July 22, 2021 Newsletter

Dear Friends,

Tangents:
July 22, 1376: Pied Piper of Hamelin, Germany.

On July 22, 1934, a man identified as bank robber John Dillinger was shot to death by federal agents in Chicago. Go to article »

New York now has better Indian food than London.

PHOTOS OF THE DAY

Casper and Romeo’s adorable friendship has won the hearts of netizens who often compare their current moods with the unusual facial expressions
CREDIT: CASPERANDROMEO / CATERS NEWS AGENCY

The sun sets over the city on another very warm evening. The weather is due to cool slightly over the next few days. The sky here is believed by some to be caused by forest fires is California. New York City has experienced some of its worst air quality in the last 2 days due to this reason
CREDIT: CHRIS GORMAN / BIG LADDER

A fleet of 470 class dinghy’s in action during a practice race today in Enoshima ahead of the Tokyo 2020 Olympic Games
CREDIT: CLIVE MASON/CLIVE MASON

A cunning kittiwake gull swooped in and attempted to steal a dozen sand eels from a puffin. After trying to flee, the puffin dropped the eels which fell back into the sea at the Isle of May, off the east coast of Scotland
CREDIT: ANDY SHEPPARD/ SOLENT NEWS & PHOTO AGENCY

Market Closes for July 22^nd, 2021

International Markets

Bonds

Currencies

Commodities

Market Commentary:
     On this day in 1946, the Bretton Woods Agreement was signed in Mount Washington, N.H., pegging major foreign currencies to the U.S. dollar, fixing the gold price at $35 per ounce, and laying the groundwork for the International Monetary Fund and the World Bank.
Canada
By Aoyon Ashraf
(Bloomberg) — Canadian stocks were mostly flat on Thursday, after shares of health care companies underperformed, while tech stocks rose. The S&P/TSX Composite index was down 0.06% in Toronto, led by declines in Trillium Therapeutics and Tilray. Tech stocks were best performer, led by Shopify, which rose 1.6% after at least two analysts raised their share price targets amid optimism on the e-commerce company’s upcoming earnings results. Meanwhile, Toronto Dominion Bank and Great-West Lifeco Inc. plan to issue inaugural limited recourse capital notes issues, taking advantage of the fast growing market for the Canadian
dollar denominated hybrid securities first sold one year ago.
Commodities:
* Western Canadian Select crude oil traded at a $14.00 discount to West Texas Intermediate
* Spot gold rose 0.2% to $1,807.46 an ounce
FX/ Bonds:
* The Canadian dollar was flat C$1.2565 per U.S. dollar
* The 10-year Canada government bond yield fell to 1.194%

By Bloomberg Automation:
     (Bloomberg) — The S&P/TSX Composite declined slightly to 20,097.52 in Toronto. The move follows the previous session’s increase of 0.8 percent. Toronto-Dominion Bank contributed the most to the index decline, decreasing 0.5 percent.  Iamgold Corp. had the largest drop, falling 10.5 percent. Today, 149 of 231 shares fell, while 79 rose; 8 of 11 sectors were lower, led by financials stocks.
Insights
* This month, the index fell 0.3 percent
* So far this week, the index rose 0.6 percent
* The index advanced 24 percent in the past 52 weeks. The MSCI AC Americas Index gained 34 percent in the same period
* The S&P/TSX Composite is 1.4 percent below its 52-week high on July 7, 2021 and 30.3 percent above its low on Oct. 30, 2020
* The S&P/TSX Composite is down 0.4 percent in the past 5 days and fell 0.5 percent in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 23.1 on a trailing basis and 16.5 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.6 percent on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.16t
* 30-day price volatility fell to 9.36 percent compared with 9.38 percent in the previous session and the average of 7.56 percent over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
* Financials | -18.3430| -0.3| 8/20
* Materials | -12.1511| -0.5| 14/39
* Health Care | -7.1721| -2.8| 0/10
* Real Estate | -4.3473| -0.6| 4/21
* Consumer Staples | -3.6672| -0.5| 4/9
* Energy | -2.2723| -0.1| 10/12
* Consumer Discretionary | -1.0603| -0.1| 6/7
* Communication Services | -0.2940| 0.0| 3/4
* Utilities | 1.8118| 0.2| 9/7
* Industrials | 8.5062| 0.4| 13/16
* Information Technology | 26.4818| 1.1| 8/4
================================================================
| | |Volume VS | YTD
| Index | | 20D AVG | Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
* TD Bank | -5.5700| -0.5| -54.1| 14.6
* Bank of Nova Scotia | -5.1470| -0.8| -65.2| 12.5
* Magna International | -5.0180| -2.4| 12.9| 18.8
* CAE | 3.9580| 5.3| 226.4| 9.3
* Brookfield Asset | | | |
* Management | 5.2720| 0.8| -13.8| 23.7
* Shopify | 24.7300| 1.6| 21.1| 39.4

US
By Rita Nazareth and Claire Ballentine
(Bloomberg) — A rebound in technology companies drove stocks to the brink of a record, with traders assessing another batch of economic and earnings reports.  Treasuries climbed. The S&P 500 had its biggest three-day advance since April, but gains paled in comparison to the previous two sessions. Giants Apple Inc. and Microsoft Corp. rallied, while firms closely tied to a broader reopening of businesses underperformed.  In late trading, Twitter Inc. jumped after a strong outlook, while Intel Corp. — the world’s biggest semiconductor maker — slid on a lackluster sales forecast. Rising earnings expectations have tempered worries over peaking growth and the spread of the delta coronavirus variant that roiled markets at the start of the week.  Economic reports were mixed, showing sales of previously owned U.S. homes rose for the first time in five months, while jobless claims unexpectedly climbed. “There’s going to be some choppiness in the market in the second half of the year, but we think it’s going to trend higher,” said Victoria Fernandez, chief market strategist at Crossmark Global Investments.  “We have so much liquidity in the market right now, you have companies with a tremendous amount of cash on their balance sheets, you have rates at tremendous lows.”
Earlier Thursday, equities fell on news that multiple prominent websites were inaccessible to some users. Among the corporate highlights, Union Pacific Corp., the largest publicly traded railroad, climbed as profit topped analysts’ projections.  AT&T Inc. rose after beating Wall Street estimates.  American Airlines Group Inc. and Southwest Airlines Co. slipped amid cautious outlooks, while D.R. Horton Inc. sank on an unexpected plunge in new home orders. As earnings continue to roll in, American stocks are regaining a leadership position in world markets.  The ratio between the S&P 500 and an S&P Global gauge of shares listed outside the U.S. shows as much.  After falling as much as 10.4% between September and February, the ratio rallied to a record on July 9 and again on Tuesday.

These are some of the main moves in markets:
Stocks
* The S&P 500 rose 0.2% as of 4 p.m. New York time
* The Nasdaq 100 rose 0.7%
* The Dow Jones Industrial Average was little changed
* The MSCI World index rose 0.4%
* The Russell 2000 Index fell 1.5%
Currencies
* The Bloomberg Dollar Spot Index was little changed
* The euro fell 0.2% to $1.1769
* The British pound rose 0.4% to $1.3765
* The Japanese yen rose 0.1% to 110.17 per dollar
Bonds
* The yield on 10-year Treasuries declined three basis points to 1.26%
* Germany’s 10-year yield declined three basis points to -0.43%
* Britain’s 10-year yield declined four basis points to 0.57%
Commodities
* West Texas Intermediate crude rose 2% to $71.71 a barrel
* Gold futures rose 0.2% to $1,811.60 an ounce
–With assistance from Andreea Papuc, Robert Brand, Srinivasan Sivabalan, David Wilson and Kamaron Leach.
Have a lovely evening.

Be magnificent.

As ever,

Carolann

I’d like to live like a poor man – only with lots of money. -Pablo Picasso, 1881-1973.

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