Category: Newsletters

Dear Friends,

Tangents:

To Autumn

Season of mists and mellow fruitfulness,

Close bosom-friend of the maturing sun,

Conspiring with him how to load and bless

With fruit the vines that round the thatch-eaves run;

To bend with apples the mossed cottage-trees,

And fill all fruit with ripeness to the core;

To swell the gourd, and plump the hazel shells

With a sweet kernel; to set budding more,

And still more, later flowers for the bees,

Until they think warm days will never cease,

For Summer has o’er-brimmed their clammy cells.

 

Who hath not seen the oft amid they store?

Sometimes whoever seeks abroad may find

Thee sitting careless on a granary floor,

Thy hair soft-lifted by the winnowing wind;

Or on a  half-reaped furrow sound asleep,

Drowsed with the fume of poppies, while thy hook

Spared the next swath and all its twined flowers;

And sometimes like a gleaner thou dost keep

Steady thy laden head across a brook;

Or by a cider-press, with a patient look,

Thou watchest the last oozing hours by hours.

 

Where are the songs of Spring?  Ay, where are they?

Think not of them, thou hast thy music too-

While barred clouds bloom the soft-dying day,

And touch the stubble-plains with rosy hue:

Then in a wailful choir the small gnats  mourn

Among the river sallows, borne aloft

Or sinking as the light wind lives or dies;

And full-grown lambs loud bleat from hilly bourn;

Hedge-crickets sing; and now with treble soft

The re-breast whistles from a garden-croft;

And gathering swallows twitter in the skies.

 

-John Keats

Photos of the day

Smoke billows from a new island off the coast of Nishinoshima (l.) a small, uninhabited island in the Ogasawara chain, far south of Tokyo The Japan Coast Guard and earthquake experts said a volcanic eruption has raised the new island in the seas to the far south of Tokyo. The coast guard issued an advisory Wednesday warning of heavy black smoke from the eruption. Kyodo News/AP

Students of the Japanese martial art Ninjutsu perform during training inside the Tijuca forest in Rio de Janeiro, November 20. Ninjitsu training, practiced by the shinobi also known as ninjas, involve unconventional warfare tactics, team infiltration and camouflage. Pilar Olivares/Reuters

Market Closes for November 21^st, 2013

Market  Index	Close	Change
Dow  Jones	16009.99	+109.17    +0.69%
S&P 500	1795.85	+14.48    +0.81%
NASDAQ	3969.155	+47.885    +1.22%
TSX	13475.33	+45.32
		+0.34%

International Markets

Market  Index	Close	Change
NIKKEI	15365.60	+289.52
		+1.92%
HANG  SENG	23580.29	-120.57
		-0.51%
SENSEX	20229.05	-406.08
		-1.97%
FTSE 100	6681.33	+0.25
		—

Bonds

Bonds	% Yield	Previous % Yield
CND.  10 Year Bond	2.623	2.635
CND.   30 Year Bond	3.196	3.203
U.S.   10 Year Bond	2.7842	2.7987
U.S.   30 Year Bond	3.8875	3.9110

Currencies

BOC Close	Today	Previous
Canadian $	0.95059	0.95663
US   $	1.05198	1.04533
Euro Rate  1 Euro=		Inverse
Canadian   $	1.41743	0.70550
US  $	1.34740	0.74217

Commodities

Gold	Close	Previous
London Gold   Fix	1242.35	1243.25
Oil	Close	Previous
WTI Crude Future	95.09	93.33
BRENT	109.360	109.360

Market Commentary:

Canada

By Eric Lam

Nov. 21 (Bloomberg) — Canadian stocks rose, snapping three days of losses, as gains among oil producers overshadowed a decline in gold prices amid speculation the Federal Reserve will trim asset purchases in coming months.

Whitecap Resources Inc. and Crew Energy Inc. climbed at least 3.5 percent as crude surged the most in seven weeks.

Detour Gold Corp. and Rio Alto Mining Ltd. lost more than 7.6 percent as the price of gold tumbled. Gildan Activewear Inc. retreated 3.3 percent after 2014 forecasts fell short of analysts’ estimates. Lightstream Resources Ltd. sank 7.9 percent after announcing a dividend cut and reduced capital spending.

The Standard & Poor’s/TSX Composite Index climbed 45.32 points, or 0.3 percent, to 13,475.33 at 4 p.m. in Toronto. The benchmark equity gauge has risen 8.4 percent this year, the third-worst performer among the world’s developed markets, ahead of Hong Kong and Singapore.

“Today is a bounce-back from the down days that we’ve had,” said John Kinsey, a fund manager with Caldwell Securities Ltd., said from Toronto. The firm manages about C$1 billion ($952 million). “Yesterday was a knee-jerk reaction to the Fed minutes. Energy seems to be pretty solid here.”

U.S. policy makers expect economic data will signal further improvement in the labor market and “warrant trimming the pace” of bond purchases in coming months, according to minutes from the Fed’s October meeting released yesterday. Stocks have rallied this year, bolstered by the Fed’s $85 billion in monthly asset purchases.

Whitecap Resources rallied 5.5 percent to C$12.36 and Crew Energy increased 3.5 percent to C$5.61 to pace gains among energy stocks. Nine of 10 industries advanced in the S&P/TSX on trading volume 13 percent above the 30-day average at this time of the day.

Crude for January delivery climbed 1.7 percent to $95.44 a barrel in New York, after a report showed jobless claims in the U.S. fell by 21,000 to 323,000 last week.

Bombardier Inc., the world’s third-largest plane maker, advanced 0.4 percent to C$4.68 after the planemaker said it had received firm orders and commitments for as many as 38 aircraft worth up to $2.01 billion at the Dubai airshow.

Air Canada, the nation’s largest airline, climbed 4.5 percent to C$6.98, the highest since June 2008. The stock is the top performer in Canada this year with a 299 percent advance.

Detour Gold declined 9 percent to C$4.44 and Rio Alto Mining retreated 7.6 percent to C$1.58 as gold for December delivery tumbled 1.1 percent to $1,243.60 an ounce in New York, the lowest since July 9.

Endeavour Silver Corp. lost 0.7 percent to C$4.11 and Silvercorp Metals Inc. fell 0.7 percent to C$2.71 as silver prices declined for a second day.

Gildan Activewear slipped 3.3 percent to C$49.60, for its biggest loss since February. The clothing maker forecast first- quarter earnings of 33 cents to 35 cents a share, short of analysts’ estimates for 41 cents.

Gildan also reported fourth-quarter adjusted earnings of 83 cents a share, trailing analysts’ projections of 84 cents.

Lightstream Resources, an oil exploration and production company, tumbled 7.9 percent to C$5.57, a record low. The company said it will reduce its 2014 capital spending program by about 25 percent from estimated 2013 levels, and targeted more than C$600 million in non-core asset sales by the end of 2015.

The company also cut its dividend 50 percent to 4 Canadian cents a month, for annual cash savings of C$40 million a year.

USA

By Nick Taborek

Nov. 21 (Bloomberg) — U.S. stocks rose, sending the Dow Jones Industrial Average to its first close above 16,000, as data showed improvement in the job market and companies including Union Pacific Corp., Johnson Controls Inc. and Ace Ltd. said they would repurchase shares.

Union Pacific, Johnson Controls and Ace advanced at least 1.4 percent. Micron Technology Inc. rallied 6.3 percent, the most since August, as David Einhorn, president of Greenlight Capital Inc., recommended the shares. General Motors Co. gained 1.1 percent after the U.S. Treasury Department said it plans to sell its remaining stake in the company. Target Corp. lost 3.5 percent after reporting profit that trailed analysts’ estimates on a loss in its Canadian unit.

The Standard & Poor’s 500 Index increased 0.8 percent to 1,795.85 at 4 p.m. in New York, erasing most of the decline from the past three days. The Dow average rose 109.17 points, or 0.7 percent, to a record 16,009.60.

“After three consecutive negative days it’s reasonable to expect a breather at least in the beginning of the day,” Lawrence Creatura, a Rochester, New York-based fund manager at Federated Investors Inc., which oversees about $364 billion, said in a phone interview. “There is some good news in the labor report too in that it does indicate a degree of improvement.”

Investors are pouring more money into stock mutual funds in the U.S. than they have in 13 years, attracted by a market near record highs and stung by bond losses that would deepen if interest rates rise. Stock funds won $172 billion in the year’s first 10 months, the largest amount since they got $272 billion in all of 2000, according to Morningstar Inc. estimates.

The move marks a reversal from the four years through 2012, when investors put $1 trillion into fixed income as the financial crisis drove many to redeem from stocks and miss out as the S&P 500 almost tripled from its low. The U.S. equity benchmark traded for about 17 times its companies’ reported earnings at its last record on Nov. 15, the highest valuation since May 2010.

The S&P 500 rose above 1,800 for the first time on Nov. 18 before erasing the advance. The equity benchmark dropped during the first three days of the week after forecasts from Best Buy Co. and Campbell Soup Co. disappointed investors and minutes from a Federal Reserve meeting indicated the central bank may reduce monetary stimulus in coming months.

U.S. jobless claims in the week ended Nov. 16 dropped by 21,000 to 323,000, the fewest since the week ended Sept. 28, from a revised 344,000 the previous week, the Labor Department said today in Washington. The median forecast of 47 economists surveyed by Bloomberg called for a drop to 335,000.

American consumers became less pessimistic in November about the economic outlook as the effect of last month’s partial government shutdown dissipated, according to data from the Bloomberg Consumer Comfort Index released. The gap between positive and negative expectations for the economy shrank to minus 14 from a two-year low of minus 31 in October.

Financial stocks in the S&P 500 collectively climbed 1.5 percent, the most among 10 main groups. Ace, an insurer with operations in more than 50 nations, led gains in the industry with a 3.8 percent advance to $101.53. The company said that it is targeting $1.5 billion in share repurchases through the end of next year.

Johnson Controls, the largest U.S. auto-parts maker, climbed 4.4 percent to $50.35 after boosting a stock-repurchase program by $3 billion. Union Pacific Corp. added 1.4 percent to $160.78. The largest U.S. railroad authorized a buyback plan of as much as $9.5 billion in stock.

GM increased 1.1 percent to $38.12. The Treasury said it plans to sell its 31.1 million common shares in the company, as soon as year end depending on market conditions and trading volumes. The wind-down of the U.S. stake in GM would bring to an end a linchpin of the government’s Troubled Asset Relief Program.

Target dropped 3.5 percent to $64.19. The second-largest discount retailer in the U.S. is generating lower sales in Canada than projected as rivals cut prices. Earnings slid to 54 cents a share, from 96 cents a share a year earlier, the company said.

Green Mountain Coffee Roasters Inc. jumped 14 percent to $70.57. The maker of Keurig-brand single-cup pods and machines reported fourth-quarter profit that surpassed analysts’ estimates as K-Cup and brewer sales rose. Excluding some items, the company reported profit of 89 cents a share. Analysts estimated 75 cents, on average.

Micron rallied 6.3 percent to $19.99 for the biggest gain in the S&P 500. Einhorn told investors to buy the shares at the Robin Hood Investors Conference today, according to a person with knowledge of the matter, who asked not to be identified because the presentation was private and closed to media.

Williams-Sonoma Inc. gained 7.6 percent to $59.74. The home accessories retailer raised its profit forecast after same-store sales rose faster than analysts’ estimated in the third-quarter.

Philip Morris International Inc. fell 3 percent to $86.60.

Goldman Sachs Group Inc. cut its rating on the shares. The world’s largest publicly traded tobacco company said yesterday that fewer shipments to Europe and Russia will crimp profit growth.

GameStop Corp. lost 6.9 percent to $48.80. The video game retailer forecast fourth-quarter profit below analysts’ estimates.

Dollar Tree Inc. fell 4.5 percent to $56.28. The retailer reported third-quarter profit that fell short of analysts’ estimates and lowered the top end its full-year revenue forecast.

 

Have a wonderful evening everyone.

 

Be magnificent!

 

In the song of the rushing torrent,

hold onto the joyful assurance:

I will become the sea.

And this is not a vain supposition;

it is absolute humility, because it is the truth.

Rabindranath Tagore, 1861-1901

As ever,

 

Carolann

 

Do not pray for easy lives.

Pray to be stronger men.

-John F. Kennedy, 1917-1963

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

Senior Vice-President &

Senior Investment Advisor

Queensbury Securities Inc.,

St. Andrew’s Square

Suite 340A, 730 View St.,

Victoria, B.C. V8W 3Y7

 

Dear Friends,

Tangents:

A recent news item gives us this to contemplate:

40 MILLION – habitable Earth-size planets in the galaxy, perhaps, based on a new analysis of NASA data.

Individualism, private property, the law of accumulation of wealth and the law of competition….are the highest result of human experience, the soil in which, so far, has produced the best fruit.  –Andrew Carnegie, 1835-1919.

Photos of the day

A kite surfer makes the most of the strong winds and dramatic stormy weather at Rest Bay, Porthcawl, Wales. Ben Birchall/PA/AP

Sculptor Sven Morawietz of Germany pauses on his throne sculpture based on Disney’s newest movie ‘Frozen’ at the Snow and Ice Sculpture Festival in Bruges, Belgium. Some 28 artists from all over the world made 55 sculptures out of 250 tons of ice depicting characters from Disney movies.Francois Lenoir/Reuters

Market Closes for November 20th, 2013

Market  Index	Close	Change
Dow  Jones	15900.82	-66.21    -0.41%
S&P 500	1781.37	-6.50    -0.36%
NASDAQ	3921.270	-10.283    -0.26%
TSX	13430.01	-12.76
		-0.09%

International Markets

Market  Index	Close	Change
NIKKEI	15076.08	-50.48
		-0.33%
HANG  SENG	23700.86	+43.05
		+0.18%
SENSEX	20635.13	-255.69
		-1.22%
FTSE 100	6681.08	-16.93
		-0.25%

Bonds

Bonds	% Yield	Previous % Yield
CND.  10 Year Bond	2.635	2.564
CND.   30 Year Bond	3.203	3.107
U.S.   10 Year Bond	2.7987	2.7096
U.S.   30 Year Bond	3.9110	3.8035

Currencies

BOC Close	Today	Previous
Canadian $	0.95663	0.95645
US   $	1.04533	1.04553
Euro Rate  1 Euro=		Inverse
Canadian   $	1.40467	0.71191
US  $	1.34375	0.74419

Commodities

Gold	Close	Previous
London Gold   Fix	1243.25	1275.50
Oil	Close	Previous
WTI Crude Future	93.33	93.34
BRENT	109.360	109.360

Market Commentary:

Canada

By Aubrey Pringle

Nov. 20 (Bloomberg) — Canadian stocks fell for a third day as gold companies tumbled after U.S. Federal Reserve officials said they may reduce economic stimulus “in coming months” as the economy improves.

Semafo Inc. lost 8.7 percent as the price of gold plummeted. Maple Leaf Foods Inc. fell 1 percent as the food producer was said to have drawn bids for its bread unit. Trican Well Service Ltd. added 1.7 percent after the pressure pumping company’s rating was upgraded by Raymond James.

The Standard & Poor’s/TSX Composite Index dropped 12.76 points, or 0.1 percent, to 13,430.01 at 4 p.m. in Toronto. The gauge has climbed 8 percent this year.

“There’s some uncertainty now whether the tapering will begin sooner,” Tim Lazaris, chief investment officer at Red Sky Capital Management Ltd., said by phone from Toronto. “Commodity prices are dropping here post the Fed minutes, primarily gold and that’s taking the materials sector down.”

Fed officials said they might reduce their $85 billion in monthly bond purchases “in coming months” as the economy improves, minutes of their last meeting show. Policy makers will probably pare that pace to $70 billion at their March 18-19 meeting, according to the median estimate in a Bloomberg survey conducted Nov. 8. The U.S. is Canada’s biggest trading partner.

Five of 10 main S&P/TSX industries dropped on trading volume 1.1 percent above the 30-day average, with raw-materials sliding 2.2 percent.

The S&P/TSX Gold Index tumbled 3.8 percent, with all 24 members retreating. Gold for immediate delivery lost 2.5 percent to $1,244.20 an ounce, the lowest level since July 10.

Speculation that policy makers may reduce monetary stimulus in upcoming months curbed demand for the metal as a hedge against inflation. Semafo plunged 8.7 percent to C$2.84 while Dundee Precious Metals Inc. dropped 8.5 percent to C$3.56.

Maple Leaf Foods fell 1 percent to C$16.43. The Toronto- based food producer has drawn bids for its bread unit from Grupo Bimbo SAB, Flowers Foods Inc. and several private-equity firms, three people with knowledge of the matter said.

Maple Leaf, which owns 90 percent of Canada Bread Co., said in October it would explore options for the stake, including a possible sale as it divests assets to focus on its meat business.

Energy producers gained 0.6 percent for the best group performance. Tourmaline Oil Corp. jumped 3.4 percent to $41.92.

Trican Well Service added 1.7 percent to C$12.40 after Raymond James equity analyst Andrew Bradford raised his rating of the pressure pump producer’s stock to outperform from market perform. Bradford made a similar upgrade to Calfrac Well Services Ltd. The provider of oilfield equipment gained 1.4 percent to C$31.60.

Air Canada climbed 1.8 percent to C$6.68 after the Montreal-based carrier began discussions with Cargojet, a Canadian freight company, to explore strategic commercial cooperation in an attempt to expand the reach of both carriers’ air cargo services domestically and internationally. The partnership would increase revenues and reduce operating costs, according to a statement released by the two companies today.

USA

By Nick Taborek

Nov. 20 (Bloomberg) — U.S. stocks dropped, sending the Standard & Poor’s 500 Index to a third day of losses, after minutes from the Federal Reserve signaled the central bank may reduce bond purchases in the coming months.

J.C. Penney Co. jumped 8.4 percent as its sales decline abated in the third quarter. Yahoo! Inc. advanced 2.9 percent after the owner of the largest U.S. Internet portal boosted its stock-buyback plan by $5 billion. Deere & Co. rose 2.1 percent as it forecast better-than-estimated annual earnings on rising demand for construction and forestry machinery. Lowe’s Cos., the second-biggest home improvement retailer, slipped 6.2 percent after profit trailed analysts’ projections.

The S&P 500 fell 0.4 percent to 1,781.37 at 4 p.m. in New York. The Dow Jones Industrial Average retreated 0.4 percent to 15,900.82 and has topped 16,000 for three straight days before returning below the threshold. About 5.9 billion shares changed hands on U.S. exchanges, in line with the three-month average.

“We’ve also had a very, very good year, so this may be a decision-making point for those who have enjoyed a very good return in the equity market,” Paul Mangus, head of equity strategy and research for Wells Fargo Private Bank in Charlotte, North Carolina, said in a phone interview. His firm manages $170 billion. “The minutes were a continuation of what the FOMC has been saying all along.”

The S&P 500 has rallied 25 percent in 2013, poised for its best year in a decade, following stimulus from the Fed and better-than-estimated earnings. The gauge traded for about 17 times its companies’ reported earnings at its last record on Nov. 15, the highest valuation since May 2010.

Policy makers expected that the economic data will show ongoing improvement in the labor market and “thus warrant trimming the pace of purchases in coming months,” according to the record of the Federal Open Market Committee’s Oct. 29-30 gathering. Stocks pared gains earlier as Fed Bank of St. Louis President James Bullard said a reduction in bond buying is “on the table” for the next policy meeting in December.

As of yesterday, four of five investors expected the Fed to delay a decision to begin reducing its bond buying until March 2014 or later, with just 5 percent looking for a move next month, according to the latest Bloomberg Global Poll. Only one in 20 said the central bank will begin to reduce its purchases at its Dec. 17-18 meeting, according to the poll yesterday of investors, traders and analysts who are Bloomberg subscribers.

The Chicago Board Options Exchange Volatility Index, the gauge of S&P 500 options known as the VIX, was little changed at 13.40 today. The measure is down 26 percent this year.

J.C. Penney jumped 8.4 percent to $9.44. Chief Executive Officer Mike Ullman showed progress in reviving the department- store chain ahead of the holiday-shopping season. Revenue in the quarter ended Nov. 2 fell 5.1 percent to $2.78 billion, less than the 27 percent drop in the same period last year. Gross margin, or the percentage of sales left after the cost of goods sold, will improve in the fourth quarter, J.C. Penney said.

Yahoo advanced 2.9 percent to $35.62. The company is returning more cash to shareholders as Chief Executive Officer Marissa Mayer seeks to revive growth. The company will also sell $1 billion in convertible debt maturing in 2018, in a private placement, according to a statement.

Deere climbed 2.1 percent to $84.52. The company said it sees sales of construction and forestry equipment advancing by about 10 percent in the current financial year, partly because of the recovery in the U.S. economy and an increase in housing starts.

Herbalife Ltd. gained 6.5 percent to $70.24. Bill Stiritz, chief executive officer of Post Holdings Inc., the Raisin Bran maker, boosted his holding in Herbalife to 6.4 percent and said he’ll seek talks with the nutrition company.

Stiritz, who previously reported a 5.3 percent stake, said last week that he’s willing to take part in a leveraged buyout of the company that would reward shareholders and help Herbalife fend off allegations by hedge fund billionaire Bill Ackman, who for a year has accused it of operating an illegal pyramid scheme.

BioMarin Pharmaceutical Inc. jumped 3.3 percent to $69.14.

The company yesterday received the backing of advisers to the Food and Drug Administration for a drug treating a rare metabolic disease that can affect growth. Vimizim should be approved for Moriquio A syndrome, which can cause joint deformities and contractures, a panel of advisers to FDA voted.

Lowe’s fell 6.2 percent to $47.33. Third-quarter earnings- per-share amounted to 47 cents, falling short of the 48 cents analysts had projected. The company also predicted full-year profit will be $2.15 a share, compared with the $2.19 analysts estimated.

J.M. Smucker Co. slid 6.5 percent to $101.49 for the biggest decline in the S&P 500. The maker of peanut butter and fruit spreads cut its sales forecast and said price reductions are hurting margins.

 

Have a wonderful evening everyone.

 

Be magnificent!

 

When a man possesses in his being the notion of God, that is the miracle of miracles.

Rabindranath Tagore, 1861-1901

As ever,

 

Carolann

The truth of the matter is, we always know the right thing

to do.  The hard part is doing it.

-Norman Schwarzkopf, 1934-2012.

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

Senior Vice-President &

Senior Investment Advisor

Queensbury Securities Inc.,

St. Andrew’s Square

Suite 340A, 730 View St.,

Victoria, B.C. V8W 3Y7

 

 

Dear Friends,

Tangents: On this day, November 19^th, 1863, Abraham Lincoln delivered what is now considered one of the greatest speeches in American history, The Gettysburg Address:

“Fourscore and seven years ago our fathers brought forth on this continent a new nation conceived in liberty and dedicated to the proposition that all men are created equal…”

For more, see www.loc.gov/exhibits/gadd.

Photo of the day

Comet ISON glows brightly in this five-minute exposure taken at NASA’s Marshall Space Flight Center (MSFC) on November 8 at 5:40 a.m. EST. At the time of this picture, Comet ISON was 97 million miles from Earth, heading toward a close encounter with the sun on November 28. ISON is now visible with a good pair of binoculars.

Aaron Kingery/NASA/MSFC/Handout via Reuters

Although not as intense as a burst last week, the increase is adding to speculation over whether the comet, formally known as C/2012 S1, will survive its Nov. 28 solar flyby.

The comet is projected to sweep past the sun a scant 1.2 million miles above its surface. If it does survive, its first pass through the solar system will be its last. The encounter with the sun will kick ISON out into interstellar space, researchers calculate.

Market Closes for November 19^th, 2013

Market  Index	Close	Change
Dow  Jones	15967.03	-8.99    -0.06%
S&P 500	1787.87	-3.66    -0.20%
NASDAQ	3931.553	-17.512    -0.44%
TSX	13442.60	-15.46
		-0.11%

International Markets

Market  Index	Close	Change
NIKKEI	15126.56	-37.74
		-0.25%
HANG  SENG	23657.81	-2.25
		-0.01%
SENSEX	20890.82	+40.08
		+0.19%
FTSE 100	6698.01	-25.45
		-0.38%

Bonds

Bonds	% Yield	Previous % Yield
CND.  10 Year Bond	2.564	2.526
CND.   30 Year Bond	3.107	3.079
U.S.   10 Year Bond	2.7096	2.6658
U.S.   30 Year Bond	3.8035	3.7552

Currencies

BOC Close	Today	Previous
Canadian $	0.95645	0.95859
US   $	1.04553	1.04319
Euro Rate  1 Euro=		Inverse
Canadian   $	1.41830	0.70507
US  $	1.35654	0.73717

Commodities

Gold	Close	Previous
London Gold   Fix	1275.50	1276.07
Oil	Close	Previous
WTI Crude Future	93.34	93.03
BRENT	109.360	109.360

Market Commentary:

Canada

By Aubrey Pringle

Nov. 19 (Bloomberg) — Canadian stocks fell, after reaching a two-year high last week, as a slump in technology and industrial shares offset a rise in gold producers while investors watched for signs the U.S. Federal Reserve will continue monetary stimulus.

TransCanada Corp. retreated 1.2 percent after the natural- gas transmission company pushed the start date for the Keystone XL pipeline project into 2016. Alacer Gold Corp. and Barrick Gold Corp. gained at least 1.3 percent, pacing advances among gold miners. Sears Canada Inc. climbed to a two-year high after the retailer reported a rise in same-store sales and said it will pay a special dividend to shareholders.

The Standard & Poor’s/TSX Composite Index fell 15.46 points, or 0.1 percent, to 13,442.6 at 4 p.m. in Toronto, after gaining as much as 0.3 percent earlier in the day. The gauge has climbed 8.1 percent this year.

“We’re at the end of the earnings cycle, so the focus goes away from individual stocks reporting earnings to more macro events like tapering,” Ian Nakamoto, director of research with MacDougall MacDougall & MacTier Inc., said in a phone interview from Toronto. The firm manages about C$4 billion. “The FOMC release their minutes tomorrow, so any other hints on what they’re thinking in terms of tapering might give us some clues.”

Equities have rallied this year as the U.S. Fed embarked on a monthly $85 billion bond-buying program to stimulate the economy. Fed policy makers will probably scale back the pace of asset purchases at their March 18-19 meeting, according to the median of 32 estimates in a Bloomberg survey of economists on Nov. 8. The central bank tomorrow releases the minutes from the October meeting of the Federal Open Market Committee.

The Organization for Economic Cooperation and Development cut its global growth forecasts for this year and next as emerging-market economies including India and Brazil cool. The world economy will probably expand 2.7 percent in 2013 and 3.6 percent in 2014, instead of the 3.1 percent and and 4 percent predicted in May, the Paris-based OECD said in a semi-annual report today.

The Bank of Canada will probably raise its benchmark lending rate at the end of next year to avoid a build-up of inflation, the OECD said. The first increase in the 1 percent rate since 2010 is projected to be in the fourth quarter of 2014, with the central bank raising it to 2.25 percent by the end of 2015, the OECD said.

Investors have been paring bets on higher borrowing costs after Governor Stephen Poloz unexpectedly dropped the central bank’s rate-increase bias at its last announcement Oct. 23, citing greater slack in the economy.

Six of 10 S&P/TSX industries fell on trading volume in line with the 30-day average. Technology companies declined 1.2 percent for the worst performance. BlackBerry Ltd. fell for a fourth straight session losing 1.7 percent to $6.31. Industrial shares slipped 0.7 percent today.

TransCanada retreated 1.2 percent to C$46.75, the lowest since Oct. 24. Facing delays from a U.S. review of its Keystone XL pipeline, the natural gas transmission company pushed the forecast startup date for the $5.4 billion project into 2016.

Calgary-based TransCanada hopes for U.S. approval in early 2014, Chief Executive Officer Russ Girling said today at an investor presentation in Toronto.

The S&P/TSX Gold Index gained 0.6 percent as miners advanced. Barrick Gold rose 1.3 percent to C$18.67 and Alacer Gold added 2.3 percent to C$2.25.

Gold and silver equities are “bottoming” and will go on to outperform the metals when a recovery finally begins, said Peter Grosskopf, the chief executive officer of Canadian money manager Sprott Inc. While both commodities have declined this year, they will eventually erase the losses and rise to records as more money is printed around the world, Grosskopf said in a Nov. 15. phone interview. Gold and silver producers will emerge stronger from the downturn as the weak are “weeded out,” he said.

Coastal Energy Co. surged 27 percent to C$18.84 after Cia.

Espanola de Petroleos SA, an oil refiner owned by Abu Dhabi, agreed to buy Coastal Energy as the Middle East sheikdom adds to crude and natural-gas assets in Southeast Asia. The venture will take on Coastal Energy’s C$51 million of net debt as part of the deal, due to close in the first quarter.

Sears Canada jumped 6.4 percent to C$17.87, the since June 2011, after the company said it will pay a special dividend of C$5 on Dec. 6. The retailer also posted its first quarterly same-store sales increase since 2008, boosted by stronger demand for apparel, accessories and home items.

Intertape Polymer Group Inc., a producer of plastic packaging for industrial use, jumped 6.8 percent to C$13.37 for the biggest increase in the benchmark index. The company was upgraded to a buy rating from market perform by Cormark Securities analyst Sarah Hughes.

USA

By Nick Taborek and Lu Wang

Nov. 19 (Bloomberg) — U.S. stocks fell after disappointing forecasts from Best Buy Co. and Campbell Soup Co. while investors awaited a speech from Federal Reserve Chairman Ben S. Bernanke to gauge the prospect of continued stimulus.

Best Buy slid 11 percent, the most in almost a year, after saying it will work to keep pace with competitors’ discounts in the holiday season, hurting fourth-quarter profitability.

Campbell Soup fell 6.2 percent after cutting its profit forecast. Home Depot Inc. gained 0.9 percent after boosting its earnings forecast as rising home prices spurred homeowners to splurge on renovations. Tyson Foods Inc. climbed 4.6 percent for a sixth day of gains as sales beat analysts’ expectations.

The Standard & Poor’s 500 Index fell 0.2 percent to 1,787.87 at 4 p.m. in New York. Yesterday, the gauge briefly surpassed 1,800 for the first time. The Dow Jones Industrial Average lost 8.99 points, or less than 0.1 percent, to 15,967.03. About 5.8 billion shares changed hands on U.S. exchanges, about 3 percent below the three-month average.

“The economy is not doing badly, and the Fed is remaining very aggressive and very friendly toward the market,” Bruce Bittles, chief investment strategist at RW Baird & Co., said by phone from Sarasota, Florida. His firm oversees $100 billion.

“We’ve had a big run. My suspicion is that the market might go sideways now for a little while before we encounter a year-end rally in December.”

The S&P 500 is up 25 percent this year, putting it on track for the biggest annual gain since 2003, as the Fed kept its monetary stimulus to spur economic growth and corporate earnings topped analysts’ estimates.

Bernanke is scheduled to speak in Washington today after Fed Bank of New York President William Dudley said yesterday that while he’s “more hopeful” the U.S. economy is strengthening, it’s not enough to warrant stimulus cuts yet.

Chicago Fed President Charles Evans, among the most vocal advocates for additional easing from the Fed, said today that while the central bank is going to deliver highly accommodative policy until it can get the economy where it wants, the biggest challenge is credibility.

The Organization for Economic Cooperation and Development cut global growth forecasts for this year and next as emerging- market economies including India and Brazil cool. The world economy may expand 2.7 percent this year and 3.6 percent next year, instead of the 3.1 percent and 4 percent predicted in May, the Paris-based OECD said in a report today. Growth in the U.S. will be 1.7 percent and 2.9 percent this year and next, broadly similar to the outlook in May.

The Fed will release minutes of its October policy meeting tomorrow. The document will reveal more details behind the decision to press on with $85 billion in monthly asset purchases.

Policy makers will probably pare that pace to $70 billion at their March 18-19 meeting, according to the median estimate in a Bloomberg survey. Three rounds of monetary stimulus have helped propel the S&P 500 up 165 percent from a bear-market low in 2009.

Wall Street strategists have played catch-up in their U.S. stock-market forecasting for most of the year. Yesterday’s average prediction for the S&P 500 stood at 1,733, or almost 59 points below the index’s closing value. The gap dwindled to this year’s low of minus 70 points at the end of last week from a high of 84 points on Jan. 8.

John Stoltzfus, chief market strategist at Oppenheimer & Co. in New York, today boosted his 2013 projection for the S&P 500 by 4.7 percent to 1,812, citing the market’s strength. The index will end next year at 2,014, he forecast.

“Recent improvements in the tone of U.S. economic data suggest to us that prospects are good for investors to see a continuation of the economic recovery that could drive earnings higher in the year ahead,” Stoltzfus wrote in a note.

The S&P 500 trades at 16.9 times reported operating profit, a 20 percent increase from the beginning of 2013, according to data compiled by Bloomberg. Last week, the benchmark’s valuation reached the highest level since May 2010.

The Chicago Board Options Exchange Volatility Index, the gauge of S&P 500 options known as the VIX, rose 2.2 percent today to 13.39. The measure is down 26 percent this year.

Six out of the 10 main S&P 500 industries declined as industrial and utility shares fell more than 0.6 percent for the worst performance.

Best Buy declined 11 percent to $38.78. Sales were little changed at $9.36 billion in the period ended Nov. 2, trailing the $9.37 billion analysts estimated on average.

Campbell Soup lost 6.2 percent to $39.20. The company said profit this year will be less than it previously estimated after a recall and changes in retailers’ buying patterns hurt first- quarter results.

Salesforce.com Inc. slipped 5 percent to $52.74. The biggest maker of customer-management software forecast fiscal fourth-quarter earnings of 6 cents a share at most. Analysts on average estimated 7 cents.

Home Depot gained 0.9 percent to $80.38. The one-and-a-half year gain in the U.S. housing market is giving consumers the confidence they need to remodel kitchens and bathrooms. The number of transactions in the quarter increased 4 percent to 344.3 million while the average purchase climbed 3.2 percent to $56.27, Home Depot said.

Tyson Foods added 4.6 percent to $30.78. The largest U.S. meat processor yesterday posted higher-than-expected quarterly revenue after a gain in prices and sales volumes for beef and chicken.

Boston Scientific Corp. climbed 3.4 percent to $11.96. The company’s Vercise deep brain stimulation system received CE Mark approval, as it met certain European product standards, for treatment of dystonia.

Tesla Motors Inc., the electric-car maker under an investigation by U.S. auto regulators, climbed 3.7 percent to $126.09, rebounding from a 10 percent decline yesterday. Craig Irwin, an analyst with Wedbush Securities Inc., said the probe was “entirely expected” and may be positive as it’s likely to lead to an independent confirmation of credibility of the company’s design.

The U.S. National Highway Traffic Safety Administration announced the probe today in a website posting following three fires in five weeks after roadway mishaps. The NHTSA said it would look into the fire risks from the cars’ undercarriages striking objects. The probe involves 13,108 Model S vehicles.

United Continental Holdings Inc. added 3.9 percent to $37.80. The world’s biggest airline said it will cut $2 billion in annual spending with half of the savings coming from lowering fuel expense.

 

Have a wonderful evening everyone.

 

Be magnificent!

 

It is you who must help the universe.

Swami Vivekananda, 1863-1902

As ever,

 

Carolann

 

Talent is God given.  Be humble.

Fame is man-given.  Be grateful.

Conceit is self-given.  Be careful.

-John Wooden, 1910-2010

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

Senior Vice-President &

Senior Investment Advisor

Queensbury Securities Inc.,

St. Andrew’s Square

Suite 340A, 730 View St.,

Victoria, B.C. V8W 3Y7

 

Dear Friends,

Tangents:

MY NOVEMBER GUEST

-Robert Frost

My Sorrow, when she’s here with me,

Thinks these dark days of autumn rain

Are beautiful as days can be;

She loves the bare, the withered tree;

She walks the sodden pasture lane…

Not yesterday I learned to know

The love of bare November days

Before the coming of the snow,

But it were vain to tell her so,

And they are better for her praise.

Photos of the day

A rainbow shines over buildings after heavy rain poured in Gaza City. Adel Hana/AP

A tree stands above a fog-covered valley near Oberbuergen, Switzerland. Urs Flueeler/Keystone/AP

Market Closes for November 18^th, 2013

Market  Index	Close	Change
Dow  Jones	15976.02	+14.32    +0.09%
S&P 500	1791.53	-6.65    -0.37%
NASDAQ	3949.066	-36.902    -0.93%
TSX	13458.06	-24.51
		-0.18%

International Markets

Market  Index	Close	Change
NIKKEI	15164.30	-1.62
		-0.01%
HANG  SENG	23660.06	+627.91
		+2.73%
SENSEX	20850.74	+451.32
		+2.21%
FTSE 100	6723.46	+30.02
		+0.45%

Bonds

Bonds	% Yield	Previous % Yield
CND.  10 Year Bond	2.526	2.558
CND.   30 Year Bond	3.079	3.116
U.S.   10 Year Bond	2.6658	2.7051
U.S.   30 Year Bond	3.7552	3.7929

Currencies

BOC Close	Today	Previous
Canadian $	0.95859	0.95778
US   $	1.04319	1.04408
Euro Rate  1 Euro=		Inverse
Canadian   $	1.40866	0.70989
US  $	1.35034	0.74056

Commodities

Gold	Close	Previous
London Gold   Fix	1276.07	1287.95
Oil	Close	Previous
WTI Crude Future	93.03	93.73
BRENT	109.360	109.360

Market Commentary:

Canada

By Eric Lam

Nov. 18 (Bloomberg) — Canadian stocks fell, after the benchmark index reached a two-year high, as a drop in commodity shares offset an advance among banks.

Kinross Gold Corp. and Eldorado Gold Corp. retreated at least 3.8 percent as gold fell for the first time in three days.

Manulife Financial Corp. and Sun Life Financial Inc. added more than 1.5 percent. Bombardier Inc. increased 0.2 percent after announcing aircraft orders.

The Standard & Poor’s/TSX Composite Index slipped 24.51 points, or 0.2 percent, to 13,458.06 at 4 p.m. in Toronto, erasing a gain of as much as 0.2 percent.

“Most of the earnings are behind us now, although the banks still have to report,” said Michael O’Brien, a fund manager with TD Asset Management Inc. in Toronto. He helps manage about C$216 billion ($207 billion) with the firm. “The biggest thing is people will continue to watch the macro data as the Fed has said for a few months their decisions will be data dependent. The big fear of investors is the Fed beginning tapering too early.”

Equities rallied this year as the U.S. Federal Reserve embarked on a monthly $85 billion bond-buying program to stimulate the economy. Fed policy makers will probably scale back the pace of asset purchases at their March 18-19 meeting, according to the median of 32 estimates in a Bloomberg survey of economists on Nov. 8.

Foreign purchases of Canadian equities hit a four-year high in September as investors sought to take advantage of a stock rally. Non-resident investors acquired C$10.79 billion ($10.36 billion) of Canadian stocks after selling C$2.19 billion a month earlier, Statistics Canada said in a report. The S&P/TSX has climbed 11 percent since June 28, on track for the biggest six- month advance since 2010, data show.

Five of 10 S&P/TSX industries fell on trading volume in line with the 30-day average. Commodity shares sank more than 0.7 percent.

Kinross Gold retreated 4.1 percent to C$5.11 and Eldorado Gold lost 3.8 percent to C$6.59 as gold futures for December delivery fell 1.2 percent to $1,272.30 an ounce in New York.

Financial shares climbed 0.5 percent as a group for the best return among 10 main industries. Sun Life added 1.5 percent to C$37.43 for a fourth day of gains and the highest close since 2009. Manulife, the nation’s largest insurer, gained 1.8 percent to C$19.86.

Bombardier climbed 0.2 percent to C$4.65. The Montreal- based company said it has come to separate agreements to sell as many as eight Q400 aircraft to Palma Holding Ltd. and as many as four of the same aircraft to Air Cote d’Ivoire. The value of the combined contracts is worth as much as $423 million.

Boeing Co., the world’s largest planemaker, said it will team up with Bombardier to offer a low-cost maritime surveillance plane based on the Canadian manufacturer’s Challenger 605 business jet.

Cott Corp. climbed 2.7 percent, the most in the S&P/TSX, to C$8.88. Levin Capital Strategies LP reported a 5.3 percent stake in the beverage producer, according to a regulatory filing.

BRP Inc., the maker of Ski-Doo snowmobiles and three- wheeled motorcycles, added 0.4 percent to C$28.20. The stock has rallied 31 percent since its May debut, the best performer among Canada’s largest initial public offerings this year as revenue climbs on sales of its year-round products including all-terrain vehicles and its Can-Am Spyder three-wheel roadsters.

BRP, based in Valcourt, Quebec, raised C$262.3 million in its May stock sale and topped the 4 percent average increase of 10 companies that raised at least $100 million from IPOs in Canada this year, data show.

USA

By Nick Taborek and Nikolaj Gammeltoft

Nov. 18 (Bloomberg) — Most U.S. stocks fell after the Dow Jones Industrial Average rose above 16,000 for the first time, spurring concern that equities have risen too far, too fast.

Consumer companies and commodity stocks led the retreat.

Microsoft Corp. slid 1.7 percent after Bank of America Corp. cut its rating to underperform from neutral. Tyson Foods Inc., the largest U.S. meat processor, advanced 2.3 percent after reporting revenue above analysts’ estimates on a gain in prices and sales volumes for beef and chicken.

The Standard & Poor’s 500 Index slipped 0.4 percent to 1,791.53 at 4 p.m. in New York. Earlier, it topped 1,800. About three stocks fell for each that rose in the gauge. The Dow average gained 14.32 points, or 0.1 percent, to 15,976.02. About 6 billion shares changed hands on U.S. exchanges, in line with the three-month average.

“We’ve moved pretty far pretty fast,” Kevin Caron, a Florham Park, New Jersey-based market strategist at Stifel Nicolaus & Co., which oversees about $150 billion. “Obviously there’s a potential for a little bit of a pullback.”

While four years of earnings growth and the Federal Reserve’s near-zero interest rate have led the S&P 500 on a 165 percent rally since March 2009, they have also driven valuations to a three-year high. Billionaire investor Carl Icahn, speaking at the Reuters Global Investment Outlook Summit, said he is “very cautious” on equities.

The S&P 500 trades at 17 times reported operating profit, a 20 percent increase from the beginning of 2013, according to data compiled by Bloomberg. Last week, the benchmark’s valuation reached the highest level since May 2010.

“As we keep going and making new highs, we get into new territory and the air keeps getting thinner and thinner up here,” Tim Hartzell, who helps manage about $425 million as chief investment officer at Sequent Asset Management, said via phone from Houston. “Everybody is watching Yellen and feel comfortable that she’ll continue QE, maybe even put more into the system.”

U.S. stocks have risen for the past six weeks, reaching all-time highs as Janet Yellen signaled she will continue stimulus efforts as the central bank’s chairman. New York Federal Reserve Bank President William C. Dudley today said he’s “getting more hopeful” the U.S. economy is gaining strength as the drag from fiscal policy wanes. The central bank’s monetary policy is likely to be accommodative for a long time, he said.

The policy-setting Federal Open Market Committee is buying $85 billion of bonds every month and won’t taper its purchases until its March 18-19 meeting, according to the median estimate of 32 economists surveyed by Bloomberg News Nov. 8.

China’s leaders vowed to allow more private investment in state-controlled industries and expand farmers’ land rights as part of the ruling Communist Party’s biggest package of economic reforms since the 1990s. Chinese stocks rose, with the benchmark index for mainland companies in Hong Kong surging the most since December 2011.

“To the extent that these reforms might lead to some higher estimates of growth in the coming years, that would be welcomed by investors,” John Carey, a portfolio manager at Pioneer Investment Management, which oversees $20 billion.

The Chicago Board Options Exchange Volatility Index, the gauge of S&P 500 options known as the VIX, rose 7.5 percent to 13.10. It has fallen 27 percent this year.

Eight out of 10 main industries in the S&P 500 fell, with consumer discretionary companies retreating 0.7 percent to pace declines. Phone stocks rallied 0.6 percent as a group for the biggest gain.

Consol Energy Inc. fell 4 percent to $34.56. The coal producer was cut to neutral from buy at Citigroup Inc. by analyst Brian Yu, who said in a note that the outlook for metallurgical coal looks worse than base metals. Peabody Energy Corp., the largest U.S. coal producer, lost 3.7 percent to $19.36.

Microsoft declined 1.7 percent to $37.20. Bank of America analyst Kash Rangan cut the shares to underperform from neutral, citing the risk that the board will select a chief executive officer that disappoints investors.

Tesla Motors Inc. fell 10 percent to $121.58. Safety officials in California are investigating an industrial accident at the company’s sole Model S plant that injured three workers.

The electric-car maker led by Elon Musk has fallen 25 percent since Nov. 1.

Nvidia Corp. dropped 2.4 percent to $15.78. The shares were cut to underweight, or sell, from equalweight, or hold, at Morgan Stanley.

Boeing added 1.7 percent to $138.36. The company took an early lead over rival Airbus SAS in the biennial Dubai expo, signing up Etihad Airways PJSC for its new 777X wide-body planes as well as for more 787 Dreamliners.

Tyson climbed 2.3 percent to $29.42. The company said fiscal fourth-quarter sales rose 7 percent to $8.89 billion, beating the $8.87 billion average of 12 analysts’ estimates compiled by Bloomberg.

Cheap is converging with expensive in the American equity market, narrowing options for investors looking for bargains after the broadest rally on record lifted almost 90 percent of the S&P 500 this year. A measure of the dispersion of price- earnings ratios in the S&P 500 compiled by Goldman Sachs Group Inc. narrowed to 41 percent in June, the lowest on record, and held around that level since.

Investors this week will scrutinize minutes of the Federal Open Market Committee from its Oct. 29-20 meeting and public remarks by Fed officials. The minutes are set to be released on Nov. 20. Fed Chairman Ben Bernanke is due to speak tomorrow, while Fed Bank of St. Louis President James Bullard will deliver a speech on Nov. 20.

“This week is crucial, there is a lot of Fed speak,” Quincy Krosby, a market strategist for Newark, New Jersey-based Prudential Financial Inc., which oversees more than $1 trillion, said by telephone. “Investors want to get a little bit more color and atmospherics from the minutes.”

 

Have a wonderful evening everyone.

 

Be magnificent!

 

This glorious soul we must believe in.   Out of that will come power.

Whatever you think, that you will be.  If you think yourselves weak, weak you will be;

if you think yourselves strong, strong you will be; if you think yourselves impure, impure you will be;

if you think yourselves pure, pure you will be.  This teaches us  not to think ourselves as weak, but as strong,

omnipotent, omniscient.  No matter that I have not expressed it yet, it is in me.

All knowledge is in me, all power, all purity, and all freedom.  Why cannot I express this knowledge?

Because I do not believe in it.  Let me believe in it, and it must and will come out.

This is what the idea of the Impersonal teaches.

Swami Vivekananda, 1863-1902

As ever,

 

Carolann

 

We would often be sorry if our wishes

were gratified.

-Aesop, 620-564 BC

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

Senior Vice-President &

Senior Investment Advisor

Queensbury Securities Inc.,

St. Andrew’s Square

Suite 340A, 730 View St.,

Victoria, B.C. V8W 3Y7

 

 

Dear Friends,

Tangents:

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

I’ve heard of “Bring your child to work day”, but never “Bring your parent to work day”.  On November 7^th, LinkedIn launched international Bring your parents to work day at 17 of its international offices.  A studied showed that one in three Canadian parents don’t really know what their offspring do at the office.  For example, when asked “How was work”, the general response is “good”.  Bringing parents into the office is a way to bridge that gap.  Google, is another company in which has adapted to the “Bring your parent to work day”.  Danielle Restivo, employee of Linkedin was partly responsible for the launch of this and opened up the conversation in the LinkedIn offices.  It happened when her mother wrote a note to her saying: “I love you. You’re wonderful.  Can you write me one paragraph on what you do.”  Danielle Restivo, writes “From an employer perspective, this type of [parental engagement] event is a home run,” meaning that it makes employees happy, makes companies look good and ultimately results in, well, results, which is of course the point.  What are your thoughts on this new culture that seems to be adapting to offices?

“Don’t wait around for other people to be happy for you. Any happiness you get you’ve got to make yourself.”
Alice Walker

Photos of the Day:

A bald tree stands in front of autumnally colored vineyards near Ueberlingen at Lake Constance, southern Germany. Felix Kaestle/dpa/AP

Members of Brazilian indigenous ethnic groups dance during the XII Games of the Indigenous People, in Cuiaba November 14th. Paulo Whitaker/Reuters

Market Closes for November 15^th, 2013

Market  Index	Close	Change
Dow  Jones	15961.70	+85.48    +0.54%
S&P 500	1796.65	+6.03    +0.34%
NASDAQ	3985.968	+13.227    +0.33%
TSX	13482.48	+51.10
		+0.38%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

International Markets

Market  Index	Close	Change
NIKKEI	15165.92	+289.51
		+1.95%
HANG  SENG	23032.15	+383.00
		+1.69%
SENSEX	20399.42	+205.02
		+1.02%
FTSE 100	6693.44	+27.31
		+0.41%

Bonds

Bonds	% Yield	Previous % Yield
CND.  10 Year Bond	2.558	2.559
CND.   30 Year Bond	3.116	3.114
U.S.   10 Year Bond	2.7051	2.6935
U.S.   30 Year Bond	3.7929	3.7885

Currencies

BOC Close	Today	Previous
Canadian $	0.95778	0.95563
US   $	1.04408	1.04643
Euro Rate  1 Euro=		Inverse
Canadian   $	1.40935	0.70955
US  $	1.34969	0.74091

Commodities

Gold	Close	Previous
London Gold   Fix	1287.95	1287.65
Oil	Close	Previous
WTI Crude Future	93.73	94.02
BRENT	109.360	109.360

Market Commentary:

Canada

By Lu Wang and Nick Taborek

Nov. 15 (Bloomberg) — Canadian stocks rose, capping a second week of gains for the benchmark index, on speculation the U.S. Federal Reserve will maintain monetary stimulus and as China’s ruling party announced changes to economic policy.

Potash Corp. of Saskatchewan Inc. added 0.8 percent amid speculation an agreement to sell OAO Uralkali by its owners may defuse a dispute between Russia and Belarus that roiled the global soil nutrient market. Bonavista Energy Corp. climbed 3.9 percent as Scotia Capital Inc. boosted the stock’s rating. West Fraser Timber Co. slipped 4.7 percent as RBC Capital Markets downgraded shares of the lumber producer.

The Standard & Poor’s/TSX Composite Index climbed 51.18 points, or 0.4 percent, to 13,482.56 at 4 p.m. in Toronto.

Trading in the benchmark gauge’s shares was 8.6 percent below the 30-day average. The index advanced 0.8 percent this week, its fifth weekly gain in six.

“Yellen is going to continue Bernanke’s policies of extremely low short-term rates and being very slow to pull back from quantitative easing, so that is stimulative for risk assets,” Todd Johnson, a portfolio manager at Winnipeg, Manitoba-based BCV Asset Management, said in a phone interview.

His firm oversees C$550 million ($526 million).

Equities rose yesterday after Janet Yellen, nominated to succeed Ben Bernanke as the next chairman of the Fed, said the central bank should take care not to withdraw stimulus, or quantitative easing, too early from an economy that is operating well below potential.

China’s government vowed to allow more private investment in the state sector, loosen its one-child policy and better protect farmers’ rights to land, according to the Communist Party policy decision published today by the official Xinhua News Agency today.

The document, covering 60 measures, follows a communique issued Nov. 12 after a four-day party conclave in Beijing that omitted detailed policies for the world’s second-largest economy.

“China’s growth is very positive for Canada, and liberalizing their financial sector and encouraging private sector consumption is a significant step forward for China’s normalization,” Johnson said.

Manufacturing in the New York region unexpectedly contracted in November, a report on the New York Fed’s general economic index showed today. In Canada, economic data were mixed, with factory sales rising in September to the highest in more than a year while existing home sales fell 3.2 percent in October from the previous month.

Potash Corp. rose 0.8 percent to C$33.85. Billionaire Suleiman Kerimov and his business partners in Uralkali, a rival potash producer, may reach an agreement to sell their joint 33 percent stake as soon as next week, according to four people with knowledge of their discussions.

A sale may defuse a dispute between Russia and Belarus sparked by Uralkali’s July withdrawal from a partnership that marketed 40 percent of global exports. The falling-out and Uralkali’s plan to boost output roiled the $20 billion market for the soil nutrient. Belarus has called for a change in the company’s ownership before a reconciliation is possible.

Bonavista Energy rallied 3.9 percent to C$12.71. The oil and natural gas producer was raised to sector outperform from sector perform at Scotia Capital by equity analyst Patrick Bryden. The 12-month target price is C$18 a share.

Finning International Inc. advanced 5.8 percent to C$25.54.

The seller of Caterpillar Inc. equipment was raised to outperform from sector perform at RBC Capital Markets by equity analyst Sara O’Brien after the company yesterday said third- quarter revenue beat estimates.

Raw-materials producers has the worst performance out of 10 groups in the S&P/TSX, falling 0.7 percent. OceanaGold Corp. dropped 5.2 percent to C$1.83 and Centerra Gold Inc. retreated 5.7 percent to C$3.15.

West Fraser Timber slid 4.7 percent to C$91.32. The lumber producer was cut to sector perform from outperform at RBC Capital Markets by equity analyst Paul Quinn.

US

By Lu Wang

Nov. 15 (Bloomberg) — U.S. stocks rose for the sixth straight week, sending benchmark indexes to all-time highs, after Janet Yellen signaled she will continue Federal Reserve stimulus efforts as the central bank’s chairman.

Macy’s Inc. jumped 11 percent for the week, leading a rally among retailers, as better-than-estimated earnings boosted optimism about the holiday shopping season. PulteGroup Inc. and D.R. Horton Inc. climbed more than 7.4 percent as homebuilders advanced. Exxon Mobil Corp. gained 2.7 percent as Warren Buffett’s Berkshire Hathaway Inc. disclosed a stake. Cisco Systems Inc. tumbled 8.4 percent after forecasting its first quarterly sales decline in four years.

The Standard & Poor’s 500 Index rose 1.6 percent to 1,798.18 over the five days, extending the index’s longest weekly advance since February. The Dow Jones Industrial Average added 199.92 points, or 1.3 percent, to 15,961.70. Both gauges reached records on each of the last three days of the week.

“Janet Yellen induced euphoria for the market,” Kristina Hooper, a U.S. investment strategist at Allianz Global Investors in New York, said in a phone interview. The firm oversees $436 billion. “We certainly have seen more excitement about the stock market than we’ve seen in a long time.”

Equities rallied as Yellen, nominated to be the next chairman of the Fed, said the economy and labor market are performing “far short of their potential” and must improve before the central bank can begin reducing monetary stimulus.

The remarks show Yellen is committed to the Fed’s strategy of attempting to boost the economy and lower 7.3 percent unemployment, more than four years after the U.S. began to recover from the longest and deepest recession since the Great Depression.

Economic data during the five days showed more Americans than forecast filed applications for unemployment benefits during the week ended Nov. 9, while factory production picked up in October. A separate report showed manufacturing in the New York area unexpectedly contracted this month.

Fed policy makers will probably scale back the pace of $85 billion in monthly bond buying at their March 18-19 meeting, according to the median of 32 estimates in a Bloomberg survey of economists on Nov. 8. Fed Bank of Atlanta President Dennis Lockhart said reducing bond purchases “ought to be on the table at upcoming meetings” by the Federal Open Market Committee, scheduled Dec. 17-18.

Central bank support has helped propel the S&P 500 higher by 166 percent from its March 2009 low. The gauge has rallied 26 percent so far in 2013, heading for its best year in a decade, and is trading at 16.3 times projected earnings, above the five- year average of 14 times profit, according to data compiled by Bloomberg.

Bargains are hard to find nowadays, according to Sandy Villere III, a New Orleans-based fund manager at Villere & Co.

The firm’s $1.1 billion Villere Balanced Fund, which beat 99 percent of its peers over the past five years, is holding a maximum 15 percent in cash, he said.

“We’re finding many companies that are now getting a little bit over-extended, so we’re selling,” Villere said in an interview. His firm oversees $2.8 billion. “We can’t find good opportunities to buy.”

The Chicago Board Options Exchange Volatility Index, which measures future market swings implied by S&P 500 options, slipped 5.5 percent for the week to 12.19, a three-month low.

The gauge has retreated 32 percent this year.

Consumer-discretionary companies had the largest advance among groups in the S&P 500, climbing 2.5 percent, as all 10 industries increased. Health-care and consumer-staples shares added more than 1.6 percent. Utilities and telephone stocks had the worst performance, each with a 0.8 percent gain.

Macy’s jumped 11 percent to a record $51.09. The second- largest U.S. department-store company posted fiscal third- quarter profit that beat analysts’ estimates as better local selections boosted sales, signaling stronger demand headed into the holidays.

Of the 463 S&P 500 companies that have announced earnings so far, 75 percent topped analysts’ income forecasts while 54 percent beat revenue estimates, data compiled by Bloomberg show.

Profits for the gauge increased 4.9 percent in the third quarter and will gain 5.8 percent in the final three months of the year, estimates compiled by Bloomberg show.

J.C. Penney Co. surged 9.7 percent to $9.03. Jana Partners LLC, the $7 billion hedge-fund firm run by Barry Rosenstein, took a stake in the struggling retailer last quarter, according to a filing with the Securities and Exchange Commission. Gilford Securities analyst Bernard Sosnick said J.C. Penney likely achieved sales goals and “perhaps more” for Veterans Day weekend.

An S&P index of homebuilders rose 5 percent as all 11 members advanced. D.R. Horton rallied 8 percent to $19.59. The largest U.S. homebuilder by revenue reported a higher quarterly profit as it increased prices amid a nationwide housing recovery. PulteGroup rose 7.4 percent to $18.10.

Exxon, the world’s biggest oil company by market value, advanced 2.7 percent to $95.27. Berkshire Hathaway reported a stake valued at about $3.7 billion as of Sept. 30. Exxon has advanced 10 percent this year, trailing the S&P 500’s gain.

FedEx Corp. climbed 4.6 percent to $138.65. Billionaire investors George Soros and John Paulson joined Daniel Loeb in taking stakes last quarter in the operator of the world’s largest cargo airline. Soros Fund Management LLC owned a $173 million stake and Paulson & Co. held $73.8 million in the shares at the end of the third quarter. Loeb’s Third Point LLC acquired a stake valued at $228.2 million.

Office Depot Inc. climbed 9.7 percent to $5.53. Bank of America Corp. raised its rating on the stock to buy from underperform, citing potential cost savings following its merger with OfficeMax Inc. and the appointment of Roland Smith as chief executive officer.

Twitter Inc. added 5.6 percent to $43.98 in its second week of trading. Shares of the unprofitable microblogging service have soared 69 percent since being priced at $26 on Nov. 6 amid speculation profits will surge as the company expands in markets like mobile advertising.

Cisco tumbled 8.4 percent, the most since May 2012, to $21.54. The world’s largest maker of computer-networking equipment gave quarterly profit and sales forecasts that missed analysts’ estimates on sluggish emerging-market demand and weak corporate spending.

The outlook dragged down other technology shares. Hewlett- Packard Co. lost 2.8 percent to $25.21 while Xilinx Inc. and Jabil Circuit Inc. retreated at least 2.2 percent.

Kohl’s Corp. slid 5.4 percent to $53.95. The retailer reported third-quarter earnings that missed analyst estimates and trimmed its full-year outlook.

 

Have a wonderful weekend everyone!!!!

 

Be magnificent!

 

“Don’t walk behind me; I may not lead. Don’t walk in front of me; I may not follow. Just walk beside me and be my friend.” – Albert Camus

As ever,

 

Amanda Bourke

Assistant to Carolann Steinhoff

Queensbury Securities Inc.

 

St. Andrew’s Square

Suite 340A, 730 View St.,

Victoria, B.C. V8X 3Y7

 

Dear Friends,

Tangents:

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

Every autumn, millions of Pacific salmon forge their way up the myriad streams of the Pacific northwest to spawn and die. Pacific salmon have always been fishes of mystery. We know them well as fine food, and as superb sport fish, but the details of how they spend their time in the ocean and of how they find their way back to their home pools in their parent streams are even today not fully understood. In Goldstream, salmon appear about mid-October, and may be seen for about nine weeks, the dates varying from year to year. Of the five kinds of North American Pacific salmon it is the Chum salmon that is most abundant in this river, though you may also see some Coho and Chinook salmon, as well as the Steelhead and the Cutthroat trout.  Grab a coffee, the kids and take a hike out to Goldstream Park!

“Always aim at complete harmony of thought and word and deed. Always aim at purifying your thoughts and everything will be well.”

Mahatma Gandhi

Photos of the Day:

A woman views autumn colors of a climbing plant across a wall in central London. Toby Melville/Reuters

One World Trade Center (l.) is reflected in the glass facade of its neighbor, 4 World Trade Center in New York. A ribbon-cutting was held to open the 978-foot (298-meter) 4 World Trade Center. Four World Trade is designed by Japanese architect Fumihiko Maki. Mark Lennihan/AP

Market Closes for November 14^th, 2013

Market  Index	Close	Change
Dow  Jones	15876.22	+54.59    +0.35%
S&P 500	1790.62	+8.62    +0.48%
NASDAQ	3972.740	+7.165    +0.18%
TSX	13431.38	+60.72
		+0.45%

International Markets

Market  Index	Close	Change
NIKKEI	14876.41	+309.25
		+2.12%
HANG  SENG	22649.15	+185.32
		+0.82%
SENSEX	20399.42	+205.02
		+1.02%
FTSE 100	6666.13	+36.13
		+0.54%

Bonds

Bonds	% Yield	Previous % Yield
CND.  10 Year Bond	2.559	2.598
CND.   30 Year Bond	3.114	3.151
U.S.   10 Year Bond	2.6935	2.7162
U.S.   30 Year Bond	3.7885	3.8272

Currencies

BOC Close	Today	Previous
Canadian $	0.95563	0.95667
US   $	1.04643	1.04529
Euro Rate  1 Euro=		Inverse
Canadian   $	1.40878	0.70984
US  $	1.34627	0.74279

Commodities

Gold	Close	Previous
London Gold   Fix	1287.65	1275.79
Oil	Close	Previous
WTI Crude Future	94.02	93.88
BRENT	109.360	109.360

Market Commentary:

Canada

By Eric Lam

Nov. 14 (Bloomberg) — Canadian stocks rose to a two-week high, as precious metals producers rallied after U.S. labor data and comments from U.S. Federal Reserve Chairman nominee Janet Yellen signaled further stimulus.

B2Gold Corp. climbed 5.1 percent as the price of the metal halted a five-day losing streak. Pan American Silver Corp. jumped 7.8 percent as silver rallied. CGI Group Inc., the company that has come under scrutiny for its work on the Obamacare health exchange, surged 4.3 percent after reporting fourth-quarter earnings that topped estimates.

The Standard & Poor’s/TSX Composite Index climbed 60.72 points, or 0.5 percent, to 13,431.38 at 4 p.m. in Toronto, the highest since Oct. 30. The benchmark Canadian equity gauge has advanced 8 percent this year, the third-worst performance among global developed markets, ahead of Hong Kong and Singapore.

“It’s a green light, as that was the biggest fear, that the Fed would take away the punch bowl,” said Ian Nakamoto, director of research with MacDougall MacDougall & MacTier Inc. in Toronto. The firm manages about C$4 billion ($3.8 billion).

“Definitely, the testimony is positive for the markets. She does have to contend with some hawks, and we’ll see whether she’s a compromiser, but right now it looks like no tapering until March.”

The U.S. economy and the job market are performing “far short of their potential” and a strong recovery will ultimately enable the Fed to reduce its stimulus, Yellen said in testimony at her nomination hearing today.

Investors have been watching for signals on whether the Fed will taper its $85 billion a month in bond purchases. The stimulus has fueled a rally in equities this year.

Raw-materials stocks rallied 1 percent to pace gains in the S&P/TSX, as eight of 10 industries advanced. Trading volume was 11 percent higher than the 30-day average.

B2Gold gained 5.1 percent to C$2.46 and Agnico Eagle Mines Ltd. increased 4.5 percent to C$30.74. Gold surged 1.4 percent to settle at $1,286.30 an ounce in New York, halting a five-day slump that was its longest since August. The S&P/TSX Gold Index climbed 2 percent as 22 of 24 members advanced.

Pan American Silver jumped 7.8 percent to C$11.59 and Silvercorp Metals Inc. added 3.5 percent to C$2.99 as silver futures for December delivery increased 1.4 percent.

CGI Group climbed 4.3 percent to C$39.24, a record high after rising for a ninth time in 10 sessions. The company’s merger with Logica Plc and the resulting contracts have fueled profit and sales. Its contract developing the U.S. federal government’s health-insurance exchange is a small part of CGI’s revenue.

Linamar Corp. soared 14 percent to a record C$40.72 for the biggest gain in the S&P/TSX. The Guelph, Ontario-based auto parts maker reported third-quarter adjusted profit of 80 Canadian cents a share, topping analysts’ projections for 66 cents.

Tourmaline Oil Corp. increased 5.4 percent to C$42.62 and Canadian Natural Resources Ltd. rose 2.6 percent to C$33.11 as crude fluctuated after touching a five-month low in New York.

Encana Corp. climbed 2.3 percent to C$19.02 to snap a three-day slide.

Turquoise Hill Resources Ltd. slumped 7.8 percent to C$4.27, for a sixth day of declines. The miner disclosed it was unable to obtain project financing for its Oyu Tolgoi copper project in Mongolia. Potential investors balked at uncertainty over when the company will be able to resolve “issues” with the government.

US

By Aubrey Pringle

Nov. 14 (Bloomberg) — U.S. stocks rose, extending records for benchmark indexes, as comments from Janet Yellen signaled she will continue the Federal Reserve’s stimulus efforts.

PulteGroup Inc. jumped 4.9 percent as homebuilders surged.

Office Depot Inc. gained 4.5 percent after Bank of America Corp. recommended investors buy the stock. Cisco tumbled 11 percent, leading a decline among technology shares, after its profit forecast missed projections. Kohl’s Corp. dropped 8.1 percent after the retailer cut its forecast.

The Standard & Poor’s 500 Index rose 0.5 percent to a record 1,790.62 at 4 p.m. in New York. The Dow Jones Industrial Average increased 54.59 points, or 0.4 percent, to 15,876.22, also a record. The Nasdaq Composite Index added 0.2 percent to the highest level since September 2000. About 6 billion shares changed hands on U.S. exchanges today, in line with the three- month average.

“Clearly Yellen’s speech is really what’s driving the markets,” Joseph Tanious, a New York-based global market strategist for J.P. Morgan Asset Management, which oversees about $1.5 trillion, said by phone. “Hearing her comments, it reaffirms everyone’s belief that Yellen is unlikely to pull the plug on QE, at least in the next couple months. Investors are feeling a bit more comfortable.”

Yellen, nominated to be the next chairman of the Federal Reserve, said the central bank should take care not to withdraw stimulus, known as quantitative easing, too early from an economy that is operating well below potential.

“It’s important not to remove support, especially when the recovery is fragile and the tools available to monetary policy, should the economy falter, are limited given that short-term interest rates are at zero,” she said in testimony to the Senate Banking Committee in Washington today.

Central bank policy makers will probably pare the $85 billion monthly pace of bond buying to $70 billion at their March 18-19 meeting, according to the median of 32 estimates in a Bloomberg survey of economists on Nov. 8. The group next meets Dec. 17-18.

Fed support has helped propel the S&P 500 to a 165 percent gain from its March 2009 low. The gauge has rallied 26 percent in 2013, on course for its best year in a decade, and is trading at 16.2 times projected earnings, more than the five-year average of 14 times profit, data compiled by Bloomberg show.

Yellen added that she sees no evidence of an asset-price bubble in the stock market. “Stock prices have risen pretty robustly, but if you look at traditional measures,” such as price-earnings ratios, “you would not see stock prices in territory that suggests bubble-like conditions,” she said.

Abby Joseph Cohen, a senior investment strategist at Goldman Sachs Group Inc., said value remains in the U.S. stock market, pointing to price-earnings ratios that are lower now than the last time stocks were near these levels.

“Companies right now are increasingly enthusiastic about the dynamism in the economy,” Cohen said in a Bloomberg Radio interview with Tom Keene yesterday. “There’s value in the market right now. The U.S. economy will likely grow faster next year.”

Data today showed jobless claims in the week ended Nov. 9 declined 2,000 to 339,000 from a revised 341,000 the week before that was higher than initially reported. The median forecast of 51 economists surveyed by Bloomberg called for a drop to 330,000.

Fed Bank of Philadelphia President Charles Plosser, an opponent of Fed bond purchases, said the central bank should focus on price stability as its primary objective, and not worry as much about “fluctuations” in employment.

Of the 462 S&P 500 companies that have announced earnings so far, 75 percent have topped analysts’ income forecasts, data compiled by Bloomberg showed. Profits for the gauge increased 4.7 percent in the third quarter and will gain 6.2 percent in the final three months of the year, estimates compiled by Bloomberg show.

The Chicago Board Options Exchange Volatility Index, which measures future volatility signaled by S&P 500 options, fell 1.2 percent to 12.37. The gauge has tumbled 31 percent this year.

Nine of 10 main S&P 500 groups advanced. Utilities stocks increased 0.9 percent for the best performance among the industries.

The S&P Supercomposite Homebuilding Index gained 3 percent as all 11 members advanced. PulteGroup jumped 4.9 percent to $17.86 and Lennar Corp. climbed 2.7 percent to $34.22. D.R. Horton Inc. added 2.8 percent to $19.59.

Office Depot rose 4.5 percent to $5.62. Bank of America raised its rating on the stock to buy from underperform, similar to a sell recommendation, citing potential cost savings following its merger with OfficeMax Inc. and the appointment of Roland Smith as chief executive officer. The shares are up 12 percent for the week.

Tyco International Ltd. rose 2.4 percent to $37.60, its highest price since 2002. The fire detector and security company reported quarterly revenue that beat estimates.

Western Digital Corp. climbed 4.7 percent to a record $75.85 after the company late yesterday said it would pay a quarterly dividend of 30 cents a share. Western Digital had paid 25 cents a share for the previous five quarters.

Eli Lilly & Co., the biggest U.S. maker of insulin products, rose 1 percent to $51.03. The company said it will pour another $700 million into manufacturing capacity, more than tripling its investment in the expanding market for diabetes treatments.

Cisco, the world’s largest maker of computer-networking equipment, tumbled 11 percent to $21.37 after giving quarterly profit and sales forecasts that missed analysts’ estimates.

Chief Executive Officer John Chambers has cut prices to bolster sales of switches and routers, seeking to fend off competition from Huawei Technologies Co., Juniper Networks Inc. and Hewlett-Packard Co. Sales in developing regions were less than anticipated, and there was a “lack of confidence among business leaders” because of the outlook for the economy, as well as the shutdown of the U.S. government in October, Chambers said on a conference call.

Technology shares had the only decline among S&P 500 groups, with Hewlett-Packard losing 5.4 percent to $25.07 and Citrix Systems Inc. falling 5.3 percent to $54.96. Xilinx Inc. and Jabil Circuit Inc. retreated at least 3.9 percent.

Kohl’s plunged 8.1 percent to $53.55 for its biggest decline in almost a year. The retailer reported third-quarter earnings that missed analyst estimates and trimmed its full-year outlook.

 

Have a wonderful evening everyone.

 

Be magnificent!

 

“The value of experience is not in seeing much, but in seeing wisely.”
William Osler

As ever,

 

 

Amanda Bourke

Assistant to Carolann Steinhoff

Queensbury Securities Inc.

 

St. Andrew’s Square

Suite 340A, 730 View St.,

Victoria, B.C. V8X 3Y7

 

Dear Friends,

Tangents:

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

This past weekend, I travelled up to Parksville for a quick weekend getaway!  We stayed at Tigh-na-Mara Resort and at The Beach Club Resort; both beautiful places to stay!  The main attraction of Tigh-Na-Mara was definitely their spa. The Grotto Spa is the number 1 spa in Western Canada and after being there for the weekend, I can definitely see why.  With various relaxation packages, they also have a beautiful 2,500 square foot mineral pool that is designed to emulate a natural stone grotto and is infused with natural minerals and trace elements that help detoxify the body.  This was definitely the highlight in which I recommend.  The Beach Club Resort was equally as beautiful with more modernized rooms; whereas Tigh-Na-Mara was more of a cottage feeling. I encourage you all to check out both of these resorts next time you head up island!

Mineral Pool @ The Grotto Spa

“Old friends pass away, new friends appear. It is just like the days. An old day passes, a new day arrives. The important thing is to make it meaningful: a meaningful friend – or a meaningful day.”

Dalai Lama

Photos of the Day:

Malaysian air force personnel load relief supplies donated by the Malaysian government for victims of Typhoon Haiyan in the Philippines, at the Air Force base in Subang, Malaysia. Foreign governments and agencies have announced a major relief effort to help victims of the Philippine typhoon.

Gondoliers row in an empty Grand Canal in Venice, Italy. Drivers of taxi boats and shipping boats declared a strike against a new law regulating traffic on the Grand Canal, according to local media. Manuel Silvestri/Reuters

Market Closes for November 13^th, 2013

Market  Index	Close	Change
Dow  Jones	15821.63	+70.96    +0.45%
S&P 500	1782.00	+14.31    +0.81%
NASDAQ	3965.575	+45.655    +1.16%
TSX	13370.66	+44.62
		+0.33%

International Markets

Market  Index	Close	Change
NIKKEI	14567.16	-21.52
		-0.15%
HANG  SENG	22463.83	-437.58
		-1.91%
SENSEX	20194.40	-87.51
		-0.43%
FTSE 100	6630.00	-96.79
		-1.44%

Bonds

Bonds	% Yield	Previous % Yield
CND.  10 Year Bond	2.598	2.648
CND.   30 Year Bond	3.151	3.194
U.S.   10 Year Bond	2.7162	2.7701
U.S.   30 Year Bond	3.8272	3.8536

Currencies

BOC Close	Today	Previous
Canadian $	0.95667	0.95299
US   $	1.04529	1.04932
Euro Rate  1 Euro=		Inverse
Canadian   $	1.40985	0.70929
US  $	1.34876	0.74142

Commodities

Gold	Close	Previous
London Gold   Fix	1275.79	1268.63
Oil	Close	Previous
WTI Crude Future	93.88	93.27
BRENT	109.360	109.360

Market Commentary:

Canada

By Eric Lam

Nov. 13 (Bloomberg) — Canadian stocks rose, halting two days of losses, as gains among lenders and energy producers overshadowed disappointing retailer results while investors weighed the timing of any Federal Reserve stimulus cuts.

Semafo Inc. rallied 8.9 percent after the miner said it received approval to develop two new deposits. Royal Bank of Canada climbed 1.7 percent to pace gains among financial stocks.

Suncor Energy Inc. added 2 percent as crude prices climbed.

Grocery retailers Loblaw Cos. and Metro Inc. tumbled at least 5.7 percent on disappointing earnings. CAE Inc. dropped 0.6 percent as the aviation training company faced declining revenue in its civil and military segments.

The Standard & Poor’s/TSX Composite Index rose 44.62 points, or 0.3 percent, to 13,370.66 at 4 p.m. in Toronto, after declining as much as 0.3 percent earlier. The benchmark Canadian equity gauge has advanced 7.5 percent this year, the third-worst performance among global developed markets, ahead of Hong Kong and Singapore.

“One of the main drivers around the market performance is the comments from the Fed,” said Anish Chopra, fund manager with TD Asset Management Inc. in Toronto. He helps manage C$216 billion ($206 billion) with the firm. “There’s always some uncertainty around tapering, but it looks like tapering could be earlier.”

Fed Bank of Atlanta President Dennis Lockhart said yesterday a paring of U.S. bond purchases “could very well take place” next month. Investors have been watching for clues on when the central bank will begin to reduce monetary support as the economy recovers. The stimulus has helped fuel a global rally in equities.

Eight of 10 groups in the benchmark Canadian index advanced today, with energy and financial shares adding at last 0.5 percent. Trading volume was 7.5 percent above the 30-day average at this time of the day.

Royal Bank rose 1.7 percent to C$71.06, a record close, on trading volume more than four times higher than the three-month average. Bank of Montreal gained 0.9 percent to C$73.44.

Suncor Energy added 2 percent to C$37.23, halting two days of declines. Oil rose 0.9 percent in New York on speculation that increasing refinery profits from making gasoline and heating oil will bolster use of the raw material.

Semafo surged 8.9 percent to C$2.95 for the biggest gain in the S&P/TSX. The company’s chief executive officer said today it would start production at one of the developments in 2014 and in 2015 at the other.

Loblaw sank 7.6 percent to C$44.23, the biggest slide in six years. The nation’s largest grocer now forecasts operating income for 2013 to be flat compared with 2012, due to higher spending amid increasing competition.

Metro retreated 5.7 percent to C$62, the most since November 2008. Revenue of C$2.61 billion fell short of analysts’ estimates of C$2.63 billion and same-store sales slid 1.8 percent.

Canadian grocers are under pressure as bigger U.S. rivals such as Target Corp. and Wal-Mart Stores Inc. expand grocery options in the country.

CAE, the St. Laurent, Quebec-based flight simulator and training company, fell 0.6 percent to C$11.96, paring earlier losses, after reporting second-quarter revenue of C$487.5 million, short of analysts’ estimates of C$536.5 million.

The company also increased its dividend 20 percent, to 6 Canadian cents a share from 5 cents.

First Quantum Minerals Ltd., a copper miner, declined 4.3 percent to C$18.56 as the price of the metal fell the most in 15 weeks. Copper output in China rose to a monthly record in October.

NuVista Energy Ltd. decreased 3.7 percent to C$7.05. The Calgary-based energy company yesterday said it will sell 11 million shares at C$7.10 a share to raise about C$78.1 million. It plans to use the cash to pay down debt and help fund its 2013 and 2014 capital program.

US

By Aubrey Pringle

Nov. 13 (Bloomberg) — U.S. stocks rose, sending benchmark indexes to records, as Macy’s Inc. led a rally among retailers and investors speculated the Federal Reserve’s Janet Yellen will continue the central bank’s stimulus policy as chairman.

Macy’s jumped 9.4 percent as better-than-estimated earnings fueled optimism about the holiday shopping season. Tesla Motors Inc. advanced 0.7 percent as co-founder Elon Musk said the company won’t recall its Model S after fires involving the electric sedan. Cisco Systems Inc. dropped 7 percent after the market close as revenue fell short of forecasts.

The S&P 500 gained 0.8 percent to 1,782 at 4 p.m. in New York, surpassing a previous high set on Oct. 29. The Dow Jones Industrial Average rose 70.96 points, or 0.5 percent, to a record 15,821.63. About 6 billion shares changed hands on U.S. exchanges today, in line with the three-month average.

“Macy’s and retail in general has pulled up the overall market,” Tim Ghriskey, who helps manage more than $1.5 billion as chief investment officer of Solaris Asset Management LLC, said by phone. “Expectations were very low for the holiday season, and perhaps now they’ve been raised a bit. The backdrop around stocks remains favorable, and the market is anticipating economic improvement, which will drive revenue and earnings.”

Investors have been weighing better-than-projected earnings and data to gauge whether the economy may be strong enough to withstand less stimulus from the central bank. This week will bring reports on U.S. jobless-benefit claims and manufacturing in the New York area.

Yellen, nominated to be the next chairman of the Fed, said the economy and labor market are performing “far short of their potential” and must improve before the central bank can begin reducing monetary stimulus.

“A strong recovery will ultimately enable the Fed to reduce its monetary accommodation and reliance on unconventional policy tools such as asset purchases,” Yellen, the Fed’s current vice chairman, said in testimony prepared for her nomination hearing tomorrow before the Senate Banking Committee.

“I believe that supporting the recovery today is the surest path to returning to a more normal approach to monetary policy.”

The remarks show Yellen is committed to the central bank’s strategy of attempting to boost the economy and lower 7.3 percent unemployment, more than four years after the economy began to recover from the longest and deepest recession since the Great Depression.

Central bank policy makers will probably scale back the monthly pace of bond buying at their March 18-19 meeting, according to the median of 32 estimates in a Bloomberg survey of economists on Nov. 8. Reducing bond purchases “ought to be on the table at upcoming meetings” by the Federal Open Market Committee, including Dec. 17-18, Fed Bank of Atlanta President Dennis Lockhart said yesterday.

In the U.K., Bank of England Governor Mark Carney signaled that officials may consider raising interest rates sooner than they previously forecast as the U.K. economy recovers “robustly” and inflation slows. The jobless rate as measured by International Labour Organisation standards declined to 7.6 percent in the third quarter, the lowest since 2009, the Office for National Statistics said today.

The S&P 500 has climbed to record levels this year as the Fed maintained its $85 billion in monthly asset purchases.

Central bank support has helped propel the index higher by more than 160 percent from its March 2009 low. The gauge has rallied 25 percent so far in 2013, poised for its best year in a decade, and is trading at 16 times projected earnings, more than the five-year average of 14 times profit, according to data compiled by Bloomberg.

Pessimism about U.S. stocks among newsletter writers is at the lowest level in at least 24 years. The percentage of newsletter writers classified as bears by Investors Intelligence dropped to 15.5 percent from 15.6 percent last week, the least since Bloomberg began tracking the data in February 1989.

Optimistic, or bullish, newsletter writers dropped to 52.6 percent from a seven-month high of 55.2 percent last week.

Macy’s, NetApp Inc. and Cisco Systems Inc. reported results today. Of the 455 S&P 500 companies that have announced so far, 75 percent have beaten analysts’ income forecasts, data compiled by Bloomberg showed. Profits for the gauge will rise 4.7 percent in the third quarter and 6.2 percent in the final three months of the year, estimates compiled by Bloomberg show.

The Chicago Board Options Exchange Volatility Index, which measures future volatility signaled by S&P 500 options, fell 2.3 percent to 12.52. The gauge has tumbled more than 31 percent this year.

Nine of 10 main S&P 500 groups advanced. Consumer discretionary stocks gained 1.6 percent for the best performance among the industries.

Macy’s jumped 9.4 percent to a record $50.68. The second- largest U.S. department-store company reported third-quarter earnings that beat analysts’ estimates as better local selections boosted sales, signaling stronger demand headed into the holidays.

Gap Inc. increased 1.2 percent to $41.36 while L Brands Inc. added 1.9 percent to $64.25. Ralph Lauren Corp. and Abercrombie & Fitch Co. gained at least 2.7 percent.

“People are starting to think about the implications of a positive holiday season,” Walter Todd, chief investment officer at Greenwood Capital Associates LLC, said in phone interview.

“Retail for a while had been underperforming, but just the past couple weeks we’ve gotten some positive data points from Gap, Limited Brands and now from Macy’s.”

Technology companies added 1 percent as Microsoft Corp. rose 2.1 percent to $38.16.

Tesla added 0.7 percent to $138.70. The stock tumbled 29 percent from Sept. 30 through yesterday amid several reports of battery-related fires in Model S cars, and as the Palo Alto, California-based company posted third-quarter results that disappointed some investors.

“We’re about five times less likely to have a fire than an average gasoline car,” Elon Musk, chief executive officer of the company and its biggest shareholder, said yesterday at a conference in New York. Reaction to the fires reported by some media was “extremely inaccurate and unreasonable,” Musk said.

General Motors Co. jumped 4.9 percent to $38.44 after the Detroit-based carmaker that counts China as its biggest market said it will open a new headquarters in Singapore to oversee markets including Southeast Asia and India.

Crocs Inc. surged 9.8 percent to $13.89, for its biggest gain since July 2012. The shoemaker known for its brightly colored clogs is considering its strategic options after talks to take the company private stalled, people with knowledge of the matter said.

The company held talks with private-equity firms including Blackstone Group LP and KKR & Co., two people said, asking not to be identified because the information is private. The chance of a deal is slim because of a gap in price expectations, said one of the people.

Office Depot Inc., which completed a merger with OfficeMax Inc. last week, rose 3.3 percent to $5.38. The company named Roland Smith as chief executive officer and chairman of the newly formed office-supply chain.

Cisco Systems dropped 7 percent to $22.32 as of 5:01 p.m.

After the close of regular trading, the company reported quarterly sales that fell short of analysts’ estimates amid a slowdown in government spending and increased competition for sales of low-cost networking equipment. Cisco’s board also authorized $15 billion in additional stock buybacks.

Nucor Corp. fell 2.6 percent to $52.39 in regular trading after Morgan Stanley analyst Evan Kurtz downgraded the steel producer’s stock. Kurtz upgraded his rating and raised the price target for U.S. Steel Corp., saying new management is taking a “serious and transformational approach.” U.S. Steel rose 2.2 percent to $27.60.

 

Have a wonderful evening everyone!!

 

Be magnificent!

 

“Coming together is a beginning; keeping together is progress; working together is success.”
Henry Ford

As ever,

 

Amanda Bourke

Assistant to Carolann Steinhoff

Queensbury Securities Inc.

 

St. Andrew’s Square

Suite 340A, 730 View St.,

Victoria, B.C. V8X 3Y7

 

Dear Friends,

Tangents:

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

11/12/13, marks the second to last sequential number for calendar dates, with the last one being 12/13/14.  Aziz Inan, professor of electrical engineering at the University of Portland says that sequential dates are rare.  Each century contains 12 sequential calendar dates, with the first being 01/02/03 and the last one 12/13/14.  December 13^th, 2014 will mark the last sequential calendar date in the 21^st century.  Here’s a couple interesting facts to leave you with:

1. It is the 316th day of the year in the Gregorian calendar. There are 49 days remaining until the end of the year.

2. David’s Bridal estimates that more than 3,000 couples will get married on 11/12/13; compared to Nov. 11 of last year, that’s a 722 percent increase.

“Health is the greatest gift, contentment the greatest wealth, faithfulness the best relationship.” Buddha

Photos of the Day:

Students from the Brazilian Santa Claus school throw their hats into the air, during their graduation ceremony in Rio de Janeiro. The school provides lessons in Santa-training, teaching Christmas carols, how to interact with children, and also how to wear the heavy red suit in Rio’s typical 104-degree F. summer weather. Pilar Olivares/Reuters

Mylene Paquette of Canada celebrates as she arrives at Lorient harbor, France. Paquette reached Brittany after more than 140 days at sea, to become the first North American woman to row solo across the Atlantic. Stephane Mahe

Market Closes for November 12^th, 2013

Market  Index	Close	Change
Dow  Jones	15750.67	-32.43    -0.21%
S&P 500	1767.02	-4.87    -0.27%
NASDAQ	3919.920	+0.131    ——
TSX	13329.86	-28.53
		-0.21%

International Markets

Market  Index	Close	Change
NIKKEI	14588.68	+318.84
		+2.23%
HANG  SENG	22901.41	-168.44
		-0.73%
SENSEX	20281.91	-209.05
		-1.02%
FTSE 100	6726.79	-1.58
		-0.02%

Bonds

Bonds	% Yield	Previous % Yield
CND.  10 Year Bond	2.648	2.604
CND.   30 Year Bond	3.194	3.164
U.S.   10 Year Bond	2.7701	2.7477
U.S.   30 Year Bond	3.8536	3.8481

Currencies

BOC Close	Today	Previous
Canadian $	0.95299	0.95438
US   $	1.04932	1.04780
Euro Rate  1 Euro=		Inverse
Canadian   $	1.40983	0.70931
US  $	1.34356	0.74429

Commodities

Gold	Close	Previous
London Gold   Fix	1268.63	1288.32
Oil	Close	Previous
WTI Crude Future	93.27	94.60
BRENT	109.360	109.360

Market Commentary:

Canada

By Eric Lam

Nov. 12 (Bloomberg) — Canadian stocks fell a second day as raw-material and energy producers slumped after copper dropped and crude prices tumbled to a five-month low.

BlackPearl Resources Inc. and Legacy Oil & Gas Inc. lost at least 1 percent as the price of crude declined for the first time in three days on rising U.S. inventory forecasts. Air Canada, the best-performing Canadian stock this year, climbed 4.6 percent for a fourth day of gains. Teck Resources Ltd. and Lundin Mining Corp. dropped more than 2.6 percent as copper prices slid.

The Standard & Poor’s/TSX Composite Index fell 32.35 points, or 0.2 percent, to 13,326.04 at 4 p.m. in Toronto. The benchmark Canadian equity gauge has advanced 7.2 percent this year, the third-worst performance among global developed markets, ahead of Hong Kong and Singapore.

“People are staying away from taking drastic positions before the year-end,” said Brian Huen, managing partner with Red Sky Capital Management Ltd. in Toronto. The firm manages about C$220 million. “There’s a lot of different views developing on what tapering will look like from the Fed, so more people are talking about tapering in December. A lot of people are clearly watching for that.”

Global equities have rallied this year as the U.S. Federal Reserve refrained from curbing its $85 billion in monthly asset purchases. Economists forecast the central bank will delay tapering its asset purchases until March.

Bonterra Energy Corp. lost 3.6 percent to C$54.95, the most since April, after the company reported third-quarter production declined 6.6 percent compared with the previous quarter.

BlackPearl Resources lost 1 percent to C$1.91 and Legacy Oil & Gas retreated 3.4 percent to C$6.53 as crude for December delivery declined 2.2 percent to $93.04 in New York, the lowest since May 31.

Bombardier Inc., the world’s third-largest planemaker, dropped 2.4 percent to C$4.53 for a second day of losses. The stock sank 10 percent on Oct. 31 for the biggest decline in more than four years after posting a quarterly profit that missed analysts’ estimates.

Wi-Lan Inc. rose 3 percent to C$3.44 and CGI Group Inc. added 2.7 percent to C$37.11 as technology stocks added 1.1 percent as a group in the S&P/TSX.

Six of 10 industries advanced in the benchmark Canadian equity gauge on trading volume in line with the 30-day average.

National Bank of Canada added 1.1 percent to C$92.52, a record high, to pace gains among Canada’s largest lenders.

Air Canada, the nation’s largest airline, increased 4.6 percent to C$6.90, extending a five-year high. The stock has surged 27 percent in the past four days. The carrier reported third-quarter profit on Nov. 8 that beat analysts’ estimates amid progress in its cost-cutting plan.

Air Canada is the top-performing stock in the S&P/TSX this year with a 294 percent gain.

Teck Resources, the nation’s largest diversified miner, dropped 2.6 percent to C$27.34 and Lundin Mining retreated 2.8 percent to C$4.58 as copper fell in New York. Output in China, the world’s largest user of the metal, increased 23 percent in October to a monthly record.

US

By Aubrey Pringle

Nov. 12 (Bloomberg) — U.S. stocks fell, with the Dow Jones Industrial Average retreating from a record, as corporate earnings and an improving economy fueled speculation the Federal Reserve will reduce stimulus next month.

NRG Energy Inc. slipped 3.5 percent after the power generator lowered its 2013 adjusted earnings target. News Corp. dropped 1.6 percent as the publisher of the Wall Street Journal reported a decline in revenue. Dish Network Corp. rose 6 percent as the second-largest U.S. satellite-television provider’s earnings exceeded estimates.

The Standard & Poor’s 500 Index fell 0.2 percent to 1,767.69 at 4 p.m. in New York, after closing yesterday within a point of its all-time high. The Dow lost 32.43 points, or 0.2 percent, to 15,750.67. About 5.9 billion shares changed hands on U.S. exchanges today, 2.9 percent below the three-month average.

“The jobs report Friday, that’s really what changed the idea that we could have a December taper, and ever since then you’ve had more and more comments coming out of the Fed that perhaps it is on the table,” James Paulsen, the Minneapolis- based chief investment strategist at Wells Capital Management, which oversees about $340 billion, said in a phone interview.

“Last night it was Fisher and now Lockhart. What he came out and said today isn’t earth-shattering but it does add to the momentum to the idea.”

The S&P 500 and the Dow Jones Industrial Average have touched records this quarter as the Fed refrained from curbing its $85 billion in monthly asset purchases, while better-than- forecast data and corporate earnings indicate the economy may be strong enough to withstand less stimulus.

“Some discussion of tapering could well take place” next month, Fed Bank of Atlanta President Dennis Lockhart said today in a Bloomberg Radio interview with Kathleen Hays. Dallas Fed President Richard Fisher said in a speech in Melbourne today that monetary accommodation “becomes riskier by the day.”

Economists forecast the central bank will delay tapering asset purchases until the March 18-19 meeting. Policy makers will probably pare the monthly pace of bond buying to $70 billion at that time, according to the median of 32 estimates in a Bloomberg survey Nov. 8. The group next meets Dec. 17-18.

Investors will scrutinize economic reports this week on jobless-benefit claims and manufacturing in the New York area.

Data last week showed the U.S. economy grew faster than forecast in the third quarter and hiring rose more than estimated in October. There was no data yesterday and the U.S. Treasury markets were closed for the Veterans Day holiday.

The market may get some insight into Fed thinking when Vice Chairman Janet Yellen testifies before the Senate Banking Committee Nov. 14 during her confirmation hearing to succeed Ben S. Bernanke as chairman.

The Fed support has helped propel the S&P 500 higher by more than 160 percent from its March 2009 low. The gauge has rallied 24 percent so far in 2013, poised for its best year in a decade, and is trading at 16 times projected earnings, more than the five-year average of 14 times earnings, according to data compiled by Bloomberg.

“A lot of U.S. financial firms will start to close their books for the year now after this decent performance,” said Ioan Smith, a market strategist at KCG Europe Ltd. in London.

“If you’ve had good returns and you outperformed, how much more are you going to get this year? There is a big argument to lock in what gains you’ve got given the risk-reward is not conducive of any significant gains from these levels.”

Some 13 members of the S&P 500 reported earnings today.

Seventy-four percent of the 450 companies that have released results so far have beaten analysts’ estimates, according to data compiled by Bloomberg.

“It was a good earnings season, it definitely helped the market,” Richard Sichel, chief investment officer at Philadelphia Trust Co., said by phone. He helps oversee $1.9 billion.

The Chicago Board Options Exchange Volatility Index, which measures future volatility signaled by S&P 500 options, rose 2.3 percent to 12.82.

Six of 10 main S&P 500 groups retreated, with utility and financial stocks sliding at least 0.9 percent to pace losses.

Travelers Cos. dropped 1.7 percent to $86.44 for the steepest slide in the Dow.

NRG fell 3.5 to $27.06, the lowest in two months. The power generator lowered the upper end of its 2013 adjusted earnings range and cut its 2014 target.

Energy companies retreated 0.9 percent as a group. Cliffs Natural Resources Inc., an iron ore miner, lost 4 percent to $26.27, for the biggest slide in the S&P 500. Peabody Energy Corp., a coal miner, slid 2.9 percent to $20.18.

News Corp. slid 1.6 percent to $17.15 as the publisher reported a 2.8 percent decline in first-quarter revenue, hurt by shrinking demand for print advertising. The news division, which owns papers in the U.S., the U.K. and Australia, saw revenue fall 10 percent to $1.5 billion.

Liberty Global Plc, the European cable operator owned by John Malone, fell 1.1 percent to $78.58. The company is in talks to acquire Intel Corp.’s online pay-TV service under development, according to three people with knowledge of the situation. Malone would use Intel’s system outside the U.S., said one of the people, who asked not to be identified because the talks are private.

Dean Foods Co. fell 7.7 percent to $18.20 after the company lowered its full year earnings forecast. Dallas-based Dean said dairy commodity prices remain high, creating a more challenging environment than previously thought. The milk producer also said it will start paying a dividend of 7 cents in the first quarter.

Hologic Inc. sank 10 percent to $20.51, the biggest drop since May 2010. The X-ray company’s 2014 forecasts for sales and adjusted revenues fell short of analysts’ estimates as the company sees “headwinds.” At least four research firms cut Hologic’s stock to the equivalent of a hold rating.

Sarepta Therapeutics Inc. plunged 64 percent to $13.16, the lowest since September 2012. U.S. regulators indicated more data may be needed before the company files a new drug application for its experimental treatment for Duchenne muscular dystrophy.

Sarepta has no products on the market. The stock had climbed 42 percent this year through yesterday.

Xerox Corp. rose 4 percent to $10.69 for its largest increase in a month. The printer and photocopier pioneer predicted that 2014 earnings may grow more than analysts estimate, as business services account for a bigger chunk of its revenue.

Dish Network climbed 6 percent to $50.35, the highest since May 2000. The satellite-television provider reported third- quarter profit that exceeded estimates after luring more customers away from cable companies. Chairman Charlie Ergen, who made a failed attempt to acquire Sprint Corp. earlier this year, said buying Sprint’s smaller rival T-Mobile US Inc. isn’t “off the table.”

D.R. Horton Inc. gained 4.7 percent to $18.91, the biggest gain in the S&P 500. The largest U.S. homebuilder by revenue reported a higher quarterly profit as it increased prices amid a nationwide housing recovery.

The Bloomberg U.S. Airlines Index added 2.5 percent for the highest close since April 2007. Delta Air Lines Inc. rose 2.4 percent to $28.12. Carriers are benefiting as jet fuel prices retreat from an eight-month high against diesel amid rising output and the lowest seasonal demand in more than two decades.

US Airways Group Inc. added 1.1 percent to $23.52. The carrier and American Airlines reached an agreement with the U.S. Justice Department over the government’s bid to block their merger, clearing the way to a tie-up that would create the world’s biggest carrier.

The airlines must give up slots at Washington Ronald Reagan National Airport and New York’s LaGuardia Airport under a proposed settlement. AMR Corp., American’s parent company that is in bankruptcy, rose 26 percent to $12 in over-the-counter trading.

 

Have a wonderful evening everyone.

 

Be magnificent!

 

“We gain strength, and courage, and confidence by each experience in which we really stop to look fear in the face… we must do that which we think we cannot.” – Eleanor Roosevelt

As ever,

 

Amanda Bourke

Assistant to Carolann Steinhoff

Queensbury Securities Inc.

 

St. Andrew’s Square

Suite 340A, 730 View St.,

Victoria, B.C. V8X 3Y7

 

 

 

 

 

 

 

Dear Friends,

Tangents:

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

Remembrance Day

In Flanders fields the poppies blow
Between the crosses, row on row,
That mark our place: and in the sky
The larks still bravely singing fly
Scarce heard amid the guns below.

We are the dead: Short days ago,
We lived, felt dawn, saw sunset glow,
Loved and were loved: and now we lie
In Flanders fields!

Take up our quarrel with the foe
To you, from failing hands, we throw
The torch: be yours to hold it high
If ye break faith with us who die,
We shall not sleep, though poppies grow
In Flanders fields

“For beautiful eyes, look for the good in others; for beautiful lips, speak only words of kindness; and for poise, walk with the knowledge that you are never alone.”

Audrey Hepburn

Photos of the Day:

The sun casts a shadow and spectral halo effect on clouds as US Secretary of State John Kerry’s aircraft departs Tel Aviv for Geneva. Kerry will meet with Iranian Foreign Minister Mohammad Javad Zarif in Geneva on Friday on the sidelines of the Iranian nuclear talks. Jason Reed/Reuters

The sun rises over the horizon, lighting up the surface of the Tidal Basin near the Jefferson Memorial in Washington at the start of a clear day in the Nation’s Capitol. J. David Ake/AP

Market Closes for November 8^th, 2013

Market  Index	Close	Change
Dow  Jones	15761.78	+167.80    +1.08%
S&P 500	1768.58	+21.43    +1.23%
NASDAQ	3919.233	+61.900    +1.60%
TSX	13388.34	+94.14
		+0.71%

International Markets

Market  Index	Close	Change
NIKKEI	14086.80	-141.64
		-1.00%
HANG  SENG	22744.39	-136.64
		-0.60%
SENSEX	20666.15	-156.62
		-0.75%
FTSE 100	6708.42	+11.20
		+0.17%

Bonds

Bonds	% Yield	Previous % Yield
CND.  10 Year Bond	2.604	2.519
CND.   30 Year Bond	3.164	3.085
U.S.   10 Year Bond	2.7477	2.5999
U.S.   30 Year Bond	3.8481	3.7084

Currencies

BOC Close	Today	Previous
Canadian $	0.95438	0.95652
US   $	1.04780	1.04546
Euro Rate  1 Euro=		Inverse
Canadian   $	1.40069	0.71393
US  $	1.33680	0.74806

Commodities

Gold	Close	Previous
London Gold   Fix	1288.32	1307.55
Oil	Close	Previous
WTI Crude Future	94.60	94.20
BRENT	109.360	109.360

Market Commentary:

Canada

By Eric Lam

Nov. 8 (Bloomberg) — Canadian stocks rose the most in three weeks as Air Canada reported higher-than-estimated earnings and jobs data beat economists’ forecasts.

Air Canada, the nation’s largest airline, surged 7.2 percent after reducing costs. Manulife Financial Corp., Canada’s largest insurer, increased 2.6 percent for a fourth day of gains. Trilogy Energy Corp. plunged 9.8 percent after reporting a loss as sales declined. Detour Gold Corp. plunged 18 percent after saying it will not meet its 2013 production targets.

Centerra Gold Inc. and HudBay Minerals Inc. sank at least 3.7 percent as gold dropped to a three-week low in New York.

The Standard & Poor’s/TSX Composite Index rose 84.13 points, or 0.6 percent, to 13,378.33 at 4 p.m. in Toronto. The benchmark Canadian equity gauge has advanced 7.6 percent this year, the third-worst performance among global developed markets, ahead of Hong Kong and Singapore.

“Canada’s job numbers were modestly better than expected, so that’s positive,” said Anish Chopra, a fund manager with TD Asset Management Inc. in Toronto. His firm manages about C$216 billion ($206 billion). “It looks like the U.S. economy, at least by employment, has weathered the shutdown quite well. The reaction gold investors are having is this is another data point the Fed will use for tapering.”

The U.S. added 204,000 workers in October, ahead of the median economists’ forecast of 120,000, according to a Labor Department report today. The Federal Reserve has said improvements in employment figures may prompt a reduction, or tapering, of its stimulus program.

Canada’s jobless rate remained at 6.9 percent, the lowest since 2008, as government workers led the third straight month of job gains. Employment rose by 13,200 in October, compared to a median forecast of 11,000 from a Bloomberg survey of economists.

Air Canada jumped 7.2 percent to C$5.99, the highest close in five years, as nine of 10 industries in the S&P/TSX rose.

Trading volume was 16 percent higher compared with the 30-day average.

Air Canada, the best-performing stock in the S&P/TSX in 2013 with a 242 percent advance, reported adjusted earnings of C$1.29 a share, ahead of the C$1.04 average analyst estimate in a Bloomberg survey. The company is working to reduce costs at the carrier by about 15 percent.

Royal Bank of Canada, the nation’s largest lender, rose 0.7 percent to C$70.31 and Toronto-Dominion Bank, the second- largest, increased 0.8 percent to C$96.96. The S&P/TSX Banks Index climbed 0.6 percent to a record.

Housing starts in Canada jumped to the highest level in five months in October, led by construction of multiple-unit projects such as condominiums.

Manulife climbed 2.6 percent to C$19.72 to pace gains among financial stocks. The company has advanced 6.7 percent in the past four days, and yesterday reported rising profit on higher sales of insurance and savings products.

Trilogy Energy sank 9.8 percent to C$26.76, the biggest drop since 2008 on a closing basis, after reporting a loss of 8 Canadian cents a share, compared with 17 cents of earnings a quarter ago. Sales volumes for the third quarter averaged 31,211 barrels of oil equivalent per day, a 16 percent drop from the previous quarter due to field maintenance.

Detour Gold plunged 18 percent to C$6.35, an almost five- year low. The company said in a statement it will not reach its 2013 production target of 270,000 ounces of gold and now forecasts 240,000 to 260,000 ounces.

Centerra Gold slumped 8.8 percent to C$3.54 and HudBay Minerals tumbled 3.7 percent to C$8.42. Gold futures for December delivery declined 1.8 percent to settle at $1,284.60 an ounce in New York, the lowest since Oct. 16.

US

By Lu Wang and Nick Taborek

Nov. 8 (Bloomberg) — U.S. stocks rose, pushing the Dow Jones Industrial Average to a record close, as a better-than- forecast jobs report added to signs growth is strong enough for the economy to withstand a stimulus reduction.

Priceline.com Inc. advanced 4.9 percent after reporting sales that topped analysts’ estimates and promoting Darren Huston to chief executive officer. Gap Inc. climbed 9.8 percent as its profit forecast beat expectations. Groupon Inc. jumped 6.4 percent after posting a narrower-than-estimated loss and agreeing to buy South Korean deals website Ticket Monster Inc. A jump in bond yields boosted insurers and weighed on homebuilders and dividend stocks.

The Standard & Poor’s 500 advanced 1.3 percent to 1,770.60 at 4 p.m. in New York, within two points of its all-time high.

The Dow Jones Industrial Average jumped 167.80 points, or 1.1 percent, to a record 15,761.78, capping its fifth week of gains in a row. About 7 billion shares changed hands on U.S. exchanges today, 15 percent above the three-month average.

“This is good news, this is what we’ve been looking for,” Erik Davidson, the San Francisco-based deputy chief investment officer for Wells Fargo Private Bank, which oversees $170 billion, said by phone. “The one thing that people have been waiting to see is an inflection point in terms of jobs and we’re starting to see that, which is great news.”

The S&P 500 dropped 1.3 percent yesterday as data showing faster-than-expected economic growth fueled speculation that the Fed may scale back stimulus soon. Equities rebounded today as the labor report added to evidence that growth in the world’s largest economy is strengthening.

American employers added 204,000 workers after a revised 163,000 gain in September that was larger than previously estimated, Labor Department figures showed today in Washington.

The increase in payrolls topped the most optimistic forecast in a survey of economists.

The benchmark equity gauge added 0.5 percent in the past five days for a fifth straight week of gains, the longest streak since February. The index has rallied 24 percent in 2013, heading for the best annual gain in a decade, as the central bank kept interest rates low to spur economic growth.

The Fed said last week it needs to see more evidence of sustained improvement before slowing its $85 billion monthly asset purchases. Economists predict the Fed will maintain bond purchases at the current pace until March, according to a Bloomberg survey conducted Oct. 17-18. Policy makers next meet on Dec. 17-18.

“The market is trying to deal with an improvement in the economy that may be offset by higher interest rates,” Greg Woodard, a strategist in Fairport, New York, at Manning & Napier Inc., which has $49.1 billion under management, said in a phone interview. “You see a pullback in some areas of the market that are most sensitive to higher interest rates.”

Benchmark 10-year yields reached the highest level in more than three weeks as the jobs data boosted bets that the Fed may begin paring its stimulus program at its December meeting.

Three rounds of monetary stimulus from the central bank and better-than-expected earnings have driven the S&P 500 up 162 percent from a 12-year low in 2009.

Among 449 S&P 500 companies that have announced results during the earnings season, 75 percent beat analysts’ estimates for profits, data compiled by Bloomberg show. Growth in fourth- quarter earnings will accelerate to 6.2 percent from 4.7 percent in the previous three months, analysts’ projections show.

The Chicago Board Options Exchange Volatility Index, the gauge of S&P 500 options known as the VIX, slipped 7.3 percent to 12.90. The measure dropped 2.9 percent in the past five days, halting a two-week winning streak.

Eight out of 10 S&P 500 industry groups rose as financial stocks surged 2.3 percent to lead gains. JPMorgan Chase & Co. rallied 4.5 percent to $53.96 for its fastest rise in a year and the biggest increase in the Dow.

Materials and consumer-discretionary companies rallied at least 1.2 percent as a group.

Priceline.com, the largest U.S. online travel agent, gained 4.9 percent to $1,073.20. Third-quarter sales rose 33 percent to $2.27 billion, topping analysts’ average estimate of $2.22 billion, according to data compiled by Bloomberg. Huston, head of Priceline’s Booking.com unit, will take the helm and join the board, ending Jeffery Boyd’s 11-year reign that saw the stock jump 100-fold.

Gap jumped 9.8 percent, the biggest gain since August 2012, to $41.43. The largest U.S. specialty-apparel retailer said it anticipates quarterly profit that surpassed analysts’ estimates, helped by gains in sales.

Groupon added 6.4 percent to $10.11. The e-commerce company reported a third-quarter net loss of $2.58 million, compared with the average $14.3 million loss predicted by analysts. The Chicago-based company also agreed to buy Ticket Monster for $260 million in cash and stock, transforming itself into a service offering thousands of discounts instead of daily deals.

Walt Disney Co. rallied 2.1 percent to $68.58. The world’s largest entertainment company said fiscal fourth-quarter profit rose 12 percent, beating analysts’ estimates as the company’s theme parks and consumer products boosted income.

Nvidia Corp. increased 7 percent to $15.56. The maker of graphics processors reported fiscal third-quarter profit that exceeded analysts’ estimates as revenue from new businesses helped make up for declining personal-computer demand.

MetLife Inc. rallied 5.4 percent to $50.14, the most since August, and Lincoln National Corp. jumped 5.7 percent to $48.76, leading gains among insurers. The firms invest funds from clients in bonds and other assets to back future payouts.

An S&P index of homebuilders slumped 2.7 percent amid concern rising borrowing costs may derail a housing recovery.

All but 10 members of the gauge retreated. Lennar Corp. dropped 4.2 percent to $32.79 while PulteGroup Inc. sank 3.8 percent to $16.85 for the two biggest declines in the S&P 500.

Utility and telephone shares, which offer the highest dividend yield among 10 S&P 500 main industries, were the only groups to decline, as rising bond yields threaten to undermine the demand for equity income. Utilities pay an average 4 percent of their stock prices as dividend while phone companies offer a yield of 4.7 percent.

Twitter Inc. slid 7.2 percent to $41.65 on the second day of trading. The microblogging service surged 73 percent in yesterday’s debut, the biggest day-one jump for an initial public offering of more than $1 billion since 2007, according to data compiled by Bloomberg.

 

Have a wonderful long weekend everyone!!

 

Be magnificent!

 

“I am determined to be cheerful and happy in whatever situation I may find myself. For I have learned that the greater part of our misery or unhappiness is determined not by our circumstance but by our disposition.”
Martha Washington

As ever,

 

Amanda Bourke

Assistant to Carolann Steinhoff

Queensbury Securities Inc.

 

Dear Friends,

Tangents:

November 7^th, 1917: Russian Revolution; Bolsheviks depose Czar Nicholas II.

AUTUMN

So Autumn’s not the end, not the last rung

Of any ladder in the yearly climb,

When that is deathly old which once was young,

Since time’s no ladder but a constant wheel

Like an old paddled mill that dips and churns

The mill-race, and upon the summit turns

Unceasingly to heel

Over, and scoop fresh water out of time.

-Vita Sackville-West

Photos of the day

A church overlooks a fog covered Inntal valley in front of snow covered mountain summits on a sunny autumn day in the western Austrian village of Tulfes. Dominic Ebenbichler/Reuters

Chelsea pensioners stand before crosses in the Field of Remembrance at Westminster Abbey ahead of a visit by Princes Philip and Harry in London. The field commemorates Britain’s war dead with crosses and poppies ahead of Remembrance Sunday. Luke MacGregor/Reuters

Market Closes for November 7^th, 2013

Market  Index	Close	Change
Dow  Jones	15593.98	-152.90    -0.97%
S&P 500	1747.15	-23.34    -1.32%
NASDAQ	3857.333	-74.613    -1.90%
TSX	13294.20	-86.21
		-0.64%

International Markets

Market  Index	Close	Change
NIKKEI	14228.44	-108.87
		-0.76%
HANG  SENG	22881.03	-155.91
		-0.68%
SENSEX	20822.77	-72.17
		-0.35%
FTSE 100	6697.22	-44.47
		-0.66%

Bonds

Bonds	% Yield	Previous % Yield
CND.  10 Year Bond	2.519	2.537
CND.   30 Year Bond	3.085	3.109
U.S.   10 Year Bond	2.5999	2.6421
U.S.   30 Year Bond	3.7084	3.7732

Currencies

BOC Close	Today	Previous
Canadian $	0.95652	0.95968
US   $	1.04546	1.04202
Euro Rate  1 Euro=		Inverse
Canadian   $	1.40229	0.71312
US  $	1.34132	0.74553

Commodities

Gold	Close	Previous
London Gold   Fix	1317.25	1317.25
Oil	Close	Previous
WTI Crude Future	94.80	94.80
BRENT	109.360	109.360

Market Commentary:

Canada

By Eric Lam

Nov. 7 (Bloomberg) — Canadian stocks fell, leaving the benchmark index at a two-week low, as commodity stocks slumped on falling oil and gold prices after the European Central Bank unexpectedly cut its benchmark interest rate.

Dundee Precious Metals Inc. lost 5.8 percent as gold slid to a three-week low. Penn West Petroleum Ltd. tumbled 8.5 percent for a second day of losses after saying yesterday its turnaround will extend into 2014. Manulife Financial Corp. rose 2.7 percent as profit advanced on rising wealth and insurance product sales. Sun Life Financial Inc. gained 2.4 percent as the insurer’s profit topped estimates.

The Standard & Poor’s/TSX Composite Index lost 86.21 points, or 0.6 percent, to 13,294.20 at 4 p.m. in Toronto, the lowest since Oct. 23. The benchmark Canadian equity gauge has advanced 6.9 percent this year, the third-worst performer in the world among developed markets, ahead of Hong Kong and Singapore.

“Oil has continued to sell off and Draghi cutting interest rates to stimulate the economy has caught the markets by surprise,” said Philip Petursson, director of institutional equities with Manulife Asset Management Ltd., in a phone interview from Toronto. His firm manages about C$248 billion ($237 billion). “The decline in gold has to do with the ECB, we’ll see a downward trend for gold as the U.S. dollar rises against the euro.”

Commodity prices dropped as the dollar spiked against the euro after European Central Bank President Mario Draghi cut the region’s benchmark interest rate to a record low. The greenback’s gain put pressure on dollar-denominated products such as oil.

Better-than-expected U.S. growth in the third-quarter fueled speculation the Federal Reserve would cut monetary stimulus sooner than anticipated, damping demand for gold.

Nine of 10 industries in the S&P/TSX retreated. Trading volume was 7.7 percent higher than the 30-day average at this time of day.

Materials producers dropped 1.9 percent. Dundee Precious Metals slumped 5.8 percent to C$4.10 and Torex Gold Resources Inc. sank 11 percent to 92 Canadian cents, the lowest in four years, as the price of gold dropped to a three-week low.

Energy stocks lost 1.1 percent as a group. Bellatrix Exploration Ltd. dropped 7.1 percent to C$7.32 and Suncor Energy Inc. retreated 1.6 percent to C$36.09 as crude declined.

Penn West Petroleum tumbled 8.5 percent to C$8.91, extending a two-day loss to 23 percent. The Calgary-based company yesterday slumped the most since 2008 after saying it will target as much as C$2 billion in asset sales. Penn West has cut more than 25 percent of its workforce this year.

Manulife Financial, Canada’s largest life insurer by market value, rose 2.7 percent to C$19.22, for the highest close in three years. The company posted third-quarter adjusted profit of 36 cents a share, topping the 35-cent average estimate of 12 analysts surveyed by Bloomberg.

Sun Life Financial gained 2.4 percent to C$36.27, the highest level for the stock since August 2009. The insurer yesterday reported said profit beat estimates as revenue from wealth-management and insurance sales increased. Company executives said on a conference call today that expenses will be lower next year.

TMX Group Ltd., the operator of the Toronto Stock Exchange, rallied 2.3 percent to C$48.12, the biggest gain since August.

The Toronto-based company reported adjusted third-quarter earnings of 75 Canadian cents a share, ahead of the 74-cent average estimate of analysts surveyed by Bloomberg.

TMX’s operating expenses fell 7 percent compared with the second quarter, and the company is now on track to achieve C$28 million in annualized savings, ahead of previous projections for C$20 million, the company said.

USA

By Lu Wang and Nick Taborek

Nov. 7 (Bloomberg) — U.S. stocks fell, dragging the Standard & Poor’s 500 Index to its biggest loss in two months, as speculation the Federal Reserve may scale back stimulus amid faster-than-estimated economic growth overshadowed a move by the European Central Bank to cut a key interest rate.

Twitter Inc., which raised $1.82 billion in its initial public offering, rallied 73 percent in its debut. Qualcomm Inc. dropped 3.8 percent after the largest maker of smartphone chips predicted quarterly sales that missed analysts’ estimates. Whole Foods Market Inc. slumped 11 percent after cutting its profit forecast. J.C. Penney Co. jumped 5.6 percent after posting its first rise in monthly same-store sales in two years.

The S&P 500 fell 1.3 percent, the most since Aug. 27, to 1,747.15 at 4 p.m. in New York. The Dow Jones Industrial Average slid 152.90 points, or 1 percent, to 15,593.98. The Nasdaq Composite Index dropped 1.9 percent for the biggest decline in a month. About 7.6 billion shares changed hands on U.S. exchanges, the busiest trading since Sept. 20.

“The market will be volatile,” Ernie Cecilia, chief investment officer at Bryn Mawr Trust Co. in Bryn Mawr, Pennsylvania, said in a phone interview. His firm oversees about $7 billion. “You had some good economic news today and we’ll see what the payrolls numbers are tomorrow. The fear is that with better-than-expected economic numbers, tapering will commence sooner rather than later.”

The Dow climbed to a record yesterday and the S&P 500 closed at a one-week high as Fed officials said economic weakness warrants continued stimulus from the central bank. The broad gauge of American equities has rallied 23 percent this year, challenging 2009 for the best annual gain in a decade, as corporate earnings beat estimates and the central bank kept interest rates low to spur economic growth.

Gross domestic product rose at a 2.8 percent annualized rate in the third quarter, led by the biggest increase in inventories in more than a year as household purchases and business investment slowed, a Commerce Department report showed today in Washington. The median forecast of economists surveyed by Bloomberg called for a 2 percent advance. Consumer spending climbed 1.5 percent, the smallest increase since 2011.

“This will certainly fuel expectations that the underlying economy is stronger than the mixed data have suggested,” Quincy Krosby, a market strategist for Newark, New Jersey-based Prudential Financial Inc., which oversees more than $1 trillion of assets, said by telephone. “The question is whether or not the markets can accept good news as good news or whether we’re still on the trajectory where good news is bad news. We’re going to reach an inflection point in the market where good news is in fact good news.”

Investors are watching U.S. data to gauge the health of the world’s largest economy after the Fed said last week it needs to see more evidence of sustained improvement before slowing its $85 billion monthly asset purchases.

Jobless claims decreased by 9,000 to 336,000 in the week ended Nov. 2 from 345,000 the prior period, the Labor Department reported today. Tomorrow’s monthly employment report may show payrolls rose by 120,000 workers in October after a 148,000 gain in September, while the jobless rate rose to 7.3 percent.

The ECB cut its benchmark interest rate to a record low of 0.25 percent from 0.5 percent, after a drop in inflation to the slowest pace in four years threatened its mission to keep prices stable. Euro-area inflation is less than half the ECB’s target and unemployment is at the highest level since the currency bloc was formed in 1999.

“If we learned anything from the last three or four years, a friendly central bank is a good thing for equity prices,” Michael Vogelzang, president and chief investment officer at Boston Advisors LLC, which manages $2.4 billion, said by phone.

“Sentiment in the market is incredibly high and it’s best exemplified by the rush of IPOs coming to the market, including Twitter.”

Twitter soared 73 percent to $44.90. The company, whose website and applications let people post 140-character messages to online followers, yesterday sold 70 million shares at $26 each.

The microblogging service picked a price that values it higher than rival Facebook Inc. and still drew more interest than anticipated. The San Francisco-based company, which is unprofitable and has one-fifth as many users as Facebook, is benefiting from investors’ thirst for companies that will grow quickly in expanding markets like mobile advertising.

Facebook dropped 3.2 percent to $47.56.

Three rounds of Fed stimulus and better-than-expected earnings have driven the S&P 500 up more than 160 percent from a bear-market low in 2009. At yesterday’s close, the index traded at 16.8 times reported earnings, up 19 percent this year and near the highest level in more than three years, data compiled by Bloomberg show. The 15-year average multiple is 19.3.

“The biggest worry out there right now is, ‘if the stock market is going up and it can go up because I’m not in it and therefore there must be a bubble,’” Sam Wardwell, an investment strategist at Pioneer Investments in Boston, said in a phone interview. His firm manages about $225 billion. “As we look at the stock market, it’s not in a bubble territory. Valuations still look reasonably good. Profits are coming in fine.”

Walt Disney Co. and Priceline.com Inc. were among S&P 500 members posting results today. Of the 442 companies in the gauge that have reported earnings so far, 74 percent have beaten analysts’ profit forecasts, according to data compiled by Bloomberg. Income for the broad index probably increased 4.1 percent in the third quarter, and 6.8 percent in the final three months of the year, estimates compiled by Bloomberg show.

The Chicago Board Options Exchange Volatility Index, the gauge of S&P 500 options known as the VIX, jumped 9.8 percent to 13.91, trimming its loss for the year to 23 percent.

All 10 S&P 500 industry groups retreated as consumer, phone and energy companies sank at least 1.4 percent to lead the drop.

Disney fell 2.7 percent to $67.15 for the biggest loss in the Dow. After the market’s close, the world’s largest entertainment company posted fiscal fourth-quarter profit that beat estimates as the company’s theme parks and consumer products boosted income.

Qualcomm dropped 3.8 percent to $67.09. Sales for the three months ending in December will be $6.3 billion to $6.9 billion, the company said. Analysts on average had predicted revenue of $7.01 billion for the period, data compiled by Bloomberg show.

Whole Foods, the largest natural-foods grocer in the U.S., lost 11 percent to $57.26 for its biggest decline since 2009.

Profit excluding certain items will be as much as $1.69 a share in the year ending in September 2014, compared with a previous projection of as much as $1.72 and the average analyst estimate of $1.73 a share.

Tesla Motors Inc., the electric-car maker led by Elon Musk, plunged 7.5 percent to $139.77 after a Model S sedan fire yesterday in Tennessee, the third in five weeks involving the car. The accident happened after the driver hit a metal object, local authorities said.

SolarCity Corp. tumbled 17 percent to $49.69. The second- largest U.S. solar company predicted a loss of as much as 65 cents a share for the final three months of 2013, compared with the average analyst estimate of 54 cents a share.

J.C. Penney jumped 5.6 percent to $8.13. The retailer’s comparable-store sales climbed 0.9 percent in October, the first increase since December 2011.

American Eagle Outfitters Inc. rallied 4.1 percent to $15.25 after saying third-quarter earnings probably fell to 19 cents a share, exceeding its August projection for as much as 16 cents a share. The teen-clothing chain cited better-than- estimated margins for the period.

Transocean Ltd. jumped 7 percent to $52.45. The dual-listed offshore drilling contractor, which replaced Dell Inc. in the S&P 500 last month, posted third-quarter adjusted earnings of $1.37 per share, beating the $1.07 average analyst estimate.

Prudential Financial Inc. climbed 2.4 percent to $83.76.

The No. 2 U.S. life insurer swung to a profit in the third quarter, fueled by pension-transfer deals and the acquisition of a unit from Hartford Financial Services Group Inc.

 

Have a wonderful evening everyone.

 

Be magnificent!

 

The universal power that manifests itself in the universal law

is at one with our true power.

Rabindranath Tagore, 1861-1901

As ever,

 

Carolann

 

Necessity has no law.

-Saint Augusitne, 354-430

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

Senior Vice-President &

Senior Investment Advisor

Queensbury Securities Inc.,

St. Andrew’s Square

Suite 340A, 730 View St.,

Victoria, B.C. V8W 3Y7