December 11, 2019 Newsletter

Dear Friends,

Tangents:
1936~ Edward VIII abdicates to marry Wallis Simpson.
On Dec. 11, 1941, Germany and Italy declared war on the United States; the U.S. responded in kind. Go to article »

Plants may let out ultrasonic squeals when stressed. (h/t Ellen Kominers)-Bloomberg.

The next generation is on it.

Time named the climate activist Greta Thunberg as its person of the year, the youngest ever in the magazine’s history. The 16-year-old from Stockholm has risen to global prominence with her impassioned pleas for governments to take far-reaching action to avert climate catastrophe.-The New York Times.

PHOTOS OF THE DAY

Prince Charles attends the official commissioning ceremony of HMS Prince of Wales in Portsmouth.
CREDIT: ARTHUR EDWARDS – WPA POOL/GETTY IMAGES

The Banksy mural at the Jeweller Quarter, Birmingham, being covered in Perspex after being defaced by a vandal who sprayed red noses on the reindeer.
CREDIT: ANITA MARIC/SWNS

A group of female priests perform in Banco National Park in Abidjan during the opening of the first Green Arts Biennale.
CREDIT: SIA KAMBOU/AFP VIA GETTY IMAGES

Market Closes for December 11^th, 2019  

International Markets

Bonds

Currencies

Commodities

Market Commentary:
On this day in 2008, fund adviser Bernard Madoff was arrested by federal agents, accused in separate SEC and FBI complaints of a multibillion-dollar fraud
Canada
By Michael Bellusci and Bloomberg Automation
(Bloomberg) — Canadian equities ended Wednesday slightly lower while U.S. stocks rose after the Federal Reserve’s latest policy meeting and outlook. The S&P/TSX Composite fell to 16,939.61 in Toronto. Real estate was Canada’s worst-performing group, with the S&P/TSX Composite Index Real Estate Index losing 2.4%, the most since December of 2018, and closing at a session low. Glass Lewis recommended shareholders vote against Great Pacific Capital‘s proposal to take Canfor Corp. private. Also, Canada’s banks ended the year with their weakest earnings growth since 2016. And there may be little improvement next year, as rising loan losses and eroding margins hurt bottom lines.
Commodities
* Western Canada Select crude oil traded at a $21.50 discount to WTI
* Spot gold rose 0.7% to $1,474.98 an ounce
FX/Bonds
* The Canadian dollar rose 0.4% to C$1.3176 per U.S. dollar
* The 10-year government bond yield fell 1.6 basis points to 1.584%
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Real Estate | -14.1973| -2.4| 0/24
Energy | -11.5413| -0.4| 8/24
Financials | -9.0487| -0.2| 9/18
Consumer Discretionary | -3.6880| -0.5| 5/10
Utilities | -2.6960| -0.3| 5/11
Consumer Staples | -2.5977| -0.4| 1/9
Health Care | -1.8503| -0.8| 1/9
Communication Services | 1.4876| 0.2| 5/2
Information Technology | 2.9714| 0.3| 5/4
Industrials | 4.2365| 0.2| 14/17
Materials | 25.8413| 1.4| 37/12
US
By Sarah Ponczek and Vildana Hajric
(Bloomberg) — U.S. stocks rose with Treasuries, while the dollar fell after the Federal Reserve left interest rates unchanged and its chairman signaled it would keep policy “somewhat accommodative.” The S&P 500 halted a two-day slide as the central bank’s decision fueled bets that the bar for an increase in rates remains high even as economic growth is steady. The 10-year Treasury rate fell below 1.8%. The Fed, in its first unanimous vote since May, said it will continue to monitor the implications of data for the economic outlook “including global developments and muted inflation pressures.” Fed Chairman Jerome Powell said the central bank will keep rates where they are unless there’s a meaningful change in the outlook.
“It’s ‘steady as she goes’ from the Fed today,” said Jason Pride, chief investment officer of private wealth at Glenmede Trust. “This accommodative stance should provide a measure of support for risk assets heading into the new year.” Equity gains had been muted throughout the session as investors kept an eye out for trade headlines. The Dow Jones Industrial Average was little changed amid more trouble for Boeing Co.’s Max plane and Home Depot Inc.‘s weak forecast. Crude slipped after U.S. inventory data. With the world’s top two economies still wrangling over an interim deal, Thursday may bring news as Trump is expected to meet with his trade team, according to people familiar with the talks.
Here are some other key events to watch:
* Brazil’s central bank also decides on interest rate.
* The next European Central Bank policy meeting is on Thursday.
* The U.K. holds a general election Thursday.

And these are the main market moves:
Stocks
* The S&P 500 Index gained 0.3% at 4 p.m. New York time.
* The Nasdaq Composite Index advanced 0.6%.
* The Dow Jones Industrial Average was up 0.1%.
* The MSCI All-Country World Index climbed 0.4%.
Currencies
* The Bloomberg Dollar Spot Index fell 0.4%.
* The Japanese yen rose 0.2% to 108.55 per dollar.
* The euro added 0.3% to $1.1131.
Bonds
* The yield on two-year Treasuries lost three basis points to 1.62%.
* The yield on 10-year Treasuries fell five basis points to 1.79%.
* Germany’s 10-year yield declined two basis points to -0.32%.
Commodities
* West Texas Intermediate crude fell 0.7% to $58.84 a barrel.
* Gold futures advanced 0.8% to $1,479.50 an ounce.
* Brent crude gained lost 1.1% to $63.62 a barrel.
–With assistance from Claire Ballentine.
Have a great night.

Be magnificent!

As ever,

Carolann

If faith asks, it will receive; if hope seeks, it will find;
and if love knocks, the door will be opened to it.
                     -Charles Spurgeon, 1834-1892

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Senior Investment Advisor

Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7

Tel: 778.430.5808
(C): 250.881.0801
Toll Free: 1.877.430.5895
Fax: 778.430.5828
www.carolannsteinhoff.com