May 28, 2021 Newsletter

Dear Friends,

Tangents: Happy Friday.

1937~Alan Turing submits “On Computable Numbers” for publication, in which he set out the theoretical basis for modern computers.

On May 27, 1667 ~ mathematician Abraham de Moivre was born in Vitry, France. In 1688, he fled to England to escape King Louis XIV’s persecution of the Huguenots. In London, de Moivre discovered the normal statistical distribution (the “bell curve”) and worked out the formula for standard deviation, or short-term volatility.  Go to article »

From bubbles to boxed (yes, boxed), these are summer’s best rosés.

Seven new Wonders of the World just dropped.

Humans could live up to 150 years.

PHOTOS OF THE DAY

Sunrise over Ely Cathedral in Cambridgeshire on a sunny Friday morning with temperatures set to rise over the Bank Holiday weekend. 
CREDIT: ANDREW SHARPE/BAV MEDIA

Fish Friday: Incredible image captured by keen wildlife snapper Johan Wandrag. Johan snapped the action shot in the world famous Kruger National Park in South Africa. A hungry crocodile gobbles down a surprised fish after catching it in its jaws. The mighty beast was hunting for his dinner as the sun set. The apex predator spotted a tasty looking tilapia and went for the kill. Capturing the exact moment the fish realised he had become the croc’s dinner. The critter gave a shocked look seconds before he was guzzled down.
CREDIT: JOHAN WANDRAG/TRIANGLE NEWS

An adorable polar bear cub tumbles off its mum into the snow. The three month old cub’s fall was a surprise for its sibling as they played and clambered over their mother while learning valuable lessons in survival. Photographer Hung Tsui caught the heart-warming encounter between the polar bear family in Wapusk National Park, Canada.
CREDIT: HUNG TSU/SOLENT NEWS & PHOTO AGENCY

Market Closes for May 28^th, 2021

International Markets

Bonds

Currencies

Commodities

Market Commentary:
     On this day in 1946, with the stock market still euphoric over peace, the Dow Jones Industrial Average hit its immediate post-World War II high of 212.50, a level it would not surpass again until April 12, 1950—after nearly four years of chronic doldrums.
Canada
By Michael Bellusci
(Bloomberg) — Canadian equities closed at a record Friday, posting a consecutive weekly gain. The S&P/TSX Composite Index rose 0.4% Friday, with cannabis shares surging.  HEXO Corp. gained 9.5% after buying private marijuana company Redecan. A gauge of lumber prices has dropped from records for the first time in months, adding to signs that a historic rally may be ebbing. On the earnings front, National Bank of Canada shares fell after its fiscal second-quarter results underwhelmed investors following a week of blowout earnings from its peers.
Commodities
* Western Canadian Select crude oil traded at a $14.20 discount to West Texas Intermediate
* Spot gold rose 0.4% to $1,903.88 an ounce
FX/Bonds
* The Canadian dollar fell 0.1% to C$1.2077 per U.S. dollar
* The 10-year Canada government bond yield edged higher to 1.497%

By Bloomberg Automation:
    (Bloomberg) — The S&P/TSX Composite rose for the fourth day, climbing 0.4 percent, or 77.77 to 19,852.18 in Toronto. Barrick Gold Corp. contributed the most to the index gain, increasing 3.1 percent. Cronos Group Inc. had the largest increase, rising 14.8 percent. Today, 151 of 229 shares rose, while 75 fell; 10 of 11 sectors were higher, led by materials stocks.
Insights
* This month, the index rose 3.9 percent
* So far this week, the index rose 1.7 percent
* The index advanced 30 percent in the past 52 weeks. The MSCI AC Americas Index gained 41 percent in the same period
* The S&P/TSX Composite is 0.3 percent below its 52-week high on May 28, 2021 and 32.9 percent above its low on June 15, 2020
* S&P/TSX Composite is trading at a price-to-earnings ratio of 23.2 on a trailing basis and 17.1 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.6 percent on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.1t
* 30-day price volatility rose to 9.70 percent compared with 9.66 percent in the previous session and the average of 9.19 percent over the past month
================================================================
|Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
* Materials | 21.4567| 0.8| 35/16
* Industrials | 16.8150| 0.7| 15/15
* Financials | 12.6392| 0.2| 21/6
* Information Technology | 9.1048| 0.5| 5/6
* Health Care | 6.3086| 2.3| 8/2
* Communication Services | 5.3945| 0.6| 8/0
* Energy | 3.2473| 0.1| 15/8
* Consumer Discretionary | 2.5515| 0.3| 6/6
* Real Estate | 1.2709| 0.2| 21/5
* Consumer Staples | 0.4733| 0.1| 9/4
* Utilities | -1.4985| -0.2| 8/7

US
By Rita Nazareth
(Bloomberg) — Stocks notched their fourth straight monthly advance as data signaling prospects for a sustained rebound of the world’s largest economy outweighed inflation worries. The dollar was little changed. The S&P 500 ended the week near a record, while the Russell 2000 of small caps capped its eighth consecutive month of gains — the longest run since 1995. Traders focused on the outlook for higher spending that could boost growth, even after the personal consumption expenditures core-price gauge posted its biggest increase in two decades. The perception that the latest figures won’t be enough to prompt any change in policy by Federal Reserve officials has also helped sentiment. Inflation has certainly been a contentious topic for investors and economists alike, with some arguing that price increases are temporary and others anxious about elevated costs in the longer-term.
President Joe Biden issued his first full budget proposal, detailing his ambitions to expand the size and scope of the federal government with more than $6 trillion in spending over the coming fiscal year. “Stocks continue to rise since the U.S. economic growth ‘exceptionalism story’ does not appear to be going away anytime soon, and as inflation still looks like it will be transitory,” Edward Moya, senior market analyst at Oanda Corp., wrote in a note to clients. For Michael Shaoul, chief executive officer at Marketfield Asset Management, the latest figures may indeed be just a  “flash in the pan,” with a return to more normal conditions in a few quarters. “Although we are willing to admit that there are some unusual and potentially temporary factors at play in the report, it needs to also be understood that their cumulative impact has been much stronger than conventional analysis has anticipated,” he added.

Some corporate highlights:
* AMC Entertainment Holdings Inc. whipsawed after the movie-theater company more than doubled this week.
* Boeing Co. fell after halting deliveries of its 787 Dreamliner just two months after restarting them.
* Coinbase Global Inc. paced a rout in cryptocurrency-exposed shares as Bitcoin extended its monthly slide.

These are some of the main moves in markets:
Stocks
* The S&P 500 rose about 0.1% as of 4 p.m. New York time
* The Nasdaq 100 rose 0.2%
* The Dow Jones Industrial Average rose 0.2%
* The MSCI World index rose 0.3%
Currencies
* The Bloomberg Dollar Spot Index was little changed
* The euro was little changed at $1.2191
* The British pound fell 0.1% to $1.4189
* The Japanese yen was little changed at 109.86 per dollar
Bonds
* The yield on 10-year Treasuries declined one basis point to 1.59%
* Germany’s 10-year yield declined one basis point to -0.18%
* Britain’s 10-year yield declined two basis points to 0.79%
Commodities
* West Texas Intermediate crude fell 0.3% to $67 a barrel
* Gold futures rose 0.4% to $1,907 an ounce
–With assistance from Sunil Jagtiani, Cormac Mullen, Joanna Ossinger, Robert Brand, Claire Ballentine and Nancy Moran

Have a wonderful weekend everyone.

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
Toll Free: 1.877.430.5895
Fax: 778.430.5828
www.carolannsteinhoff.com