.478 | 3.500 |
| CND. 30 Year Bond |
3.454 | 3.461 |
| U.S. 10 Year Bond |
4.1107 | 4.1877 |
| U.S. 30 Year Bond |
4.3643 | 4.4178 |
Currencies
| BOC Close | Today | Previous |
| Canadian $ | 0.7421 | 0.7390 |
| US $ |
1.3475 | 1.3531 |
| Euro Rate 1 Euro= |
Inverse | |
| Canadian $ | 1.4609 | 0.6845 |
| US $ |
1.0842 | 0.9223 |
Commodities
| Gold | Close | Previous |
| London Gold Fix |
2024.65 | 2022.95 |
| Oil | ||
| WTI Crude Future | 77.81 | 75.64 |
Market Commentary:
📈 On this day in 1853, basic financial disclosure became mandatory for all companies seeking to list their stock for trading on the New York Stock & Exchange Board.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose 0.4% at 21,101.54 in Toronto.
The index advanced to the highest closing level in at least a year.
The move follows the previous session’s little change.
Canadian Natural Resources Ltd. contributed the most to the index gain, increasing 1.7%.
Lundin Gold Inc. had the largest increase, rising 4.9%.
Today, 152 of 225 shares rose, while 69 fell; 6 of 11 sectors were higher, led by energy stocks.
Insights
* This month, the index rose 0.7%
* So far this week, the index rose 0.9%, heading for the biggest advance since the week ended Dec. 22
* The index advanced 2.4% in the past 52 weeks. The MSCI AC Americas Index gained 21% in the same period
* The S&P/TSX Composite is 0.3% below its 52-week high on Jan. 24, 2024 and 12.9% above its low on Oct. 27, 2023
* The S&P/TSX Composite is up 1.7% in the past 5 days and rose 1.1% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 16.5 on a trailing basis and 15.3 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.2% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.33t
* 30-day price volatility fell to 11.20% compared with 11.31% in the previous session and the average of 10.91% over the past month
================================================================
|Index Points | |Sector Name | Move | % Change | Adv/Dec
================================================================
Energy | 26.4441| 0.7| 32/9
Financials | 22.8924| 0.4| 19/8
Materials | 13.9648| 0.6| 35/15
Utilities | 10.7797| 1.3| 14/1
Industrials | 9.4143| 0.3| 18/8
Consumer Discretionary | 2.2035| 0.3| 9/4
Health Care | -0.0409| -0.1| 1/2
Information Technology | -0.2942| 0.0| 8/2
Real Estate | -1.4359| -0.3| 8/12
Consumer Staples | -3.8551| -0.4| 6/5
Communication Services | -4.3238| -0.5| 2/3
================================================================
| | |Volume VS || Index | | 20D AVG |YTD Change Top Contributors |Points Move| % Change | (%) | (%)
================================================================
Canadian Natural Resources | 11.2100| 1.7| -45.1| 0.0
Brookfield Corp | 6.9990| 1.3| 63.8| 3.7
Canadian Pacific | | | |
Kansas | 4.5610| 0.7| -29.6| 1.2
Couche-Tard | -3.9440| -1.0| -26.4| 3.3
Shopify | -6.4040| -0.7| -21.4| 5.2
Cameco | -6.6750| -3.4| -24.0| 8.5
US
By Rita Nazareth
(Bloomberg) — Wall Street traders pushed stocks to another all-time high on speculation the Federal Reserve will be able to engineer a soft landing as the US economy remains fairly resilient and inflation shows signs of cooling.
Equities notched their sixth straight day of gains as the latest US gross domestic product data defied forecasts for a recession, bolstering the outlook for Corporate America.
While such strength implies policymakers would be in no rush to cut rates, a closely watched measure of underlying inflation coming in line with the Fed’s 2% target was seen by many as an encouraging signal.
“There are no recession concerns here, and to make matters even better, we don’t see any accompanying blowout growth in prices that are used in the GDP calculation,” said Charles Hepworth, investment director at GAM Investments. “Stronger growth without inflation is what everyone wants.”
The S&P 500 closed near the 4,900 mark.
International Business Machines Corp. soared on a bullish outlook, while Tesla Inc. sank 12% after Elon Musk’s pitch for investors to look past slower sales growth fell flat.
The chorus of Boeing Co. critics grew louder as the head of American Airlines Group Inc. called out the plane-maker over a series of quality lapses.
US 10-year yields dropped five basis points to 4.12%.
Swap contracts continued to fully price in a Fed reduction in May, while increasing the expected total cuts this year to around 140 basis points.
The euro fell after President Christine Lagarde’s muted affirmation that the European Central Bank may begin lowering rates from around mid-2024 was taken by markets as a sign that earlier moves are very much in play.
A survey conducted by 22V Research shows 50% of respondents have lowered their recession expectations since before the December Fed Meeting.
When it comes to prospects for 2024 real GDP growth, most investors surveyed expect it will be in-line or stronger than consensus.
The US economy’s fourth-quarter growth trounced forecasts as cooling inflation fueled consumer spending, capping a surprisingly strong year.
GDP increased at a 3.3% annualized rate.
A closely watched measure of underlying inflation rose 2% for a second straight quarter.
Rob Swanke at Commonwealth Financial Network says the data should provide enough ammo for Fed officials to maintain a dovish stance — even if they keep rates where they are.
To Callie Cox at eToro, while a recession isn’t out of the question, it looks like the Fed is achieving a soft landing.
David Russell at TradeStation says Fed Chair Jerome Powell “can give himself a pat on the back as Goldilocks takes over.”
“It is hard to argue that the economy isn’t strong,” said Chris Zaccarelli at Independent Advisor Alliance. “The stock market will continue to rally as long as the economy stays out of recession and consumers continue to spend – and that is even without the Fed cutting rates. However, if the Fed starts cutting rates, that will be an additional tailwind to this market, which continues to surprise to the upside.”
The market’s resilience suggests that investors are satisfied to see US data resilience despite elevated rates, according to Fawad Razaqzada at City Index and Forex.com.
They are confident that peak rates have been reached, and policy will eventually loosen — albeit a bit later than initially expected, he added.
The S&P 500 finished at an all-time high for the first time in two years on Friday, marking a crucial milestone in the resurgence of the US stock market.
It’s been a dizzying stretch for equities, triggered by falling inflation and the possibility that the Fed will cut rates in 2024.
With only a few days left for the end of January, the S&P 500 has already blown past the Wall Street consensus over where the index will finish the year.
On Wednesday, the gauge surpassed 4,867, the average level where forecasters in a Bloomberg survey pegged it 11 months from now.
With the US stock market at a record, the obvious question for many investors right now is how much firepower is left in the rally that began last year.
Whenever the S&P 500 has climbed from a bear market to new heights, returns in the subsequent six and 12 months have been handily above average, Bloomberg Intelligence data going back to 1950 showed.
BI’s analysis of market performance after the US stock benchmark hit a fresh high found the median forward six-month return was roughly 9.2%, above the median 6.3% return for all half-year periods going back more than 70 years. The same pattern is seen in forward 12-month performance, with median returns at 15% after a new all-time high versus just 13% in overlapping yearlong time frames.
“The prevailing trend is undeniably bullish, and the markets are currently adhering to a ‘buy-the-dip’ mentality, at least for the time being,” Razaqzada added. “However, there are signs that the rally may be stretching thin at these levels. So, there is the potential for some profit-taking around current levels.”
Elsewhere, oil rose to the highest in eight weeks, propelled by falling US inventories, Chinese stimulus and an attack on a Russian refinery.
Corporate Highlights:
* Alphabet Inc., Amazon.com Inc. and Microsoft Corp. must provide information to the US Federal Trade Commission on their investments and partnerships with artificial intelligence startups Anthropic PBC and OpenAI Inc. as part of an agency study announced Thursday.
* Apple Inc. is embarking on a historic overhaul of its iOS, Safari and App Store offerings in the European Union, aiming to placate regulators set to impose tough new antitrust rules.
* Microsoft Corp. will lay off 1,900 people across its video-game divisions including at Activision Blizzard, which it purchased for $69 billion in an acquisition that closed late last year.
* LVMH sales rose at the end of last year as wealthy shoppers treated themselves to the group’s pricey handbags and Champagne, a sign of resilience at the world’s largest luxury conglomerate.
* American Airlines Group Inc. expects profit this year to beat Wall Street’s estimates as it benefits from strength in demand for international flights and improved operating performance.
* Southwest Airlines Co. again trimmed growth plans for this quarter in response to rising costs and an industrywide glut of flights that’s pulling down fares.
* Alaska Air Group Inc. expects slower growth this year and a financial hit of $150 million after a midair accident led to the grounding of a portion of its Boeing Co. 737 planes.
* PayPal Holdings Inc. rolled out several product enhancements that failed to stem pessimism about the payments firm’s earnings prospects.
* Comcast Corp. reported earnings and revenue that beat analysts’ estimates as broadband customers spent more on pricier services.
* Private Medicare plans that drove years of growth for US health insurers are getting less profitable and may cost seniors more money, Humana Inc.’s results showed, sending shares down across the sector.
Key events this week:
* Japan Tokyo CPI, Friday
* Bank of Japan issues minutes of policy meeting, Friday
* US personal income/spending, PCE deflator, pending home sales, Friday
Some of the main moves in markets:
Stocks
* The S&P 500 rose 0.5% as of 4 p.m. New York time
* The Nasdaq 100 rose 0.1%
* The Dow Jones Industrial Average rose 0.6%
* The MSCI World index rose 0.3%
Currencies
* The Bloomberg Dollar Spot Index was little changed
* The euro fell 0.4% to $1.0839
* The British pound fell 0.2% to $1.2705
* The Japanese yen fell 0.2% to 147.74 per dollar
Cryptocurrencies
* Bitcoin rose 0.3% to $39,891.13
* Ether rose 0.6% to $2,228.35
Bonds
* The yield on 10-year Treasuries declined five basis points to 4.12%
* Germany’s 10-year yield declined five basis points to 2.29%
* Britain’s 10-year yield declined three basis points to 3.98%
Commodities
* West Texas Intermediate crude rose 2.9% to $77.25 a barrel
* Spot gold rose 0.3% to $2,019.19 an ounce
This story was produced with the assistance of Bloomberg Automation.
–With assistance from Alexandra Semenova, Rheaa Rao and Liz Capo McCormick.
Have a lovely evening.
Be magnificent!
As ever,
Carolann
Sometimes integrity is the subtlest and most effective strategy of all. –John Marshall, 1755-1835.
Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor
Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7
Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
January 24, 2024 Newsletter
Dear Friends,
Tangents: Happy 24/2 – an auspicious date!
January 24, 1984: The Apple Macintosh computer goes on sale – the first commercially successful personal computer using a graphical user interface and a mouse. Forty years later, Apple is valued at $3 trillion US$.
January 24, 2008: French bank Société Générale announced it had uncovered a $7.14 billion fraud by a single futures trader. Go to article >>
On Jan. 24, 1848: James W. Marshall discovered a gold nugget at Sutter’s Mill in northern California, a discovery that led to the gold rush of ’49.
1935: First canned beer.
Edith Wharton, b. 1862.
John Belushi, b. 1949.
A look at what else happened in history on January 24.
Watch the world through different animals’ eyes in this stunning high-tech footage
Cameras recorded footage in red, blue, green and UV channels simultaneously, with openly available software processing the raw footage and converting it into different kinds of “animal vision,” showing us how bees, birds, mice and dogs might see the world. Read More.
‘Incredibly rare’ 2nd-century Roman armor pieced together like an ‘ancient jigsaw puzzle’
Conservators in the U.K. have painstakingly reassembled a piece of Roman armor that was broken into more than 100 pieces. Read More.
Heat bursts from Iceland’s recent eruptions in eerie NASA satellite image
Satellite images reveal the heat still radiating from the reawakened volcano in Iceland. Read More.
Mysterious ‘sudden death’ of quantum vortices in a superconductor stumps scientists
The sudden disappearance of quantum fluctuations inside an atom-thin 2D superconductor has left scientists baffled. Read More.
Iconic baseball players elected to the Hall of Fame
Former MLB players Adrián Beltré, Joe Mauer and Todd Helton were elected to the National Baseball Hall of Fame on Tuesday. Read more about their storied careers.
Netflix gains more than 13 million subscribers in the fourth quarter
The company also declared its password-sharing crackdown a success.
The best dressed stars so far at Haute Couture Week 2024
Celebrities, editors and designers are congregating in Paris this week to see showcases of the industry’s most elite and decadent looks.
British zoo has a new plan to rehabilitate its potty-mouthed parrots
A British wildlife park has hatched a plan to rehabilitate its cuss-happy parrots after they unleashed a tide of expletives.
500,000: That’s how many people visited India’s new Lord Ram temple on Tuesday — the first day the massive complex was open to the public. One of Hinduism’s most revered deities was consecrated at the temple a day earlier in a controversial ceremony that was presided over by India’s Prime Minister Narendra Modi.
PHOTOS OF THE DAY
Gerlache strait, Antarctica
The tail of a humpback whale in the sea between the Palmer archipelago and the Antarctic peninsula. Scientists are analysing the condition of the sea and monitoring the species inhabiting it
Photograph: Juan Barreto/AFP/Getty Images
Ahmedabad, India
Students of the Swaminarayan Gurukul school demonstrate for the media a purification bath ritual, which is believed to absolve them of their sins
Photograph: Ajit Solanki/AP
Paris, France
Models present creations by Yuima Nakazato during the women’s haute-couture spring/summer 2024 fashion week
Photograph: Miguel Medina/AFP/Getty Images
Market Closes for January 24th, 2024
| Market Index |
Close | Change |
| Dow Jones |
37806.39 | -99.06 |
| -0.26% | ||
| S&P 500 | 4868.55 | +3.95 |
| +0.08% | ||
| NASDAQ | 15481.92 | +55.98 |
| +0.36% | ||
| TSX | 21025.78 | -8.81 |
| -0.04% |
International Markets
| Market Index |
Close | Change |
| NIKKEI | 36227.08 | 0.60 |
| — | ||
| HANG SENG |
15899.87 | +545.89 |
| +3.56% | ||
| SENSEX | 71060.31 | +689.76 |
| +0.98% | ||
| FTSE 100* | 7527.67 | +41.94 |
| +0.56% |
Bonds
| Bonds | % Yield | Previous % Yield |
| CND. 10 Year Bond |
3.500 | 3.475 |
| CND. 30 Year Bond |
3.461 | 3.418 |
| U.S. 10 Year Bond |
4.1877 | 4.1378 |
| U.S. 30 Year Bond |
4.4178 | 4.3716 |
Currencies
| BOC Close | Today | Previous |
| Canadian $ | 0.7390 | 0.7429 |
| US $ |
1.3531 | 1.3461 |
| Euro Rate 1 Euro= |
Inverse | |
| Canadian $ | 1.4714 | 0.6796 |
| US $ |
1.0874 | 0.9197 |
Commodities
| Gold | Close | Previous |
| London Gold Fix |
2022.95 | 2021.60 |
| Oil | ||
| WTI Crude Future | 75.64 | 74.77 |
Market Commentary:
📈 On this day in 1848, workers dredged a stream to speed up the waterflow into the sluiceway of John Sutter’s sawmill in Coloma, Calif. and struck a bed of soft yellow rock. The California gold rush had begun.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite declined slightly to 21,025.78 in Toronto, ending a 4-day gain.
The loss follows the previous session’s increase of 0.5%.
Canadian National Railway Co. contributed the most to the index decline, decreasing 1.8%.
BlackBerry Ltd. had the largest drop, falling 17.9%.
Today, 122 of 225 shares fell, while 101 rose; 9 of 11 sectors were lower, led by materials stocks.
Insights
* This month, the index rose 0.3%
* The index advanced 1.9% in the past 52 weeks. The MSCI AC Americas Index gained 20% in the same period
* The S&P/TSX Composite is at its 52-week high and 12.5% above its low on Oct. 27, 2023
* The S&P/TSX Composite is up 1.6% in the past 5 days and rose 0.7% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 16.6 on a trailing basis and 15.3 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.2% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.33t
* 30-day price volatility little changed to 11.31% compared with 11.31% in the previous session and the average of 10.90% over the past month
================================================================
| Index Points | | Sector Name | Move | % Change | Adv/Dec
================================================================
Materials | -23.6931| -1.1| 16/35
Industrials | -14.2299| -0.5| 9/17
Communication Services | -5.7083| -0.7| 0/5
Real Estate | -3.7886| -0.7| 6/15
Consumer Discretionary | -3.3880| -0.4| 6/7
Information Technology | -3.0210| -0.2| 3/7
Utilities | -1.4144| -0.2| 4/10
Health Care | -1.0668| -1.7| 0/4
Consumer Staples | -0.9458| -0.1| 2/9
Financials | 23.0455| 0.4| 19/8
Energy | 25.3896| 0.7| 36/5
================================================================
| | |Volume VS| YTD |Index Points | | 20D AVG | Change Top Contributors | Move | % Change | (%) | (%)
================================================================
Canadian National | -12.4500| -1.8| 69.3| -0.1
Barrick Gold | -6.7520| -2.6| 14.2| -12.2
Agnico Eagle Mines | -6.1430| -2.6| 87.4| -8.9
Canadian Natural Resources | 6.5910| 1.0| -18.8| -1.7
Bank of Montreal | 6.7550| 1.0| 24.4| -0.8
TD Bank | 9.2010| 0.9| -55.1| -3.9
US
By Rheaa Rao
(Bloomberg) — US stock indexes ended Wednesday off session highs, after earnings-related optimism fueled by Netflix Inc. moderated and investors geared up for another batch of key quarterly results.
The S&P 500 was little changed when markets closed while the tech-heavy Nasdaq 100 jumped 0.5%.
US Treasury yields rose, with the 30-year rate climbing to its highest level so far this year.
The Bloomberg Dollar Spot Index trimmed earlier declines.
Tesla Inc. and International Business Machines Corp. report results after the closing bell.
Investors are also getting ready to parse a slew of US economic data — including gross domestic product — on Thursday, while continuing to mull when the Federal Reserve will cut interest rates.
“Frankly, everything depends on the incoming data now and there are a lot of potentially significant releases over the next few weeks that could swing the odds of a March rate cut in either direction,” Paul Ashworth, chief North America economist at Capital Economics, wrote. “We still think the Fed will lower rates by 25 basis points at that upcoming meeting.”
US data that released earlier on Wednesday showing business activity expanded in January by the most in seven months bodes well for stocks, according to Renaissance Macro’s Neil Dutta.
“Growth is up and inflation is down. The former puts a ceiling on how many cuts the Federal Reserve will do while the latter means the Fed still ends up cutting,” he said. “Very good scenario for equity markets.”
Earlier, Bank of Canada held its key interest rate at 5%, as expected, and signaled it’s done hiking.
Also on the roster this week is European Central Bank’s policy meeting on Thursday.
Euro-area bond yields slipped earlier after data showed business activity contracted in January for the eighth month.
Elsewhere, industrial metals prices received a boost after China signaled plans to stimulate its economy by cutting the reserve requirement ratio for banks.
The move should allow Chinese banks to step up lending and their purchases of government bonds.
The news also supported Brent crude around $80 a barrel.
Key events this week:
* Eurozone ECB rate decision, Thursday
* Germany IFO business climate, Thursday
* US GDP, initial jobless claims, durable goods, wholesale inventories, new home sales, Thursday
* Japan Tokyo CPI, Friday
* US personal income & spending, Friday
* Bank of Japan issues minutes of policy meeting, Friday
Some of the main moves in markets:
Stocks
* The S&P 500 was little changed as of 4 p.m. New York time
* The Nasdaq 100 rose 0.5%
* The Dow Jones Industrial Average fell 0.3%
* The MSCI World index rose 0.1%
Currencies
* The Bloomberg Dollar Spot Index fell 0.2%
* The euro rose 0.2% to $1.0880
* The British pound rose 0.2% to $1.2717
* The Japanese yen rose 0.5% to 147.62 per dollar
Cryptocurrencies
* Bitcoin rose 0.7% to $39,485.13
* Ether fell 0.1% to $2,199.39
Bonds
* The yield on 10-year Treasuries advanced five basis points to 4.17%
* Germany’s 10-year yield declined one basis point to 2.34%
* Britain’s 10-year yield advanced two basis points to 4.01%
Commodities
* West Texas Intermediate crude rose 1.3% to $75.35 a barrel
* Spot gold fell 0.8% to $2,012.42 an ounce
This story was produced with the assistance of Bloomberg Automation.
–With assistance from John Viljoen, Cristin Flanagan, Julien Ponthus, Sujata Rao, Felice Maranz and Isabelle Lee.
Have a lovely evening.
Be magnificent!
As ever,
Carolann
Worrying is like paying interest on a debt that may never come due. –Will Rogers, 1879-1935.
Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor
Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7
Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
January 23, 2024 Newsletter
Dear Friends,
Tangents:
January 23, 1849: US Patent granted for an envelope-making machine to Jesse K. Park and Cornelius S. Watson.
January 23, In 1930, Clyde Tombaugh photographed the dwarf planet Pluto, and subsequently confirmed 3 weeks later. Go to article >>.
On Jan. 23, 1845: Congress decided all national elections would be held on the first Tuesday after the first Monday in November.
A look at what else happened in history on January 23.
Edouard Manet, artist, b.1932.
Elizabeth Blackwell, first woman MD, b.1849.
John Hancock, statesman, b. 1737
These are the hotels where HBO is filming The White Lotus Season 3.
Netflix paid $5 billion for wrestling’s “Raw” in bet on live events.
Blood test that screens for Alzheimer’s may be a step closer to reality
Researchers say this new blood test can be used to screen for Alzheimer’s disease with “high accuracy,” even before symptoms begin to show.
New sanctions on Russian diamonds
Nearly two years after Russia invaded Ukraine, a group of the world’s biggest economies have imposed a rolling ban on stones from the country. Here’s how it will change the global trade in gems.
How did the middle finger become so offensive?
The naughty middle finger gesture — or “flipping the bird” — was likely developed by Greeks around 2,500 years ago to offend each other. Read more about the most controversial digit.
Man explains why he stole ‘Wizard of Oz’ ruby slippers from museum
New court documents reveal why a Minnesota man stole the magical shoes used in the “The Wizard of Oz.”
“DeSantis posted a video announcing that he was dropping out, and during it he attributed a quote about failure to Winston Churchill, but Churchill never actually said it. See, this is what happens when you ban textbooks.” — JIMMY FALLON
“Yeah, when he saw the latest polls, DeSantis clicked his high heels together three times and said, ‘There’s no place like home, there’s no place like home, there’s no place like home.’” — JIMMY FALLON
PHOTOS OF THE DAY
Plant life category: Pandora, by Marcio Cabral
‘This panorama shows the beauty of Chapada dos Veadeiros, a Brazilian national park that hosts a rich biodiversity and breathtaking landscapes. The white flowers that stand out in the foreground are a rare species of Paepalanthus, a genus of plants endemic to the region. They were illuminated by a scurion lamp to create a contrast with the dark sky. In the background, the Milky Way curves over the hills, revealing the colours and shapes of stars and nebulae. This pano was taken with a specialised camera for astrophotography’
Photograph: Marcio Cabral
Osona, Spain
Water levels are low at the Sau reservoir, which is at 5% of its capacity
Photograph: Marc Asensio/NurPhoto/Rex/Shutterstock
Winner in the funny nature category: Monday, by Panisara Sripratoom
‘A spotted owlet (Athene brama) emerging from a hollow within a yellow flame tree situated in the university campus. This species of owl is characterised by its small size, primarily nocturnal feeding behaviour and frequent occurrence in urban environments. Without a sharp eye, this spotted owlet goes unnoticed … These spotted owlets, somehow, have shown their adaptability, finding a habitat within this modified urban environment’
Photograph: Panisara Sripratoom
Market Closes for January 23rd, 2024
| Market Index |
Close | Change |
| Dow Jones |
37905.45 | -96.36 |
| -0.25% | ||
| S&P 500 | 4864.60 | +14.17 |
| +0.29% | ||
| NASDAQ | 15425.94 | +65.65 |
| +0.43% | ||
| TSX | 21034.59 | +110.29 |
| +0.53% |
International Markets
| Market Index |
Close | Change |
| NIKKEI | 36374.11 | -143.46 |
| -0.39% | ||
| HANG SENG |
15353.98 | +392.80 |
| +2.63% | ||
| SENSEX | 70370.55 | -1053.10 |
| -1.47% | ||
| FTSE 100* | 7485.73 | -1.98 |
| -0.03% |
Bonds
| Bonds | % Yield | Previous % Yield |
| CND. 10 Year Bond |
3.475 | 3.459 |
| CND. 30 Year Bond |
3.418 | 3.402 |
| U.S. 10 Year Bond |
4.1378 | 4.1072 |
| U.S. 30 Year Bond |
4.3716 | 4.3213 |
Currencies
| BOC Close | Today | Previous |
| Canadian $ | 0.7429 | 0.7421 |
| US $ |
1.3461 | 1.3476 |
| Euro Rate 1 Euro= |
Inverse | |
| Canadian $ | 1.4613 | 0.6843 |
| US $ |
1.0856 | 0.9212 |
Commodities
| Gold | Close | Previous |
| London Gold Fix |
2021.60 | 2028.55 |
| Oil | ||
| WTI Crude Future | 74.77 | 75.19 |
Market Commentary:
📈 On this day in 2002, Kenneth Lay resigned as chairman and chief executive of Enron. His departure came a little over a month after the energy-trading powerhouse filed for bankruptcy—then the biggest in U.S. history.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose for the fourth day, climbing 0.5%, or 110.29 to 21,034.59 in Toronto.
The index advanced to the highest closing level since Jan. 15.
Shopify Inc. contributed the most to the index gain, increasing 1.0%.
Iamgold Corp. had the largest increase, rising 15.1%.
Today, 163 of 225 shares rose, while 59 fell; 10 of 11 sectors were higher, led by materials stocks.
Insights
* This month, the index rose 0.4%
* The index advanced 2% in the past 52 weeks. The MSCI AC Americas Index gained 20% in the same period
* The S&P/TSX Composite is 0.5% below its 52-week high on Jan. 12, 2024 and 12.5% above its low on Oct. 27, 2023
* The S&P/TSX Composite is up 0.4% in the past 5 days and rose 0.7% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 16.5 on a trailing basis and 15.3 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.2% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.31t
* 30-day price volatility rose to 11.31% compared with 11.25% in the previous session and the average of 10.88% over the past month
================================================================
|Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Materials | 44.6155| 2.1| 43/8
Energy | 21.3467| 0.6| 32/8
Information Technology | 13.2599| 0.7| 6/4
Industrials | 12.9703| 0.4| 21/5
Consumer Discretionary | 6.1782| 0.8| 8/4
Consumer Staples | 5.5886| 0.6| 9/2
Communication Services | 4.5382| 0.6| 4/1
Financials | 3.4367| 0.1| 18/9
Real Estate | 0.3308| 0.1| 15/6
Health Care | 0.1022| 0.2| 3/1
Utilities | -2.0766| -0.3| 4/11
================================================================
| | |Volume VS | YTD
| Index | | 20D AVG | Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
Shopify | 8.8480| 1.0| -33.5| 6.0
Barrick Gold | 6.6290| 2.6| 40.5| -9.9
Constellation Software | 5.1380| 1.0| -2.3| 11.4
Suncor Energy | -2.3550| -0.6| -56.4| 0.0
Bank of Montreal | -3.4280| -0.5| 51.7| -1.8
Bank of Nova Scotia | -5.4790| -1.1| -52.3| -5.2
US
By Cristin Flanagan
(Bloomberg) — US stocks eked out a gain Tuesday, setting fresh closing highs ahead of an onslaught of company reports that promise insight into the state of the global economy.
The S&P 500 and Nasdaq 100 both closed at all-time highs for the second day this week, while the cyclically-oriented Dow Jones Industrial Average slid 0.3%.
United Airlines Holdings Inc., Procter & Gamble Co., Verizon Communications Inc. all advanced on upbeat earnings reports while 3M Co. and Johnson & Johnson fell following disappointing guidance.
In post-market trading, Netflix Inc. jumped more than 7% after reporting subscriber growth that topped estimates.
Texas Instruments Inc. tumbled roughly 4% after a disappointing revenue forecast, its chipmaking rivals also slid.
Investors are awaiting the results from the Republican presidential primary after voters in New Hampshire hit the polls Tuesday.
Equities have largely been immune to the Federal Reserve’s warnings that interest-rate cuts are a ways off.
Instead investors have cheered the economy’s resilience even after the most aggressive policy-tightening cycle in decades.
But some corners of Wall Street are starting to question if the rally will endure as swaps traders in the US rein in bets of a March rate cut.
“The excitement is kind of gone at this point and everybody’s sobering up a little bit after the pivot party,”
Emily Roland, the co-chief investment strategist of John Hancock Investment Management, said by phone. “Multiple expansions are starting to get a little tapped out here.”
“Recent weeks have seen an increasingly optimistic narrative in markets,” said Henry Allen, a strategist at Deutsche Bank. “But can this be sustained? When financial conditions get as accommodative as they are right now, it doesn’t tend to last long.” “The data has been impressively resilient,” he added. “But we know that investors will eventually adjust for repeated upside surprises.”
Goldman Sachs warns that fast-twitch traders may be forced to sell over the next few sessions after building $129 billion in long positions.
Treasury yields mostly edged higher Tuesday with the benchmark 10-year at 4.14%.
The rate on policy-sensitive two-year fell 1 basis point to 4.38%.
“The bounce in 2-year yields off the YTD lows achieved last week should embolden dip buyers,” BMO Capital Markets’ Vail Hartman wrote.
US-listed Chinese shares gained after Bloomberg News reported Beijing is considering a package of measures to stabilize the falling stock market.
Central banks are in focus this week.
While the Bank of Japan held rates steady, Governor Kazuo Ueda said the certainty of achieving its projections has continued to gradually increase.
That language supports the prevailing view among economists that the BOJ will raise rates at some point in the first part of this year.
On Thursday, investor attention will shift to the European Central Bank’s meeting and whether officials there may indicate a start to policy easing.
The US will also get some of final pieces of data ahead of next week’s FOMC meeting with a fourth-quarter GDP readout Thursday and the Fed’s preferred gauge of inflation on Friday.
Bitcoin slumped for a second day — retail investors have been growing more bearish on the world’s largest cryptocurrency, according to a Deutsche Bank report.
Meanwhile, West Texas Intermediate crude dipped below $75 a barrel after the US advised caution for vessels transiting the Red Sea, but didn’t advise pausing shipping traffic.
Corporate Highlights
* Apple Inc., reaching a make-or-break point in its decade-old effort to build a car, has pivoted to a less ambitious design with the intent of finally bringing an electric vehicle to market.
* Alibaba Group Holding Ltd. shares jumped after the New York Times reported that founder Jack Ma has been buying up shares in the company.
* Johnson & Johnson shares slid after the company said drug sales will be lower in the second half of the year than the first.
* Verizon gave guidance for 2024 adjusted earnings per share that topped the average analyst estimates.
* Homebuilder D.R. Horton Inc. sank after reporting weaker-than-expected quarterly orders.
* Coinbase Global Inc. fell after JPMorgan cut its recommendation on the cryptocurrency platform operator’s stock to underweight.
Key events this week:
* New Hampshire holds first-in-the-nation presidential primary, Tuesday
* Canada rate decision, Wednesday
* Eurozone S&P Global Services & Manufacturing PMI, Wednesday
* US S&P Global Services & Manufacturing PMI, Wednesday
* Eurozone ECB rate decision, Thursday
* Germany IFO business climate, Thursday
* US GDP, initial jobless claims, durable goods, wholesale inventories, new home sales, Thursday
* Japan Tokyo CPI, Friday
* US personal income & spending, Friday
* Bank of Japan issues minutes of policy meeting, Friday
Some of the main moves in markets:
Stocks
* The S&P 500 rose 0.3% as of 4 p.m. New York time
* The Nasdaq 100 rose 0.4%
* The Dow Jones Industrial Average fell 0.3%
* The MSCI World index rose 0.1%
Currencies
* The Bloomberg Dollar Spot Index rose 0.2%
* The euro fell 0.3% to $1.0850
* The British pound fell 0.2% to $1.2686
* The Japanese yen fell 0.2% to 148.36 per dollar
Cryptocurrencies
* Bitcoin fell 1.7% to $39,120.72
* Ether fell 5.5% to $2,196.33
Bonds
* The yield on 10-year Treasuries advanced three basis points to 4.13%
* Germany’s 10-year yield advanced six basis points to 2.35%
* Britain’s 10-year yield advanced eight basis points to 3.99%
Commodities
* West Texas Intermediate crude fell 0.3% to $74.53 a barrel
* Spot gold rose 0.3% to $2,028.72 an ounce
This story was produced with the assistance of Bloomberg Automation.
–With assistance from Isabelle Lee, Sujata Rao, Jason Scott, Divya Patil and Winnie Hsu.
Have a lovely evening.
Be magnificent!
As ever,
Carolann
Know how sublime a thing it is to suffer and be strong. –Henry Wadsworth Longfellow, 1807-1882.
Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor
Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7
Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
January 22, 2024 Newsletter
Dear Friends,
Tangents: Happy Monday.
January 22, 1976 The supersonic Concorde jet was put into service by Britain and France. Go to article >>
January 22, 1973: The US Supreme Court legalizes abortion (Roe v. Wade). This was overturned by the conservative-majority Supreme Court in 2022.
Francis Bacon, statesman, b. 1561.
Lord Byron, poet, b. 1788.
George Balanchine, choreographer, b. 1904.
A 20-year-old amateur golfer just won a PGA Tour event
But he’s not allowed to collect the $1.5 million prize.
Do humans need to hibernate, too?
Here’s what experts think about humans’ winter sleep patterns and whether you should make any adjustments.
Librarian helps teens get news ‘in a smarter way’
Media literacy is more than spotting fake news. Read how one librarian gives teenagers the tools to decide what to trust.
PHOTOS OF THE DAY
Big waves in Blackpool
Photograph: Danny Lawson/PA
La Paz, Bolivia
A cucumber and a chuta cholero hug during the Desentierro del Pepino (‘unearthing the cucumber’) festival to mark the beginning of carnival
Photograph: Gastón Brito/Getty Images
Custer, South Dakota
A firework display at the 11th annual Burning Beetle event, created in response to a mountain pine beetle infestation
Photograph: Matt Gade/AP
Market Closes for January 22nd, 2024
| Market Index |
Close | Change |
| Dow Jones |
38001.81 | +138.01 |
| +0.36% | ||
| S&P 500 | 4850.43 | +10.62 |
| +0.22% | ||
| NASDAQ | 15360.29 | +49.32 |
| +0.32% | ||
| TSX | 20924.30 | +17.78 |
| +0.09% |
International Markets
| Market Index |
Close | Change |
| NIKKEI | 36546.95 | +583.68 |
| +1.62% | ||
| HANG SENG |
14961.18 | -347.51 |
| -2.27% | ||
| SENSEX | 71423.65 | -259.58 |
| -0.36% | ||
| FTSE 100* | 7487.71 | +25.78 |
| +0.35% |
Bonds
| Bonds | % Yield | Previous % Yield |
| CND. 10 Year Bond |
3.459 | 3.492 |
| CND. 30 Year Bond |
3.402 | 3.424 |
| U.S. 10 Year Bond |
4.1072 | 4.1226 |
| U.S. 30 Year Bond |
4.3213 | 4.3285 |
Currencies
| BOC Close | Today | Previous |
| Canadian $ | 0.7421 | 0.7446 |
| US $ |
1.3476 | 1.3430 |
| Euro Rate 1 Euro= |
Inverse | |
| Canadian $ | 1.4667 | 0.6818 |
| US $ |
1.0084 | 0.9188 |
Commodities
| Gold | Close | Previous |
| London Gold Fix |
2028.55 | 2013.20 |
| Oil | ||
| WTI Crude Future | 75.19 | 73.41 |
Market Commentary:
📈 On this day in 1968, the New York Stock Exchange closed 90 minutes early. The closure was to help inundated trading clerks catch up on a “deluge of paper work that has resulted from a recent sustained period of unusually heavy trading,” The Wall Street Journal reported.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite advanced slightly to 20,924.30 in Toronto.
Brookfield Corp. contributed the most to the index gain, increasing 1.4%.
Canada Goose Holdings Inc. had the largest increase, rising 5.5%.
Today, 135 of 225 shares rose, while 88 fell; 5 of 11 sectors were higher, led by financials stocks.
Insights
* This month, the index was little changed
* The index advanced 2.1% in the past 52 weeks. The MSCI AC Americas Index gained 21% in the same period
* The S&P/TSX Composite is 1% below its 52-week high on Jan. 12, 2024 and 11.9% above its low on Oct. 27, 2023
* The S&P/TSX Composite is down 0.7% in the past 5 days and was little changed in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 16.4 on a trailing basis and 15.2 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.2% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.31t
* 30-day price volatility little changed to 11.25% compared with 11.25% in the previous session and the average of 10.88% over the past month
================================================================
|Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | 25.6651| 0.4| 20/6
Information Technology | 5.9468| 0.3| 8/2
Real Estate | 4.5813| 0.9| 18/3
Consumer Discretionary | 2.0619| 0.3| 10/3
Health Care | 0.5420| 0.9| 3/1
Energy | -0.5673| 0.0| 26/15
Utilities | -2.5142| -0.3| 8/6
Materials | -2.7142| -0.1| 22/30
Consumer Staples | -3.6558| -0.4| 5/6
Industrials | -5.0735| -0.2| 14/12
Communication Services | -6.4884| -0.8| 1/4
================================================================
| | |Volume VS | YTD
| Index | | 20D AVG | Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
Brookfield Corp | 7.5990| 1.4| -15.4| 2.0
TD Bank | 7.2840| 0.7| -48.5| -4.5
Shopify | 6.4040| 0.7| -10.7| 4.9
Canadian National | -5.0600| -0.7| 28.6| 1.0
BCE | -5.1670| -1.5| 1.1| 5.8
Constellation Software | -5.3980| -1.1| -1.3| 10.2
US
By Rita Nazareth
(Bloomberg) — Stocks eked out gains while closing at fresh records, with traders weighing strong economic signals amid warnings that the market has run too far, too fast.
Equities are shaking off a rocky start to the year on bets the Federal Reserve will cut rates and the artificial-intelligence boom will keep fueling profit growth.
Meanwhile, earnings season kicks into high gear this week, with companies including Netflix Inc., Tesla Inc. and Intel Corp. due to report their numbers.
“The record-high breakout we saw on Friday is attracting momentum,” said Mark Hackett at Nationwide. “Though we may not be shooting straight to the moon, the current environment is encouraging and a good reminder for investors that cash isn’t always king.”
The S&P 500 hovered near 4,850.
Treasury 10-year yields declined two basis points to 4.10%.
The dollar wavered.
“The story is changing for bulls,” said David Donabedian at CIBC Private Wealth US. “Investor optimism had been driven by the belief there would be aggressive rate cuts by the Fed. Now investor belief has pivoted to view the economy as bullet-proof. No matter how high interest rates go, the economy will continue to glide right through.”
Last week’s record close for US stocks has pulled valuations back to the highs seen last July.
But a closer look shows that the market isn’t as expensive as it appears, according to Citigroup Inc.’s Scott Chronert.
Gains in Apple Inc., Microsoft Corp., Nvidia Corp., Alphabet Inc., Amazon.com Inc., Meta Platforms Inc. and Tesla Inc. have powered the resurgence on Wall Street.
The equally weighted version of the S&P 500 strips out some of their outsized influence and results in a ratio of around 16 times forward earnings, a discount of 17% to the benchmark’s standard valuation.
“With AI set to remain the key theme driving global tech stocks again this year and the rest of the decade, we maintain our preference for the semiconductor and software sectors and see opportunities in those involved in memory and AI edge-computing,” said Solita Marcelli at UBS Global Wealth Management.
“We may just get the upside follow-through that we too to signal that last week’s breakout to new all-time highs in the S&P 500 and the Nasdaq 100 has been confirmed,” said Matt Maley at Miller Tabak + Co. “We do need to point out that both indices are reaching overbought levels, so they could take a breather at any time. However, as long as any ‘breathers’ do not become severe reversals, the bulls have a lot going for them right now.”
The Ned Davis Research Leading Indicator Model — based on 10 indicators that typically lead the S&P 500 — has already been flashing bullish for most of the past year.
The majority of the components are price-based and include one on sentiment with two others on macroeconomics.
Although the model is just off its highs, with four of the seven bullish indicators starting to weaken including financials, volume demand and weekly new highs on the New York Stock Exchange, the key gauge still points to equity strength.
To Lisa Shalett at Morgan Stanley Wealth Management, with forward multiples already at historic peaks and earnings forecasts for 12 months forward ambitious, stock gains may stall in 2024 — as better earnings are met with lower valuation multiples, characteristic of a midcycle or soft-landing environment.
Even as the S&P 500 closed Friday at an all-time high, money managers and analysts are contending with data that signals US economic resilience and Fed officials who’ve pushed back against reducing interest rates too soon.
The latest warning for investors unleashing dovish monetary wagers across the board: Two thirds of Bloomberg Markets Live Pulse respondents said that betting on early monetary easing is the “most foolish” among popular trades heading into 2024.
“The push and pull between interest rates and the markets have been discussed ad nauseam, but looking back over the past two years, it has been the Fed’s actions that have led the markets, said Paul Nolte at Murphy & Sylvest Wealth Management. “Will the economy catch a chill if the Fed keeps rate cuts on ice? It will depend largely on the earnings season that gets into full swing this week.”
Strategists at Wall Street’s two top-tier banks are split on the outlook for profit margins: Goldman Sachs Group Inc. sees falling inflation boosting the key metric, while JPMorgan Chase & Co. warned companies are quickly losing pricing power.
Yung-Yu Ma at BMO Wealth Management is betting the stock market outlook will brighten by the second half of the year as the Fed’s rate cuts are likely to begin and companies and consumers look ahead to a better spending environment. “We believe the Fed will cut rates just three or four times in 2024,” he noted. “Ultimately, the short-term interest rate trajectory continuing to point downward is more important than how many cuts take place in 2024 versus what gets pushed out into 2025. If the end of 2024 sees both growth acceleration and continued low inflation, that will set up an especially favorable backdrop for stocks.”
Corporate Highlights:
* Archer-Daniels-Midland Co. plunged after the US agricultural trading giant suspended its chief financial officer and cut its earnings outlook pending an investigation into its accounting practices.
* Sunoco LP, a US gas station owner, agreed to acquire pipeline and fuel storage company NuStar Energy LP for about $7.3 billion in a move to diversify its business and buy up a key part of its supply chain.
* Digital World Acquisition Corp., the blank-check firm seeking to take Donald Trump’s media company public, surged after Ron DeSantis dropped out of the 2024 US presidential race and endorsed Trump.
* Arkhouse Management Co. has asked Macy’s Inc. for access to more financial information after the US department store operator rejected a $5.8 billion takeover offer from the investment firm and Brigade Capital Management.
* US authorities are investigating B. Riley Financial Inc.’s deals with a key client who was linked to a securities fraud, and the use of his assets to help the investment bank obtain a loan from Nomura Holdings Inc., according to people familiar with the matter.
* Gilead Sciences Inc. slid after its drug Trodelvy failed to meet a key goal in a study of patients with advanced lung cancer.
* Scrutiny of Boeing Co.’s manufacturing quality expanded after federal regulators told airlines to check the door plugs on a second 737 model, where operators have also found issues with fasteners.
* Amer Sports Inc., the maker of Wilson tennis rackets and Salomon ski boots, is seeking to raise as much as $1.8 billion in what would be one of the year’s first major initial public offerings.
Key events this week:
* Japan BOJ rate decision, Tuesday.
* Eurozone consumer confidence, Tuesday.
* New Hampshire holds first-in-the-nation presidential primary, Tuesday.
* European Central Bank issues bank lending survey, Tuesday.
* Canada rate decision, Wednesday.
* Eurozone S&P Global Services & Manufacturing PMI, Wednesday.
* US S&P Global Services & Manufacturing PMI, Wednesday.
* Eurozone ECB rate decision, Thursday.
* Germany IFO business climate, Thursday.
* US GDP, initial jobless claims, durable goods, wholesale inventories, new home sales, Thursday.
* Japan Tokyo CPI, Friday.
* US personal income & spending, Friday.
* Bank of Japan issues minutes of policy meeting, Friday.
Some of the main moves in markets:
Stocks
* The S&P 500 rose 0.2% as of 4 p.m. New York time
* The Nasdaq 100 was little changed
* The Dow Jones Industrial Average rose 0.4%
* The MSCI World index rose 0.3%
Currencies
* The Bloomberg Dollar Spot Index rose 0.1%
* The euro fell 0.1% to $1.0885
* The British pound was little changed at $1.2709
* The Japanese yen was little changed at 148.05 per dollar
Cryptocurrencies
* Bitcoin fell 3.9% to $40,127.03
* Ether fell 5.5% to $2,337.08
Bonds
* The yield on 10-year Treasuries declined two basis points to 4.10%
* Germany’s 10-year yield declined five basis points to 2.29%
* Britain’s 10-year yield declined two basis points to 3.90%
Commodities
* West Texas Intermediate crude rose 2.4% to $75.19 a barrel
* Spot gold fell 0.4% to $2,020.87 an ounce
This story was produced with the assistance of Bloomberg Automation.
–With assistance from Denitsa Tsekova, Kasia Klimasinska, Michael Msika, Sujata Rao, John Viljoen, Jessica Menton, Elena Popina and Matt Turner.
Have a lovely evening.
Be magnificent!
As ever,
Carolann
There is no way to happiness. Happiness is the way. –Thich Nhat Hanh, 1926-2022.
Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor
Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7
Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
January 19, 2024 Newsletter
| Dear Friends,
Tangents: Happy Friday. January 19th, 1870: Tin can patented. Dogen, poet, b.1200. ‘Extremely rare’ 2,500-year-old broken silver coin unearthed near Jerusalem Mystery of Siberia’s giant exploding craters may finally be solved Mysterious deep-space object could be the smallest black hole ever discovered Forensic scientists have a new fingerprint-matching tool in their arsenal thanks to AI, but it’s sparked a controversy NFL announces more Super Bowl performers Comedy icons attend Jim Carrey’s birthday dinner Sarah Jessica Parker’s ‘Sex and the City’ tutu sells for $52,000 Comedy icons attend Jim Carrey’s birthday dinner Cable companies are replacing ancient cable boxes with these gadgets PHOTOS OF THE DAY
International Markets
Bonds
Currencies
Commodities
Market Commentary: Corporate Highlights: Be magnificent! As ever, Carolann Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM Queensbury Securities Inc., Tel: 778.430.5808 |
Grindavik, Iceland
Brugelette, Belgium
Cubagua Island, VenezuelaJanuary 18, 2024, Newsletter
Tangents: Happy Friday Eve.
Winnie the Pooh day.
On Jan. 18, 1778: English navigator Captain James Cook reached the present-day Hawaiian Islands, which he named the “Sandwich Islands.”
January 18th, 1886: Modern hockey is born. The foundation of The Hockey Association in England formalized a modern version of the game that had already been played in ancient times.
2005: The world’s largest commercial jet, an Airbus A380 that can carry 800 passengers, was unveiled in Toulouse, France. Go to article >>
A look at what else happened in history on January 18
Steve Forbes Is Selling His Winston Churchill Memorabilia Collection
How ChatGPT learned to lie and cheat in the pursuit of money. Read More.
IBM’s new Heron chip inches us closer to a quantum reality. Read More.
Sonar-enhanced “smart” glasses could protect privacy. Read More.
PHOTOS OF THE DAY
Glencoe. UK
Hill walkers, skiers and snowboarders on Meall a’ Bhuiridh in Glencoe
Photograph: Murdo MacLeod/The Guardian
Swans and seagulls on a frozen Tynemouth boating lake
Photograph: Owen Humphreys/PA
People walking in the snow at Derwent Water in Keswick
Photograph: Owen Humphreys/PA
Market Closes for January 18th, 2024
| Market Index |
Close | Change |
| Dow Jones |
37468.61 | +201.94 |
| +0.54% | ||
| S&P 500 | 4780.94 | +41.73 |
| +0.88% | ||
| NASDAQ | 15055.65 | +200.03 |
| +1.35% | ||
| TSX | 20756.73 | +61.71 |
| +0.30% |
International Markets
| Market Index |
Close | Change |
| NIKKEI | 35466.17 | -11.58 |
| -0.03% | ||
| HANG SENG |
15391.79 | +114.89 |
| +0.75% | ||
| SENSEX | 71186.86 | -313.90 |
| -0.44% | ||
| FTSE 100* | 7459.09 | +12.80 |
| +0.17% |
Bonds
| Bonds | % Yield | Previous % Yield |
| CND. 10 Year Bond |
3.490 | 3.446 |
| CND. 30 Year Bond |
3.426 | 3.366 |
| U.S. 10 Year Bond |
4.1420 | 4.1019 |
| U.S. 30 Year Bond |
4.3653 | 4.3116 |
Currencies
| BOC Close | Today | Previous |
| Canadian $ | 0.7416 | 0.7406 |
| US $ |
1.3484 | 1.3503 |
| Euro Rate 1 Euro= |
Inverse | |
| Canadian $ | 1.4673 | 0.6815 |
| US $ |
1.0881 | 0.9190 |
Commodities
| Gold | Close | Previous |
| London Gold Fix |
2011.75 | 2038.15 |
| Oil | ||
| WTI Crude Future | 74.08 | 72.56 |
Market Commentary:
📈 On this day in 1956, Ford Motor went public after more than a half-century as a private company. The Ford Foundation sold 10.2 million shares at $64.50.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose 0.3% at 20,756.73 in Toronto.
The move follows the previous session’s decrease of 1.2%.
Today, industrials stocks led the market higher, as 7 of 11 sectors gained; 118 of 225 shares rose, while 98 fell.
Alimentation Couche-Tard Inc. contributed the most to the index gain, increasing 3.0%.
Orla Mining Ltd. had the largest increase, rising 5.7%.
Insights
* So far this week, the index fell 1.1%, heading for the biggest decline since the week ended Oct. 27
* The index advanced 1.9% in the past 52 weeks. The MSCI AC Americas Index gained 21% in the same period
* The S&P/TSX Composite is 1.8% below its 52-week high on Jan. 12, 2024 and 11% above its low on Oct. 27, 2023
* The S&P/TSX Composite is down 0.8% in the past 5 days and rose 0.6% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 16.3 on a trailing basis and 15.1 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.2% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.28t
* 30-day price volatility little changed to 11.23% compared with 11.22% in the previous session and the average of 10.83% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Industrials | 42.9480| 1.5| 22/4
Financials | 25.8765| 0.4| 21/6
Consumer Staples | 19.8231| 2.2| 10/1
Consumer Discretionary | 4.4576| 0.6| 10/3
Materials | 3.1767| 0.1| 19/29
Communication Services | 3.0050| 0.4| 5/0
Real Estate | 1.3397| 0.3| 6/12
Health Care | -0.6360| -1.0| 2/2
Utilities | -3.9815| -0.5| 5/10
Information Technology | -15.5051| -0.8| 8/2
Energy | -18.7835| -0.5| 10/29
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
Couche-Tard | 12.2400| 3.0| 24.4| 4.2
Canadian Pacific Kansas | 10.1000| 1.5| -21.3| -0.6
Canadian National | 10.0800| 1.5| -1.7| 1.1
Bank of Nova Scotia| -5.6470| -1.1| -4.7| -4.9
Enbridge | -7.1350| -1.0| 302.4| 1.2
Shopify | -32.7800| -3.6| 1.1| 1.4
US
By Rita Nazareth
(Bloomberg) — A rally in some of the world’s largest technology companies fueled a rebound in stocks, with traders also weighing the latest economic data and Fed speak for clues on the US central bank’s next steps.
After a back-to-back slide, the S&P 500 rose as bond-market volatility abated.
The Nasdaq 100 closed at an all-time high as Apple Inc. climbed on an analyst upgrade and Taiwan Semiconductor Manufacturing Co.’s outlook lifted chipmakers on hopes for a global tech recovery in 2024.
Stock traders were unfazed by data underscoring labor-market strength at a time when Fed officials are looking for signs of a slowdown as they contemplate cutting rates.
Fed Bank of Atlanta President Raphael Bostic urged policymakers to proceed cautiously toward easing given the potential impacts of unpredictable events from elections to global conflicts.
His Philadelphia counterpart Patrick Harker said he expects inflation to keep ebbing toward the 2% target.
“Given the underlying strength of the US economy, it’s difficult to get too bearish at this point,” said Chris Zaccarelli at Independent Advisor Alliance. “The pervasive pessimism and doubt about the stock market and economy is a
contrarian signal and one of the best reasons to push against the crowd. Once the last skeptic has been converted, the market will be again vulnerable to a large shock, but we aren’t at that point yet.”
The S&P 500 closed at 4780.94, while the Nasdaq 100 1.5%.
A gauge of chipmakers climbed almost 3.5%.
Treasury two-year yields remained around 4.35%. Oil rose to $74 a barrel.
Bitcoin slid below $41,000.
The rebound in stocks suggests things are a lot calmer, but that’s not to say conditions will remain that way, according to Fawad Razaqzada at City Index and Forex.com.
He cited a growing perception that big central banks might not lower interest rates as much or as soon as the market thought they would.
“There’s clearly a desperate desire to cling on to the optimism that enabled such a strong end to the year, but unlike in that period, the data isn’t really playing ball,” said Craig Erlam at Oanda. “The releases we’ve seen so far this month have been fine and in the main, perfectly in keeping with the expectations people had coming into 2024. But is that enough?”
Blackstone Inc. Chief Executive Officer Steve Schwarzman said he expects the Fed to lower rates and sees “animal spirits” returning to the markets as more investors make that bet too.
The Fed’s timing on rate declines won’t be clear, creating a “baffling effect” among investors, he told Bloomberg Television on the sidelines of the World Economic Forum.
Coming off its best winning streak in two decades, the S&P 500 has run into a roadblock in 2024, with its all-time closing record set two years ago remaining elusive.
But a technical gauge that measures the momentum to buy or sell stocks signals that bulls are still stepping in to snap up shares.
The index’s DVAN trend line — a proprietary divergence analysis that measures buying or selling pressure — has been on a buying streak since the S&P 500 bottomed in late October, with investors continuing to scoop up shares in multiple trading sessions heading into the closing bell in the past week.
To Dan Wantrobski at Janney Montgomery Scott, while markets have stabilized after the recent weakness, a “bumpy path” is still expected.
“There are many conflicting market internals/technicals appearing on the charts right now — which should make for a choppy, range-bound glide path over the near term,” Wantrobski noted.
After being caught flat-footed early last year, fund managers have gone all-in on technology stocks — so much so that it’s sparking warnings that the Nasdaq 100 is looking ever more vulnerable to investor pullbacks.
Hedge funds hold the highest level of net-long Nasdaq 100 futures in nearly seven years, according to Societe Generale’s weighted analysis of data on the Nasdaq 100 Index futures and e-mini contracts provided by the Commodities Futures Trading Commission.
Meanwhile, a global fund manager survey from Bank of America Corp. this month showed the most-crowded trade is being long the “Magnificent Seven” stocks and other tech-related growth shares as a way to play the prospect of Fed easing.
Matt Maley at Miller Tabak + Co. says that as much as he’s worried about the return of the “narrow stock market,” some hope does exist that it can broaden out.
The news coming out of the chip industry is “definitely bullish,” and “if it can cause a significant and sustainable move above the late-2023 highs, it’s going to be something that should push the stock market higher going forward,” Maley noted.
Corporate Highlights:
* Humana Inc. shares plummeted after preliminary earnings missed estimates on higher-than-expected costs of members’ care and the Medicare-focused insurer forecast anemic enrollment growth for this year.
* Spirit Airlines Inc. tumbled again as investors took little solace from a pledge by the airline to strengthen its balance sheet in the wake of a failed takeover of the deep-discount carrier.
* Boeing Co. won an order for 150 Max jets from India’s newest airline, in a rare spot of good news for the US plane-maker since a piece of fuselage blew off an Alaska Airlines flight almost two weeks ago.
* Nelson Peltz said Walt Disney Co. is unable to heal “self-inflicted wounds” under current leadership and should be aiming for “Netflix-like margins,” days after the entertainment giant knocked back the activist’s bid for a seat on its board.
* Bayer AG is leaning against breaking up the conglomerate, rejecting pleas from investors frustrated by the company’s ongoing struggle to recover from its costly purchase of Monsanto, according to people familiar with the matter.
* Birkenstock Holding Plc’s growth targets failed to satisfy traders who were hoping for more from the German sandal maker.
* KeyCorp reported fourth-quarter profit that fell short of analysts’ estimates and predicted net interest income would decline this year.
* Goodyear Tire & Rubber Co. named Stellantis NV executive Mark Stewart as chief executive officer following a pressure campaign by shareholder activist Elliott Investment Management.
* Discover Financial Services posted a 62% drop in fourth-quarter profit as the company continued to grapple with the fallout from compliance and risk-management lapses that led to the resignation of its chief executive officer last year.
Key events this week:
* Canada retail sales, Friday
* Japan CPI, tertiary index, Friday
* US existing home sales, University of Michigan consumer sentiment, Friday
* ECB President Christine Lagarde and IMF Managing Director Kristalina Georgieva speak in Davos, Friday
* San Francisco Fed President Mary Daly speaks, Friday
Some of the main moves in markets:
Stocks
* The S&P 500 rose 0.9% as of 4 p.m. New York time
* The Nasdaq 100 rose 1.5%
* The Dow Jones Industrial Average rose 0.5%
* The MSCI World index rose 0.7%
Currencies
* The Bloomberg Dollar Spot Index was little changed
* The euro fell 0.1% to $1.0869
* The British pound rose 0.2% to $1.2699
* The Japanese yen was little changed at 148.19 per dollar
Cryptocurrencies
* Bitcoin fell 4.2% to $40,850.5
* Ether fell 3.1% to $2,446.11
Bonds
* The yield on 10-year Treasuries advanced four basis points to 4.14%
* Germany’s 10-year yield advanced three basis points to 2.35%
* Britain’s 10-year yield declined six basis points to 3.93%
Commodities
* West Texas Intermediate crude rose 2.1% to $74.07 a barrel
* Spot gold rose 0.8% to $2,022.08 an ounce
This story was produced with the assistance of Bloomberg Automation.
–With assistance from Jessica Menton, Isabelle Lee, Jeran Wittenstein and Elena Popina.
Have a lovely evening.
Be magnificent!
As ever,
Carolann
The greatest good you can do for another is not just to share your riches but to reveal to him his own. –Benjamin Disraeli, 1804-1881.
Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor
Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7
Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
www.carolannsteinhoff.com
January 17, 2024, Newsletter
Tangents:
January 17, 1991: The Gulf War in Iraq begins. “Operation Desert Storm”, launched in response to Iraq’s invasion of Kuwait, resulted in about 100,000 civilian deaths.
1997: A court in Ireland granted the first divorce in the Roman Catholic country’s history. Go to article >>
Benjamin Franklin, b. 1706.
Anton Chekov, playwright, b. 1860.
Al Capone, b. 1899.
James Earl Jones, actor, b. 1931.
Muhammed Ali, “The Greatest” boxer, b. 1942.
Michelle Obama turned 60.
5 Earth-like worlds may lurk in the outer reaches of the solar system, simulations suggest
The young sun may have captured several Mars or Mercury-size exoplanets that now orbit in the outer reaches of the solar system, but identifying them will be extremely challenging. Read More.
Part of Hadrian’s 1,800-year-old aqueduct and rare Greek coins unearthed near Corinth
The enormous aqueduct was built in the second century to carry water to the city of Corinth from a lake 50 miles away. Read More.
Massive tectonic collision causing Himalayas to grow may also be splitting Tibet apart
The Indian plate may be peeling into two as it slides under the Eurasian plate, tearing Tibet apart in the process. Read More.
Tiny black holes from the dawn of time may be altering our planet’s orbit, new study suggests
A study suggests primordial black holes may make planets and moons near us wobble. If measured experimentally, this will provide the first concrete proof such objects exist. Read More.
25 ways to stay warm this winter
Cutting back on indoor heating costs? Here are 25 ways to stay warm that won’t break the bank.
Coachella announces 2024 festival lineup
The headliners for Southern California’s desert-centric Coachella music festival have been announced and Gwen Stefani is set to reunite with her iconic 90s ska-punk-rock band No Doubt.
PHOTOS OF THE DAY
Schierke, Germany
A steam train puffs through a snow-covered forest on the way to northern Germany’s highest mountain, Brocken
Photograph: Matthias Schräder/AP
Seattle, US
A pair of bald eagles call out while perched on a tree next to Union Bay
Photograph: Lindsey Wasson/AP
Ratchaburi, Thailand
Visitors walk through a tunnel of an installation at the Nasatta light festival
Photograph: Manan Vatsyayana/AFP/Getty Images
Market Closes for January 17th, 2024
| Market Index |
Close | Change |
| Dow Jones |
37266.67 | -94.45 |
| -0.25% | ||
| S&P 500 | 4739.21 | -26.77 |
| -0.56% | ||
| NASDAQ | 14855.62 | -88.73 |
| -0.59% | ||
| TSX | 20695.02 | -253.07 |
| -1.21% |
International Markets
| Market Index |
Close | Change |
| NIKKEI | 35458.34 | -19.41 |
| -0.05% | ||
| HANG SENG |
15276.90 | -589.02 |
| -3.71% | ||
| SENSEX | 71500.76 | -1628.01 |
| -2.23% | ||
| FTSE 100* | 7446.29 | -112.05 |
| -1.48% |
Bonds
| Bonds | % Yield | Previous % Yield |
| CND. 10 Year Bond |
3.446 | 3.360 |
| CND. 30 Year Bond |
3.366 | 3.310 |
| U.S. 10 Year Bond |
4.1019 | 4.0543 |
| U.S. 30 Year Bond |
4.3116 | 4.2930 |
Currencies
| BOC Close | Today | Previous |
| Canadian $ | 0.7406 | 0.7410 |
| US $ |
1.3503 | 1.3495 |
| Euro Rate 1 Euro= |
Inverse | |
| Canadian $ | 1.4697 | 0.6804 |
| US $ |
1.0884 | 0.9188 |
Commodities
| Gold | Close | Previous |
| London Gold Fix |
2038.15 | 2049.90 |
| Oil | ||
| WTI Crude Future | 72.56 | 72.40 |
Market Commentary
📈 On this day in 1792: The dollar sign ($) showed up for the first time on a federal document—a U.S. Treasury bond issued to George Washington.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite fell for the second day, dropping 1.2%, or 253.07 to 20,695.02 in Toronto.
The move was the biggest loss since Oct. 18.
Today, financials stocks led the market lower, as all sectors lost; 191 of 225 shares fell, while 32 rose.
Canadian National Railway Co. contributed the most to the index decline, decreasing 1.8%.
First Quantum Minerals Ltd. had the largest drop, falling 6.7%.
Insights
* In the past year, the index had a similar or greater loss 13 times. The next day, it declined 10 times for an average 0.5% and advanced three times for an average 0.4%
* The index advanced 1.2% in the past 52 weeks. The MSCI AC Americas Index gained 18% in the same period
* The S&P/TSX Composite is 2.1% below its 52-week high on Jan. 12, 2024 and 10.7% above its low on Oct. 27, 2023
* The S&P/TSX Composite is down 1.4% in the past 5 days and rose 0.8% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 16.2 on a trailing basis and 15 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.2% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.32t
* 30-day price volatility rose to 11.22% compared with 10.56% in the previous session and the average of 10.81% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | -57.9848| -0.9| 2/25
Materials | -52.8200| -2.4| 4/47
Energy | -49.4753| -1.4| 6/34
Industrials | -35.2285| -1.2| 3/23
Information Technology | -20.9579| -1.1| 2/8
Utilities | -16.1733| -1.9| 0/15
Real Estate | -11.6625| -2.3| 0/21
Communication Services | -5.2860| -0.6| 0/5
Consumer Staples | -1.8572| -0.2| 5/6
Health Care | -1.0691| -1.7| 1/3
Consumer Discretionary | -0.5485| -0.1| 9/4
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
Canadian National | -12.0400| -1.8| 2.2| -0.4
Canadian Pacific Kansas | -11.5300| -1.7| 4.8| -2.1
Shopify | -10.8700| -1.2| -3.3| 5.2
Kinaxis | 0.8170| 2.6| 42.2| 7.2
Onex | 0.8260| 1.9| 81.9| 3.8
Saputo | 0.9620| 2.0| 51.4| 4.4
US
By Rita Nazareth
(Bloomberg) — Stocks joined losses in risk assets as bond yields climbed on speculation the Federal Reserve will be in no rush to cut interest rates as the economy shows signs of resilience.
At a time when good economic news is not really that great from a policy perspective, a solid reading on retail sales fueled concern about Wall Street’s bold dovish bid.
And with central bank officials recently striking a more cautious tone about prospects for easing, it ended up being the perfect recipe for traders to push back the timing for the first Fed move — assigning lower odds of a rate reduction in the first quarter.
“We will need to see data that is consistent with a still healthy and resilient consumer, but not to the point where the Fed would be inclined to delay rate cuts or cut less in 2024,” said Tom Essaye, a former Merrill Lynch trader who founded The Sevens Report newsletter.
Strong consumer spending helped propel the economy in recent weeks, the Fed said in its Beige Book survey.
Fed swaps now show the probability of easing as soon as March dropping to around 50% — compared with 80% on Friday.
The move also reflected a slide in UK bonds after data showed inflation picked up — making traders pare their bets on Bank of England easing.
Treasury two-year yields topped 4.3%.
The dollar rose.
The S&P 500 extended its 2024 losses. Wall Street’s “fear gauge” — the VIX — hit the highest since November.
US retail sales rose at the strongest pace in three months in December, capping a solid holiday season that suggests consumer resilience heading into the new year.
Separate data showed homebuilder sentiment climbed January by the most in nearly a year as lower mortgage rates boosted customer traffic, sales and the demand outlook.
To Andrew Hunter at Capital Economics, while a further slowdown possibly lies ahead, there is still little to suggest a sharper downturn is in store.
“A recession seems increasingly unlikely,” said David Russell at TradeStation. “Despite weathering an inflationary storm, consumers still have pent up demand and dollars to spend. A soft landing could be taking shape before our eyes.”
With consumer confidence gaining momentum, the economic landscape remains on solid ground — and the market reaction suggests hopes for a March rate cut becomes more elusive, according to Quincy Krosby at LPL Financial.
In fact, there’s a repeated refrain from the throngs of financiers in Davos this week: rein in your rate-cut expectations.
Everyone from JPMorgan Chase & Co.’s Daniel Pinto to Standard Chartered Plc’s Bill Winters to Cantor Fitzgerald’s Howard Lutnick have said they expect monetary policy to ease slower than anticipated by the market.
Still, traders continue to expect the Fed this year to embark on a reversal of the aggressive tightening campaign that lifted the cap on the federal funds rate to 5.5% in July 2023 from 0.25% at the start of 2022.
But they look for the cuts to total about 140 basis points, down from a recent peak near 175 basis points.
Jason Draho at UBS Global Wealth Management says that it’s unlikely to be a smooth path for markets.
“Investors will be debating the type of soft landing, stage of the cycle, and the macro regime, and the wide dispersion of views now could quickly evolve based on new data,” Draho said. “That could lead to quick and dramatic market pivots to price in shifting consensus views.”
And as the earnings season continues, investors will need to consider their rate outlook alongside financial results, according to Jose Torres at Interactive Brokers.
“Robust pricing power and profitability are likely to lead to persistent inflationary pressures, which will incrementally delay rate cuts,” Torres said. “Weaker earnings trends, on the other hand, may lay the groundwork for monetary policy easing, but at the cost of deteriorating corporate fundamentals.”
Corporate Highlights:
* Operators of Boeing Co.’s 737 Max 9 have completed inspections on an initial batch of 40 planes, a key step to eventually end the grounding of the aircraft ordered by US regulators in the wake of an accident earlier this month.
* Digital World Acquisition Corp., the blank-check firm seeking to take Donald Trump’s media company public, soared on optimism over his status as the Republican frontrunner for the party’s 2024 nomination and a financing update for the deal.
* Apple Inc. is poised to face a US antitrust lawsuit as soon as March as the Justice Department prepares to take on one of the world’s most valuable companies, according to people familiar with the case.
* Bayer AG said it has agreed with employee groups on a plan to cut a “significant” number of jobs as the company looks to streamline operations and improve its performance.
* Samsung Electronics Co. is turning to artificial intelligence features to revamp its flagship Galaxy smartphones, betting that the technology can give it an advantage over Apple Inc.’s iPhone.
* Verizon Communications Inc. is writing down the value of its business services division by $5.8 billion, a sign of the company’s declining enterprise operations.
* Charles Schwab Corp. reported declines in profit, new assets and deposits as it navigated a tumultuous year of interest rate hikes that dented the firm’s balance sheet.
* Morgan Stanley was downgraded to neutral from overweight at JPMorgan Chase & Co. Analysts said the US bank is now fairly valued, with limited near-term catalysts to propel its shares higher.
* U.S. Bancorp reported earnings that beat analysts’ estimates as the bank benefits from elevated interest rates.
* PayPal Holdings Inc. completed too many acquisitions over the past few years and will now prioritize profitable growth, including at its Venmo business, Chief Executive Officer Alex Chriss said.
Key events this week:
* US housing starts, initial jobless claims, Thursday
* Republican presidential primary debate in New Hampshire, Thursday
* ECB President Christine Lagarde participates in Davos panel discussion, Thursday
* ECB publishes account of December policy meeting, Thursday
* Atlanta Fed President Raphael Bostic speaks, Thursday
* Canada retail sales, Friday
* Japan CPI, tertiary index, Friday
* US existing home sales, University of Michigan consumer sentiment, Friday
* ECB President Christine Lagarde and IMF Managing Director Kristalina Georgieva speak in Davos, Friday
* San Francisco Fed President Mary Daly speaks, Friday
Some of the main moves in markets:
Stocks
* The S&P 500 fell 0.6% as of 4 p.m. New York time
* The Nasdaq 100 fell 0.6%
* The Dow Jones Industrial Average fell 0.3%
* The MSCI World index fell 0.9%
Currencies
* The Bloomberg Dollar Spot Index rose 0.1%
* The euro was little changed at $1.0882
* The British pound rose 0.4% to $1.2685
* The Japanese yen fell 0.7% to 148.19 per dollar
Cryptocurrencies
* Bitcoin fell 1.9% to $42,614.01
* Ether fell 2.8% to $2,534.5
Bonds
* The yield on 10-year Treasuries advanced four basis points to 4.10%
* Germany’s 10-year yield advanced six basis points to 2.32%
* Britain’s 10-year yield advanced 19 basis points to 3.98%
Commodities
* West Texas Intermediate crude rose 0.6% to $72.80 a barrel
* Spot gold fell 1.1% to $2,006.04 an ounce
This story was produced with the assistance of Bloomberg Automation.
–With assistance from Thyagaraju Adinarayan and Elizabeth Stanton.
Have a lovely evening.
Be magnificent!
As ever,
Carolann
He is a man whom it is impossible to please, because he is never pleased with himself. -Johann Wolfgang von Goethe, 1749-1832.
Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor
Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7
Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
www.carolannsteinhoff.com
January 16, 2024, Newsletter
Tangents:
January 16,1920: Prohibition began as the 18th Amendment to the U.S. Constitution took effect. Go to article >>
From The Associated Press: A look at what else happened in history on January 16.
Robert Service, poet, b.1874.
Ah The clock is always slow: It is later than you think. -Robert Service.
4,000-year-old wall found around oasis in Saudi Arabia likely defended ‘against raids from nomads’
Ancient people in what is now Saudi Arabia built a 9-mile-long wall along the Khaybar Oasis, which still exists today. Read More.
‘We do not understand how it can exist’: Astronomers baffled by ‘almost invisible’ dwarf galaxy that upends a dark matter theory
Astronomers have discovered a super diffuse dwarf galaxy, named Nube, which gives off barely any visible light and seemingly defies explanation. Read More.
New solar cell technology could ditch batteries in gadgets for good by harvesting ambient room light
Solar cells that can be recharged using indoor low-light could be used to power devices like TV remotes and computer mice. Read More.
ate Moss at 50: A supermodel through the decades
British supermodel Kate Moss turns 50 today, and after decades in the fashion industry, it’s not hard to see why she remains one of Vogue’s favorite cover stars.
Award-winning close-up photos show the hidden wonders of nature
View the mesmerizing images recognized at the latest Close-up Photographer of the Year competition.
PHOTOS OF THE DAY
Kitzbühel, Austria
Snow covers the town and hillsides before the first training session for the men’s downhill competition
Photograph: Johann Groder/APA/AFP/Getty Images
Holmes Chapel, UK
A train crosses the Twemlow viaduct. The UK is in the grip of a cold spell, with Arctic air sweeping in from the north, causing widespread frost, strong winds and substantial snowfall in the northern regions
Photograph: Nathan Stirk/2024 Getty Images
Antarctic
Penguins stand on a piece of floating ice in the Gerlache strait, which separates the Palmer archipelago from the Antarctic peninsula
Photograph: Juan Barreto/AFP/Getty Images
Market Closes for January 16th, 2024
| Market Index |
Close | Change |
| Dow Jones |
37361.12 | -231.86 |
| -0.62% | ||
| S&P 500 | 4765.98 | -17.85 |
| -0.37% | ||
| NASDAQ | 14944.35 | -28.41 |
| -0.19% | ||
| TSX | 20948.09 | -113.79 |
| -0.54% |
International Markets
| Market Index |
Close | Change |
| NIKKEI | 35619.18 | -282.61 |
| -0.79% | ||
| HANG SENG |
15865.92 | -350.41 |
| -2.16% | ||
| SENSEX | 73128.77 | -199.17 |
| -0.27% | ||
| FTSE 100* | 7558.34 | -36.57 |
| -0.48% |
Bonds
| Bonds | % Yield | Previous % Yield |
| CND. 10 Year Bond |
3.360 | 3.223 |
| CND. 30 Year Bond |
3.310 | 3.180 |
| U.S. 10 Year Bond |
4.0543 | N.A. |
| U.S. 30 Year Bond |
4.2930 | N.A. |
Currencies
| BOC Close | Today | Previous |
| Canadian $ | 0.7410 | 0.7435 |
| US $ |
1.3495 | 1.3450 |
| Euro Rate 1 Euro= |
Inverse | |
| Canadian $ | 1.4674 | 0.6815 |
| US $ |
1.0873 | 0.9197 |
Commodities
| Gold | Close | Previous |
| London Gold Fix |
2049.90 | 2055.65 |
| Oil | ||
| WTI Crude Future | 72.40 | N.A. |
Market Commentary:
📈 On this day in 1991, the Persian Gulf war began when the U.S. launched its aerial bombardment of Baghdad and Kuwait, known as Operation Desert Storm.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite fell 0.5% at 20,948.09 in Toronto. The move was the biggest since falling 1.1% on Dec. 20 and follows the previous session’s increase of 0.3%.
Barrick Gold Corp. contributed the most to the index decline, decreasing 8.8%.
Parex Resources Inc. had the largest drop, falling 15.7%.
Today, 145 of 225 shares fell, while 76 rose; 6 of 11 sectors were lower, led by energy stocks.
Insights
* The index advanced 2.7% in the past 52 weeks. The MSCI AC Americas Index gained 19% in the same period
* The S&P/TSX Composite is 0.9% below its 52-week high on Jan.12, 2024 and 12.1% above its low on Oct. 27, 2023
* The S&P/TSX Composite is little changed in the past 5 days and rose 2% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 16.5 on a trailing basis and 15.2 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.2% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.33t
* 30-day price volatility fell to 10.56% compared with 10.77% in the previous session and the average of 10.79% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Energy | -71.8775| -1.9| 2/37
Materials | -51.4296| -2.3| 10/42
Financials | -9.0209| -0.1| 14/13
Utilities | -2.5537| -0.3| 5/10
Real Estate | -0.5316| -0.1| 11/9
Consumer Discretionary | -0.4039| -0.1| 5/8
Health Care | 0.4839| 0.8| 1/3
Industrials | 4.2873| 0.1| 12/14
Consumer Staples | 4.9236| 0.6| 5/5
Communication Services | 5.3847| 0.7| 5/0
Information Technology | 6.9584| 0.4| 6/4
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
Barrick Gold | -25.5300| -8.8| 137.0| -10.0
Canadian Natural Resources | -20.7600| -3.1| -53.1| -1.2
TD Bank | -13.2900| -1.3| -11.9| -6.0
Couche-Tard | 3.2780| 0.8| 38.9| 1.0
RBC | 3.4320| 0.3| 142.1| -0.9
Shopify | 5.1400| 0.6| -14.1| 6.4
US
By Rita Nazareth
(Bloomberg) — Wall Street pared its bets on Federal Reserve rate cuts on speculation the dovish bid emboldening stock and bond bulls has gone too far.
Equities fell, while Treasury yields climbed with the dollar as Fed Governor Christopher Waller appeared to push back against expectations for as many as six rate cuts this year.
While Waller wasn’t outright hawkish, his remarks weren’t massively dovish either — prompting a recalibration of rate wagers.
Fed swaps show the probability of easing as soon as March dropping to about 65% from almost 80% Friday.
Waller said the Fed should take a cautious approach when it begins cutting rates, adding he sees no reason to move as quickly as in the past — pointing to previous economic shocks that have precipitated rapid rate cuts.
To Kathy Jones at Charles Schwab, when you get either a data point or a comment like Waller’s, that seems to imply: ‘Well, maybe not so fast’.”
“We view his comments emphasizing no need to rush as indicating that he does not expect to push for a March cut — and read his arguments in general as more consistent with our baseline of a first cut in May or June,” said Krishna Guha, vice chairman at Evercore ISI.
US 10-year yields topped 4%, the greenback rose the most since March and the S&P 500 lost steam.
Morgan Stanley slid amid a warning on lower margins in wealth, while Goldman Sachs Group Inc. rose as profit beat estimates.
Boeing Co. sank on an analyst downgrade.
Apple Inc. slipped as the US Supreme Court refused to consider its appeal in an antitrust suit challenging the App Store.
Ipek Ozkardeskaya, a senior analyst at Swissquote, says the first quarter of this year will be marked by the realization that it’s too early for the central banks to cut rates.
“With today’s info in hand, the Fed is intent on cutting three times this year — and would only cut more if the economic situation deteriorated and the unemployment rate started heading towards 4.5-5%, I believe,” said Peter Boockvar, author of the Boock Report.
That would be up from 3.7% in December.
To Art Hogan at B Riley Wealth, it’s more important to focus on the why the Fed is cutting rates instead of the when.
“If the wheels are coming off the economic cart and the Fed feels the need to rush in to stimulate, that would be sub-optimal,” Hogan noted. “The good rate cuts would come as the path of inflation continues toward the Fed’s target, and they find themselves to be overly restrictive.”
Bond bulls have overtaken bears in the latest MLIV Pulse survey amid bets on Fed cuts this year.
Those expecting 10-year yields to drop over the next month represented 57% of respondents, an increase from 51% in November, and the highest percentage since MLIV Pulse started asking the question in August 2022.
Optimism over lower rates has spurred investors to up their exposure to US stocks to the highest in over two years, according to a Bank of America Corp. fund-manager survey.
There is “record optimism on rate cuts” and 79% of survey respondents expect the global economy to experience either a soft or no landing in 2024, BofA’s team led by Michael Hartnett wrote in a note.
UBS Group AG is the latest bank to lift its outlook for US equities, ratcheting up its 2024 forecast for the S&P 500 Index by 6% on Tuesday, to 5,150, following the Fed’s dovish policy shift in December.
The move comes roughly a month after the Swiss lender set its year-ahead call for the US equity benchmark at 4,850. RBC Capital Markets boosted its outlook last week, while Goldman Sachs did so in December, a month after setting it.
Meantime, earnings estimates have been slashed so much over the past three months that Wall Street strategists now expect most companies will easily beat analyst forecasts this season.
There’s however little reason to cheer, as Morgan Stanley strategists noted that a 7% cut to fourth-quarter profit estimates means US companies are poised to report almost no growth compared to the year before.
That’s “creating a lowered bar and a higher probability” of yet another mid-single-digit earnings-per-share beat rate, Michael Wilson said.
“While markets may experience modest downside volatility through the results season after the strong rally in November and December, we think upside remains in US equities amid looser monetary policy and durable corporate profits,” said Solita Marcelli at UBS Global Wealth Management. “Any selloff should be fairly mild, in our view, and could represent an opportunity to increase exposure to stocks.”
Corporate Highlights:
* Donald Trump’s victory at the Iowa caucuses lifted Digital World Acquisition Corp., the blank-check firm working on taking his media company public.
* A federal judge blocked JetBlue Airways Corp.’s $3.8 billion acquisition of Spirit Airlines Inc., saying the combination would stifle competition and raise fares for consumers.
* Microsoft Corp. Chief Executive Officer Satya Nadella said while he wants consistency and good governance at partner OpenAI, he’s not worried about the company’s nonprofit structure and doesn’t want greater control over his partner.
* Dish Network Corp. parent EchoStar Corp. proposed swapping more than $5 billion of debt due in the coming years for new notes, the second such offer in less than a week as the company looks to address looming maturities.
* PNC Financial Services Group Inc. reported profits that missed analyst estimates, as it continued to grapple with declining deposits and tepid loan growth.
* Deutsche Bank AG is preparing staff for a tough bonus season. Variable pay “will reflect performance in 2023,” Chief Financial Officer James von Moltke said.
* First Quantum Minerals Ltd. will cut spending, pause its dividend and put smaller mines up for sale in a sweeping effort to free up cash after it was ordered to shutter its $10 billion copper operation in Panama.
Key events this week:
* China GDP, property prices, retail sales and industrial production, Wednesday
* Eurozone CPI, Wednesday
* US retail sales, industrial production, business inventories, Wednesday
* Fed issues Beige Book survey of regional economic conditions, Wednesday
* New York Fed President John Williams speaks, Wednesday
* ECB President Christine Lagarde and ECB Governing Council members Klaas Knot and Boris Vujcic speak at Davos, Wednesday
* US housing starts, initial jobless claims, Thursday
* Republican presidential primary debate in New Hampshire, Thursday
* ECB President Christine Lagarde participates in Davos panel discussion, Thursday
* ECB publishes account of December policy meeting, Thursday
* Atlanta Fed President Raphael Bostic speaks, Thursday
* Canada retail sales, Friday
* Japan CPI, tertiary index, Friday
* US existing home sales, University of Michigan consumer sentiment, Friday
* ECB President Christine Lagarde and IMF Managing Director Kristalina Georgieva speak in Davos, Friday
* San Francisco Fed President Mary Daly speaks, Friday
Some of the main moves in markets:
Stocks
* The S&P 500 fell 0.4% as of 4 p.m. New York time
* The Nasdaq 100 was little changed
* The Dow Jones Industrial Average fell 0.6%
* The MSCI World index fell 0.7%
Currencies
* The Bloomberg Dollar Spot Index rose 0.8%
* The euro fell 0.7% to $1.0872
* The British pound fell 0.7% to $1.2632
* The Japanese yen fell 1% to 147.25 per dollar
Cryptocurrencies
* Bitcoin rose 1.4% to $43,280.61
* Ether rose 2.7% to $2,587.85
Bonds
* The yield on 10-year Treasuries advanced 12 basis points to 4.06%
* Germany’s 10-year yield advanced three basis points to 2.26%
* Britain’s 10-year yield was little changed at 3.80%
Commodities
* West Texas Intermediate crude fell 1.1% to $71.88 a barrel
* Spot gold fell 1.4% to $2,028.26 an ounce
This story was produced with the assistance of Bloomberg Automation.
–With assistance from Farah Elbahrawy, Liz Capo McCormick, Michael Mackenzie, Esha Dey, Edward Bolingbroke, Heather Burke, Kasia Klimasinska and Emily Graffeo.
Have a lovely evening.
Be magnificent!
As ever,
Carolann
Everything that has a beginning has an ending. Make your peace with that and all will be well. –Napoleon Bonaparte, 1769-1821
Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor
Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7
Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
www.carolannsteinhoff.com
January 15, 2024, Newsletter
Tangents: Happy Monday.
January 15, 2009 US Airways Capt. Chelsey Sullenberger guided a jetliner disabled by a bird strike just after takeoff from New York’s LaGuardia Airport to a safe landing in the Hudson River. All 155 people aboard survived. Go to article >>
January 15, 2001: Wikipedia goes onlint. The online encyclopedia has since become the largest reference work on the internet.
16943: Pentagon completed.
Martin Luther King Jr., b. 1929.
Jean-Baptiste Moliere, writer, b. 1622
Revealing the lost history of supercontinents
In the twilight of the Cretaceous, 86 million years ago, a volcanic fissure in what is now South Africa rumbled to life. Below the surface, magma from hundreds of miles down shot upward as fast as a car on the autobahn — if that car were barreling through solid rock — chewing up rocks and minerals and carrying them toward the surface in a reverse avalanche.
What this looked like on the surface is lost to history, but it may have been as dramatic as the eruption of Mount Vesuvius. What it left behind was a series of carrot-shaped, igneous-rock-filled tubes under low, weathered white hills — and diamonds.
Formations like this are sprinkled across the globe, from Ukraine to Siberia to Western Australia, but they’re relatively small and rare. Only now are we starting to discover that there is more to these “kimberlites” than precious stones — there is a tantalizing link between diamond-spewing eruptions and the destruction of supercontinents. Read More.
Columbia, Rodinia and Pangaea: A history of Earth’s supercontinents
Scientists have identified three definitive supercontinents in Earth’s history and predict the landmasses we live on today will come together again in the future. Full Story: Live Science (1/15)
Listen to diamonds erupting from deep within Earth
Diamonds erupt from the deep as supercontinents break up. Now you can listen to the “song” of these kimberlite eruptions. Full Story: Live Science (1/12)
Anglo-Saxon teen girl buried with lavish jewelry
Archaeologists in England have discovered the remains of a teenager and child buried in a spooning position in an Anglo-Saxon cemetery dating to the sixth or seventh century A.D. Read More.
Cosmic corkscrew defies our understanding of the universe
Astronomers have discovered a cosmic “ring” that’s so enormous, it defies explanation with our best theories of the universe. Read More.
NASA finally opens capsule containing asteroid sample
Two tight fasteners kept the majority of the Bennu asteroid sample from scientists since it returned to Earth in September. Now they’ve finally prised it open. Read More
Look back at Martin Luther King Jr.’s extraordinary life
PHOTOS OF THE DAY
California, US
A ski lift in operation as crowds flock to Sierra at Tahoe ski resort near Lake Tahoe
Photograph: Tayfun Coskun/Anadolu/Getty Images
Margarita Island, Venezuela
A couple walk close to the shore along El Yaque beach
Photograph: Matias Delacroix/AP
Yinchuan, China
Competitors take part in an ice dragon boat race at Yuehai Park in Ningxia Hui autonomous region
Photograph: VCG/Getty Images
Market Closes for January 15th, 2024
| Market Index |
Close | Change |
| Dow Jones |
MARKET CLOSED |
N.A. |
| S&P 500 | MARKET CLOSED |
N.A. |
| NASDAQ | MARKET CLOSED |
N.A. |
| TSX | 21061.88 | +71.66 |
| +0.34% |
International Markets
| Market Index |
Close | Change |
| NIKKEI | 35901.79 | +324.68 |
| +0.91% | ||
| HANG SENG |
16216.33 | -28.25 |
| -0.17% | ||
| SENSEX | 73327.94 | +759.49 |
| +1.05% | ||
| FTSE 100* | 7594.91 | -30.02 |
| -0.39% |
Bonds
| Bonds | % Yield | Previous % Yield |
| CND. 10 Year Bond |
3.223 | 3.220 |
| CND. 30 Year Bond |
3.180 | 3.183 |
| U.S. 10 Year Bond |
N.A. | 3.9390 |
| U.S. 30 Year Bond |
N.A. | 4.1751 |
Currencies
| BOC Close | Today | Previous |
| Canadian $ | 0.7435 | 0.7458 |
| US $ |
1.3450 | 1.3408 |
| Euro Rate 1 Euro= |
Inverse | |
| Canadian $ | 1.4700 | 0.6803 |
| US $ |
1.0929 | 0.9150 |
Commodities
| Gold | Close | Previous |
| London Gold Fix |
2055.65 | 2029.15 |
| Oil | ||
| WTI Crude Future | N.A. | 72.68 |
Market Commentary:
Some people get rich studying artificial intelligence. Me, I make money studying natural stupidity. -Carl Icahn
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose for the second day, climbing 0.3%, or 71.66 to 21,061.88 in Toronto.
Toronto-Dominion Bank contributed the most to the index gain, increasing 1.2%.
Denison Mines Corp. had the largest increase, rising 6.1%.
Today, 143 of 225 shares rose, while 75 fell; 9 of 11 sectors were higher, led by energy stocks.
Insights
* The index advanced 3.4% in the past 52 weeks. The MSCI AC Americas Index gained 19% in the same period
* The S&P/TSX Composite is 0.4% below its 52-week high on Jan. 12, 2024 and 12.7% above its low on Oct. 27, 2023
* The S&P/TSX Composite is little changed in the past 5 days and rose 2.6% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 16.5 on a trailing basis and 15.3 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.2% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.32t
* 30-day price volatility fell to 10.77% compared with 10.84% in the previous session and the average of 10.79% over the past month
================================================================
|Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Energy | 28.8318| 0.8| 35/5
Financials | 21.8594| 0.3| 18/8
Utilities | 9.4138| 1.1| 15/0
Communication Services | 8.8853| 1.1| 4/1
Consumer Staples | 5.2535| 0.6| 9/1
Information Technology | 2.8767| 0.2| 5/5
Real Estate | 1.9786| 0.4| 14/5
Industrials | 1.4165| 0.0| 13/13
Health Care | 0.7070| 1.1| 3/1
Consumer Discretionary | -1.6964| -0.2| 7/6
Materials | -7.8817| -0.3| 20/30
================================================================
| | |Volume VS | YTD
| Index | | 20D AVG | Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
TD Bank | 12.6500| 1.2| -45.4| -4.8
Canadian Natural Resources | 8.1070| 1.2| -70.8| 1.9
Constellation Software | 6.3160| 1.3| -55.1| 10.1
Restaurant Brands | -2.2690| -1.0| -84.4| 0.6
Canadian National | -2.4890| -0.4| -73.2| 1.2
Nutrien | -4.0120| -1.7| -48.4| -9.5
US
US markets were closed today for Martin Luther King Jr. Day.
Have a lovely evening.
Be magnificent!
As ever,
Carolann
In the end, we will remember not the words of our enemies, but the silence of our friends. –Martin Luther King Jr., 1929-1968.
Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor
Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7
Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
www.carolannsteinhoff.com