October 6, 2021 Newsletter

Dear Friends,

Tangents:
On Oct. 6, 1981, Egyptian President Anwar Sadat was shot to death by Islamic militants while reviewing a military parade.  Go to article »

These are the world’s 50 best restaurants for 2021.  Reservations required … and probably a plane ticket. 

Noma is still the world’s best restaurant.

The Nobel Prize in chemistry has been awarded to Benjamin List and David W.C. MacMillan, two scientists honored for creating “an ingenious tool for building molecules” that helped develop new drugs and made chemistry greener.

Grey Poupon has a wine now.  Exhausted from all the weird food news? Take a load off with some mustard wine! 

Planet with iron rainfall is even more extreme than scientists thought.  That’s (literally!) so metal. 

Sunlight affects whether languages have a word for “blue.”

PHOTOS OF THE DAY

Artist Lakwena Maciver unveils her expansive, immersive floorscape titled – Back in the Air: A Meditation on Higher Ground, commissioned by theCoLAB Temple in partnership with Westminster City Council and 180 Studios at The Artist’s Garden, a vast undiscovered half-acre roof terrace on top of Temple Underground Station in London
CREDIT: JEFF BILBERT FOR THE TELEGRAPH

Rescuers help a stranded humpback whale (Megaptera novaeangliae) on the shores of Argentine sea at Nueva Atlantis, some 350 Km south-east of Buenos Aires, on October 3. – During the last 48 hours, two unusual strandings of humpback whales were recorded in the Province of Buenos Aires. In both cases, rescue teams were able to return both whales to the sea
CREDIT: FUNDACION MUNDO MARINO/AFP VIA GETTY IMAGES

Two marine biologists off Koh Tao Island, Thailand, attach fragments of damaged corals onto an electrified metal structure. This has been reported to improve skeletal growth, resilience and resistance to bleaching of these recovered coral fragments, In the past three decades, the Earth has lost 50% of its coral reefs
CREDIT: SIRACHAI ARUNRUGSTICHAI / NATUREPL.COM
Market Closes for October 6^th, 2021

International Markets

Bonds

Currencies

Commodities

Market Commentary:
     On this day in 1979, Paul Volcker, who became chairman of the Federal Reserve only two months earlier, made his first major announcement, and it was a doozy: The Fed was raising interest rates a full percentage point, to 12%, and would take tough measures to control the money supply. Mr. Volcker’s announcement, made on a Saturday night, became known as “the Saturday Night Massacre” for its murderous effect on bond prices—but it also broke the back of inflation.
Canada
By Natasha Abellard
(Bloomberg) — Canadian stocks closed little changed, reversing earlier declines that were triggered by inflation concerns. The tech industry led the gainers, rising almost 2% rise. The S&P/TSX Composite closed up 0.04% in Toronto. Shopify contributed the most to the index gain, increasing 2.6%. Equinox Gold had the largest increase, rising 6.3%. Today, 99 of 234 shares rose, while 131 fell; 5 of 11 sectors were higher, led by information technology stocks.
Insights
* This year, the index rose 16%, heading for the best year since 2019
* The index advanced 24% in the past 52 weeks. The MSCI AC Americas Index gained 30% in the same period
* The S&P/TSX Composite is 3.4% below its 52-week high on Sept. 7, 2021 and 31% above its low on Oct. 30, 2020
* The S&P/TSX Composite is little changed in the past 5 days and fell 3% in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 19.2 on a trailing basis and 16 times estimated earnings of its members for the coming year
* The index’s dividend yield is 2.6% on a trailing 12-month basis
* S&P/TSX Composite’s members have a total market capitalization of C$3.18t
* 30-day price volatility fell to 9.38% compared with 9.41% in the previous session and the average of 7.80% over the past month
================================================================
| Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
* Information Technology | 38.3994| 1.7| 9/6
* Materials | 12.5609| 0.6| 34/21
* Industrials | 7.0702| 0.3| 9/21
* Utilities | 3.5245| 0.4| 8/8
* Real Estate | 1.9516| 0.3| 15/9
* Consumer Staples | -0.3692| 0.0| 5/8
* Communication Services | -1.2164| -0.1| 1/4
* Health Care | -2.6407| -1.3| 4/5
* Consumer Discretionary | -9.9423| -1.4| 4/9
* Financials | -15.7562| -0.2| 8/20
* Energy | -25.3488| -0.9| 2/20
================================================================
| | |Volume VS |
| Index | | 20D AVG |YTD Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
* Shopify | 33.2800| 2.6| -12.7| 18.2
* Canadian Pacific | 7.1740| 1.8| -31.4| -2.7
* Enbridge | 6.4670| 0.9| -31.8| 25.3
* TD Bank | -4.9300| -0.5| 185.2| 18.9
* Canadian Natural | | | |
* Resources | -7.0810| -1.8| -21.9| 57.8
* Suncor Energy | -7.1400| -2.5| -35.1| 27.0

US
By Natalia Kniazhevich and Vildana Hajric
(Bloomberg) — Stocks whipsawed in heavy trading as Republicans were poised to offer Democrats a way to end the debt limit impasse. The S&P 500 and Nasdaq 100 both gained, erasing earlier losses of more than 1%, after Senate Minority Leader Mitch McConnell said he planned to offer a short-term debt ceiling increase that would last into December. The turbulence came as the benchmark S&P 500 has logged four straight days of 1% moves amid a growing list of concerns including the debt ceiling, inflation and surging energy prices. European equities also halved losses as natural gas prices – up as much as 40% at one point — turned lower after Russia’s President Vladimir Putin said the country is ready to help. “With the latest news that Republicans are willing to come to the table and negotiate an extension, equities (and yields) have rallied back,” Anna Han, a Wells Fargo Securities strategist, said in an email. “It’s certainly not all peachy, but it does bring short-term relief to one of the various macro risks we have been watching.” The yield on the U.S. 10-year Treasury note was little changed as investors considered the U.S. economic outlook. ADP employment data beat analyst expectations ahead of Friday’s U.S. nonfarm payrolls, cementing predictions the Federal Reserve will taper stimulus next month. A strong U.S. jobs report could assuage worries about ongoing hiring challenges.
However, the market remains volatile on concerns elevated inflation may persist longer than the central bank expects, especially in the face of an energy crunch this winter. “To be sure, the beat on private payroll numbers is a positive but there’s no shortage of catalysts out there that could move the market,” said Mike Loewengart, managing director of investment strategy at E*Trade Financial, adding that positive labor data could prompt the Fed to tighten policy at a quicker pace. “But the fact that hiring is up, shouldn’t be discounted. It’s definitely a good thing in terms of recovery.” If job gains in the ADP data does translate to Friday’s report, analysts expect the Fed to announce taper plans for asset purchases in early November. Fed chair Jerome Powell said he was looking for “decent” job growth. “We’re in quite a different labor market in that for many sectors there is a shortage of workers,” said Peter Boockvar, chief investment officer at Bleakley Advisory Group. “Hopefully we’re in the midst of seeing more labor supply with kids back in school, Covid under control and the end of the extra unemployment benefits.” Crude oil in New York fell, the dollar was stronger against major peers, and Bitcoin jumped above $54,000.

Here are some events to watch this week:
* Reserve Bank of India monetary policy decision on Friday
* The U.S. Labor Department releases unemployment and job creation data Friday

Some of the main moves in markets:
Stocks
* The S&P 500 rose 0.4% as of 4 p.m. New York time
* The Nasdaq 100 rose 0.6%
* The Dow Jones Industrial Average rose 0.3%
* The MSCI World index was little changed
Currencies
* The Bloomberg Dollar Spot Index rose 0.2%
* The euro fell 0.3% to $1.1558
* The British pound fell 0.3% to $1.3588
* The Japanese yen was little changed at 111.39 per dollar
Bonds
* The yield on 10-year Treasuries was little changed at 1.52%
* Germany’s 10-year yield was little changed at -0.18%
* Britain’s 10-year yield declined one basis point to 1.07%
Commodities
* West Texas Intermediate crude fell 2.4% to $77.06 a barrel
* Gold futures rose 0.3% to $1,765.50 an ounce
–With assistance from Kamaron Leach, Peyton Forte and Nathan Hager.
Have a wonderful evening.

Be magnificent!

As ever,

Carolann

Losing is not as bad as wanting more. –Laozi, 571 BC-c. 5^th century BC.

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