February 5, 2019 Newsletter

Dear Friends,

Tangents:  Year of the Pig begins today.

The Pig is the twelfth of the 12-year cycle of animals which appear in the Chinese zodiac related to the Chinese calendar. In the continuous sexagenary cycle of sixty years, every twelfth year corresponds to hai, ?; this re-recurring twelfth year is commonly called the Year of the Pig. Wikipedia

February 5, 1973 – Architecture – Work begins on the construction of the CN Tower. Toronto, Ontario  Go to article »

PHOTOS OF THE DAY

Shoppers walk through the Lunar New year fair at Victoria Park at night in Hong, China. Hong Kong celebrates the Lunar New Year holiday on Feb. 5 – 7 this year. Credit: Paul Yeung/Bloomberg

A red squirrel proves that even heavy snowfall won’t stop her getting to some food as she leaps through the air grab a snack, in woodland on the outskirts of Inverness, Scotland, UK. Credit: Gary Bruce/Triangle News

Indian Hindu devotees taking a holy dip at Sangam at the confluence of the Ganges, Yamuna and mythical Saraswati rivers during the auspicious bathing day of ‘Mauni Amavasya’ at the Kumbh Mela in Allahabad. State authorities in Uttar Pradesh are expecting 12 million visitors to descend on Allahabad for the centuries-old festival, which officially begins on January 15 and continues until early March. Credit: Handout/AFP/Getty Images
Market Closes for February 5^th, 2019

International Markets

Bonds

Currencies

Commodities

Market Commentary:
On this day in 1637, “Tulip mania” hit its peak in the Netherlands, with the price of the rare Witte Croonen tulip bulb reaching 1,345 guilders per half-pound, up 2,506% in 33 days. Over the next five years, these bulbs lost an annual average of 76% of their value, until they fetched only 37.5 guilders in 1641.
Canada
By Bloomberg Automation
     (Bloomberg) — The S&P/TSX Composite rose for the second day, climbing 0.6 percent, or 100.37 to 15,702.69 in Toronto.
     The move was the biggest since rising 0.7 percent on Jan. 17. Royal Bank of Canada contributed the most to the index gain, increasing 0.7 percent. Eldorado Gold Corp. had the largest increase, rising 5.6 percent. Today, 178 of 239 shares rose, while 55 fell.
================================================================
Top Contributors |Index Points Move| % Change
================================================================
Royal Bank of Canada | 6.7740| 0.7
Enbridge Inc | 5.3250| 0.8
Canadian National | 5.1350| 0.9
Encana | -1.7640| -2.8
Cronos Group | -2.2370| -6.1
Canopy Growth | -2.3680| -2.4
================================================================
Biggest Gainers | % Change |Index Points Move
================================================================
Eldorado Gold | 5.6| 0.3280
NexGen Energy | 4.6| 0.2470
Alacer Gold | 4.2| 0.2720
================================================================
Biggest Losers | % Change | Index Points Move
================================================================
Cronos Group | -6.1| -2.2370
Home Capital Group | -3.2| -0.2300
Ensign Energy Services | -3.0| -0.1280
* The benchmark 10-year bond rose and the yield fell 2.5 basis points to 1.937 percent
* The S&P 500 Index advanced 0.5 percent
Related News headlines:
* Alacer Gold 2018 Full Year Gold Production ~171,000 Ounces
* Cronos, Dream Industrial, Minco Silver: Canada Pre-Market
* Home Capital May See ’20 EPS Hit of About 4% on Buffer, NBF Says
* Canadian Pot ETF Retakes Billion-Dollar Mark as Stocks Surge
* U.S. Stocks Climb With Treasuries, Crude Oil Drops
Markets Wrap
US
By Jeremy Herron and Sarah Ponczek
     (Bloomberg) — U.S. stocks rose for a fifth day in muted trading as gains in technology shares outweighed a slump in financials sparked by falling Treasury yields. Crude fell below $54 a barrel.
     The S&P 500 tied it longest rally of the year, with most major groups advancing, led by large-cap tech shares. Trading volume was 15 percent below the 30-day average. The measure twice rose to within a whisker of its 200-day moving average, a level it last topped in December, only to fall back. Earnings and economic data were mixed, giving investors little to trade on ahead of tonight’s address to the nation from President Donald Trump.
     The relative calm in markets belies an undercurrent of uncertainty as trade talks between the U.S. and China remain unresolved and America lurches toward another government shutdown. Investors will be watching the State of the Union address later for any more signs of political rancor or clues on the outlook for foreign trade.
     The Stoxx Europe 600 Index capped a sixth advance in a row despite growth warnings from two chipmakers. Euro area PMIs were revised upward, helping boost sentiment further, but the common currency struggled as disappointing data from Italy hung over the region, while sterling fell following a weak services report.
     In Asia, many markets were shuttered for the Lunar New Year holidays. Australian shares jumped the most in more than two years, powered by financial stocks following the results of a yearlong inquiry into misconduct in the industry. Japanese equities nudged higher.
     Elsewhere, West Texas oil turned lower as traders weighed output cuts from the OPEC producer group and its partners against expectations for rising U.S. crude inventories.
     Emerging-market shares and currencies drifted. Pemex bonds jumped after Mexico’s president said he’ll announce extraordinary measures to support the oil firm.
Among key events in the coming days:
* Asian markets closed Tuesday: China, Hong Kong, Indonesia, Korea, Malaysia, Philippines, Singapore, Taiwan, Pakistan
* Earnings season continues, with reports this week from Twitter, Hasbro, Ryanair, Disney, Philip Morris, BNP Paribas, ING, MetLife, Societe Generale
* Trump delivers a delayed State of the Union address Tuesday
* On Wednesday, Federal Reserve Chairman Jerome Powell gives his first public comments following the January FOMC meeting and rate decision.
* Central banks in India and the U.K. set rates this week
These are the main moves in markets:
Stocks
* The S&P 500 Index gained 0.5 percent to a two-month high as of 4 p.m. New York.
* The Nasdaq 100 Index was higher by 0.9 percent while bank shares slumped almost 0.2 percent.
* The Stoxx Europe 600 Index rose 1.4 percent, reaching the highest in 12 weeks on its sixth consecutive advance.
* The MSCI Asia Pacific Index rose 0.4 percent to the highest in almost four months.
* The MSCI Emerging Market Index increased 0.4 percent.
Currencies
* The Bloomberg Dollar Spot Index added 0.1 percent.
* The euro fell 0.2 percent to $1.413, the weakest in more than a week.
* The British pound decreased 0.6 percent to $1.2955.
* The Japanese yen was flat at 109.951 per dollar.
Bonds
* The yield on 10-year Treasuries dipped two basis points to 2.70 percent.
* Germany’s 10-year yield fell one basis point to 0.17 percent.
* Britain’s 10-year yield declined five basis points to 1.232 percent.
Commodities
* Gold futures were flat near $1,319 an ounce.
* West Texas Intermediate crude declined 1.6 percent to $53.67 a barrel.
–With assistance from Samuel Potter.

Have a great night.

Be magnificent!

As ever,

Carolann

A mind always employed is always happy.  This is the true secret,
the grand recipe, for felicity.
                    -Thomas Jefferson, 1743-1826

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