November 15, 2021 Newsletter

Dear Friends,

Tangents: Happy Monday.

2011: Hundreds of police officers in riot gear raided the Occupy Wall Street encampment in New York City, evicting hundreds of protesters and then demolishing the tent city. Go to article »
 1943: Gypsies condemned by Himmler; up to 500,000 killed.
Georgia O’Keefe, painter, b. 1887

Earth’s lower atmosphere is expanding due to climate change. 

America’s 10 most expensive ZIP codes have median home prices over $4 million.  A little intel for your next fantasy Zillow browse. 

Global wealth tripled in the last two decades, with the U.S. falling behind as China takes over the top spot. Net worth worldwide rose to $514 trillion in 2020 from $156 trillion in 2000. China accounted for almost one-third of the increase.

If Elon Musk is a new Henry Ford, he’ll have to prove it in Germany.

PHOTOS OF THE DAY
Trucks wait in a queue about 30km long at the border with Belarus after the Polish border gate in Kuznica was closed for security reasons
CREDIT: Anadolu Agency/Getty Images
Makar Ignatov of Russia performs during the gala exhibition of the ISU Grand Prix of Figure Skating NHK Trophy
CREDIT: Franck Robichon/EPA

Members of Gladiators NYC league dressed in medieval armour fight each other in Central Park. Gladiators NYC meet in Central Park once a month for a full contact combat tournament
CREDIT: Alexi Rosenfeld/Getty Images

Market Closes for November 15^th, 2021

International Markets

Bonds

Currencies

Commodities

Market Commentary:
     On this day in 1867, the first practical stock ticker went “online,” as Thomas Edison’s improved gizmo made continuous nationwide transmission of stock prices possible for the first time.
Canada
By Stefanie Marotta
(Bloomberg) — Canadian equities slumped on Monday, dragged down by technology and industrial companies. The S&P/TSX Composite fell 0.4% at 21,683.08 in Toronto, retreating from the previous session’s record high. Shopify Inc. contributed the most to the index decline with a 1.1% drop. Canopy Growth Corp. had the largest drop, falling 5.5%. Nine of 11 sectors were lower, led by financials stock; 142 of 233 shares fell, while 88 rose.

Insights
* This year, the index has risen 24%, heading for the best year in at least 10 years
* The S&P/TSX Composite is 0.4% below its 52-week high on Nov. 12 and 30.1% above its low on Nov. 13, 2020
* S&P/TSX Composite is trading at a price-to-earnings ratio of 19.7 on a trailing basis and 17.2 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.4% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.43t
* 30-day price volatility fell to 9.15% compared with 9.22% in the previous session and the average of 10.16% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
* Financials | -37.1267| -0.5| 6/21
* Information Technology | -23.0736| -0.9| 4/10
* Industrials | -21.4373| -0.8| 3/27
* Materials | -10.6045| -0.4| 21/34
* Energy | -2.9673| -0.1| 9/14
* Health Care | -1.9532| -0.9| 4/5
* Real Estate | -0.8553| -0.1| 14/10
* Communication Services | -0.5368| -0.1| 2/5
* Utilities | -0.2385| 0.0| 8/8
* Consumer Staples | 4.8573| 0.6| 8/4
* Consumer Discretionary | 8.5008| 1.1| 9/4
================================================================
| | |Volume VS| YTD
|Index Points| | 20D AVG | Change
Top Contributors | Move |% Change | (%) | (%)
================================================================
* Shopify | -17.3900| -1.1| 11.0| 44.2
* Brookfield Asset Management | -15.2900| -2.0| 34.4| 42.1
* Royal Bank of Canada | -7.6170| -0.6| -42.7| 26.6
* Restaurant Brands | 2.8690| 1.9| -18.1| -6.1
* Couche-Tard | 3.7450| 1.3| 8.8| 17.3
* Magna International | 4.5230| 2.2| 9.5| 23.0

US
By Rita Nazareth and Emily Graffeo
(Bloomberg) — Stocks struggled for direction on Monday amid intense volatility in electric-car giant Tesla Inc. and a Treasury yield surge. The S&P 500 came off session lows as Tesla pared losses after approaching a bear market, with an almost 20% plunge from a record. The company tumbled earlier in the day as Chief Executive Officer Elon Musk raised the idea of selling more of his shares. Treasuries slumped on speculation the Federal Reserve may have to speed up its reduction of asset purchases after the fastest inflation in three decades. After a year dominated by relentless stock gains and a selloff in bonds, strategists have begun marketing their calls for 2022, with the threat of inflation looming large in investors’ minds.
Morgan Stanley’s Mike Wilson expects the S&P 500 to slide to 4,400 in the next 12 months, implying a 6% drop from Friday. While profits are projected to extend their expansion, he warns that a growth slowdown and withdrawal of Fed stimulus will likely pressure valuations. “We’re in a very tricky time,” said Ryan Jacob, chief investment officer of Jacob Asset Management. “We’re dealing with kind of a very, very unusual set of crosswinds in the economy that we need to kind of get past.” It’s the third week of the month, when most equity options expire, and the event has repeatedly shaken up stocks this year. While history is not always a trustworthy guide, the S&P 500 has posted a 1% move — in either direction — in six of the past eight expiration weeks, data compiled by Bloomberg show. Global dividends just logged their best-ever third quarter, setting them on course to exceed their pre-pandemic peak by the end of 2021, according to Janus Henderson Investors.
Pointing to improved balance sheets and optimism about the future, the money manager raised its estimate for total payouts to $1.46 trillion this year — a faster rebound to an all-time high than forecast in its last report. This week’s focus will be on the consumer strength, with Tuesday’s retail sales poised to show an acceleration and industry giants such as Walmart Inc. and Home Depot Inc. announcing their quarterly results. Robust spending on merchandise should continue to put pressure on global supply-chains, which are already straining to keep up. Biden and Chinese leader Xi Jinping have plenty to discuss during their first virtual summit — from sanctions to Taiwan — even as expectations for a breakthrough on major issues are low. A Biden administration official said the U.S. expects the virtual summit at 7:45 p.m. on Monday night in Washington to last several hours, a time frame that includes translation for both leaders in their third conversation this year.

What to watch this week:
* Fed Presidents Thomas Barkin, Esther George, Raphael Bostic, Patrick Harker speak at various events Tuesday
* Reserve Bank of Australia Governor Philip Lowe delivers a speech Tuesday
* RBA minutes of November meeting Tuesday
* U.S. retail sales are poised to show an acceleration in October as consumer demand remains resilient Tuesday
* Euro zone CPI Wednesday
* U.S. housing starts Wednesday
* Conference Board U.S. leading index, initial jobless claims Thursday
* Fed’s Richard Clarida and Mary Daly speak at Asia Economic Policy Conference Friday

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 was little changed
* The MSCI World index was little changed
Currencies
* The Bloomberg Dollar Spot Index rose 0.3%
* The euro fell 0.7% to $1.1366
* The British pound was little changed at $1.3412
* The Japanese yen fell 0.2% to 114.16 per dollar
Bonds
* The yield on 10-year Treasuries advanced six basis points to 1.62%
* Germany’s 10-year yield advanced three basis points to -0.23%
* Britain’s 10-year yield advanced five basis points to 0.96%
Commodities
* West Texas Intermediate crude was little changed
* Gold futures fell 0.2% to $1,865 an ounce

–With assistance from Andreea Papuc, Cecile Gutscher, Peyton Forte and Vildana Hajric.
Have a lovely evening.

Be magnificent!
As ever,

Carolann

To fail, you merely have to cultivate a few bad habits.  Once someone has spent enough time cultivating bad habits
and biding their time, they are much diminished. -Jordan Peterson, b. 1962, 12 Rules for Life: An Antidote to Chaos.

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