January 27, 2021 Newsletter

Dear Friends,

Tangents: HOLOCAUST MEMORIAL DAY, UK.
January 27, 1945: soviet troops liberate Auschwitz and Birkenau Concentration Camps in Poland.

After more than seven decades after one of the darkest periods in human history, some 400 people aged 85 and older, many of them Holocaust survivors, were vaccinated in Vienna on International Holocaust Remembrance Day.

On Jan. 27, 1967, Astronauts Virgil I. ”Gus” Grissom, Edward H. White and Roger B. Chaffee died in a flash fire during a test aboard their Apollo I spacecraft at Cape Kennedy, Fla. Go to article »

1972: Vietnam Peace Agreement signed.

Wolfgang Amadeus Mozart, Composer, b. 1756.
Lewis Carroll, writer, b. 1832.
Mikhail Baryshnikov, dancer, b. 1948.

From the Late Night Host:

“Earlier today, all 100 senators were sworn in as jurors for Donald Trump’s upcoming impeachment trial, which starts on Feb. 8. The trial is to determine if the attack on the Capitol by thousands of people wearing flags that said ‘Trump’ and hats that said ‘Trump’ is the fault of — get this — Trump.” — JAMES CORDEN

“Now, to get a conviction, the House is going to have to convince 17 Republican senators that the former president incited the riot. Even though they were all hustled out through secret tunnels to keep them from being murdered by the president’s own bloodthirsty, fascist squad of goons, they’re on the fence.” — STEPHEN COLBERT

“Apparently, playing 36 holes of golf every day isn’t as exciting when you’re not ignoring a global pandemic.” — JIMMY FALLON

“But today Trump’s aides were trying to cheer him up. They were like, ‘Good news, sir, your trial starts in two weeks.’” — JIMMY FALLON
PHOTOS OF THE DAY
The Duchess of Cambridge chats to holocaust survivors Manfred Goldberg and Zigi Shipper, whom she met at former concentration camp Stutthof in 2017.
CREDIT: KENSINGTON PALACE
A lunar corona shines in the night sky above the northern Italian city of Parma
CREDIT: ALBERTO GHIZZI PANIZZA/SWNS.COM
George visits his wife Phyllis on her birthday at a care home in Sheffield
CREDIT:@CAREQUALITYCOMM
Two skiers pass by traffic signs drowned in the snow by the Dappes Car Park near La Dole
CREDIT: FABRICE COFFRINI/AFP VIA GETTY IMAGES
Market Closes for January 27^th, 2021 

International Markets

Bonds

Currencies

Commodities

Market Commentary:
     On this day in 1938, the New York Stock Exchange finally recommended installation of a board of governors, a salaried independent president and a specialized administrative staff. Previously, the exchange had functioned like a private gentleman’s club, with conduct enforced mainly by unspoken codes of honor and a pro-bono president
Canada
By Michael Bellusci
(Bloomberg) — Canadian equities fell the most since late October on Wednesday as part of a broad-based decline that pushed the benchmark index to its lowest since mid-December and erased the New Year’s advance. The S&P/TSX Composite Index retreated 2%, with ten of eleven sectors falling. Materials and industrials led the decline. Amid increased signs of market euphoria, there’s plenty of investor nerves out there — but also a reluctance to forgo gains. That favors complex options trades that protect against crashes but keep investors in the market, according to RBC strategists. Gold traded little changed, paring the day’s steepest losses, as a retreat in equities and lower U.S. Treasury yields diminished the allure of a stronger dollar.
Commodities
* Western Canada Select crude oil traded at a $12.80 discount to West Texas Intermediate
* Spot gold fell 0.5% to $1,842 an ounce
FX/Bonds
* The Canadian dollar fell 0.9% to C$1.2810 per U.S. dollar
* The 10-year government bond yield fell 2.0 basis points to 0.798%

By Bloomberg Automation:
     (Bloomberg) — The S&P/TSX Composite fell for the second day, dropping 2 percent, or 354.98 to 17,424.43 in Toronto. The move was the biggest since falling 2.7 percent on Oct. 28. Today, materials stocks led the market lower, as 10 of 11 sectors lost; 195 of 221 shares fell, while 25 rose. Shopify Inc. contributed the most to the index decline, decreasing 5.1 percent. Aurinia Pharmaceuticals Inc. had the largest drop, falling 8.1 percent.
Insights
* In the past year, the index had a similar or greater loss 19 times. The next day, it advanced 13 times for an average 3.3 percent and declined six times for an average 5 percent
* This month, the index was little changed
* The index was little changed in the past 52 weeks. The MSCI AC Americas Index gained 17 percent in the same period
* The S&P/TSX Composite is 3.5 percent below its 52-week high on Jan. 8, 2021 and 56 percent above its low on March 23, 2020
* The S&P/TSX Composite is down 3.3 percent in the past 5 days and fell 1.1 percent in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 25.5 on a trailing basis and 16.7 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3 percent on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$2.75t
* 30-day price volatility rose to 10.10 percent compared with 8.46 percent in the previous session and the average of 8.51 percent over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Materials | -82.5842| -3.5| 2/50
Financials | -78.1901| -1.5| 2/24
Industrials | -69.0967| -3.2| 4/25
Information Technology | -38.5964| -2.1| 3/7
Energy | -32.3889| -1.6| 6/15
Consumer Discretionary | -19.5372| -2.8| 1/12
Utilities | -13.6378| -1.5| 1/15
Communication Services | -7.9720| -0.9| 1/6
Real Estate | -7.4187| -1.3| 1/25
Consumer Staples | -5.7934| -0.9| 0/11
Health Care | 0.2465| 0.1| 4/5
US
By Claire Ballentine and Sophie Caronello
(Bloomberg) — U.S. equities tumbled as a risk-off mood descended on markets amid growing concern that stocks have become overvalued. The dollar jumped the most since September and Treasury yields slipped. The S&P 500 Index recorded its worst rout since October, with the gauge down 2.6% after Federal Reserve officials left their main interest rate unchanged without promising any more aid for the economy. The selloff was widespread, sinking all 11 groups in the benchmark stock gauge. Turmoil continued in pockets of the market where retail traders are becoming a dominant force, with shares of GameStop Corp. and AMC Entertainment Holdings Inc. soaring as investment pros questioned whether there’s any rationale behind the moves.
The Stoxx Europe 600 Index declined the most in five weeks as the European Union and AstraZeneca Plc squabbled over vaccine delivery delays. The euro fell after a European Central Bank official said the markets are underestimating the odds of a rate cut. Officials in the U.K. announced new rules to try to curb the spread of Covid-19 and Germany cut its 2021 economic growth forecast to 3% from 4.4%. An extended run higher for stocks has reversed this week as investors look to a spate of earnings releases for clues about the health of the corporate world. Federal Reserve Chairman Jerome Powell said at a press conference that the U.S. economy was a long way from full recovery and still short of policy makers’ inflation and job goals. “It was always doubtful the Fed would announce any new actions this month,” said Seema Shah, chief strategist at Principal Global Investors. “After a few weeks of Fed speakers pushing back on the monetary tightening narrative, it wasn’t surprising to hear Powell reassert the message that tapering is not on the agenda for 2021.”
The stock selloff is also being driven partly by speculation that hedge funds will be forced to reduce their equity holdings as retail investors make a concerted effort to boost shares the professional investors have bet against, according to Matt Maley, chief market strategist at Miller Tabak + Co. “A lot of them are getting burned by their shorts, and I think the market is worried that they’ll have to sell some stocks to meet their margin calls,” he said. Elsewhere, Bitcoin fell below $30,000 before paring the decline and precious metals slumped. Asian stocks fell for a second day as investors took a breather following the regional benchmark’s ascent to a record high Monday. In the region, benchmarks in India, Vietnam and the Philippines were among the biggest losers. These are some key events coming up in the week ahead:
* Apple Inc., Tesla Inc., Facebook Inc. and Samsung Electronics Co. are among companies reporting results.
* Fourth-quarter GDP, initial jobless claims and new home sales are among U.S. data releases Thursday.
* U.S. personal income, spending and pending home sales come Friday.

These are the main moves in markets:
Stocks
* The S&P 500 Index fell 2.6% as of 4 p.m. New York time.
* The Stoxx Europe 600 Index declined 1.2%.
* The MSCI Asia Pacific Index fell 0.8%.
* The MSCI Emerging Market Index dipped 1.3%.
Currencies
* The Bloomberg Dollar Spot Index rose 0.7%.
* The euro fell 0.5% to $1.2104.
* The British pound weakened 0.4% to $1.3683.
* The Japanese yen fell 0.5% to 104.18 per dollar.
Bonds
* The yield on 10-year Treasuries fell one basis point to 1.02%.
* Germany’s 10-year yield fell one basis point to -0.55%.
* Britain’s 10-year yield was little changed at 0.27%.
Commodities
* West Texas Intermediate crude rose 0.1% to $52.67 per barrel.
* Gold fell 0.5% to $1,842.36 an ounce.

–With assistance from David Wilson, Yakob Peterseil and Andreea Papuc.
Have a great night.

Be magnificent!
As ever,

Carolann

You may not have started out life in the best of circumstances.  But if you can find a mission in life
worth working for and believe in yourself, nothing can stop you from achieving success.
                                                                -Kemmons Wilson, 1913-2003 (holiday Inn founder).

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