July 29, 2019 Newsletter

Dear Friends,

Tangents:
July 29, 1914 – Transcontinental telephone service began with the first phone conversation between New York and San Francisco.  Go to article »
July 29, 1949 – Moscow ended the blockade of West Berlin.
1958 –  NASA Established

Check out this blog: http://smittenkitchen.com/
Lots of easy to do recipes for cooking inspiration J.

Former schoolteacher is India’s newest billionaire.

PHOTOS OF THE DAY

The Honest Lad Aidan Maguire leads the cavalcade of horse riders taking part in the riding of the Marches through the River Esk alongside the Roman Bridge in Musselburgh, East Lothian, during the annual Musselburgh Festival.
CREDIT: JANE BARLOW/PA

(L-R) Andrew Shovlin, Trackside Engineering Director of Mercedes GP, Mercedes GP Executive Director Toto Wolff and James Vowles, Chief Strategist of Mercedes Gp pose for a photo in retro clothes to celebrate 125 years of Mercedes in motorsport ahead of the German Formula One Grand Prix at the Hockenheim racing circuit in southern Germany.
CREDIT: ANDREJ ISAKOVIC/AFP/ GETTY IMAGES

The pack rides through the courtyard of the Louvre museum during the twenty-first stage of the Tour de France cycling race.
CREDIT: RAFAEL YAGHOBZADEH/POOL VIA REUTERS

Team INEOS rider Egan Bernal of Colombia, wearing the overall leader’s yellow jersey, drinks champagne at the car of his team director. Thibault Camus
CREDIT: THIBAULT CAMUS/POOL VIA REUTERS
Market Closes for July 29th, 2019

International Markets

Bonds

Currencies

Commodities

Market Commentary:
Get ready for a huge week of economic news.

On this day in 1869, the New York Stock Exchange was formed from the merger of the New York Stock & Exchange Board with the Open Board and the Government Board (where Treasury bonds were traded).
Canada
By Kristine Owram
(Bloomberg) — Canadian stocks fell as tech heavyweight Shopify Inc. weighed on the benchmark and investors continued to flee pot companies. The S&P/TSX Composite Index lost 0.2% to 16,492.17. Technology shares led the decline as Shopify tumbled 5.1%, its biggest drop in a month. The move came as a report suggested Kylie Jenner’s beauty empire, a customer of Shopify’s, is experiencing declining sales. The health-care index slid 1% to the lowest since early January. All pot stocks fell with the exception of Hexo Corp., which posted a dramatic rebound after a short-seller report alleged it ran aggressive promotions that potentially violated Canadian advertising regulations.
In other moves:

Stocks
* Vermilion Energy Inc. lost 7.3% to the lowest since 2009. The company’s second-quarter earnings per share missed the lowest analyst estimate
* Thomson Reuters Corp. fell 3.1%, the most in eight months, after BMO Capital Markets downgraded the stock to market perform, citing its 46% advance this year through Friday
* Bausch Health Cos. gained 2.6%. The pharmaceutical company plans to pay down an additional $100 million of debt this week
Commodities
* Western Canada Select crude oil traded at a $13.75 discount to WTI
* Gold rose 0.1% to $1,420.40 an ounce
FX/Bonds
* The Canadian dollar strengthened 0.1% to C$1.3160 per U.S. dollar
* The Canada 10-year government bond yield rose 1 basis point to 1.47%
US
By Randall Jensen and Vildana Hajric
(Bloomberg) — U.S. equities edged lower as tech heavyweights weighed on benchmarks, while Treasuries gained ahead of the Federal Reserve’s meeting. The pound tumbled more than 1%. The S&P 500 Index fell for the second time in three sessions after reaching a record Friday as Amazon Inc., Facebook Inc., Alphabet Inc. and Netflix Inc. all slid. Apple Inc. gained ahead of its earnings announcement Tuesday, helping to lift the Dow Jones Industrial Average. Drug companies got a boost from surging Mylan NV after the generic drugmaker and Pfizer Inc. announced merger plans. The 10-year Treasury yield declined for a second day to 2.06% before the Fed’s anticipated rate cut on Wednesday. The dollar climbed to the highest in almost two months before a new round of trade talks between the U.S. and China this week. The pound slid to its lowest level in more than two years as U.K. Prime Minister Boris Johnson stepped up preparations for a no deal Brexit.
Investors will be picking through any developments on trade as Chinese and American negotiators gather Tuesday for two days of talks, three months after negotiations broke down. Neither side is signaling much hope for a breakthrough. Meanwhile, Fed Chairman Jerome Powell’s post-meeting press conference on Wednesday will provide an opportunity to gauge the trajectory of U.S. rates after the central bank is tipped to ease policy. On a related theme, traders will eagerly await monthly employment data from the world’s largest economy at the tail end of the week.
“It’s a very important week not only because of the Fed. You do have an employment number, which is obviously overshadowed by the Fed, but you also have some interesting earnings,” said JJ Kinahan, chief market strategist at TD Ameritrade. “It makes it a very busy week.” Corporate earnings will remain a focal point as investors stay vigilant for any signs that a global economic slowdown is being reflected in companies’ bottom lines. Among major earnings this week are Apple, Rio Tinto and carmakers Toyota and BMW. Here are some of the key events to watch as the week
unfolds:
* Earnings include: Nintendo, Qualcomm, AMD, Siemens, Sony, Credit Suisse, Nomura, Toyota, Honda, Ferrari, GM, BMW, Rio Tinto, ConocoPhillips, BP, Shell, Vale, Heineken, GE, Altria.
* Bank of Japan rate decision and Governor Haruhiko Kuroda briefing are due Tuesday.
* U.S. Trade Representative Robert Lighthizer and his team meet their Chinese counterparts in Shanghai Tuesday.
* Fed officials begin their two-day meeting on monetary policy in Washington Tuesday. Chairman Jerome Powell will hold a press conference following the FOMC’s decision Wednesday.
* The Bank of England policy decision is due Thursday.
* The U.S. July jobs report is due Friday.

These are the main moves in markets:
Stocks
* The S&P 500 Index fell 0.2% as of 4 p.m. New York time.
* The Dow Jones Industrial Average rose 0.1%.
* The Stoxx Europe 600 Index was little changed.
* The U.K.’s FTSE 100 Index increased 1.8% to the highest in almost a year.
* The MSCI Asia Pacific Index decreased 0.5% to the lowest in more than a week.
Currencies
* The Bloomberg Dollar Spot Index rose 0.1% to the highest in almost two months.
* The euro advanced 0.2% to $1.1145.
* The Japanese yen fell 0.1% to 108.79 per dollar, the weakest in almost three weeks.
* The British pound fell 1.3% to $1.2224, the biggest drop in more than eight months.
Bonds
* The yield on 10-year Treasuries dipped one basis point to 2.06%.
* Britain’s 10-year yield fell three basis points to 0.654%, the lowest in about three years.
* Germany’s 10-year yield declined two basis points to -0.39%, the lowest in more than three weeks.
Commodities
* Gold rose 0.5% to $1,426.13 an ounce.
* West Texas Intermediate crude gained 1.5% to $57.02 a barrel.
–With assistance from Tom Lavell, Laura Curtis and Sarah Ponczek.
Have a great night.

Be magnificent!
As ever,

Carolann

Change is the law of life.  And those who look only to the past or present are certain to miss the future.
                                                                               -John F. Kennedy, 1917-1963

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