June 6, 2023, Newsletter

Dear Friends,

Tangents:

I’m off later today to the Bloomberg Investment Conference in NYC for the rest of the week, back Monday.

On June 6, 1944, the D-Day invasion of Europe took place during World War II as Allied forces stormed the beaches of Normandy, France, the largest seaborne invasion in history.  Go to article > 

These chefs and restaurants are the 2023 James Beard Award winners.  Check out the winners of the James Beard Awards, widely considered the Oscars of the food world.

NASA to launch mission to an unexplored metal world this fall.  The space agency shared new details about an ambitious endeavor known as the Psyche mission.

More than 90% of Georgia’s peaches were lost this year due to extreme winter weather.  Will the shortage of this year’s crop impact the precious holiday cobbler season? Hopefully not, but we’ll definitely be in our fillings if so.

‘Barbie’ movie’s pink paint splurge led to global shortage.  The set for the upcoming “Barbie” movie required so much pink paint that it led to a global shortage, according to its production designer.

Cheers bar sells for $675,000 at auction of nearly 1,000 TV show items.

Earth’s highest, coldest, rarest clouds are back. How to see the eerie ‘noctilucent clouds’ this summer.
Look North as the stars appear in June and July to have a chance of seeing rare noctilucent (or ‘night-shining’) clouds with the naked eye. Read More

Lung cancer pill drastically cuts risk of death after surgery
Taking the drug Tagrisso daily after surgery reduced non-small cell lung cancer patients’ death risk by more than 50%. Read More

$3,499: That’s how much Apple will charge for its new mixed reality headset called the Apple Vision Pro. The device will be available early next year in the US, the company announced Monday at its Worldwide Developers Conference.
PHOTOS OF THE DAY

Frankfurt, Germany
A bumblebee flies over a poppy in a field on the outskirts of the city
Photograph: Michael Probst/AP

Bogotá, Colombia
Cast members during a performance of Woyzeck, written by the German dramatist Georg Büchner, as adapted by the Colombian director Jimmy Rangel, at the Colón theatre
Photograph: Anadolu Agency/Getty Images

Alcester, UK
Balloonists inflate the canopy of the BBC balloon at the start of the Midlands air festival at Ragley Hall. The balloon featured in the BBC One ident between 1997 and 2002
Photograph: Christopher Furlong/Getty Images
Market Closes for June 6^th, 2023

International Markets

Bonds

Currencies

Commodities

Market Commentary:
📈 On this day in 1925: Walter P. Chrysler founded the Chrysler Corp. as a successor to the failing Maxwell Motor Car Co. Its first original model, the Chrysler Four, astounded motorists with its top speed of 58 mph.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite rose 0.6% at 20,055.60 in Toronto. The index advanced to the highest closing level since May 23 after the previous session’s decrease of 0.5%.
Shopify Inc. contributed the most to the index gain and had the largest move, increasing 6.0%.
Today, 162 of 232 shares rose, while 67 fell; 7 of 11 sectors were higher, led by financials stocks.
Insights
* This quarter, the index was little changed
* The index declined 3.7% in the past 52 weeks. The MSCI AC Americas Index gained 3.1% in the same period
* The S&P/TSX Composite is 4.2% below its 52-week high on June 6, 2022 and 12.2% above its low on Oct. 13, 2022
* The S&P/TSX Composite is up 1.6% in the past 5 days and fell 2.4% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 13.1 on a trailing basis and 13.6 times estimated earnings of its members for the coming year
* The index’s dividend yield is 3.3% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.17t
* 30-day price volatility fell to 12.57% compared with 12.79% in the previous session and the average of 10.37% over the past month
================================================================
| Index Points | | Sector Name | Move | % Change | Adv/Dec
================================================================
Financials | 56.1215| 0.9| 26/3
Information Technology | 47.3098| 3.1| 9/3
Energy | 23.0938| 0.7| 24/16
Materials | 20.2953| 0.9| 35/13
Real Estate | 4.0850| 0.8| 19/2
Consumer Discretionary | 3.4105| 0.5| 11/3
Communication Services | 0.0881| 0.0| 3/2
Consumer Staples | -1.4208| -0.2| 7/4
Health Care | -1.6647| -2.4| 3/3
Utilities | -6.7225| -0.7| 5/11
Industrials | -20.6187| -0.7| 20/7
================================================================
| | |Volume VS| YTD |Index Points | | 20D AVG | Change Top Contributors | Move | % Change | (%) | (%)
================================================================
Shopify | 39.7800| 6.0| 21.9| 81.6
Bank of Montreal | 11.3400| 2.0| -10.4| -4.1
Brookfield Corp | 9.1260| 2.2| -34.6| -0.1
Waste Connections | -4.5200| -1.4| 12.8| 2.1
Canadian National | -11.8900| -1.8| 6.9| -4.1
Canadian Pacific Kansas | -12.5300| -1.9| 13.3| 1.8
US
By Isabelle Lee, Carly Wanna and Vildana Hajric
(Bloomberg) — US stocks gained Tuesday as a rotation into financial shares bolstered hopes the breadth of the S&P 500’s recent rally might extend beyond technology soon.
The benchmark index rose 0.2% as a decline in Apple Inc.’s stock took the air out of a tech rally, but shares of beaten- down regional banks were higher. The KBW Regional Bank index added 5.4% while the Russell 2000 gained 2.7%.
“It’s too early to say if this is bottom-fishing or a real bet that the most economically sensitive stocks — many of which are unprofitable — are the place to be,” said Steve Sosnick, chief strategist at Interactive Brokers. “But the outperformance that we saw in RTY on Friday and today is very much worth watching because it could explode the narrowing breadth concerns.”
The S&P 500 is on the edge of a bull market. However, the mood across global markets has been cautious with some questioning if markets have run up too fast on the hype for artificial intelligence.
For a second time in three days, the Russell 2000 has beat the tech-heavy Nasdaq 100 by at least 2.5 percentage points. Not since November 2020 have small-cap stocks scored frequent, big wins like this.
“It’s easy to think about tech as a proxy for equities overall,” said Michael Reynolds, vice president of investment strategy at Glenmede. But “if we were to see a broader expansion of the breadth in the market, that would be confidence in the economic picture showing up.”
The World Bank said in a report Tuesday the global economy is in a precarious situation as sharp interest-rate hikes hit activity and stir vulnerabilities in lower-income countries. Those fears have suppressed equities. But with the rate of US inflation still high, traders increasingly expect the Federal Reserve will hold rates steady at its June meeting, while keeping the option for hikes later on open. Former vice-chair Richard H. Clarida also said Tuesday it was unlikely the US central bank will start cutting rates until 2024.
“I just think there are so many investors out there who are so negative,” said Sam Stovall, chief investment strategist at CFRA. Typically, stocks rise after a Fed pause, “implying that if we don’t eclipse or close above that 20% threshold [of a bull market] beforehand, that we probably would do so shortly thereafter.”
Also boosting sentiment is a growing number of advisers who don’t think equities will be hurt much by Treasury’s needs following the debt ceiling suspension.
“There was a risk that issuance was going to come faster, and that it might have drawn more cash away from risk assets, but I am less concerned about that now,” Thomas Simons, senior economist at Jefferies, said.
A Treasury bill auction announcement weighed on short-dated Treasuries on Tuesday while the 10-year note was little changed.
In commodities, oil gave up gains off news of Saudi Arabia’s supply cut, sending energy stocks including Chevron Corp. lower. Wheat surged after Ukraine said Russian forces blew up a giant dam in the country’s south. And gold was little changed.
In Europe, the euro weakened and German bonds gained after the European Central Bank said euro-area consumer inflation expectations eased significantly in April.
Australia unexpectedly hiked on Tuesday and kept the door open to further increases, sparking a rally in the country’s currency.
And in Turkey, the lira dropped for an 11th day, on track for its longest run of losses in more than a year, amid speculation of less government intervention in markets.

Key events this week:
* China forex reserves, trade, Wednesday
* US trade, consumer credit, Wednesday
* Canada rate decision, Wednesday
* EIA crude oil inventory data, Wednesday
* Eurozone GDP, Thursday
* Rate decisions in India, Peru, Thursday
* Japan GDP, Thursday
* US wholesale inventories, initial jobless claims, Thursday
* China PPI, CPI, Friday

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 was little changed
* The Dow Jones Industrial Average was little changed
* The MSCI World index was little changed
Currencies
* The Bloomberg Dollar Spot Index was little changed
* The euro fell 0.2% to $1.0693
* The British pound was little changed at $1.2426
* The Japanese yen was little changed at 139.68 per dollar
Cryptocurrencies
* Bitcoin rose 5.8% to $27,125.54
* Ether rose 4.9% to $1,894.37
Bonds
* The yield on 10-year Treasuries was little changed at 3.69%
* Germany’s 10-year yield was little changed at 2.37%
* Britain’s 10-year yield was little changed at 4.21%
Commodities
* West Texas Intermediate crude fell 0.9% to $71.52 a barrel
* Gold futures rose 0.3% to $1,979.40 an ounce

–With assistance from Lu Wang.

Have a lovely evening.

Be magnificent!
As ever,

Carolann
Do all the good you can, in all the ways you can, to all the souls you can, in every place you can,
at all the times you can, with all the zeal you can, every time you can. –John Wesley, 1703-1791.

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