November 9, 2022 Newsletter

Dear Friends,

Tangents:
On Nov. 9, 1989, East Germany lifted restrictions on emigration or travel to the West, and within hours tens of thousands of East and West Berliners swarmed across the infamous Berlin Wall
for a boisterous celebration.  Go to article »

1938: Kristallnacht,  “Crystal Night” pogrom against Jews in Germany.
1989: Berlin Wall opened.
1965: East Coast blackout.

Gorgeous and ghostly photos of the Beaver blood moon total lunar eclipse: On Tuesday, Nov. 8, the final total lunar eclipse until 2025 unfolded high in the sky over Earth.  The eclipse — also known as a blood moon, for the rusty, reddish hue that the moon takes on after fully entering into Earth’s shadow — was visible throughout East Asia, Australia, the Pacific and North America for several hours. Photographers around the world took to the streets, eager to catch the night sky spectacle.  Full Story: Live Science (11/8)

Italy hails ‘exceptional’ discovery of ancient bronze statues in Tuscany:  Archaeologists have uncovered beautifully preserved bronze statues dating back to ancient Roman times. Take a look at the photos.

Sleep deprivation affects nearly half of American adults, study finds: Are you having trouble falling or staying asleep? If so, you’re not alone. Check out these expert tips on achieving better rest.

‘The Whale’ trailer previews Brendan Fraser’s buzz-worthy performance: The actor’s portrayal of a reclusive, obese teacher has already been touted as Oscar-worthy. Watch the film’s new trailer here.

PHOTOS OF THE DAY

Chiang Mai, Thailand
People release krathong, small lotus-shaped boats traditionally made from banana leaves, during Yi Peng, a celebration held on the evening of the 12th month’s full moon
Photograph: Guillaume Payen/SOPA Images/Rex/Shutterstock

Great Ayton, UK
Knitted poppies arranged around the war memorial outside Christ church before Remembrance Day
Photograph: Ian Forsyth/Getty Images

Kyiv, Ukraine
Volodymyr Zelenskiy meets the Hollywood actor and philanthropist Sean Penn. Penn gave Zelenskiy one of his Oscar statuettes, saying: ‘When you win, bring it back to Malibu’
Photograph: UPI/Rex/Shutterstock
Market Closes for November 9^th, 2022

International Markets

Bonds

Currencies

Commodities

Market Commentary:
On this day in 1731, Benjamin Banneker, the brilliant African-American mathematician and inventor, was born on a farm in Ellicott’s Mills, Md. In 1752 he built what is believed to have been the first clock made entirely in America. Banneker later published an authoritative annual almanac and helped conduct the land survey that laid out the boundaries of Washington, D.C.
Canada
By Bloomberg Automation
(Bloomberg) — The S&P/TSX Composite fell 1.6% at 19,344.25 in Toronto.
The move was the biggest since falling 2% on Oct. 11 and follows the previous session’s increase of 0.6%.
Shopify Inc. contributed the most to the index decline, decreasing 5.3%.
Converge Technology Solutions Corp. had the largest drop, falling 13.4%.
Today, 196 of 236 shares fell, while 39 rose; 10 of 11 sectors were lower, led by energy stocks.
Insights
* In the past year, the index had a similar or greater loss 15 times. The next day, it declined 12 times for an average 0.7% and advanced three times for an average 0.3%
* This year, the index fell 8.9%, heading for the worst year since 2018
* The index declined 10% in the past 52 weeks. The MSCI AC Americas Index lost 21% in the same period
* The S&P/TSX Composite is 12.9% below its 52-week high on April 5, 2022 and 8.2% above its low on Oct. 13, 2022
* The S&P/TSX Composite is up 0.3% in the past 5 days and rose 4.1% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 12.9 on a trailing basis and 12.1 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$3.13t
* 30-day price volatility rose to 20.64% compared with 20.52% in the previous session and the average of 22.49% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Energy | -103.3921| -2.7| 2/36
Financials | -75.7491| -1.3| 6/23
Materials | -57.8686| -2.5| 4/47
Industrials | -33.8866| -1.3| 3/24
Information Technology| -22.4175| -2.2| 4/10
Utilities | -6.1371| -0.7| 5/11
Consumer Staples | -6.0113| -0.7| 4/7
Consumer Discretionary| -5.4365| -0.8| 2/12
Real Estate | -4.3985| -0.9| 4/18
Health Care | -2.1096| -2.6| 1/5
Communication Services| 1.3643| 0.1| 4/3
================================================================
| | |Volume VS| YTD
|Index Points| | 20D AVG | Change
Top Contributors | Move |% Change | (%) | (%)
================================================================
Shopify | -18.9500| -5.3| -20.1| -76.0
Suncor Energy | -15.9600| -3.5| 8.7| 47.4
Cenovus Energy | -14.8400| -5.4| -6.5| 74.6
Open Text | 1.2250| 1.8| 8.3| -37.8
Rogers Communications| 2.1960| 1.6| 45.4| -4.1
TC Energy | 10.4500| 2.5| -17.4| 4.8
US
By Stephen Kirkland
(Bloomberg) — US stocks declined as renewed selling in cryptocurrencies and disappointing earnings weighed on risk sentiment ahead of a key inflation report.
The dollar gained for the first time in four days.
The S&P 500 put paid to a three-day rally, with all 11 major industry groups in the red.
The tech-heavy Nasdaq 100 dropped the most among benchmarks, closing down 2.4%.
Walt Disney Co. and News Corp. tumbled after posting results that fell short of expectations.
Bitcoin dropped below $16,000 to a level not seen since 2020 amid a deepening selloff in cryptocurrencies as Binance walked away from its planned takeover of FTX.com.
After midterm elections failed to deliver a Republican sweep, attention shifted toward the closely watched inflation report due Thursday for clues on the path of Federal Reserve policy tightening.
“Elections matter, but other factors matter more for markets and the economy,” Keith Lerner, co-chief investment officer at Truist Wealth, said in a note. “The path of inflation, interest rates, monetary policy, the economy, and earnings will continue to exert the greatest influence on markets over the next year.”
US inflation probably moderated slightly in October, with the consumer price index and the core measure that excludes food and energy both seen cooling on an annual basis.
But with the overall annual inflation rate exceeding forecasts in six of the prior seven months, another upside surprise could dash hopes of a Fed downshift after four jumbo rate hikes.
On the election front, investors had eyed prospects of a Republican comeback in Congress, with GOP taking control of both the House of Representatives and Senate.
But US voters delivered a mixed verdict, with Republicans heading for control of the House by smaller margins than forecast and the race for Senate still wide open. 

More commentary
* “Portfolios will assess and adjust their risk now that the ‘uncertainty’ of the U.S. mid-term elections fading,” wrote Craig Johnson, chief market technician at Piper Sandler. “Soon enough, their focus will shift back to this week’s corporate earnings results and the upcoming October CPI data.”
* “The market is still going to fixate on inflation, which is going to stay high and sticky at least over the next couple of quarters,” Luke Barrs, global head of fundamental equity client portfolio management at Goldman Sachs Asset Management, said on Bloomberg TV.

Key events this week:
* US CPI, US initial jobless claims, Thursday
* Fed officials Lorie Logan, Esther George, Loretta Mester speak at events, Thursday
* US University of Michigan consumer sentiment, Friday
Some of the main moves in markets:
Stocks
* The S&P 500 fell 2.1% as of 4 p.m. New York time
* The Nasdaq 100 fell 2.4%
* The Dow Jones Industrial Average fell 1.9%
* The MSCI World index fell 1.6%
Currencies
* The Bloomberg Dollar Spot Index rose 0.6%
* The euro fell 0.6% to $1.0011
* The British pound fell 1.7% to $1.1349
* The Japanese yen fell 0.6% to 146.52 per dollar
Cryptocurrencies
* Bitcoin fell 13% to $16,216.08
* Ether fell 13% to $1,163.86
Bonds
* The yield on 10-year Treasuries declined two basis points to 4.11%
* Germany’s 10-year yield declined 11 basis points to 2.17%
* Britain’s 10-year yield declined 10 basis points to 3.46%
Commodities
* West Texas Intermediate crude fell 3.7% to $85.58 a barrel
* Gold futures fell 0.5% to $1,707.80 an ounce
–With assistance from Vildana Hajric, Muyao Shen, Tassia Sipahutar, Srinivasan Sivabalan and Isabelle Lee.
Have a lovely evening.

Be magnificent!
As ever,

Carolann

The secret to success is to do common things uncommonly well. – John D. Rockefeller Sr., 1839-1937.

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