Dear Friends,
Tangents:
Mayb 27, 1931: Auguste Piccard and Paul Kipfer reach the stratosphere by balloon, rising over 15,000 meters in a pressurized capsule and opening a new era of high-altitude exploration.
May 27, 1937: The Golden Gate Bridge connecting San Francisco and Marin County, Calif., opened. Go to article.
May 27, 1930: Scotch tape patented.
Isadora Duncan, dancer, b. 1878.
Rachel Carson, writer, b. 1907.
Hubert H. Humphrey, politician, b. 1911.
| AI-generated images are making it impossible to distinguish truth from fiction. We need laws and AI watermarks to protect our shared reality. |
OPINION | Generative AI is destroying the baseline assumption that photographs bear some causal connection to reality. That’s bad news for democracy. Read more.
| Toxic plant on Ming dynasty-era surgical tools may be world’s oldest chemical evidence of topical anesthetic |
An analysis of residue on centuries-old surgical tools reveals the use of a toxic anesthetic in Ming dynasty-era Chinese medicine. Read more.
| Brilliant-green fireball meteor explodes over erupting volcano in the Philippines |
| Multiple videos show a rare "fireball" meteor breaking apart with a flash of emerald light over the erupting Mount Mayon. Initial reports suggested that the falling space rock hit the volcano, but this was untrue. Read more. |
The biggest room in the world is the room for improvement. -Helmut Schmidt.
The New Year party where time jumped nearly 600 years
Istanbul’s Pera Palace Hotel was the venue for Turkey’s first-ever Western-style New Year’s Eve party, when a historic calendar shift instantly moved the entire nation forward by almost six centuries.
Laos rescue operation
A dangerous rescue operation is underway in Laos to free several people trapped in a flooded cave as conditions worsen.
Remembering Clarence B. Jones
Clarence B. Jones, a former speechwriter and confidante of the Rev. Dr. Martin Luther King, Jr. who helped pen his famous "I Have A Dream" speech, has died. He was 95.
PHOTOS OF THE DAY
Oxford, England
People punt on the River Cherwell
Photograph: Andrew Matthews/PA
Diyarbakır, Turkey
Spillway gates at the Karakaya dam are opened for the first time in seven years after unusually heavy rainfall
Photograph: Bestami Bodruk/Anadolu/Getty Images
The last glaciers in Oceania
Puncak Jaya in Indonesia is one of the last equatorial mountains with glaciers, but the ice has retreated drastically because of the climate crisis.
Photograph: Klaus Thymann/Project Pressure
Market Closes for May 27th, 2026
| Market Index |
Close | Change |
| Dow Jones |
50644.28 | +182.60 |
| +0.36% | ||
| S&P 500 | 7520.36 | +1.24 |
| +0.02% | ||
| NASDAQ | 26674.73 | +18.55 |
| +0.07% | ||
| TSX | 34412.05 | -241.82
-0.70% |
International Markets
| Market Index |
Close | Change |
| NIKKEI | 64999.41 | +3.32 |
| +0.01% | ||
| HANG SENG |
25328.23 | -271.22 |
| -1.06% | ||
| SEN SEX | 75867.80 | -141.90 |
| -0.19% | ||
| FTSE 100* | 10505.01 | +13.62 |
| +0.13% |
Bonds
| Bonds | % Yield | Previous % Yield |
| CND. 10 Year Bond |
3.466 | 3.457 |
| CND. 30 Year Bond |
3.827 | 3.829 |
| U.S. 10 Year Bond |
4.4827 | 4.4846 |
| U.S. 30 Year Bond |
5.0110 | 5.0181 |
| BOC Close | Today | Previous |
| Canadian $ | 0.7227 | 0.7243 |
| US $ |
1.3836 | 1.3806 |
| Euro Rate 1 Euro= |
Inverse | |
| Canadian $ | 0.6214 | 1.6091 |
| US $ |
0.8599 | 1.1629 |
Commodities
| Gold | Close | Previous |
| London Gold Fix |
4515.50 | 4506.15 |
| Oil | ||
| WTI Crude Future | 88.68 | 93.89 |
Market Commentary:
| On this day in 1933, President Franklin D. Roosevelt signed into law the Securities Act of 1933, requiring all issuers of stocks and bonds to publish a prospectus disclosing risks, conflicts of interest and ownership positions. With the public crying for revenge on Wall Street after the Crash of 1929, the bill passed in the House of Representatives without any debate or a recorded vote; the Senate debated it for only two hours. |
🍒Canada🍓
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite fell for the second day, dropping 0.7%, or 241.82 to 34,412.05 in Toronto.
The move was the biggest since falling 1.3% on May 15.
Agnico Eagle Mines Ltd. contributed the most to the index decline, decreasing 3.0%. G.
Mining Ventures Corp. had the largest drop, falling 7.1%.
Today, 136 of 220 shares fell, while 82 rose; 6 of 11 sectors were lower, led by materials stocks.
Insights
* This month, the index rose 1.3%
* The index advanced 31% in the past 52 weeks. The MSCI AC Americas Index gained 27% in the same period
* The S&P/TSX Composite is 1.2% below its 52-week high on May 25, 2026 and 32.2% above its low on May 30, 2025
* The S&P/TSX Composite is up 0.7% in the past 5 days and rose 1.8% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 22.7 on a trailing basis and 16.5 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.2% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$5.47t
* 30-day price volatility rose to 12.95% compared with 12.75% in the previous session and the average of 13.61% over the past month
Index Points
Materials | -137.4568| -2.2| 9/50
Energy | -108.6910| -1.8| 3/34
Financials | -34.6253| -0.3| 10/14
Consumer Discretionary| -3.5058| -0.3| 5/4
Health Care | -1.3878| -1.5| 0/4
Utilities | -1.3507| -0.1| 7/7
Real Estate | 1.7372| 0.4| 14/4
Information Technology| 2.1700| 0.1| 4/5
Communication Services| 3.8230| 0.6| 4/1
Consumer Staples | 14.7576| 1.4| 10/0
Industrials | 22.7108| 0.6| 16/13
Agnico Eagle Mines Ltd | -26.3500| -3.0| -8.0| 4.0
National Bank of Canada | -23.1200| -4.0| 130.8| 18.1
Canadian Natural Resources | -20.7000| -2.2| 66.3| 36.2
Canadian National | 12.1900| 2.0| 32.6| 20.7
Canadian Pacific Kansas | 19.9900| 2.6| 11.7| 24.9
Shopify | 22.1500| 1.8| -26.7| -33.3
MT Newswires:
The Toronto Stock Exchange closed lower on Wednesday, falling for a second session following Monday’s record close, on more profit taking and weak commodity prices, while one analyst said Bank of Nova Scotia’s (BNS.TO) credit outlook "becomes more cautious" after it reported fiscal second-quarter earnings and a pair of economists noted credit stress is "rising, not breaking" in Canada.
The resources-heavy S&P/TSX Composite Index closed down 241.82 points, or 0.7%, to 34,412.05, adding to the near 170 points lost Tuesday.
Most sectors were lower, led by Energy, down 2.35% on lower oil.
Base Metals eased about 0.2%, not helped by a drop in the gold price.
Among gainers, both Industrials and Telecom rose by about 0.7%, respectively.
The Financial sector lost near 0.3% on a day when the trio of Scotiabank, Bank of Montreal (BMO.TO) and National Bank (NA.TO) each reported their respective fiscal Q2 results.
Canadian Imperial Bank of Commerce (CM.TO), Royal Bank of Canada (RY.TO) and Toronto-Dominion Bank (TD.TO) will each report theirs Thursday.
On Scotiabank, National Bank noted it reported Q2 core cash EPS of $2.02 versus a National Bank estimate of $1.87 and consensus of $1.93.
Among key takeaways, National Bank said although Scotiabank beat its, and consensus, expectations, it has a "mixed view" of the quarter.
On the positive side,National Bank said the Canadian P&C business delivered its best quarter in a long time, an important "deliverable" vis-a-vis Scotiabank’s double-digit EPS growth target for the year.
But on the negative side, National Bank said Capital Markets results missed consensus expectations and the bank’s guidance range.
More importantly, it added, credit losses were higher than expected, which resulted in the adoption of more conservative second half credit performance guidance.
National Bank has kept a sector-perform rating and C$106 target on Scotiabank’s shares.
Still on credit stress in Canada, the National Bank Economics and Strategy Group noted total debt in insolvency reached its highest level since the 2009 financial crisis in the first quarter, according to data from Equifax.
Economists Daren King and Matthieu Arseneau said this increase may seem alarming and raises concerns about the financial health of Canadian households.
But they asked, is the situation really as concerning as it seems?
To gain a clearer picture, the National Bank duo analyzed data from the Office of the Superintendent of Bankruptcy, which tracks the total number of insolvency filings (bankruptcies and consumer proposals) across the country.
They noted this data also shows that the number of insolvencies reached its highest level since the financial crisis in the first quarter.
However, King and Arseneau said, two adjustments are necessary to correctly interpret the trend in insolvencies.
The first concerns seasonality, since the first half of the year is historically associated with a higher volume of insolvencies.
The second involves accounting for the strong population growth observed since 2009, as the Canadian population has increased by approximately 25% over this period.
According to the pair, once the data is seasonally adjusted and expressed on a per capita basis, the insolvency rate remains well below the peak reached in the wake of the financial crisis and is even below its pre-pandemic level of 2019.
They said the upward trend observed since 2022 therefore reflects a normalization from an exceptionally low pandemic trough rather than a widespread breakdown in household credit.
This does not mean, however, that the situation should be downplayed, they added.
"The rise in the insolvency rate over the past year reflects a more fragile labour market, high interest rates, and a still-high cost of living, particularly for housing, food, and energy, which continue to put pressure on many households.
However, the data does not support the narrative of systemic credit risk suggested by some media headlines.
The most accurate interpretation remains more nuanced: financial strains are increasing, but their magnitude remains moderate by historical standards for now," King and Arseneau said.
Of commodities, West Texas Intermediate crude oil plunged 5.6% on expectations the United States and Iran are nearing a deal to reopen the Strait of Hormuz and end the largest-ever energy supply shock.
WTI crude oil for July delivery closed down US$5.21 to settle at US$88.68 per barrel, the lowest since April 20, while July Brent oil was down US$5.30 to US$94.28.
Also, gold fell to a two-month low, even as the dollar dipped and oil prices weakened ahead of an expected peace deal to end the war on Iran, easing inflation worries.
Gold for July delivery was down US$52.60 to US$4,482.40 per ounce, the lowest since March 26.
US
By Rita Nazareth
(Bloomberg) — Wall Street traders left stocks wavering amid mixed signals about prospects for a deal to end the war in Iran and revive energy flows through the vital Strait of Hormuz.
While equities remained at record highs, the S&P 500 closed little changed.
US oil settled below $89. In late hours, Salesforce Inc. gave a tepid outlook.
Snowflake Inc. raised its sales forecast and made a new commitment to spend an additional $6 billion on Amazon.com Inc.’s Web Services.
President Donald Trump said he was “not satisfied” in negotiations with Iran, damping expectations for an imminent breakthrough.
The US denied an Iranian media report about a draft interim deal that said traffic through the Strait of Hormuz could return to normal within a month of it coming into effect.
Trump asserted that no one nation would control the waterway, highlighting a key sticking point in resolving the nearly three-month conflict.
He didn’t indicate what steps the US would take to ensure free passage of vessels.
The president also downplayed the possibility of Iranian sanctions relief.
“The situation surrounding Iran remains highly fluid as negotiations continue toward a more durable peace agreement,” said Adam Turnquist at LPL Financial.
“A meaningful reopening of the Strait of Hormuz will likely be necessary for oil prices to move sustainably lower.”
US Secretary of State Marco Rubio said that “we’ll see over the next few hours and days whether progress could be made” on Iran.
US Special Envoy Steve Witkoff, Jared Kushner and Vice President JD Vance “have been very involved,” he noted.
“The stock market has enough confidence that a resolution with Iran will eventually come to light, even if it’s not immediate,” said Alexander Guiliano at Resonate Wealth Partners.
“While it may seem like stocks have moved too fast, we saw a garden variety correction only two months ago, which helped to reset sentiment.”
Veteran market strategist Ed Yardeni dismissed concerns that US stocks are in a bubble, arguing the recent rally was driven by solid corporate profits rather than speculation.
“The big difference is earnings,” Yardeni told Bloomberg Television’s Surveillance.
He coined the term “FEMO” — fabulous earnings momentum — to distinguish the current rally from “FOMO,” or fear of missing out, which he said is based on hope and hype rather than fundamentals.
Earnings growth powered by the AI boom will drive further gains in stocks, Goldman Sachs Group Inc. strategists led by Ben Snider said as they increased their year-end target for the S&P 500 to 8,000 points.
The gauge closed at 7,520.36 on Wednesday.
Corporate Highlights:
* Meta Platforms Inc. is selling consumer subscriptions to its Meta AI chatbot for the first time, a key step toward building a business that would help offset hundreds of billions of dollars in artificial intelligence investments by the company.
* HP Inc. gave a profit forecast for the current quarter that topped estimates, signaling that the company is weathering a dramatic increase in memory chip prices.
* Wall Street banks are predicting another banner quarter for their trading desks.
** Bank of America Corp. expects second-quarter revenue from sales and trading to increase about 15% from a year ago, Chief Executive Officer Brian Moynihan said Wednesday. And JPMorgan Chase & Co. CEO Jamie Dimon said markets revenue at his bank
could rise 11%, which would make it the second-best quarter ever for that business.
* Boeing Co.’s chief gave investors an optimistic forecast for this year and beyond, as the US plane maker raises production on its workhorse 737 Max jet, nears certification on long-delayed models and expects a windfall from defense spending.
* American Airlines Group Inc. said it continues to see strong demand for travel, even as surging jet fuel drives up ticket prices and consumer confidence in the US edges down.
Some of the main moves in markets:
Stocks
* The S&P 500 was little changed as of 4 p.m. New York time
* The Nasdaq 100 was little changed
* The Dow Jones Industrial Average rose 0.4%
* The MSCI World Index was little changed
Currencies
* The Bloomberg Dollar Spot Index was little changed
* The euro was little changed at $1.1630
* The British pound fell 0.1% to $1.3432
* The Japanese yen fell 0.1% to 159.52 per dollar
Cryptocurrencies
* Bitcoin fell 1.3% to $75,033.37
* Ether fell 1% to $2,055.29
Bonds
* The yield on 10-year Treasuries declined one basis point to 4.47%
* Germany’s 10-year yield was little changed at 2.99%
* Britain’s 10-year yield declined two basis points to 4.86%
Commodities
* West Texas Intermediate crude fell 4.8% to $89.37 a barrel
* Spot gold fell 1.2% to $4,452.64 an ounce
Have a lovely evening.
Be magnificent!
As ever,
Carolann
To be wronged is nothing unless you continue to remember it. -Confucius, 551 BCE-479 BCE
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 (Text Only)
Toll Free: 1.877.430.5895
Fax: 778.430.5828