June 27, 2022 Newsletter

Dear Friends,

Tangents: Happy Monday.
June 27, 1914: Archduke Franz Ferdinand, heir to the Austro-Hungarian throne, and his consort, Sophie, are assassinated by Gavrilo Princip in Sarajevo, Bosnia, precipitating the outbreak of World War I.

1954: 1st atomic power station opens – Obninsk, near Moscow in Russia.   Go to article »
1880: Helen Keller, b.

NASA launches first rocket from Australian space center.  Another exciting space achievement for NASA! The rocket blasted off just past midnight local time today and will observe star systems near Earth. 

Massive python captured in Florida.  Call the hiss-torians. This record-breaking snake is going in the books as the heaviest ever captured in the state, topping 215 pounds and 18 feet long. 

Just keep your returns… Stores are considering the unthinkable: paying you to keep unwanted items

Atlanta is a gem of a city, with diversity, great finances, a booming economy, the best airport and more. — Matthew Winkler.

Perfectly preserved baby mammoth found in Canada.

PHOTOS OF THE DAY

Bathers cool down in a pool at a water park in China’s central Henan province
CREDIT: AFP/Getty Images

People gather around a bonfire while celebrating Ivan Kupala, the summer solistice, near Moscow. Ivan Kupala, also called Kupala Night, is a traditional Slavic holiday that was originally celebrated on the shortest night of the year. The celebration relates to the summer solstice when nights are the shortest and includes a number of Slavic rituals including herb collecting, bonfire lighting, and bathing in the river
CREDIT: Anadolu Agency/Getty Images

Police officers patrol on horseback near Elmau Castle
CREDIT: Ronald Wittek/EPA

Market Closes for June 27^th, 2022

International Markets

Bonds

Currencies

Commodities

Market Commentary:
On this day in 1981, Gail M. Pankey became the first African-American female member of the New York Stock Exchange.
Canada
By Stefanie Marotta
(Bloomberg) — Canadian equities rose to their highest point in nearly two weeks as energy stocks climbed in their
biggest jump since April. The S&P/TSX Composite rose for the
second day, climbing 1%, or 195.41 to 19,258.32 in Toronto.
Canadian Natural Resources Ltd. contributed the most to the
index gain, increasing 5.5%. Vermilion Energy Inc. had the
largest increase, rising 11.7%.
Today, 169 of 239 shares rose, while 65 fell; 7 of 11
sectors were higher, led by energy stocks.
Terminal users can read more in our markets live blog.
Insights
* This quarter, the index fell 12%, heading for the biggest decline since the first quarter of 2020
* This month, the index fell 7.1%
* The index declined 4.8% in the past 52 weeks. The MSCI AC Americas Index lost 11% in the same period
* The S&P/TSX Composite is 13.3% below its 52-week high on April 5, 2022 and 3.2% above its low on June 23, 2022
* The S&P/TSX Composite is up 0.4% in the past 5 days and fell 7.2% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 15.1 on a trailing basis and 11.8 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.1% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.06t
* 30-day price volatility rose to 20.38% compared with 20.17% in the previous session and the average of 20.42% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
* Energy | 112.6102| 3.3| 37/1
* Materials | 46.7435| 2.0| 44/7
* Financials | 43.5916| 0.7| 21/7
* Utilities | 8.5902| 0.9| 14/2
* Consumer Discretionary | 5.4747| 0.9| 11/2
* Consumer Staples | 1.1927| 0.2| 6/4
* Communication Services | 0.2870| 0.0| 4/3
* Health Care | -0.1009| -0.1| 2/3
* Industrials | -1.3203| -0.1| 19/10
* Real Estate | -1.7678| -0.3| 9/14
* Information Technology | -19.9045| -1.8| 2/12
================================================================
| | |Volume VS| YTD
|Index Points | | 20D AVG | Change
Top Contributors | Move | % Change | (%) | (%)
================================================================
* Canadian Natural Resources | 28.6200| 5.5| 28.1| 28.6
* Nutrien | 16.5500| 4.2| 48.3| 13.4
* TD Bank | 13.9000| 1.3| 26.8| -12.5
* Descartes Systems | -2.8550| -5.8| 44.8| -23.8
* Canadian National | -2.9880| -0.5| -10.9| -6.0
* Shopify | -12.8900| -3.3| -28.4| -72.4

US
By Rita Nazareth
(Bloomberg) — Stocks fell after last week’s powerful rally, with investors rebalancing their portfolios in the final days of the quarter.
At the start of a week expected to be marked by fickleness and lack of conviction on a market trough, the S&P 500 had a hard time finding direction throughout most of the day.
The
tech-heavy Nasdaq 100 underperformed as Treasury yields climbed.
The dollar was little changed.
“There will be lots of fund managers rebalancing their portfolios this week, which could mean more volatility,” said Fawad Razaqzada, market analyst at City Index and Forex.com.
“Betting on a bear-market bottom could be a costly mistake, while selling short is not as lucrative as was the case when markets were higher.”
Trader sentiment continues to be impacted by a confluence of factors — from aggressive Federal Reserve hikes to looming recession fears and unsettling inflation readings.
For Kristen Bitterly at Citi Global Wealth Management, the market isn’t turning a corner until investors know the US has avoided a recession, “and we are not there yet.”
There’s a growing perception among prominent Wall Street voices that the level of bullishness about the corporate side may be in desperate need of a reality check.
Data from Bloomberg Intelligence show analysts expect companies in the S&P 500 to see profits grow by 10.7%, up from 10% a month ago and 8.7% at the start of the year.
Another way of looking at it is: on a scale of 1 to 5 – in which 5 is a buy and 1 is a sell — analysts now have an average consensus rating of 4, data compiled by Bloomberg show.
That’s the highest reading since 2002.
“We are a long way from looking at a situation where investors have sworn against stocks in a significant way like they usually do at the bottom of a bear market,” said Matt Maley, chief market strategist at Miller Tabak. “Investors
should use any further gains in the stock market as opportunities to raise some cash and get more defensive.”
Market volatility sparked by fears of recession is also behind the current trend of corporate- and sovereign-bond deals getting withdrawn. Issuers have pulled 16 transactions globally so far this month, the most since Bloomberg started monitoring figures in February, after Russia began its invasion of Ukraine.

What to watch this week:
* San Francisco Fed President Mary Daly is interviewed by LinkedIn’s chief economist, Tuesday
* US GDP, Wednesday
* ECB President Christine Lagarde, Federal Reserve Chair Jerome Powell, BOE Governor Andrew Bailey and Cleveland Fed President Loretta Mester due to speak at ECB event, Wednesday
* St. Louis Fed President James Bullard speaks, Wednesday
* China PMI, Thursday
* US personal income, PCE deflator, initial jobless claims, Thursday
* Eurozone CPI, Friday
* US construction spending, ISM Manufacturing, Friday

Some of the main moves in markets:
Stocks
* The S&P 500 fell 0.3% as of 4 p.m. New York time
* The Nasdaq 100 fell 1%
* The Dow Jones Industrial Average fell 0.2%
* The MSCI World index rose 0.3%
Currencies
* The Bloomberg Dollar Spot Index was little changed
* The euro rose 0.3% to $1.0581
* The British pound was little changed at $1.2266
* The Japanese yen fell 0.2% to 135.46 per dollar
Bonds
* The yield on 10-year Treasuries advanced seven basis points to 3.20%
* Germany’s 10-year yield advanced 10 basis points to 1.55%
* Britain’s 10-year yield advanced nine basis points to 2.39%
Commodities
* West Texas Intermediate crude rose 2.1% to $109.83 a barrel
* Gold futures fell 0.4% to $1,823.70 an ounce
–With assistance from Andreea Papuc, Abigail Moses, Vildana Hajric, Isabelle Lee, Emily Graffeo and Elena Popina.
Have  a lovely evening.

Be magnificent!
As ever,

Carolann

The world is full of suffering, but it is also full of people overcoming it. –Helen Keller, 1880-1968.

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