Author: Carolann

Dear Friends,

Tangents: Happy Friday.

Fiesta de San Fermi:  Running of the Bulls, Pamplona Spain….ahh! nostalgia for Ernest Hemmingway…
Tanabata: Star Festival, Japan.

July 7, 1860: Florence Nightingale, known as the founder of modern nursing, establishes her nursing school in London, pioneering the professionalization of nursing as a respected profession.
1987: Lt. Col. Oliver North began his public testimony at the Iran-Contra hearing, telling Congress that he had “never carried out a single act, not one” without authorization.  Go to article >>

Gustav Mahler, composer, b. 1860.
Marc Chagall, artist, b. 1887.
Robert A. Heinlein, writer, b. 1907.
Ringo Starr, b.1940.

Global temperatures have been the hottest on record for 3 days in a row
The world’s average temperature was the hottest on record from July 3 to July 5, 2023. Climate change and El Niño are to blame, scientists say. Read More.

1,200-year-old ‘Viking graffiti’ is the oldest drawing ever discovered in Iceland
The record-setting Viking carving, which dates to shortly after A.D. 800, looks like a partly drawn boat. Read More.

Dozens of 2,500-year-old skeletons unearthed at ancient crossroads in Negev desert.  Archaeologists in Israel unearthed a burial site holding dozens of skeletons from 2,500 years ago — possibly the remains of trafficked women.  Full Story: Live Science (7/6)

James Webb telescope detects the earliest strand in the ‘cosmic web’ ever seen
Astronomers have discovered a clump of ancient galaxies that may be the oldest strand of the cosmic web, which links galaxies across the universe, ever detected. Read More.

Adorable extinct penguin was one of the smallest of its kind to ever walk Earth, tiny skull fossils reveal
Scientists have uncovered the twee remains of one of the smallest extinct penguin species ever found, which waddled around New Zealand around 3 million years ago. Read More.

The Eagles announce ‘final’ tour dates after 52 years as a band.  Fans are getting excited to belt “Hotel California” one last time with the Rock and Roll Hall of Famers.

VW to test self-driving tech in retro-styled electric Microbuses.  In a few years, you may see these iconic VW buses back on the road! The automaker said it plans to launch some commercial services in 2026.

Powerful images from environmental photography prize show challenges and hope.  These striking photos took home prizes at the Prince Albert II of Monaco Foundation’s Environmental Photography award.
PHOTOS OF THE DAY

Pamplona, Spain:  The Pamplonesa municipal band performs during the opening ceremony of the San Fermín bull festival. Photograph: Ander Gillenea/AFP/Getty Images

Hautes-Pyrénées, France: Team Jumbo-Visma’s Belgian rider Wout Van Aert leads a breakaway in the ascent of the Col du Tourmalet during a stage of the Tour de France between Tarbes and Cauterets-Cambasque in the Pyrenees.  Photograph: Anne-Christine Poujoulat/AFP/Getty Images

Buenos Aires, Argentina:  People visit the Secret Garden exhibit at the Carlos Thays botanical garden, home to more than 1,500 plant species. The show transforms the traditional public space into a museum to mark the park’s 125th anniversary and honour its creator, the French landscape architect Carlos Thays.  Photograph: Natacha Pisarenko/A
Market Closes for July 7^th, 2023

Market Index	Close	Change
Dow Jones	33734.88	-187.38
		-0.55%
S&P 500	4398.95	-12.64
		-0.29%
NASDAQ	13660.71	-18.33
		-0.13%
TSX	19831.04	+20.35
		+0.10%

International Markets

Market Index	Close	Change
NIKKEI	32388.42	-384.60
		-1.17%
HANG SENG	18365.70	-167.35
		-0.90%
SENSEX	65280.45	-505.19
		-0.77%
FTSE 100*	7256.94	-23.56
		-0.32%

Bonds

Bonds		% Yield		Previous % Yield
CND. 10 Year Bond		3.571		3.486
CND. 30 Year Bond		3.339		3.249
U.S.    10 Year Bond		4.0616		4.0291
U.S. 30 Year Bond		4.0444		3.9969

Currencies

BOC Close	Today	Previous
Canadian $	0.7531	0.7479
US $	1.3273	1.3371
Euro Rate 1 Euro=		Inverse
Canadian $	1.4561	0.6868
US  $	1.0966	0.9119

Commodities

Gold	Close	Previous
London Gold Fix	1908.80	1924.65
Oil
WTI Crude Future	73.86	71.80

Market Commentary:
📈 On this day in 1993, Charles W. Knapp was found guilty on three counts of conspiracy after his savings-and-loan empire collapsed, costing the taxpayer $2 billion. Knapp’s American Savings & Loan Association was once the nation’s largest thrift.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose 0.1% at 19,831.04 in Toronto. The move follows the previous session’s decrease of 1.5%.
Today, energy stocks led the market higher, as 4 of 11 sectors gained; 137 of 229 shares rose, while 89 fell.
Canadian Natural Resources Ltd. contributed the most to the index gain, increasing 2.7%. Bausch Health Cos. had the largest increase, rising 7.7%.
Insights
* So far this week, the index fell 1.6%
* The index advanced 4% in the past 52 weeks. The MSCI AC Americas Index gained 12% in the same period
* The S&P/TSX Composite is 4.9% below its 52-week high on Feb. 2, 2023 and 11% above its low on Oct. 13, 2022
* S&P/TSX Composite is trading at a price-to-earnings ratio of 12.9 on a trailing basis and 13.8 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.4% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.14t
* 30-day price volatility fell to 11.51% compared with 11.72% in the previous session and the average of 11.53% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Energy | 47.8873| 1.5| 35/5
Materials | 29.3236| 1.3| 42/8
Financials | 12.0808| 0.2| 20/9
Health Care | 2.0968| 4.1| 4/0
Real Estate | -1.7781| -0.4| 6/14
Communication Services | -5.5104| -0.7| 0/5
Consumer Discretionary | -5.5947| -0.7| 8/7
Consumer Staples | -6.9564| -0.8| 3/8
Information Technology | -7.7765| -0.5| 4/7
Utilities | -9.0380| -1.0| 2/14
Industrials | -34.3965| -1.3| 13/12
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
Canadian Natural Resources | 14.9600| 2.7| 17.4| -1.4
Suncor Energy | 7.5120| 2.2| -34.9| -9.6
Nutrien | 7.4260| 2.7| 25.1| -18.2
Thomson Reuters | -7.2100| -3.8| 0.0| 11.6
Canadian Pacific Kansas | -7.9440| -1.2| -18.0| 3.1
Canadian National | -13.2600| -2.0| 1.5| -4.6
US
By Isabelle Lee and Vildana Hajric
(Bloomberg) — US stocks started July logging losses as traders parsed a batch of labor market readouts.
The S&P 500 fell 1.2% over the shortened holiday week while the Nasdaq 100 slid 0.9%.
Yield on the two-year Treasury drifted down to 4.94% Friday.
Investors were digesting government jobs data that fell short of estimates but brought signs that wage inflation remained a threat to the Fed’s fight against price gains.
Overall, the data showed signs of cracks in the American labor market, a day after a private payrolls report suggested resilience that may warrant several more rate hikes.
Instead, traders reverted to expectations that the Fed will lift rates at its meeting later this month.
The odds for another hike this year were less than 50%.
Among notable movers, Levi Strauss & Co. fell sharply after lowering its outlook for the year while electric-vehicle manufacturer Rivian Automotive Inc. climbed for the eighth-straight session.
Chicago Fed President Austan Goolsbee left the door open for more data to sway officials ahead the central bank’s next meeting.
“We’re getting to a more sustainable pace, which is what we need to do for inflation,” Goolsbee said of Friday jobs data in an interview on CNBC.
Friday’s payroll numbers are not yet weak enough to stop the central bank’s tightening, according to Seema Shah, chief global strategist at Principal Asset Management.
“Jobs growth has slowed but remains too strong to justify an extended Fed pause,” she said. “More significantly, with average hourly earnings surprising to the upside, wage pressures are still too strong. Today’s report will give the Fed little reason to hold off from hiking at the July meeting.”
June’s 0.4% wage growth indicates businesses are still desperate to draw in and keep workers, according to Jeffrey Roach, chief economist at LPL Financial.
“The latest jobs report all but ensures the Fed will increase rates later this month,” he wrote.
Stocks have been losing ground in July after a strong first half of the year as hawkishness from central banks from the US to the UK dampens hopes of a soft landing for the global economy.
Technology shares have been one of the hottest trades, driven by the buzz around AI, but Bank of America Corp. strategists said investors who piled into the sector risk being caught off-guard in the selloff sparked by rate hikes.
“We say ‘sell the last hike’ will hit tech hardest,” the BofA team led by Michael Hartnett wrote in a note.
But if excitement over AI continues, they said the “baby bubble” that currently exists in a handful of Big Tech shares will mature into a larger one in the second half.
Dallas Fed President Lorie Logan voiced her concerns on Thursday that inflation was still running too hot and more tightening was needed.
Policymakers elsewhere share that view, with European Central Bank President Christine Lagarde saying there is still “work to do” to bring inflation under control.
Meanwhile, gold advanced while crude futures traded above $73 a barrel. 
Key Events This Week:
* ECB’s Christine Lagarde addresses an event in France, Friday

Some of the main moves in markets today:
Stocks
* The S&P 500 fell 0.3% as of 4:03 p.m. New York time
* The Nasdaq 100 fell 0.3%
* The Dow Jones Industrial Average fell 0.6%
* The MSCI World index was little changed
Currencies
* The Bloomberg Dollar Spot Index fell 0.7%
* The euro rose 0.7% to $1.0967
* The British pound rose 0.7% to $1.2834
* The Japanese yen rose 1.4% to 142.10 per dollar
Cryptocurrencies
* Bitcoin fell 0.3% to $30,230.46
* Ether fell 1.1% to $1,863.42
Bonds
* The yield on 10-year Treasuries advanced three basis points to 4.06%
* Germany’s 10-year yield advanced one basis point to 2.64%
* Britain’s 10-year yield declined one basis point to 4.65%
Commodities
* West Texas Intermediate crude rose 2.6% to $73.66 a barrel
* Gold futures rose 0.8% to $1,931.30 an ounce
This story was produced with the assistance of Bloomberg Automation.
–With assistance from John Viljoen, Tassia Sipahutar, Macarena Muñoz and Sydney Maki.
Have a  wonderful weekend everyone.

Be magnificent!
As ever,

Carolann
To gain your own voice, forget about having it heard. -Allen Ginsberg, 1926-1997.

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

Dear Friends,

Tangents: Happy Friday Eve.

1964: Malawi gains its independence from Britain.  Between 1953 and 1963, the Southeast African country was part of a British controlled federation called Federation of Rhodesia and Nyasaland.  After dissolution of the federation and independence, Nyasaland changed its name to Malawi.

2003: Former ambassador Joseph Wilson, in a New York Times op-ed, disputed President George W. Bush’s statement that Iraq had sought uranium in Africa, saying he had found no evidence to support the claim when the CIA asked him to investigate. Go to article >>

Dalai Lama, Tibetan leader, b. 1935.

Mushroom-shaped superplume of scorching hot rock may be splitting Africa in 2
Strange, never-before-seen movements in the East Africa Rift Valley appear to be driven by super-heated rock from deep beneath Earth’s surface.  Read More.

Antarctic sea ice reached ‘record-smashing low’ last month
Antarctic sea ice levels reached record-breaking lows last week — and this “extraordinary behavior” could mark the start of its long-term decline.  Read More.

Sunspot numbers hit 20-year high, indicating the sun is fast approaching its explosive peak
The number of sunspots in June was higher than any month during the current or previous solar cycles. Read More.

Las Vegas illuminates the world’s largest spherical structure.  The otherworldly sphere was fully illuminated for the first time this week. Watch its dramatic debut here.

Turkey seeks return of ‘stolen’ statue.  Turkish authorities say a statue on display at a museum in Denmark was stolen from their country decades ago.
PHOTOS OF THE DAY

Moquegua, Peru: The Ubinas volcano expels columns of smoke and ash more than 5km high. The council of ministers of Peru has declared a 60-day state of emergency for nearby districts.  Photograph: EPA

Pamplona, Spain: Revellers celebrate during the Chupinazo rocket, to mark the official opening of the San Fermín fiestas.  Photograph: Álvaro Barrientos/AP

New York, USA:  A 90% illuminated waning gibbous moon rises over 42nd Street, as seen from Weehawken, New Jersey
Photograph: Gary Hershorn/Getty Images
Market Closes for July 6^th, 2023

Market Index	Close	Change
Dow Jones	33922.26	-366.38
		-1.07%
S&P 500	4411.59	-35.23
		-0.79%
NASDAQ	13679.04	-112.61
		-0.82%
TSX	19810.69	-293.20
		-1.46%

International Markets

Market Index	Close	Change
NIKKEI	32773.02	-565.68
		-1.70%
HANG SENG	18533.05	-577.33
		-3.02%
SENSEX	65785.64	+339.60
		+0.52%
FTSE 100*	7280.50	-161.60
		-2.17%

Bonds

Bonds		% Yield		Previous % Yield
CND. 10 Year Bond		3.486		3.415
CND. 30 Year Bond		3.249		3.215
U.S.    10 Year Bond		4.0291		3.9315
U.S. 30 Year Bond		3.9969		3.9286

Currencies

BOC Close	Today	Previous
Canadian $	0.7479	0.7529
US $	1.3371	1.3283
Euro Rate 1 Euro=		Inverse
Canadian $	1.4562	0.6867
US  $	1.0892	0.9181

Commodities

Gold	Close	Previous
London Gold Fix	1924.65	1927.75
Oil
WTI Crude Future	71.80	71.79

Market Commentary:
📈 On this day in 1785, the U.S. Congress declared that “the money unit of the United States of America be one dollar.”
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite fell for the second day, dropping 1.5%, or 293.2 to 19,810.69 in Toronto. The move was the biggest since falling 1.6% on March 15.
Shopify Inc. contributed the most to the index decline, decreasing 3.4%. Aritzia Inc. had the largest drop, falling 5.8%.
Today, 199 of 229 shares fell, while 28 rose; all sectors were lower, led by financials stocks.

Insights
* In the past year, the index had a similar or greater loss 12 times. The next day, it declined seven times for an average 0.8% and advanced five times for an average 1.3%
* So far this week, the index fell 1.7%
* The index advanced 5.8% in the past 52 weeks. The MSCI AC Americas Index gained 14% in the same period
* The S&P/TSX Composite is 5% below its 52-week high on Feb. 2, 2023 and 10.8% above its low on Oct. 13, 2022
* The S&P/TSX Composite is little changed in the past 5 days and fell 1.2% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 12.9 on a trailing basis and 13.7 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.5% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.18t
* 30-day price volatility rose to 11.72% compared with 11.08% in the previous session and the average of 11.57% over the past month
================================================================
| Index Points | |Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | -100.4076| -1.6| 4/24
Energy | -52.5167| -1.6| 2/38
Materials | -44.2902| -1.9| 2/48
Information Technology| -36.7137| -2.3| 1/10
Industrials | -21.1731| -0.8| 8/18
Consumer Staples | -14.1275| -1.7| 1/10
Utilities | -9.6516| -1.1| 1/15
Real Estate | -5.7761| -1.2| 2/19
Communication Services| -5.1788| -0.6| 2/3
Consumer Discretionary| -2.5555| -0.3| 5/10
Health Care | -0.8188| -1.6| 0/4
================================================================
| | |Volume VS| YTD|Index Points | | 20D AVG | ChangeTop Contributors | Move | % Change | (%) | (%)
================================================================
Shopify | -24.5000| -3.4| 49.4| 75.8
TD Bank | -22.5400| -2.1| 129.2| -7.1
Brookfield Corp | -16.9400| -3.8| 38.6| 0.0
Toromont Industries| 0.9740| 1.6| 39.5| 12.2
Thomson Reuters | 1.7710| 1.0| -8.0| 16.0
Magna Intl | 3.8900| 2.8| 10.1| 1.4
* The benchmark 10-year bond fell and the yield rose 7 basis points to 3.485%
* The S&P 500 Index declined 0.8%
US
By Peyton Forte and Isabelle Lee
(Bloomberg) — US stocks fell for a second day in a row amid a spike in Treasury yields after surprisingly strong private hiring data. Traders are preparing for Friday payroll
numbers to gauge the Federal Reserve’s next move.
The S&P 500 and Nasdaq 100 benchmarks both fell after figures published Thursday by the ADP Research Institute showed US companies added the most jobs in over a year in June, underscoring the ongoing strength of the labor market. Swap contracts linked to future policy decisions almost fully priced in a quarter-point increase by July 26 and showed a growing likelihood of an additional hike by year end.
Stocks on the move included Exxon Mobil Corp., which fell after forecasting a $4 billion hit to earnings, while some of the year’s best performers, including Nvidia Corp. and Tesla Inc., slid.
Treasury yields rose across the curve after the ADP report and extended their climb after data showing the service sector expanded in June at the fastest pace in four months. The policy sensitive two-year rate climbed above 5% to a 16-year high before the move faded, while the 10-year rose to 4.08% for the first time since March.
Private payrolls increased 497,000, more than double the median estimate in a Bloomberg survey of economists. Separate data from Challenger, Gray & Christmas Inc. showed the pace of job cuts by US employers slowed in June.
The numbers stunned Wall Street. “The strength of the US labor market is almost unbelievable and this should further push out any concept of a possible recession in the US,” said Scott Ladner, chief investment officer at Horizon Investments. “But, it should also push out of the market any hopes of a Fed rate cut during 2023.”
The report was “literally off the charts relative to what was expected,” according to Peter Boockvar, chief investment officer of Bleakley Financial Group. “This jobs report squares with nothing in the survey data, nor the claims figures and from what companies themselves have been saying about hiring intentions, especially with the lackluster growth in the economy.”
Dallas Fed President Lorie Logan voiced her concerns that inflation was still running too hot and more rate hikes were needed at an event in New York Thursday. Stocks have been losing ground after a strong first half of the year as continued hawkishness from central banks dampens hopes of a soft landing for the global economy.
“The selloff is driven by the idea that the economy is a freight train that can’t be stopped and that the Fed is going to have to work even harder,” said David Donabedian, chief investment officer of CIBC Private Wealth US. “And you certainly see that in the bond market, where you have an even more dramatic reaction.”
Friday’snonfarm payrolls and unemployment reports may provide further clues on the Fed’s policy path. Economists surveyed by Bloomberg are expecting figures to moderate, though it remains to be seen if that will be enough to steer the central bank away from another rate increase. Earlier this week, minutes from the Fed’s June meeting showed division among policymakers over the decision to pause rate hikes, with the voting members on track to take rates higher later this month.
Next week, the big banks will usher in second quarter earnings with reports from Citigroup Inc. and JPMorgan Chase & Co.
Despite the uncertainties, there’s a number of ways to participate in equities right now, according to Liz Ann Sonders, chief investment strategist at Charles Schwab, who said she has been particularly “factor-focused.”
“We think focusing on those quality-based factors with span both on the growth factor side of things and the value factor side of things is the way to approach what you are doing inside your equity allocation,” she told Bloomberg TV.
Meanwhile, a gauge of the dollar strengthened while Bitcoin and gold slipped. Treasury Secretary Janet Yellen touched down in Beijing on Thursday to attempt to further repair the relationship between the world’s two largest economies.

Key Events This Week:
* US unemployment rate, nonfarm payrolls, Friday
* ECB’s Christine Lagarde addresses an event in France, Friday

Some of the main moves in markets today:

Stocks
* The S&P 500 fell 0.8% as of 4:02 p.m. New York time
* The Nasdaq 100 fell 0.8%
* The Dow Jones Industrial Average fell 1.1%
* The MSCI World index fell 1.2%
Currencies
* The Bloomberg Dollar Spot Index was little changed
* The euro rose 0.3% to $1.0887
* The British pound rose 0.3% to $1.2740
* The Japanese yen rose 0.4% to 144.10 per dollar
Cryptocurrencies
* Bitcoin fell 0.4% to $30,340.2
* Ether fell 1.2% to $1,887.2
Bonds
* The yield on 10-year Treasuries advanced 11 basis points to 4.04%
* Germany’s 10-year yield advanced 15 basis points to 2.63%
* Britain’s 10-year yield advanced 17 basis points to 4.66%
Commodities
* West Texas Intermediate crude rose 0.1% to $71.88 a barrel
* Gold futures fell 0.6% to $1,916.30 an ounce
This story was produced with the assistance of Bloomberg Automation.

–With assistance from Carly Wanna, Vildana Hajric, Richard Henderson, John Viljoen, Namitha Jagadeesh and Sagarika Jaisinghani.
Have a lovely evening.

Be magnificent!
As ever,

Carolann
It is impossible to defeat an ignorant man in argument. –William G. McAdoo, 1863-1941.

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

Dear Friends,

Tangents:

Carolann is away from the office today, I will be writing the newsletter on her behalf.

On this day, 1971 Rock singer Jim Morrison of The Doors died in Paris at age 27.Go to article  

Maya canoe surrounded by animal and human bones found in ‘portal to the underworld’ in Mexico. A wooden canoe found in an underwater cave in Mexico was likely used as part of a Maya ritual. Read More

How to see the moon in conjunction with 5 planets this month. In early July, our natural satellite will appear close to Mars, Saturn, Jupiter, Venus and Mercury. Read More 

PHOTOS OF THE DAY

The Temple of Poseidon near Athens, Greece, in front of the buck supermoon

Photograph: Alkis Konstantinidis/Reuters

Stockholm, Sweden

Parintins, Brazil

Artists of Boi Caprichoso Association perform during the annual folklore festival known as Boi Bumba at Bumbódromo, an island on the Amazon. Boi Bumba is considered the biggest outdoor opera, which is performed by two competing sides, the Garantido (in red) and Caprichoso (in blue)

Photograph: Michael Dantas/AFP/Getty Images

1st place in the ocean worlds category. Los Islotes, Espiritu Santo national park, Mexico, 2022

California sea lions enjoy protected status in Espiritu Santo national park in Mexico. The region is a no-fishing zone, which provides them with an environment rich in food, while limiting human activity benefits the stability of their population. The one threat that does remain is the climate crisis

Photograph: Simon Biddie

Market Closes for July 4^th, 2023

Market Index	Close	Change
Dow Jones	Market Closed	N.A
		N.A
S&P 500	Market Closed	N.A
		N.A
NASDAQ	Market Closed	N.A
		N.A
TSX	20204.87	+49.58
		+0.25%

International Markets

Market Index	Close	Change
NIKKEI	33422.52	-330.81
		-0.98%
HANG SENG	19415.68	+109.09
		+0.42%
SENSEX	65479.05	+274.00
		+0.42%
FTSE 100*	7519.72	-7.54
		-0.10%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	3.313	3.269
CND. 30 Year Bond	3.118	3.093
U.S.    10 Year Bond	3.8545	3.8366
U.S. 30 Year Bond	3.8632	3.8605

Currencies

BOC Close	Today	Previous
Canadian $	0.7562	0.7550
US $	1.3224	1.3245
Euro Rate 1 Euro=		Inverse
Canadian $	1.4387	0.6951
US  $	1.0880	0.9191

Commodities

Gold	Close	Previous
London Gold Fix	1928.75	1899.60
Oil
WTI Crude Future	70.64	70.64

Market Commentary:

Canada

By Bloomberg Automation

(Bloomberg) — The S&P/TSX Composite rose for the sixth day, climbing 0.2%, or 49.58 to 20,204.87 in Toronto. The index advanced to the highest closing level since May 19. Toronto-Dominion Bank contributed the most to the index gain, increasing 1.5%. Tilray Brands Inc. had the largest increase, rising 11.2%.

Today, 149 of 229 shares rose, while 75 fell; 8 of 11 sectors were higher, led by materials stocks.

Insights

* The index advanced 7.1% in the past 52 weeks. The MSCI AC Americas Index gained 16% in the same period

* The S&P/TSX Composite is 3.1% below its 52-week high on Feb. 2, 2023 and 13% above its low on Oct. 13, 2022

* The S&P/TSX Composite is up 3.2% in the past 5 days and rose 0.9% in the past 30 days

* S&P/TSX Composite is trading at a price-to-earnings ratio of 13.2 on a trailing basis and 14 times estimated earnings of its members for the coming year

* The index’s dividend yield is 3.4% on a trailing 12-month basis

* S&P/TSX Composite’s members have a total market capitalization of C$3.19t

* 30-day price volatility fell to 11.47% compared with 11.84% in the previous session and the average of 11.65% over the past month

================================================================

|Index Points | |Sector Name | Move | % Change | Adv/Dec

================================================================

Materials | 20.8968| 0.9| 38/12

Energy | 13.1443| 0.4| 34/6

Financials | 9.0832| 0.1| 20/8

Real Estate | 3.8461| 0.8| 18/3

Communication Services | 3.0695| 0.4| 3/2

Utilities | 2.5988| 0.3| 11/5

Information Technology | 1.6187| 0.1| 4/7

Health Care | 0.7677| 1.5| 1/2

Consumer Discretionary | -0.8526| -0.1| 7/7

Consumer Staples | -2.0556| -0.2| 5/6

Industrials | -2.5336| -0.1| 8/17

================================================================

| | |Volume VS || Index | | 20D AVG |YTD Change Top Contributors |Points Move| % Change | (%) | (%)

================================================================

TD Bank | 15.7500| 1.5| 30.4| -4.9

Shopify | 5.7890| 0.8| -81.7| 83.6

Canadian Pacific | | | |

Kansas | 5.4700| 0.8| -75.6| 6.8

Intact Financial | -2.4640| -1.0| -69.1| 3.9

Waste Connections | -4.4680| -1.3| -78.7| 4.1

Brookfield Corp | -4.8840| -1.1| -73.6| 3.6

* The benchmark 10-year bond fell and the yield rose 4.8 basis points to 3.318%

* The S&P 500 Index advanced 0.1% in the previous session

US

US market closed for 4^th of July.

 

Have a lovely evening.

 

Be magnificent!

As ever,

 

Isabel

 

 

Well done is better than well said. Benjamin Franklin, 1706-1790

 

Assistant to Carolann Steinhoff, Registered Representative

 

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

Dear Friends,

Tangents:  Happy Friday.  Happy Canada Day weekend!

This weekend will be the full moon it’s a Supermoon!  July’s full moon is known as the buck moon because this is when deer antlers are in full growth after shedding during the spring. “Bucks shed and regrow their antlers each year, producing a larger and more impressive set as the years go by,” the Old Farmer’s Almanac said.

Burning of he Three Firs, France.

June 30, 1908: The Tunguska event, one of the largest recorded meteorite impacts, occurs in Siberia, causing a massive explosion.  The blast trees across 2,000 square kilometers (770 square miles) and released an estimated 10 to 15 megatons of energy, equivalent to the detonation of about 10,000 Hiroshima atomic bombs.

On June 30, 1971, the Supreme Court, in a 6-3 decision, freed The New York Times and The Washington Post to resume immediate publication of articles based on the secret Pentagon Papers on the origins of the Vietnam War.  Go to article

‘Ghost particle’ image is the 1st view of our galaxy in ‘anything other than light’

Scientists at the Ice Cube Neutrino Observatory have used 60,000 neutrinos to create the first map of the Milky Way made with matter. Read More

Euclid space telescope launches this week. Here’s what the groundbreaking mission will do.

The European Space Agency’s Euclid space telescope is set to launch atop a SpaceX Falcon 9 rocket this Saturday (July 1). Read More

Rare streaks of light above US are a sign that solar maximum is fast approaching

The ethereal light show could become a more common sight over the next few years as the sun’s activity ramps up. Read More

Handbag ‘smaller than a grain of salt’ sells for over $63,000.  It holds everything you need: A few quarks for a night out, some loose electrons just in case. So practical!

PHOTOS OF THE DAY

Zanzibar, Tanzania
A man walks near a restaurant named The Rock at Pingwe beach.  Photograph: Anadolu Agency/Getty Images.

Copenhagen, Denmark
A waiter working at the Alchemist restaurant. With quirky dishes such as butterfly wings, restaurants in Denmark, the recent darling of the culinary world, are vying to emulate the success of the soon-to-be-closed Michelin-starred Noma.  Photograph: Sergei Gapon/AFP/Getty Images.

Copenhagen, Denmark
A creation called Butterfly at the Alchemist restaurant. The insects were fed on honey water.  Photograph: Sergei Gapon/AFP/Getty Images
Market Closes for June 30^th, 2023

Market Index	Close	Change
Dow Jones	34407.60	+285.18
		+0.84%
S&P 500	4450.38	+53.94
		+1.23%
NASDAQ	13787.92	+196.59
		+1.45%
TSX	20155.29	+242.12
		+1.22%

International Markets

 

Market Index	Close	Change
NIKKEI	33189.04	-45.10
		-0.14%
HANG SENG	18916.43	-17.93
		-0.09%
SENSEX	64718.56	+803.14
		+1.26
FTSE 100*	7531.53	+59.84
		+0.80%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	3.269	3.362
CND. 30 Year Bond	3.093	3.185
U.S.    10 Year Bond	3.8366	3.8403
U.S. 30 Year Bond	3.8605	3.8989

Currencies

BOC Close	Today	Previous
Canadian $	0.7550	0.7548
US $	1.3245	1.3249
Euro Rate 1 Euro=		Inverse
Canadian $	1.4448	0.6921
US  $	1.0908	0.9168

Commodities

Gold	Close	Previous
London Gold Fix	1899.60	1908.40
Oil
WTI Crude Future	70.64	69.86

Market Commentary:
📈 On this day in 1938, in a move the New York Stock Exchange had resisted for a decade, William McChesney Martin was elected the NYSE’s first paid, independent president. In a striking sign that he took his independence seriously, Martin immediately sold his stake in his own brokerage firm and auctioned off his seat on the exchange. His starting salary: $48,000, or about $1 million in today’s money.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose for the fifth day, climbing 1.2%, or 242.12 to 20,155.29 in Toronto.

The move was the biggest since rising 1.8% on June 2.
Brookfield Corp. contributed the most to the index gain, increasing 3.2%. Canada Goose Holdings Inc. had the largest increase, rising 5.7%.
Today, 203 of 229 shares rose, while 23 fell; all sectors were higher, led by financials stocks.
Insights
* In the past year, the index had a similar or greater gain 16 times.  The next day, it advanced 10 times for an average 0.8% and declined six times for an average 0.9%
* This quarter, the index rose 0.3%
* This month, the index rose 3%
* So far this week, the index rose 3.8%, heading for the biggest advance since the week ended Feb. 5
* The index advanced 6.9% in the past 52 weeks. The MSCI AC Americas Index gained 17% in the same period
* The S&P/TSX Composite is 3.3% below its 52-week high on Feb. 2, 2023 and 12.8% above its low on Oct. 13, 2022
* S&P/TSX Composite is trading at a price-to-earnings ratio of 13.1 on a trailing basis and 13.9 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.4% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.16t
* 30-day price volatility rose to 11.84% compared with 11.25% in the previous session and the average of 11.65% over the past month
================================================================
|Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | 66.7120| 1.1| 27/2
Materials | 40.1955| 1.7| 44/6
Industrials | 37.7126| 1.4| 23/3
Information Technology | 24.7813| 1.6| 11/0
Energy | 18.5025| 0.6| 35/5
Utilities | 12.0440| 1.4| 13/3
Consumer Discretionary | 10.7421| 1.4| 13/1
Real Estate | 7.8102| 1.6| 21/0
Communication Services | 6.5405| 0.8| 4/1
Consumer Staples | 5.9259| 0.7| 9/1
Health Care | 0.3827| 0.7| 3/1
================================================================
| | |Volume VS | YTD
| Index | | 20D AVG | Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
Brookfield Corp | 13.9500| 3.2| 15.5| 4.7
Canadian Pacific Kansas | 12.3700| 1.8| 24.3| 6.0
RBC | 9.8250| 0.8| 61.3| -0.6
Primo Water | -0.3490| -1.8| 30.9| -21.0
Tilray Brands | -0.3560| -3.8| 17.9| -44.1

TFI International | -1.0590| -1.3| -11.7| 11.3
US
By Rita Nazareth
(Bloomberg) — The rally in tech mega-caps gained further traction, with the Nasdaq 100 notching its best ever first-half of a year and Apple Inc. hitting the $3 trillion milestone.
Traders looked at the glass half full after data signaled inflation is moderating at the expense of economic growth.
Equities extended this year’s surge, with tech consolidating its leadership amid the ascent of artificial intelligence.
Big banks saw their first monthly gain since January after passing the Federal Reserve’s stress test.
After the close, JPMorgan Chase & Co., Wells Fargo & Co., Morgan Stanley and Goldman Sachs Group Inc. announced higher dividends.
Nearly $5 trillion has been added to the value of companies in the Nasdaq 100 since the start of the year, with the tech-heavy gauge defying bubble warnings and jumping almost 40%.
The advance in the most-influential group in the S&P 500 helped push the index up 16% in 2023.
Gains have been even more pronounced when narrowed down to the mega-cap space — which has soared 74%.
“I still do like big tech,” Larry Adam, chief investment officer at Raymond James, told Bloomberg Television. “I do believe in technology continuing to reinvent itself — obviously with the latest addition being AI. That’ll continue to drive earnings.”
The “Big Seven” — including Apple, Microsoft Corp., Alphabet Inc., Amazon.com Inc., Meta Platforms Inc., Nvidia Corp. and Tesla Inc. — boosted profits by 14% a year during the decade through 2022.
While their combined earnings slumped more than 20% last year, they’re expected to recover swiftly.
The Nasdaq 100 rose over 1.5% Friday, while the S&P 500 hit the highest since April 2022.
The US equity benchmark posted its best first half since 2019.
Nvidia, which has almost tripled this year, was up about 3.5%.
If history is any guide, the Nasdaq 100’s strength this year augurs well for the rest of 2023.
Years that start with rallies in the index of at least 10% average returns of about 14% over the second half of the year, though that shrinks to an 8.3% gain when the first-half gain tops 20%, according to an analysis of data compiled by Bloomberg.
The market’s fascination with the power of generative AI has trumped every major issue that could potentially drag down sentiment this year: recession fears, elevated levels of inflation, prospects for more Fed hikes, geopolitical risks, the debt-ceiling debate and the collapse of a few regional banks.
While the rally in AI has drawn comparisons with the dot-com bubble of 2000, when the market was driven by a similarly narrow breadth of tech stocks before a crash, BlackRock’s Tony DeSpirito said earnings growth is coming.
“Demand is really real,” said DeSpirito, the firm’s chief investment officer of US fundamental equities. “That contrasts what’s going on in AI versus the metaverse a year ago, or virtual reality. The orders are there.”
Still, after such a strong advance, there’s growing concern about valuations, and that has recently spurred a surge in bearish bets against the largest tech companies.
Short interest as a percentage of shares available to trade is near 12-month highs for Microsoft, Tesla and Amazon, according to data compiled by S3 Partners.
“We don’t believe the AI trend is a bubble, but advise investors to be selective on AI-related stocks after the strong year-to-date rally,” said Sundeep Gantori, equity strategist at UBS Global Wealth Management. “From a positioning point of view, we recently closed our self-help theme as we see better risk-reward in mid-cycle industries (software, internet) and tech laggards.”
Barring evidence of any technical deterioration, it’s likely that markets will push even higher into mid-to-late July ahead of a possible minor correction into August, according to Mark Newton at Fundstrat Global Advisors.
“Until evidence of more rampant overbought conditions joins forces with more bullish sentiment and some evidence of defensive strength and/or waning technical breadth, it’s arguably wrong to consider abandoning this rally based on overbought conditions alone when technical trends remain very much intact,” Newton noted.
Also helping tech on Friday was the fact that action in the bond market was subdued.
Treasury 10-year yields fell to around 3.8%.
The dollar dropped, extending this year’s losses.
Key measures of US inflation cooled in May and consumer spending stagnated, suggesting the economy’s main engine is starting to lose some momentum.
The personal consumption expenditures price index, one of the Fed’s preferred inflation gauges, rose 0.1%.
From a year ago, the measure stepped down to 3.8%, the smallest annual advance in more than two years.
“The May PCE report released today is relatively benign from a Fed perspective and leans in the direction of the Fed ultimately delivering only one more rather than two more rate increases,” said Krishna Guha, vice chairman of Evercore ISI.  “This should curb a bit the recent back-up in yields and favor big tech.”
Elsewhere, Brent oil posted its longest run of quarterly losses in data going back more than three decades amid robust supplies and persistent concerns over demand.
The global benchmark settled below $75 a barrel on Friday, marking its fourth straight quarterly loss, while West Texas Intermediate posted its first back-to-back quarterly declines since 2019.
Some of the main moves in markets:
Stocks
* The S&P 500 rose 1.2% as of 4 p.m. New York time
* The Nasdaq 100 rose 1.6%
* The Dow Jones Industrial Average rose 0.8%
* The MSCI World index rose 1.1%
Currencies
* The Bloomberg Dollar Spot Index fell 0.3%
* The euro rose 0.4% to $1.0913
* The British pound rose 0.7% to $1.2699
* The Japanese yen rose 0.3% to 144.27 per dollar
Cryptocurrencies
* Bitcoin was little changed at $30,400.96
* Ether rose 4.3% to $1,927.95
Bonds
* The yield on 10-year Treasuries declined three basis points to 3.81%
* Germany’s 10-year yield declined two basis points to 2.39%
* Britain’s 10-year yield was little changed at 4.39%
Commodities
* West Texas Intermediate crude rose 1% to $70.57 a barrel
* Gold futures rose 0.5% to $1,927.60 an ounce
This story was produced with the assistance of Bloomberg Automation.

–With assistance from Rob Verdonck, Tassia Sipahutar, Robert Brand, Denitsa Tsekova, Peyton Forte, Ryan Vlastelica, Carmen Reinicke and Elena Popina.

Have a wonderful weekend everyone.

Be magnificent!

As ever,

Carolann

No person was ever honored for what he received.  Honor has been the reward for what he gave. –Calvin Coolidge, 1872-1933.

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

 

Dear Friends,

Tangents: Happy Friday Eve.

William James Mayo, founder of the Mayo Clinic, b.1861.
Antoine de Saint-Exupery, writer, b.1900.

2007: Apple releases the first iPhone.  Go to article  

1938: Olympic National Park established.

On June 29, 1613: London’s original Globe Theatre, where many of Shakespeare’s plays were performed, was destroyed by a fire sparked by a cannon shot during a performance of “Henry VIII.”
A look at what else happened in history on June 29

Scientists spot a planet that shouldn’t exist.  The Jupiter-like planet named Halla is located 520 light-years from Earth. It may be an unlikely survivor after its host star’s temper tantrum.

A Brazilian fan left his entire fortune to Neymar.  The anonymous man named the multimillionaire soccer player in his will, leaving baffled people all over the world asking why.

The world’s best hotel is in Venice, Italy.

From cookies to popcorn, the new “it” snack flavor is boba.

Silver medal featuring winged Medusa discovered at Roman fort near Hadrian’s Wall
The nearly 1,800-year-old silver military medal was unearthed in what was once the northern edge of the Roman Empire. Read More

James Webb telescope discovers carbon compounds crucial to life in star system 1,000 light-years from Earth
An infant star system contains the basic building block for organic chemistry, new images reveal. Read More

Distortions in space-time could put Einstein’s theory of relativity to the ultimate test
Observing time distortions could show whether Einstein’s theory of general relativity accounts for the mysteries of dark matter and dark energy. Read More
PHOTOS  OF THE DAY

Sydney, Australia
Lisa Herbert performs during a media preview of Oracle – the Myth at Roslyn Packer theatre.  Photograph: Don Arnold/WireImage

Pittsburgh, US
Haze from Canadian forest fires hangs over PNC Park during a baseball game between the Pittsburgh Pirates and the San Diego Padres.  Photograph: Gene J Puskar/AP

Manchester, UK
A visitor walks through a part of Japanese artist Yayoi Kusama’s installation You, Me and The Balloons during a preview before the Manchester international festival.  Photograph: Phil Noble/Reuters
Market Closes for June 29^th, 2023

Market Index	Close	Change
Dow Jones	34122.42	+269.76
		+0.80%
S&P 500	4396.44	+19.58
		+0.45%
NASDAQ	13591.33	-0.42
		—
TSX	19913.17	+94.32
		+0.48%

International Markets

Market Index	Close	Change
NIKKEI	33234.14	+40.15
		+0.12%
HANG SENG	18934.36	-237.69
		-1.24%
SENSEX	MARKET CLOSED	N.A.
FTSE 100*	7471.69	-28.80
		-0.38%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	3.362	3.221
CND. 30 Year Bond	3.185	3.103
U.S.    10 Year Bond	3.8403	3.7078
U.S. 30 Year Bond	3.8989	3.8070

Currencies

BOC Close	Today	Previous
Canadian $	0.7548	0.7544
US $	1.3249	1.3255
Euro Rate 1 Euro=		Inverse
Canadian $	1.4396	0.6946
US  $	1.0866	0.9203

Commodities

Gold	Close	Previous
London Gold Fix	1908.40	1918.90
Oil
WTI Crude Future	69.86	69.56

Market Commentary:
📈 On this day in 1979, the editors of The Wall Street Journal booted Chrysler from the Dow Jones Industrial Average and replaced it with IBM in a sign of the American auto industry’s troubles at the time.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose for the fourth day, climbing 0.5%, or 94.32 to 19,913.17 in Toronto.
The index advanced to the highest closing level since June 19.
Toronto-Dominion Bank contributed the most to the index gain, increasing 1.2%. BlackBerry Ltd. had the largest increase, rising 7.4%.
Today, 187 of 229 shares rose, while 40 fell; 10 of 11 sectors were higher, led by financials stocks.
Insights
* This quarter, the index fell 0.9%
* This month, the index rose 1.7%
* So far this week, the index rose 2.5%, heading for the biggest advance since the week ended March 31
* The index advanced 4.4% in the past 52 weeks. The MSCI AC Americas Index gained 14% in the same period
* The S&P/TSX Composite is 4.5% below its 52-week high on Feb. 2, 2023 and 11.4% above its low on Oct. 13, 2022
* The S&P/TSX Composite is up 1.7% in the past 5 days and fell 0.3% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 12.9 on a trailing basis and 13.7 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.4% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.14t
* 30-day price volatility rose to 11.25% compared with 11.12% in the previous session and the average of 11.60% over the past month
================================================================
|Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | 37.8880| 0.6| 25/4
Energy | 13.3598| 0.4| 36/3
Industrials | 12.5875| 0.5| 19/6
Materials | 10.1187| 0.4| 39/11
Consumer Discretionary | 7.1147| 0.9| 14/1
Communication Services | 4.1769| 0.5| 5/0
Utilities | 3.2420| 0.4| 14/2
Real Estate | 2.0877| 0.4| 18/3
Consumer Staples | 0.9611| 0.1| 8/3
Health Care | 0.6461| 1.3| 3/1
Information Technology | -8.5949| -0.5| 6/5
================================================================
| | |Volume VS | YTD
| Index | | 20D AVG | Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
TD Bank | 12.2800| 1.2| 54.0| -7.1
Bank of Nova Scotia | 7.4500| 1.4| 257.3| -1.2
Canadian Natural Resources | 6.6650| 1.2| -56.4| -1.9
Thomson Reuters | -1.7370| -0.9| -20.9| 15.0
Constellation Software | -2.7400| -0.7| -36.3| 30.6
Shopify | -9.9720| -1.4| -32.6| 79.7
US
By Rita Nazareth
(Bloomberg) — Wall Street got more signs the Federal Reserve’s war against inflation isn’t breaking the economy — or at least not yet — with traders sending Treasury yields soaring amid bets on further tightening.
Bonds sold off across the curve, with two-year yields jumping 15 basis points to 4.86%.
Swap markets now indicate a nearly 50% chance of a second Fed hike by year-end.
The dollar climbed.
The S&P 500 posted a mild advance, with equities facing a lot of instability as traders adjust their positions at the end of the quarter.
Banks led gains as the biggest lenders passed the Fed’s stress test, clearing the way for payouts.
Wells Fargo & Co. and JPMorgan Chase & Co. climbed at least 3.5%.
The Nasdaq 100 underperformed after soaring over 35% this year, buoyed by the artificial-intelligence hype.
Micron Technology Inc. slid on concern the chipmaker faces a slow recovery from an inventory glut.
The Russell 2000 Index of small caps climbed 1.2% in its fourth straight advance.
Thursday’s readings on jobless claims and the gross domestic product showed the US economy is in better shape than many had envisioned at the start of 2023.
While key gauges of inflation closely watched by the Fed have been revised down slightly, they still remain well above the central bank’s 2% target.
“The market is processing the recent strength in the economic data in both positive and negative ways,” said Carol Schleif, chief investment officer at BMO Family Office. “Solid economic data means that the economy is more resilient, but it also emboldens the Federal Reserve to keep raising interest rates.”
Schleif noted that it’s very plausible that the Fed boosts interest rates in July — and perhaps again in September — especially if the economic data remains strong and if second-quarter earnings are better than expected.
In fact, market rate bets are aligning with Fed Chair Jerome Powell’s view that at least two hikes are likely necessary this year — and that acting at consecutive policy meetings isn’t “off the table.”
To Fawad Razaqzada at City Index and Forex.com, the fact that the economy continues to defy expectations should keep the doves at the Fed quiet for another couple of months at least.
“But the potential for interest rates to remain higher for longer is something that could ultimately haunt investors,” he noted.
After Thursday’s data came out, the US curve inversion intensified — with longer-dated yields rising less than shorter-maturity ones.
That means: the economy may look stronger now, but investors expect the Fed’s rate increases to curb future growth, which could boost the risk of a recession down the road.
Despite all the jitters around a potential downturn and elevated inflation, the S&P 500 is close to wrapping up the first half of 2023 with a rally of about 15%.
Traders have also climbed a wall of worry amid the collapse of some regional banks, geopolitical risks and the debt-ceiling debate.
And history suggests the bullish momentum could continue according to Adam Turnquist, chief technical strategist at LPL Financial.
Since 1950, first-half gains of 10% or more have been followed by an average rally of 7.7% in the second half — with positive results 82% of the time, he noted.
While there could be some bumps along the way, the good news is that drawdowns in the second half tend to be shallower after a positive first half.
In addition, a pullback in stocks could give investors “a buying opportunity into this new bull market,” Turnquist added.
Meantime, short sellers are stepping up bets against the largest technology companies at the heart of this year’s market gains, a sign that investors are growing more skeptical of the massive rally.
Short interest as a percentage of shares available to trade is near 12-month highs for Microsoft Corp., Tesla Inc. and Amazon Inc., according to data compiled by S3 Partners.
In the last 30 days, traders have added to positions that would profit from declines in the shares of Apple Inc. to the tune of about $1 billion.
“Large cap equities and mega-cap tech names have jumped higher, providing a degree of relief for investors,” said John Lynch, chief investment officer at Comerica Wealth Management.
“We remain concerned, though, that these moves are beyond optimism over growth prospects for AI, for example, and instead reflect misguided hopes for a change in the direction of monetary policy.”
Key events this week:
* China manufacturing PMI, non-manufacturing PMI, balance of payments, Friday
* US personal income and spending, University of Michigan consumer sentiment, Friday

Some of the main moves in markets:
Stocks
* The S&P 500 rose 0.4% as of 4 p.m. New York time
* The Nasdaq 100 fell 0.2%
* The Dow Jones Industrial Average rose 0.8%
* The MSCI World index rose 0.2%
Currencies
* The Bloomberg Dollar Spot Index rose 0.3%
* The euro fell 0.4% to $1.0869
* The British pound fell 0.2% to $1.2613
* The Japanese yen fell 0.2% to 144.82 per dollar
Cryptocurrencies
* Bitcoin rose 1.8% to $30,633.72
* Ether rose 1.5% to $1,859.01
Bonds
* The yield on 10-year Treasuries advanced 13 basis points to 3.84%
* Germany’s 10-year yield advanced 10 basis points to 2.42%
* Britain’s 10-year yield advanced seven basis points to 4.38%
Commodities
* West Texas Intermediate crude rose 0.4% to $69.83 a barrel
* Gold futures fell 0.3% to $1,915.90 an ounce
This story was produced with the assistance of Bloomberg Automation.
–With assistance from Brett Miller, Sujata Rao, John Viljoen, Peyton Forte, Carly Wanna and Michael Mackenzie.
Have a lovely evening.

Be magnificent!
As ever,

Carolann
All we really want in the end is to be connected once again with the Truth of our being,
to realize what it is that wears this mask of self. -Adyshanti, b. 1962.

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

Dear Friends,

Tangents:
June 28th, 1914: Austrian Archduke Franz Ferdinand and his wife Sophie are assassinated.  This ultimately triggered the First World War, which with over 370million deaths was one of the bloodiest war of all time.  Five years later to the day, the Treaty of Versailles formally ended the war.

1997:  Mike Tyson was disqualified for biting Evander Holyfield’s ear during their WBA heavyweight title fight in Las Vegas. Go to article  

Stonewall Riot, June 28, 1969: Start of Gay Liberation movement.

Peter Paul Rubens, artist, b. 1577.
Jean-Jacques Rousseau , philosopher, b. 1712.
Gilda Radner, comedian, b.1946.
Mel Brooks, actor, b.1926.

Pack your bags, Barbie fans!  The iconic doll’s pink Malibu Dream House is available to rent ahead of the movie’s release. And yes, it comes with big Ken energy.

Bones reveal our ancestors’ morbid past.  Ancient human relatives butchered and possibly ate one another about 1.45 million years ago, a new study shows.

That’s one costly science tragedy.  A New York janitor heard ‘annoying alarms’ and turned off a freezer, ruining 20 years of school research worth $1 million, a lawsuit says.

A toast to a spirit you’ve never heard of.  Arak, the Middle Eastern drink, is having a revival across the globe. A new generation of distilleries is bringing the classic drink to fresh audiences

A ‘captured’ alien planet may be hiding at the edge of our solar system – and it’s not ‘Planet X’
The cold and mysterious Oort cloud at the edge of our solar system may be hiding a rogue exoplanet, new research suggests. Read More.

White Gladis the orca may have been pregnant when she started attacking boats
White Gladis was so hellbent on stopping boats in the Strait of Gibraltar that she engaged in attacks instead of protecting her newborn calf. Read More

Climate change causes a mountain peak frozen for thousands of years to collapse
Part of a Swiss mountain’s summit has collapsed, sending more than 3.5 million cubic feet (100,000 cubic meters) of rock crashing into the valley below. Read More
PHOTOS  OF THE DAY

Galle, Sri Lanka
Nursery school children dressed in traditional Kandyan costumes pose for photos during a cultural event before the Esala Perahera festival, which celebrates the Sacred Tooth Relic of the Buddha
Photograph: Abhishek Chinnappa/Getty Images

Hatay, Turkey
A couple who got engaged before the earthquake marry in the container city where their families are staying
Photograph: Dia Images/Getty Images.

Sands in the TV show Castle
Photograph: Eric McCandless/Disney General Entertainment Content/Getty Images.  RIP Julian Sands.
Market Closes for June 28^th, 2023

Market Index	Close	Change
Dow Jones	33852.66	-74.08
		-0.22%
S&P 500	4376.86	-1.55
		-0.04%
NASDAQ	13591.75	+36.08
		+0.27%
TSX	19818.85	+85.76
		+0.43%

International Markets

Market Index	Close	Change
NIKKEI	33193.99	+655.66
		+2.02%
HANG SENG	19172.05	+23.92
		+0.12%
SENSEX	63915.42	+499.39
		+0.79%
FTSE 100*	7500.49	+39.03
		+0.52%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	3.221	3.317
CND. 30 Year Bond	3.103	3.177
U.S.    10 Year Bond	3.7078	3.7639
U.S. 30 Year Bond	3.8070	3.8422

Currencies

BOC Close	Today	Previous
Canadian $	0.7544	0.7580
US $	1.3255	1.3193
Euro Rate 1 Euro=		Inverse
Canadian $	1.4467	0.6912
US  $	1.0914	0.9163

Commodities

Gold	Close	Previous
London Gold Fix	1918.90	1922.90
Oil
WTI Crude Future	69.56	67.70

Market Commentary:
📈 On this day in 1939, Pan American Airways began the world’s first regularly scheduled transatlantic passenger service when its Dixie Clipper pontoon plane took off from Port Washington on New York’s Long Island, bound for the Azores, Lisbon, and Marseilles. Ticket price: $375 (one way), more than $8,000 in today’s money. The 22 passengers got six-course dinners and a scheduled flight time of a mere 22 hours.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose for the third day, climbing 0.4%, or 85.76 to 19,818.85 in Toronto.
The index advanced to the highest closing level since June 19.
Today, information technology stocks led the market higher, as 8 of 11 sectors gained; 143 of 229 shares rose, while 81 fell.
Alimentation Couche-Tard Inc. contributed the most to the index gain, increasing 4.1%. Interfor Corp. had the largest increase, rising 8.0%.
Insights
* This quarter, the index fell 1.4%
* This month, the index rose 1.3%
* The index advanced 3.1% in the past 52 weeks. The MSCI AC Americas Index gained 14% in the same period
* The S&P/TSX Composite is 4.9% below its 52-week high on Feb. 2, 2023 and 10.9% above its low on Oct. 13, 2022
* The S&P/TSX Composite is up 0.6% in the past 5 days and fell 0.5% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 12.9 on a trailing basis and 13.7 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.4% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.13t
* 30-day price volatility rose to 11.12% compared with 11.06% in the previous session and the average of 11.62% over the past month
================================================================
|Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Information Technology | 22.8348| 1.5| 9/2
Consumer Staples | 17.5528| 2.1| 10/1
Energy | 15.7558| 0.5| 33/6
Financials | 10.7516| 0.2| 19/9
Communication Services | 6.6966| 0.8| 4/1
Consumer Discretionary | 5.0987| 0.7| 11/4
Real Estate | 2.6510| 0.6| 16/5
Health Care | 1.2245| 1.9| 4/0
Industrials | -0.8361| 0.0| 18/8
Utilities | -2.7368| -0.3| 2/14
Materials | -3.7143| -0.2| 17/31
================================================================
| | |Volume VS |
| Index | | 20D AVG |YTD Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
Couche-Tard | 13.9900| 4.1| 34.1| 14.3
Shopify | 12.9900| 1.8| -21.6| 82.2
Canadian Natural Resources | 7.6600| 1.4| -18.6| -3.1
Bank of Montreal | -3.1390| -0.5| 2.3| -3.7
Thomson Reuters | -3.5070| -1.8| 8.4| 16.0
Canadian Pacific Kansas | -7.2190| -1.1| 34.3| 3.8
US
By Rita Nazareth
(Bloomberg) — Wall Street traders took Jerome Powell’s hawkish signals in stride, with bond yields dropping.
Stocks fluctuated in one of the last few days of a quarter that saw a blistering artificial-intelligence rally.
A slide in chipmakers offset gains in other technology groups, with Nvidia Corp. slumping on concerns over an eventual US tightening in chip-export restrictions.
Giants Tesla Inc. and Google’s parent Alphabet Inc. gained.
Swap market bets on further tightening barely budged after the Federal Reserve’s chief downplayed the odds of a recession while signaling officials could hike for two straight meetings, if needed.
With the Fed set to disclose the results its stress test Wednesday, traders took a more cautious stance on the financial industry.
While analysts don’t expect any huge negative surprises, a gauge of banks fell.
Several executives have recently tempered shareholder expectations regarding dividend increases and stock buybacks — which had been the focus of investors in previous years.
“Quarter-end positioning could drive volatility through the end of the week,” said Mark Hackett, chief of investment research at Nationwide. “Investors are increasingly pricing in a soft landing. A reacceleration in earnings will be required to drive the next phase of the market move.”
Mutual funds bought stocks for the first time since February in the past month as fear of missing out outweighed economic concerns, according to Barclays Plc strategists.
“FOMO has seen frustrated bears turning into reluctant bulls,” the strategists led by Emmanuel Cau wrote. “It is noteworthy that equities were being bought despite the negative economic and market outlook” of most investors.
Meantime, BlackRock Inc. introduced a bullish call on AI amid a rally that’s putting the Nasdaq 100 on pace for its best-ever first half of a year.
“A mega force like AI can be a big driver of returns even when the macro environment is not your friend,” wrote strategists including Jean Boivin, Wei Li and Vivek Paul. “A longer-term investor can look past some of the near-term pain.”
In other corporate news, General Mills Inc. fell after the food producer gave a guidance that suggests price hikes will no longer make up for slowing sales as inflation-weary shoppers cut back on spending.
Netflix Inc. gained as Oppenheimer raised its price target.
Elsewhere, oil rose after a US government report showed nationwide stockpiles fell the most in two months, outpacing market expectations.  
Key events this week:
* Eurozone economic confidence, consumer confidence, Thursday
* US GDP, initial jobless claims, Thursday
* Atlanta Fed President Rafael Bostic speaks, Thursday
* China manufacturing PMI, non-manufacturing PMI, balance of payments, Friday
* US personal income and spending, University of Michigan consumer sentiment, 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 0.1%
* The Dow Jones Industrial Average fell 0.2%
* The MSCI World index rose 0.1%
Currencies
* The Bloomberg Dollar Spot Index rose 0.4%
* The euro fell 0.4% to $1.0915
* The British pound fell 0.8% to $1.2641
* The Japanese yen fell 0.2% to 144.43 per dollar
Cryptocurrencies
* Bitcoin fell 1.8% to $30,106.98
* Ether fell 3.2% to $1,832.1
Bonds
* The yield on 10-year Treasuries declined five basis points to 3.71%
* Germany’s 10-year yield declined four basis points to 2.32%
* Britain’s 10-year yield declined six basis points to 4.32%
Commodities
* West Texas Intermediate crude rose 2.2% to $69.21 a barrel
* Gold futures fell 0.3% to $1,918.40 an ounce
This story was produced with the assistance of Bloomberg Automation.
–With assistance from Brett Miller, Tassia Sipahutar, Sujata Rao, Denitsa Tsekova, Isabelle Lee and Peyton Forte.
Have a lovely evening.

Be magnificent!
As ever,

Carolann
If knowledge is treasure, judgement is the treasurer.  He that hath too much knowledge without judgement
is made more for another man’s use than his own.  –William Penn, 1644-1718.

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

Dear Friends,

Tangents:
1954: The world’s first nuclear power plant is activated.  The reactor at Obninsk in present day Russia remained in operation for 48 years.  Today there are some 400 atomic power plants worldwide.  The technology remains controversial, especially due to the unsolved long-term storage of the highly dangerous nuclear waste.

1972: The video game company Atari was founded by Nolan Bushnell and Ted Dabney in Santa Clara, Calif. Go to article  

1859: Happy Birthday to You song composed.

Helen Keller, b.1880.
The world is full of suffering, but it is also full of people overcoming it. -Helen Keller.

A tourist was caught on camera carving his and his partner’s names into the Colosseum.  When in Rome, don’t do this.

Face of ‘elite’ 7th-century girl buried in a bed with gold and jewels revealed after 1,300 years.  A forensic artist has created a facial reconstruction of a 16-year-old girl who was wearing an ornate gold cross and buried in a bed 1,300 years ago.  Read More

4,500-year-old ‘Stonehenge’ sanctuary discovered in the Netherlands.  Archaeologists have discovered a 4,500-year-old sanctuary in the Netherlands that marks the solstices and equinoxes, and was also used as a burial ground.  Read More

What caused the last ice age to end around 10,000 years ago?  Full Story: Live Science (6/24)

PHOTOS OF THE DAY

Whyte Lake, Canada Air tankers drop water on a brush fire burning in West Vancouver. The fire burned about 3 hectares by late afternoon on Monday and forced the closure of a nearby highway Photograph: PJ Heller/Zuma Press Wire/Shutterstock

Haian, China
Farmers working in a rice field are captured in an aerial image in eastern Jiangsu province Photograph: AFP/Getty Images

Muslims gather on the Mount of Mercy in the Plain of Arafat during the hajj pilgrimage.  Photograph: Mohamed Abd El Ghany/Reuters
Market Closes for June 27^th, 2023

Market Index	Close	Change
Dow Jones	33926.74	+212.03
		+0.63%
S&P 500	4378.41	+49.59
		+1.15%
NASDAQ	13555.67	+219.89
		+1.65%
TSX	19733.09	+145.77
		+0.74%

International Markets

Market Index	Close	Change
NIKKEI	32538.33	-160.48
		-0.49%
HANG SENG	19148.13	+354.00
		+1.88%
SENSEX	63416.03	+446.03
		+0.71%
FTSE 100*	7461.46	+7.88
		+0.11%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	3.317	3.308
CND. 30 Year Bond	3.177	3.163
U.S.    10 Year Bond	3.7639	3.7212
U.S. 30 Year Bond	3.8422	3.8151

Currencies

BOC Close	Today	Previous
Canadian $	0.7580	0.7602
US $	1.3193	1.3154
Euro Rate 1 Euro=		Inverse
Canadian $	1.4460	0.6916
US  $	1.0961	0.9123

Commodities

Gold	Close	Previous
London Gold Fix	1922.90	1930.70
Oil
WTI Crude Future	67.70	69.37

Market Commentary:
📈 On this day in 1967: The world’s earliest known cash machine, a forerunner of today’s ATMs, began dispensing paper money at a Barclays bank branch in Enfield Town, England.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose for the second day, climbing 0.7%, or 145.77 to 19,733.09 in Toronto.
Royal Bank of Canada contributed the most to the index gain, increasing 1.3%.
Tfi International Inc. had the largest increase, rising 7.9%.
Today, 150 of 229 shares rose, while 74 fell; 9 of 11 sectors were higher, led by financials stocks.
Insights
* This quarter, the index fell 1.8%
* This month, the index rose 0.8%
* The index advanced 2.5% in the past 52 weeks. The MSCI AC Americas Index gained 12% in the same period
* The S&P/TSX Composite is 5.3% below its 52-week high on Feb. 2, 2023 and 10.4% above its low on Oct. 13, 2022
* The S&P/TSX Composite is little changed in the past 5 days and fell 0.9% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 12.8 on a trailing basis and 13.6 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.5% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.11t
* 30-day price volatility fell to 11.06% compared with 11.49% in the previous session and the average of 11.64% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | 68.9841| 1.2| 28/1
Industrials | 35.6281| 1.3| 23/3
Information Technology | 21.7000| 1.4| 11/0
Consumer Discretionary | 13.1249| 1.7| 12/2
Real Estate | 7.3874| 1.6| 19/1
Communication Services | 3.6370| 0.4| 5/0
Utilities | 2.6765| 0.3| 9/6
Consumer Staples | 1.4897| 0.2| 5/6
Health Care | 0.8683| 1.4| 4/1
Materials | -1.4226| -0.1| 18/31
Energy | -18.6770| -0.6| 16/23
================================================================
| | |Volume VS |
| Index | | 20D AVG |YTD Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
RBC | 15.6400| 1.3| -14.0| -1.6
Brookfield Corp | 10.9500| 2.7| -38.0| -0.2
TD Bank | 9.8480| 1.0| 161.9| -8.7
Nutrien | -1.9060| -0.7| -47.0| -21.2
TC Energy | -2.0720| -0.5| 75.2| -1.1
First Quantum Minerals | -2.5860| -2.1| -10.5| 9.9
US
By Rita Nazareth
(Bloomberg) — The stock market welcomed the latest data underscoring economic resilience even if that means the potential for still tight Federal Reserve policy.
Tech mega-caps led the rebound in equities, with the Nasdaq 100 up almost 2% and the S&P 500 halting a two-day drop.
Tesla Inc. rallied after a 6% plunge, Snowflake Inc. jumped on an artificial intelligence-related partnership with Nvidia Corp. and Facebook’s parent Meta Platforms Inc. gained as Citigroup
Inc. lifted its target.
Alphabet Inc. underperformed with an analyst saying Google’s owner was moving “too fast” in AI.
For the first time since early 2022, the consumer confidence report showed that a larger percentage of people expected higher stock prices relative to lower equity values, according to Bespoke Investment Group.
While the return of bullish sentiment could be a contrarian indication of a negative reversal, the research firm noted that hasn’t be the case historically.
Since 1987, there have only been three other periods showing net negative readings in bullish sentiment of at least nine months, Bespoke said.
In the year after two of those negative streaks, the S&P 500 rallied 10.9% and 19%, respectively — and after a record 18-month run, the equity gauge climbed even more.
“US stocks are bouncing back after some strong US economic data gave a boost to consumer discretionary stocks and as investors piled back into AI trades,” said Edward Moya, senior market analyst at Oanda. “The strong consumer confidence report will likely suggest expectations are not for the labor market to deteriorate quickly, which should confirm expectations that a
recession will not happen this year, but most likely next.”
For Kara Murphy at Kestra Investment Management, it’s also important to consider that while consumers are continuing to spend, a lot of that confidence is indeed driven by strength in
the labor market.
“Are there inflationary expectations still built into the labor market that the Fed really needs to worry about?” Murphy added.
In fact, Treasuries declined as the strong data fueled speculation that the Fed will resume raising interest rates after this month’s pause.
In the run-up to the results of the Fed’s stress test, a $2.9 billion exchange-traded fund tracking regional lenders was up over 1.5%.
Analysts largely expect banks to sail through the tests even as regulators explore more stringent requirements in the aftermath of a few collapses in the financial industry.
Several bank executives have recently been trying to temper shareholder expectations regarding dividend increases and stock buybacks — which had been the focus of investors in previous years.
Tuesday’s rebound in stocks extended the S&P 500’s rally in June, with the gauge heading toward its fourth consecutive month of gains — the longest winning streak since August 2021.
The equity market made a pivotal shift this month, exiting a phase typically associated with the worst return prospects and powering into a stage that’s tied to a more favorable outlook.
A Bloomberg Intelligence model known as the Market Regime Index — which clusters periods into three phases dubbed accelerated growth (green), moderate growth (yellow) and decline (red) — has flipped out of the cautious red zone that it’s been
stuck in for 15 straight months and into yellow.
That signals brighter times ahead for stocks, according to BI’s Gina Martin Adams and Gillian Wolff.
In other corporate news, American Equity Investment Life Holding Co. surged to a record on a $4.3 billion Brookfield bid.
Carnival Corp. rallied as several analysts increased their targets for the cruise line operator.
Delta Air Lines Inc. rose after boosting its earnings expectations. 
Key events this week:
* US wholesale inventories, goods trade balance, Wednesday
* Fed to unveil results of annual banking industry stress test, Wednesday
* Policy panel with ECB’s Christine Lagarde, Fed Chair Jerome Powell, BOJ’s Kazuo Ueda and BOE’s Andrew Bailey speak, Wednesday
* Eurozone economic confidence, consumer confidence, Thursday
* US GDP, initial jobless claims, Thursday
* Atlanta Fed President Rafael Bostic speaks, Thursday
* China manufacturing PMI, non-manufacturing PMI, balance of payments, Friday
* US personal income and spending, University of Michigan consumer sentiment, Friday

Some of the main moves in markets:
Stocks
* The S&P 500 rose 1.1% as of 4 p.m. New York time
* The Nasdaq 100 rose 1.7%
* The Dow Jones Industrial Average rose 0.6%
* The MSCI World index rose 0.9%
Currencies
* The Bloomberg Dollar Spot Index fell 0.2%
* The euro rose 0.5% to $1.0963
* The British pound rose 0.3% to $1.2752
* The Japanese yen fell 0.3% to 144.01 per dollar
Cryptocurrencies
* Bitcoin rose 1.7% to $30,669.98
* Ether rose 2.4% to $1,895.41
Bonds
* The yield on 10-year Treasuries advanced four basis points to 3.76%
* Germany’s 10-year yield advanced five basis points to 2.36%
* Britain’s 10-year yield advanced seven basis points to 4.38%
Commodities
* West Texas Intermediate crude fell 2.3% to $67.75 a barrel
* Gold futures fell 0.5% to $1,923.20 an ounce
This story was produced with the assistance of Bloomberg Automation.
–With assistance from Jason Scott, Tassia Sipahutar, Sujata Rao, Carly Wanna, Emily Graffeo and Isabelle Lee.

Have a lovely evening.

Be magnificent!
As ever,

Carolann
Being deeply loved by someone gives you strength while loving someone deeply gives you courage. –Lao Tzu, 6^th c. BC-5^th c. BC.

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

Dear Friends,

Tangents: Happy Monday.

Just back from a terrific high tech investing  conference in San Francisco – really exciting developments in technology underway.  The meeting sparked off with a presentation by Sam Altman, CEO of Open AI.  After his presentation, he was heading off to DC and I only realized afterward it was for the state dinner for the Indian Prime Minister and the next day there were a lot of technology CEOs including Tim Cook of Apple and Satya Nadella of Microsoft meeting at the White House to discuss the latest developments in technology, especially AI, with the Indian contingent.

Today is the first day of Hajj.   The Hajj is one of the five pillars of Islam, and all Muslims are required to undertake it at least once in their lives if they are physically and financially able to do so. But inflation and economic crises have strained pilgrims this year, putting the Hajj out of reach for many.   As climate change heats up an already scorching region, the pilgrimage could prove even more daunting.

On June 26, 1997: The first Harry Potter novel, “Harry Potter and the Philosopher’s Stone” by J.K. Rowling was published in the United Kingdom.
June 26, 2000: Rival scientific teams completed the first rough map of the human genetic code. Go to article  

Also on this date:
In 1917, the first troops of the American Expeditionary Force deployed to France during World War I landed in St. Nazaire.
In 1925, Charles Chaplin’s classic comedy “The Gold Rush” premiered at Grauman’s Egyptian Theatre in Hollywood.
In 1945, the charter of the United Nations was signed by 50 countries in San Francisco.
In 2012, essayist, author and filmmaker Nora Ephron, 71, died in New York.
Also on this day, in 1979, the eleventh James Bond film “Moonraker” premiered in London.

Abner Doubleday, invented baseball, b. 1819.
Pearl S. Buck, author, b. 1892.

Utah’s mountains are turning pink and red.  Here’s what’s behind the phenomenon known as “watermelon snow.”

Prince William believes it’s possible to end homelessness.  The Prince of Wales has launched a plan to achieve that goal.

Forget Bloody Marys. How about a drink inspired by roast chicken?  More bars are venturing into the world of savory cocktails, and some of their concoctions sound … interesting to say the least.

The 10 worst airports for disruptions this summer (and where you should fly instead).

$7.7 Million: That’s how much a long-lost painting by Flemish artist Peter Paul Rubens could fetch at auction. The painting, “Saint Sebastian Tended by Two Angels,” was misidentified for centuries and recently reemerged with the help of X-ray analysis.

PHOTOS OF THE DAY

Cambridge, England
Gardeners in the wildflower meadow at King’s College. A study led by Dr Cicely Marshall, a King’s research fellow, shows that establishing the meadow has made a considerable impact to the wildlife value of the land while reducing the greenhouse gas emissions associated with its upkeep. Photograph: Joe Giddens/PA

London, England
A detail from a jumper worn by Diana, Princess of Wales that is predicted to sell at auction for up to £70,000 at Sotheby’s in New York in September.  Photograph: Sotheby’s/PA

İzmir, Turkey
Storks nest on the top of a building at sunset Photograph: Anadolu Agency/Getty Images
Market Closes for June 26^th, 2023

Market Index	Close	Change
Dow Jones	33714.71	-12.72
		-0.04%
S&P 500	4328.82	-19.51
		-0.45%
NASDAQ	13335.78	-156.74
		-1.16%
TSX	19587.32	+169.09
		+0.87%

International Markets

Market Index	Close	Change
NIKKEI	32698.81	-82.73
		-0.25%
HANG SENG	18794.13	-95.84
		-0.51%
SENSEX	62970.00	-9.37
		-0.01%
FTSE 100*	7453.58	-8.29
		-0.11%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	3.308	3.356
CND. 30 Year Bond	3.163	3.198
U.S.    10 Year Bond	3.7212	3.7347
U.S. 30 Year Bond	3.8151	3.8115

Currencies

BOC Close	Today	Previous
Canadian $	0.7602	0.7583
US $	1.3154	1.3187
Euro Rate 1 Euro=		Inverse
Canadian $	1.4345	0.6971
US  $	1.0905	0.9170

Commodities

Gold	Close	Previous
London Gold Fix	1930.70	1920.05
Oil
WTI Crude Future	69.37	68.86

Market Commentary:
On this day in 2000: Celera Genomics Group, the National Institutes of Health and the U.S. Department of Energy announced they had completed the sequencing of the genome. Celera Genomics’ stock promptly lost 11% of its value as Wall Street, which had “bought on the rumor,” decided to “sell on the news.”
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose 0.9% at 19,587.32 in Toronto.
The move was the biggest since rising 1.8% on June 2 and follows the previous session’s decrease of 0.8%.
Today, financials stocks led the market higher, as 10 of 11 sectors gained; 166 of 229 shares rose, while 59 fell.
Toronto-Dominion Bank contributed the most to the index gain, increasing 1.6%.
Vermilion Energy Inc. had the largest increase, rising 4.8%.
Insights
* This quarter, the index fell 2.6%
* This month, the index was little changed
* The index advanced 2.8% in the past 52 weeks. The MSCI AC Americas Index gained 10% in the same period
* The S&P/TSX Composite is 6% below its 52-week high on Feb. 2, 2023 and 9.6% above its low on Oct. 13, 2022
* The S&P/TSX Composite is down 1.7% in the past 5 days and fell 1.7% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 12.8 on a trailing basis and 13.5 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.5% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.08t
* 30-day price volatility rose to 11.49% compared with 11.28% in the previous session and the average of 11.62% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | 66.8157| 1.1| 23/6
Energy | 53.3984| 1.7| 33/7
Materials | 13.4076| 0.6| 35/12
Consumer Staples | 13.1665| 1.6| 8/3
Industrials | 7.7985| 0.3| 18/8
Utilities | 6.7353| 0.8| 12/3
Real Estate | 4.6814| 1.0| 19/2
Consumer Discretionary | 3.8701| 0.5| 8/7
Health Care | 0.4635| 0.7| 3/2
Communication Services | 0.0523| 0.0| 4/1
Information Technology | -11.6034| -0.8| 3/8
================================================================
| | |Volume VS | YTD
| Index | | 20D AVG | Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
TD Bank | 16.3700| 1.6| 76.8| -9.6
TC Energy | 13.3600| 3.6| 207.4| -0.6
RBC | 12.6300| 1.1| 80.2| -2.9
Constellation Software | -1.4580| -0.4| -59.5| 28.0
Canadian Pacific Kansas | -2.9920| -0.4| -49.6| 4.1
Shopify | -8.0450| -1.1| -37.9| 76.9
US
By Isabelle Lee, Vildana Hajric and Carly Wanna
(Bloomberg) — US stocks fell while government bonds advanced as traders unwound bets the Federal Reserve will cut interest rates this year.
The Nasdaq 100 dropped 1.4% Monday, sliding for a second day after suffering its worst week since March.
Profit taking in the technology sector continued as some of the year’s hottest names including AI-favorite Nvidia Corp. and Facebook-parent company Meta Platforms Inc. dipped.
Tesla Inc. slumped 6.1% after Goldman Sachs Group Inc. joined the list of brokers turning less bullish on the electric-vehicle maker following this year’s blistering rally.
“It makes sense that there should be some pullback early-intermediate-term given how big this move has been, especially relative to the rest of the investment universe,” said Matt Stucky, senior portfolio manager at Northwestern Mutual Wealth Management Co.
Traders are finally relenting on their bets that the central bank will cut rates this year after Fed Chair Jerome Powell last week warned the US may need one or two more rate increases in 2023. Investors have been growing more anxious that central banks determined to extinguish inflation will keep pushing rates higher and risk breaking fragile economies.
“Bulls should be happy with flat markets, especially in light of what happened over the weekend,” said Alec Young, chief investment strategist at MAP signals after markets largely shrugged off the biggest threat to President Vladimir Putin’s almost quarter-century grip on power in Russia. “It continues to be a very data-driven market.”
Russian officials met key partners a day after Yevgeny Prigozhin halted the advance of his Wagner mercenary group toward Moscow.
Putin condemned leaders of the Wagner mercenary group as traitors in his first public address since the revolt.
Tom Essaye, a former Merrill Lynch trader who founded “The Sevens Report” newsletter, wrote that the political strife in Russia is likely to have little market impact.
“Looking forward, obviously this injects more geopolitical uncertainty into the world, but as long as commodity prices don’t spike higher, the markets will largely ignore Russian political volatility,” he wrote.
Amid a global bond rally, early gains in Treasuries faded with the yield on the policy-sensitive two-year at 4.74% and the 10-year bond at 3.72%.
“Markets are in a holding pattern,” said Sinead Colton Grant, global head of investor solutions, BNY Mellon Wealth Management. “They’re waiting for second-quarter earnings to start, which could be the end of the earnings recession, they’re waiting for more context from the Fed—will we get a July rate hike? There’s a lot of information to come.”
Oil advanced though it lingered below $70 a barrel, with traders alert to the risk that any prolonged turmoil in Russia could reverberate through global crude markets.
The country’s war in Ukraine has already upended trade flows, with major consumers in Asia including China boosting imports of Russian energy. 
Key events this week:
* US new home sales, durable goods, Conference Board consumer confidence, Tuesday.
* US wholesale inventories, goods trade balance, Wednesday.
* Fed to unveil results of annual banking industry stress test, Wednesday.
* Policy panel with ECB’s Christine Lagarde, Fed Chair Jerome Powell, BOJ’s Kazuo Ueda and BOE’s Andrew Bailey speak, Wednesday.
* Eurozone economic confidence, consumer confidence, Thursday.
* US GDP, initial jobless claims, Thursday.
* Atlanta Fed President Rafael Bostic speaks, Thursday.
* China manufacturing PMI, non-manufacturing PMI, balance of payments, Friday.
* US personal income and spending, University of Michigan consumer sentiment, Friday.

Some of the main moves in markets: 
Stocks
* The S&P 500 fell 0.4% as of 4:01 p.m. New York time
* The Nasdaq 100 fell 1.4%
* The Dow Jones Industrial Average was little changed
* The MSCI World index fell 0.3%
Currencies
* The Bloomberg Dollar Spot Index was little changed
* The euro rose 0.1% to $1.0908
* The British pound was little changed at $1.2712
* The Japanese yen rose 0.1% to 143.51 per dollar
Cryptocurrencies
* Bitcoin fell 0.3% to $30,288.72
* Ether fell 2% to $1,855.83
Bonds
* The yield on 10-year Treasuries declined two basis points to 3.71%
* Germany’s 10-year yield declined four basis points to 2.31%
* Britain’s 10-year yield declined two basis points to 4.30%
Commodities
* West Texas Intermediate crude rose 0.6% to $69.55 a barrel
* Gold futures rose 0.2% to $1,932.60 an ounce
This story was produced with the assistance of Bloomberg Automation.
–With assistance from Emily Graffeo, Cecile Gutscher and Rita Nazareth.
Have a lovely evening.

Be magnificent!
As ever,

Carolann
I’ll tell you what freedom is to me: no fear. –Nina Simone, 1933-2003.

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

Dear Friends,

Tangents:

Carolann is away from the office today to the Investment Conference in San Francisco, I will be writing the newsletter on her behalf.

On this day, 1992 John Gotti, convicted of racketeering charges, was sentenced in New York to life in prison. Go to article  

Earth’s thermosphere reaches highest temperature in 20 years after being bombarded by solar storms. The atmospheric temperature spike, which was caused by successive geomagnetic storms, suggests the “solar maximum” is fast approaching. Go to article

Tonga 2022 eruption triggered the most intense lightning storm ever recorded. The plume generated during the 2022 Hunga Tonga-Hunga Ha’apai volcanic eruption in Tonga created the perfect conditions for a “supercharged” lightning storm.

Taylor Swift is an unlikely public transit icon. Public transit systems across the US are getting a much-needed, if temporary, boost from Taylor Swift fans flooding trains, buses and subways to her sold-out Eras Tour.
PHOTOS OF THE DAY

Istanbul, Turkey
A woman poses for a photo with seagulls
Photograph: Anadolu Agency/Getty Images

London, UK
Precious Adams performs Cinderella during a dress rehearsal by the English National Ballet, at the Royal Albert Hall
Photograph: Dylan Martinez/Reuters

Sichuan, China
Wooden houses for practitioners are illuminated around the Larung Gar Buddhist academy at night in Sertar County
Photograph: VCG/Getty Images
Market Closes for June 23^rd, 2023

Market Index	Close	Change
Dow Jones	33727.43	-219.28
		-0.65%
S&P 500	4348.33	-33.56
		-0.77%
NASDAQ	13492.52	-138.09
		-1.01%
TSX	19418.23	-162.67
		-0.83%

International Markets

Market Index	Close	Change
NIKKEI	32781.54	-483.34
		-1.45%
HANG SENG	18889.97	-328.38
		-1.71%
SENSEX	62979.37	-259.52
		-0.41%
FTSE 100*	7461.87	-40.16
		-0.54%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	3.356	3.453
CND. 30 Year Bond	3.198	3.288
U.S.    10 Year Bond	3.7347	3.7946
U.S. 30 Year Bond	3.8115	3.8686

Currencies

BOC Close	Today	Previous
Canadian $	0.7583	0.7603
US $	1.3187	1.3153
Euro Rate 1 Euro=		Inverse
Canadian $	1.4400	0.6944
US  $	1.0923	0.9155

Commodities

Gold	Close	Previous
London Gold Fix	1920.05	1925.65
Oil
WTI Crude Future	68.86	69.21

Market Commentary:
📈 On this day in in 1912, computing and artificial intelligence pioneer Alan Mathison Turing was born in the Paddington district of London.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite fell for the sixth day, dropping 0.8%, or 162.67 to 19,418.23 in Toronto. The index dropped to the lowest closing level since March 17.
Today, financials stocks led the market lower, as 10 of 11 sectors lost; 176 of 229 shares fell, while 49 rose.
Royal Bank of Canada contributed the most to the index decline, decreasing 1.0%. Spartan Delta Corp. had the largest drop, falling 7.8%.

Insights
* This quarter, the index fell 3.4%
* This month, the index fell 0.8%
* So far this week, the index fell 2.8%, heading for the biggest decline since the week ended March 10
* The index advanced 3.7% in the past 52 weeks. The MSCI AC Americas Index gained 14% in the same period
* The S&P/TSX Composite is 6.8% below its 52-week high on Feb. 2, 2023 and 8.6% above its low on Oct. 13, 2022
* S&P/TSX Composite is trading at a price-to-earnings ratio of 12.7 on a trailing basis and 13.4 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.5% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.1t
* 30-day price volatility rose to 11.28% compared with 11.11% in the previous session and the average of 11.45% over the past month
================================================================
| Index Points | |Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | -64.1193| -1.1| 2/27
Energy | -51.9252| -1.6| 3/35
Industrials | -21.5126| -0.8| 3/23
Utilities | -12.0471| -1.4| 1/15
Materials | -10.8423| -0.5| 22/27
Consumer Staples | -5.6189| -0.7| 6/5
Communication Services | -4.7648| -0.6| 0/5
Consumer Discretionary | -3.8824| -0.5| 4/11
Real Estate | -2.1178| -0.5| 3/17
Health Care | -1.0228| -1.6| 1/4
Information Technology | 5.1008| 0.3| 4/7
================================================================
| | |Volume VS| YTD |Index Points| | 20D AVG | Change Top Contributors | Move |% Change | (%) | (%)
================================================================
RBC | -12.5300| -1.0| -13.8| -3.9
Canadian National | -10.1200| -1.5| -16.3| -3.4
TC Energy | -10.0800| -2.7| 11.6| -4.0
Franco-Nevada | 1.9980| 0.8| 57.5| -0.5
ARC Resources | 2.0500| 2.7| 203.4| -1.3
Shopify | 5.3630| 0.8| -29.9| 78.9
US
By Carly Wanna and Isabelle Lee
(Bloomberg) — US stocks notched the worst week since March as anxiety rose that central banks will have to ratchet interest rates higher to tamp down inflation. Bonds rallied on bets that excessive tightening will bring on sharp economic downturns.
The S&P 500 Index ended the shortened holiday week 1.4% lower while the Nasdaq 100 benchmark fell 1.3% as investors took profits from the year’s winning technology names. Chipmakers Marvell Technology Inc. and GlobalFoundries Inc. were among Friday’s laggards while drops in Microsoft Corp. and Nvidia Corp. weighed on the gauges.
The second-quarter stock rally — fueled by the frenzy for growth-oriented artificial intelligence stocks — is fraying under the threat of more rate hikes and fears that the full economic impact of aggressive central bank policy has yet to be felt.
Without the AI narrative, the stock market would have been “a lot rockier,” according to Linda Duessel, senior equity strategist at Federated Hermes. “Underneath the surface, the average stock is only up a couple of percent year-to-date,” she told Bloomberg Television. “Portfolio managers have had a very difficult time beating the S&P this year.”
Federal Reserve Chair Jerome Powell dampened the mood this week when he said the US may need one or two more rate increases in 2023. Other Fed commentators pushed back against investor hopes for a rate cut this year: “I’d be comfortable with the information I have today, staying right where we are and just staying here through the rest of this year and long into next year,” Atlanta Fed President Raphael Bostic said at an event Friday.
Economic data from Germany and France ignited fears of a downturn in Europe, spurring Treasuries to take part in a global bond market rally as investors sought safe havens.
Treasury Secretary Janet Yellen sought to temper concerns over a US recession, she acknowledged the risk and said a consumer-spending slowdown was needed. Meanwhile, the US manufacturing purchasing managers index fell to 46.3 in June from 48.4 the prior period, the lowest reading since December.
“There is consistency throughout the global economy in at least one regard — manufacturing remains in a recessionary mode,” Ian Lyngen at BMO Capital Markets said. “Translating this to US monetary policy is much more challenging than it might be overseas,” he wrote in a note to clients. “We don’t think this data has immediate implications for the FOMC’s July decision — for that we’ll look to NFP and CPI. Nonetheless, it was a disappointing print.”
US Treasuries yields fell Friday, some by as much as 10 basis points. The inverted spread between the two- and 10-year bond widened to more than 1% — such inversions are considered a
recessionary signal.
Scott Ladner, chief investment officer at Horizon Investments, said the bond rally was riven by “growth fears with European flash PMIs coming in soft this morning,” adding that
there’s a bit of “breath-taking after the last few weeks of very strong risk-asset performance.”
Concern about the economic outlook was reflected in a rotation into bonds and out of stocks in weekly flow data. Investors yanked $5 billion from global equity funds in the week
through Wednesday and added $5.4 billion to bonds.  US stocks face more downside than upside over the next two months as banks and property firms “still have bad recession vibes,” according to the note from Bank of America strategists citing EPFR Global data.
The US dollar and gold futures climbed. Bitcoin headlined a rally in cryptocurrencies as it jumped to its highest level in a year.
Some of the main moves in markets:

Stocks
* The S&P 500 fell 0.8% as of 4 p.m. New York time
* The Nasdaq 100 fell 1%
* The Dow Jones Industrial Average fell 0.6%
* The MSCI World index fell 1%
Currencies
* The Bloomberg Dollar Spot Index rose 0.4%
* The euro fell 0.6% to $1.0891
* The British pound fell 0.2% to $1.2719
* The Japanese yen fell 0.5% to 143.80 per dollar
Cryptocurrencies
* Bitcoin rose 2.5% to $30,904.63
* Ether rose 0.8% to $1,902.27
Bonds
* The yield on 10-year Treasuries declined five basis points to 3.74%
* Germany’s 10-year yield declined 14 basis points to 2.35%
* Britain’s 10-year yield declined five basis points to 4.32%
Commodities
* West Texas Intermediate crude fell 0.3% to $69.30 a barrel
* Gold futures rose 0.3% to $1,929.20 an ounce
This story was produced with the assistance of Bloomberg Automation.

–With assistance from Mark Tannenbaum, Michael Mackenzie, Denitsa Tsekova and Cecile Gutscher.
Have a lovely evening.

Be magnificent!
As ever,

Isabel

A proverb is no proverb to you till your life has illustrated it. -John Keats, 1795-1821

Assistant to Carolann Steinhoff, Registered Representative

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

Dear Friends,

Tangents:

Carolann is away from the office today to the Investment Conference in San Francisco, I will be writing the newsletter on her behalf.

On this day, 1964 Three civil rights workers disappeared in Philadelphia, Miss. Their bodies were found buried in an earthen dam six weeks later. 2005 Edgar Ray Killen, an 80-year-old former Ku Klux Klansman, was found guilty of manslaughter in the deaths of three civil rights workers in Philadelphia, Miss., 41 years to the day earlier. Go to article

Do you yearn for long days and short nights? Then this could be the best day of the year for you and fellow sunlight seekers. The summer solstice is Wednesday, June 21. It’s the longest day and shortest night in the Northern Hemisphere. It’s also the first official day of summer. Go to article

Electrifying time-lapse image captures 100 lightning bolts torching the sky over Turkey. The photographer combined individual images collected over a 50-minute period during an intense thunderstorm in Turkey. Read More

Mysterious ‘Viking disease’ linked to Neanderthal DNA. Neanderthal genes may be one cause of the disorder nicknamed the “Viking disease,” in which fingers become frozen in a bent position, a new study finds. Read More

PHOTOS OF THE DAY

Stonehenge, UK
Revellers descend on Stonehenge to see the sunrise on the longest day of the year. English Heritage allows controlled access to the ancient stone circle for the summer solstice celebrations
Photograph: Martin Dalton/Shutterstock

Gold post
‘A nun sending a letter in the beautiful post office of Valladolid, Spain. An uncommon view nowadays.’
Photograph: Miguel Angel Garcia Martín

Ascot, UK
Racegoers arrive at Royal Ascot for the second day of horseracing
Photograph: Dave Shopland/Shutterstock
Market Closes for June 21^st, 2023

Market Index	Close	Change
Dow Jones	33951.52	-102.35
		-0.30%
S&P 500	4365.69	-23.02
		-0.52%
NASDAQ	13502.20	-165.09
		-1.21%
TSX	19705.95	-48.19
		-0.24%

International Markets

Market Index	Close	Change
NIKKEI	33575.14	+186.23
		+0.56%
HANG SENG	19218.35	-388.73
		-1.98%
SENSEX	63523.15	+195.45
		+0.31%
FTSE 100*	7559.18	-10.13
		-0.13%

Bonds

Bonds	% Yield	Previous % Yield
CND. 10 Year Bond	3.386	3.340
CND. 30 Year Bond	3.218	3.188
U.S.    10 Year Bond	3.7189	3.7169
U.S. 30 Year Bond	3.8070	3.8105

Currencies

BOC Close	Today	Previous
Canadian $	0.7596	0.7555
US $	1.3165	1.3236
Euro Rate 1 Euro=		Inverse
Canadian $	1.4462	0.6915
US  $	1.0985	0.9103

Commodities

Gold	Close	Previous
London Gold Fix	1930.45	1951.15
Oil
WTI Crude Future	72.28	70.50

Market Commentary:
📈 On this day in 1970, Penn Central, one of the world’s largest and oldest railroad operators, declared bankruptcy after the federal government declined to guarantee $200 million in emergency loans.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite fell for the fourth day, dropping 0.2%, or 48.19 to 19,705.95 in Toronto. The index dropped to the lowest closing level since June 1.
Shopify Inc. contributed the most to the index decline, decreasing 2.2%. NorthWest Healthcare Properties Real Estate Investment Trust had the largest drop, falling 11.1%.
Today, 142 of 229 shares fell, while 81 rose; 7 of 11 sectors were lower, led by financials stocks.
Insights
* This quarter, the index fell 2%
* This month, the index rose 0.7%
* The index advanced 2.3% in the past 52 weeks. The MSCI AC Americas Index gained 15% in the same period
* The S&P/TSX Composite is 5.5% below its 52-week high on Feb. 2, 2023 and 10.3% above its low on Oct. 13, 2022
* The S&P/TSX Composite is down 1.5% in the past 5 days and fell 3.2% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 12.9 on a trailing basis and 13.6 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.4% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.13t
* 30-day price volatility fell to 11.03% compared with 11.06% in the previous session and the average of 11.47% over the past month
================================================================
| Index Points | | Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | -31.4034| -0.5| 6/22
Information Technology | -23.6471| -1.5| 2/9
Consumer Staples | -8.6249| -1.1| 2/9
Consumer Discretionary | -6.8873| -0.9| 5/10
Real Estate | -6.1715| -1.3| 1/19
Communication Services | -3.2793| -0.4| 1/4
Health Care | -0.1289| -0.2| 2/3
Utilities | 0.0149| 0.0| 7/9
Materials | 2.3805| 0.1| 18/29
Industrials | 9.3123| 0.3| 10/16
Energy | 9.9019| 0.3| 27/12
================================================================
| | |Volume VS| YTD |Index Points | | 20D AVG | Change Top Contributors | Move | % Change | (%) | (%)
================================================================
Shopify | -15.6700| -2.2| -26.8| 76.9
Brookfield Corp | -6.7700| -1.6| -35.1| 0.3
Bank of Nova Scotia| -5.8600| -1.1| 99.1| -2.7
Nutrien | 7.1050| 2.6| 51.1| -19.4
Canadian Natural Resources | 10.8800| 2.0| 17.1| -4.3
Canadian Pacific Kansas | 11.6400| 1.7| 4.8| 3.4.
* The benchmark 10-year bond fell and the yield rose 4.6 basis points to 3.387%
* The S&P 500 Index declined 0.5%
US
By Emily Graffeo and Peyton Forte
(Bloomberg) — US stocks slid after a renewed warning from Federal Reserve Chair Jerome Powell that higher rates would be needed to combat inflation, thwarting bets that the US central bank was nearing the end of its tightening cycle.
The Nasdaq 100 has slumped more than 2% over the past three sessions. AI and chipmakers were weak with Intel Corp. and Avanced Micro Devices Inc. falling around 6% on Wednesday. The tech-heavy benchmark and the S&P 500 Index notched three-day losing streaks, the longest since early May. Two-year Treasury yields, considered the most sensitive to interest rates, rose to 4.7% following a bounce on a strong 20-year bond auction.
Fed Chair Jerome Powell reiterated that higher rates are needed to combat inflation in his semi-annual report to Congress. Two more rate hikes this year is “a pretty good guess,” he said, while backing the central bank’s 2% inflation target.
Policymakers kept interest rates unchanged at their meeting last week, their forecasts imply around two additional quarter- point rate hikes or one half-point increase. Since then, money markets have been attaching roughly 80% odds to a quarter percentage point hike in July.
“Powell really was consistent with his messaging to Congress and by extension the markets,” said Joe Gilbert, a portfolio manager at Integrity Asset Management. “He reiterated that inflation is public enemy number one and the Fed must rein it in to provide stability to the system and stable growth for the economy. He is maintaining optionality even with another jobs report and CPI before the next Fed meeting.”
Amid the hawkish Fed signaling as well as crowded bullish positioning, narrow breadth and stretched valuations, the second-quarter stock rally has hit a wall as investor enthusiasm wanes. The market’s fear gauge, the Cboe Volatility Index or VIX, was strangely placid, dropping to the lowest since January 2020.
“The positioning and the chasing is no longer likely to be the big tailwind that it was for the last six or seven weeks. That’s why, things go parabolic, they don’t do so in perpetuity,” Anastasia Amoroso, chief investment strategist at iCapital, told Bloomberg Television’s The Open before Powell’s speech on Wednesday.
“If the right catalyst comes along, they tend to correct, at least partially. And I think we’re looking at a catalyst this week, which is potentially hawkish Fed Chair Powell,” she said. Wall Street is paying close attention to yields on the 10- year note — a drop in price is viewed as a sign of investor confidence in the economy — which reached its steepest inversion against the two-year note since the 1980s in March.  If, “the 10-year starts to rise because all of the sudden the inflation expectations start to become more entrenched, that would certainty cause a problem for risk assets,” according to Amoroso.
“You wonder if the market wants to push back on the Fed, if Powell is not hawkish enough, if the Fed did not do enough for the market,” said Brian Weinstein, head of fixed income at Morgan Stanley Investment Management Inc. “When I look at 10-year Treasuries, it’s not high enough yet. I’m surprised the yield curve hasn’t bear steepened if they want to challenge the Fed,” Weinstein told The Open. “Until we get higher yields on the longer part of the curve, I think people continue to buy riskier assets.”
Elsewhere, crude climbed above $72 a barrel and Bitcoin rallied past $30,000 for the first time since April amid speculation over BlackRock Inc.’s surprising filing for a US spot Bitcoin exchange traded fund.
Key events this week:
* Eurozone consumer confidence, Thursday
* Rate decisions in UK, Switzerland, Indonesia, Norway, Mexico, Philippines, Turkey, Thursday
* US Conference Board leading index, initial jobless claims, current account, existing home sales, Thursday
* Fed’s Powell delivers testimony before the Senate Banking Committee, Thursday
* Cleveland Fed’s Loretta Mester speaks Thursday
* Eurozone S&P Global Eurozone Manufacturing PMI, S&P Global Eurozone Services PMI, Friday
* Japan CPI, Friday
* US S&P Global Manufacturing PMI, Friday
* St. Louis Fed President James Bullard speaks, Friday

Some of the main moves in markets:  

Stocks
* The S&P 500 fell 0.5% as of 4:01 p.m. New York time
* The Nasdaq 100 fell 1.3%
* The Dow Jones Industrial Average fell 0.3%
* The MSCI World index fell 0.4%
Currencies
* The Bloomberg Dollar Spot Index fell 0.3%
* The euro rose 0.6% to $1.0988
* The British pound was little changed at $1.2776
* The Japanese yen fell 0.2% to 141.77 per dollar
Cryptocurrencies
* Bitcoin rose 7% to $30,128.19
* Ether rose 5.5% to $1,883.71
Bonds
* The yield on 10-year Treasuries was little changed at 3.72%
* Germany’s 10-year yield advanced three basis points to 2.43%
* Britain’s 10-year yield advanced seven basis points to 4.40%
Commodities
* West Texas Intermediate crude rose 2% to $72.63 a barrel
* Gold futures fell 0.1% to $1,944.80 an ounce

–With assistance from Liz Capo McCormick, Elizabeth Stanton and John McCorry.

Have a lovely evening.

Be magnificent!
As ever,

Isabel

Words, words. They’re all we have to go on. – Sir Tom Stoppard, 1937 —

Assistant to Carolann Steinhoff, Registered Representative

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