May 1, 2017 Newsletter

Dear Friends,

Tangents:

MAY 1^ST –Beltane – the ancient Celtic union of goddess and god, water and light.  All fires are extinguished at sunset on Beltane Eve, the midpoint between the spring equinox and the summer solstice.  In blackness of night, bonfires are struck from standing stone or drilled from sacred oak.  At the height of spring Beltane begins, celebrating all that is powerful and sensual in nature.   At dawn the sun dances, dancers grasp ribbons, weaving, the ribbons intertwine;  the Lord and Lady of Misrule preside over all.  The ancient Celts saw joy and life as one with suffering, death, and rebirth.

We were there last night when the dark drew down:
we set the bonfires leaping.
Then we vanished in the heather and we couldn’t be found until
the dawn came creeping. –Celtic rock group Annwn

PHOTOS OF THE DAY

A man in fancy dress, representing ‘new growth,’ participates in May Day Beltane festivities on Monday at Chalice Well, Glastonbury, England. The ancient Celtic festival of Beltane heralds the first signs of spring. Ben Birchall/PA/AP

Leicester Morrismen dance during May Day celebrations at Bradgate Park in Newtown Linford, in Leicestershire, England, on Monday.Darren Staples/Reuters
Market Closes for May 1^st, 2017

International Markets

Bonds

Currencies

Commodities

Market Commentary:
Number of the Day
8
The number of consecutive quarters during which Amazon has reported a profit, the longest such streak since 2012
Canada
By Kristine Owram
(Bloomberg) — Canadian stocks closed with a slight decline as lower crude and gold prices weighed on commodity producers, offsetting a big deal in the oil patch.
The S&P/TSX Composite Index slipped 11 points or 0.1 percent to 15,575.63. Materials shares lost 1.4 percent as the price of gold fell, with Eldorado Gold Corp. and Guyana Goldfields Inc. both down more than 6 percent. The energy index was flat as a 1.2 percent drop in the price of crude counteracted a takeover of Veresen Inc. by Pembina Pipeline Corp. Veresen’s shares jumped 19 percent while Pembina lost 3.3 percent.
The financials index was flat amid ongoing worries about Home Capital Group Inc.’s future. Home Capital fell another 13 percent while competitor Equitable Group Inc. jumped 30 percent after securing a loan to boost its liquidity.
In other moves:
* Martinrea International Inc. gained 5.4 percent after the auto supplier reported first-quarter results that beat estimates
* Natural gas player Keyera Corp. rose 4.9 percent on speculation that it could be a target following the Pembina- Veresen deal
* Valeant Pharmaceuticals International Inc. added 4.5 percent.
The company said it cut its debt by $220 million and is on track to repaying $5 billion of debt by early 2018
US
By Oliver Renick
(Bloomberg) — U.S. stocks held onto early gains, even amid headlines from President Trump on North Korea and the banking industry.
The S&P 500 added 0.2 percent to 2,388.33 at 4 p.m. in New York. The benchmark ended down 0.2 percent on Friday as losses in credit-card providers offset gains in technology stocks, trimming its weekly advance to 1.5 percent. The Dow Jones Industrial Average slid 27 points to 20,913.46.
* Tech stocks (+0.9%) and real estate (+0.6%) lead market higher
** Lam Research, Applied Materials up at least 2.7%
* Financial shares end higher after dropping on a Bloomberg News interview in which President Trump said he is actively considering breaking up big banks
** Volume in XLF ETF surged to almost 3x 30-day average between 12:30 and 1pm
** Earlier, Vice President Mike Pence says replacing the Dodd- Frank banking overhaul law is a top priority
* Utility, telecom and consumer staples shares down at least 0.5%; bond yields higher with 10-year up 4bps
* Volume in S&P 500 7% below the 30-day average; real estate and tech shares only groups trading on higher volume
** Volume movers: O’Reilly Automotive, Newell Brands, Affiliated Management, Harris Synchrony Financial all traded on volume at least 2x 30-day average
* VIX down to 10.1
** Volatility movers: LKQ Corp, JB Hunt Transport, Kellogg, Eastman Chemical and Scana Corp have highest put/call volume ratios in S&P 500
* Most equity markets in Europe and developing economies such as China, Russia, South Africa, and Turkey were closed on Monday for holidays
* POLITICS:
** U.S. House and Senate negotiators reached a bipartisan agreement Sunday night on a $1.1 trillion bill that would keep the government open through the end of September
** “The avoidance of a U.S. government shutdown helped markets shift from a neutral to more positive tone overnight in Asia,” said Jasper Lawler, senior market analyst at London Capital Group
* ECONOMY:
** Fed’s Cut in Bond Holdings May Be Messier Than Yellen Hopes
** U.S. March Personal Income rose 0.2%; est. Up 0.3%
** U.S. consumer spending stalled in March while inflation slowed to below the Federal Reserve’s target
* EARNINGS:
** After-market Monday: Advanced Micro Devices Inc (AMD), Alexandria Real Estate Equities Inc (ARE), Noble Energy Inc (NBL), Vornado Realty Trust (VNO), Flowserve Corp (FLS), FMC Corp (FMC)
** Pre-market Tuesday: Fidelity National Information Services Inc (FIS), Coach Inc (COH), HCA Holdings Inc (HCA), Martin Marietta Materials Inc (MLM), Becton Dickinson and Co (BDX), PG&E Corp (PCG), Aetna Inc (AET), AMETEK Inc (AME), HCP Inc (HCP), Emerson Electric Co (EMR), NRG Energy Inc (NRG), Pinnacle West Capital Corp (PNW), Ecolab Inc (ECL), Eaton Corp PLC (ETN), ConocoPhillips (COP), Merck & Co Inc (MRK), Pfizer Inc (PFE), CVS Health Corp (CVS), Xylem Inc/NY (XYL), Charter Communications Inc (CHTR), WEC Energy Group Inc (WEC), Altria Group Inc (MO), Mosaic Co/The (MOS), Archer-Daniels-Midland Co (ADM), Cummins Inc (CMI), Mastercard Inc (MA)
* Street Wraps:
** Fox May Play Defense to Thwart Sinclair Tribune Bid: Street Wrap
** Hess Midstream’s Stable Cash Flows Please Analysts: Street Wrap
** Schneider National ‘Secret Sauce’ Gets Analyst Love: Street Wrap

Have a wonderful evening everyone.

Be magnificent!

What is then worth having?
Mukti, freedom.
Swami Vivekananda

As ever,

Carolann

Thought is the wind, knowledge the sail, and mankind the vessel.
                                                    -Augustus Hare, 1834-1903

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Portfolio Manager &
Senior Vice-President

Queensbury Securities Inc.,
St. Andrew’s Square,
Suite 340A, 730 View St.,
Victoria, B.C. V8W 3Y7

Tel: 778.430.5808
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