September 21, 2017 Newsletter

Dear Friends,

Tangents:

Birthday: Leonard Cohen, 1934.

I lost my way, I forgot to call on your name. The raw heart beat against the world, and the tears were for my lost victory. But you are here. You have always been here. The world is all forgetting, and the heart is a rage of directions, but your name unifies the heart, and the world is lifted into its place. Blessed is the one who waits in the traveller’s heart for his turning. –from Poem 50, Leonard Cohen.

Do not forget old friends
you knew long before I met you
the times I know nothing about
being someone 
who lives by himself
and only visits you on a raid 
-from Do Not Forget Old Friends, Selected Poems, Leonard Cohen

On Sept. 21, 1938, a hurricane struck parts of New York and New England, causing widespread damage and claiming more than 600 lives.
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PHOTOS OF THE DAY

A child walks through the colour lit fountain in Nice, France.
CREDIT: ERIC GAILLARD/REUTERS

Alba, an albino orangutan, sits on a branch of a tree while eating watermelon at Nyaru Menten Orangutan Rehabilition Centre in Central Kalimantan, Indonesia.
The conservation group says it wants to create a 5-hectare “forest land” for the world’s only known albino orangutan after rescuing it from villagers five months ago. The 5-year-old orangutan can’t be safely returned to the wild because of health issues related to her albinism.
CREDIT: BORNEO ORANGUTAN SURVIVAL (BOS) FOUNDATION

Hindus perform rituals as part of their prayers during “Pitra Paksha”, a period of sixteen days when Hindus pay homage to their ancestors, in Ahmedabad, India.
CREDIT:  AMIT DAVE/REUTERS
Market Closes for September 21^st, 2017

International Markets

Bonds

Currencies

Commodities

Market Commentary:
On this day in 1931, Britain abandons the gold standard.
Canada
By Kristine Owram
     (Bloomberg) — Canadian stocks rose for a sixth day, their longest streak of gains in six months, boosted by a global rally in financial stocks following Wednesday’s hawkish shift from the U.S. Federal Reserve.
     The S&P/TSX Composite Index added 65 points or 0.4 percent to 15,454.92, its highest level since June and its longest consecutive string of gains since March. Financials, which account for 34 percent of the benchmark, rose 0.7 percent. Bank of Nova Scotia gained 1.8 percent.
     The industrials sector added 0.8 percent as Canadian Pacific Railway Ltd. gained 2.4 percent, and the energy sector rose 0.7 percent, outpacing the 0.3 percent gain in West Texas Intermediate crude prices.
     In other moves:
                              Stocks
* ShawCor Ltd. rose 12 percent, the biggest gain in five years, after TD Securities initiated coverage with a buy rating
* Air Canada rose 2.2 percent, adding to Wednesday’s 11 percent gain. The company updated its targets at an investor day and was upgraded to outperform at Cowen & Co.
* Student Transportation Inc. gained 3.2 percent after the stock was raised to outperform at National Bank Financial
                              Commodities
* Western Canada Select crude oil traded at a $11.50 discount to WTI, the narrowest gap in nearly two weeks
* Aeco natural gas traded at a $2.51 discount to Henry Hub, three cents wider than Wednesday
* Gold tumbled 1.7 percent to $1,290.60 an ounce, the lowest since August
                               FX/Bonds
* The Canadian dollar weakened 0.1 percent to C$1.2333 per U.S. dollar, the fifth consecutive day of declines
* The Canada 10-year government bond yield rose two basis points to 2.12 percent, the highest in three years.
US
By Jeremy Herron
     (Bloomberg) — U.S. stocks fell from records, while Treasuries and the dollar were mixed as investors assessed the impact of the Federal Reserve’s signal that it intends to raise rates again this year. Gold tumbled and emerging-market assets slumped.
     The S&P 500 Index retreated for the first time in five days, with technology shares leading declines as Apple Inc.’s selloff resumed. The dollar was little changed after rallying Wednesday, while Treasuries pared gains after a 10-year note auction. Metals from copper to iron ore slumped. The yen touched a two-month low as the Bank of Japan kept its monetary stimulus unchanged. West Texas crude declined.
     U.S. equity markets continued to churn in one of the tightest ranges in history, with investors reluctant to add to bets that have pushed benchmark indexes to records. While the Fed’s decision boosted the dollar and Treasury yields, those moves faltered Thursday as investors looked past the prospects for a December rate hike to discount the likelihood that further increases will come in 2018 as inflation remains tepid.
     Markets have also kept an eye on tensions over North Korea, with Donald Trump Thursday ordering new sanctions on individuals, companies and banks doing business with the country. Reaction to China’s credit downgrade by S&P Global Ratings was muted during U.S. hours, though base metals continued declines.
     What to watch out for the rest of this week:
* Mario Draghi will be giving the keynote speech at the annual conference of the European Systemic Risk Board.
* Theresa May meets with her cabinet today to see how far she can go in promising money to the EU to advance Brexit negotiations, people familiar said. Her big speech is Friday.
* The euro-area’s September consumer confidence data is due today.
* Campaigning continues in Germany before the Sept. 24 election.
* The OECD publishes the Interim Economic Outlook in Paris.
     
     Here are the main moves in markets:                           
                           Stocks
* The S&P 500 Index fell 0.3 percent to 2,500.77 as of 4 p.m. in New York.
* The Dow Jones Industrial Average fell to 22,359.90, halting a nine-day winning streak.
* Apple lost 1.7 percent to the lowest since Aug. 1.
* The Stoxx Europe 600 Index rose 0.2 percent to the highest in a month. 
                           Currencies
* The Bloomberg Dollar Spot Index fell 0.1 percent after earlier touching the highest in more than two weeks.
* The euro climbed 0.5 percent to $1.1950.
* The Japanese yen fell 0.1 percent to 112.334 per dollar, hitting the weakest in more than two months.
                            Bonds
* The yield on 10-year Treasuries rose one basis point to 2.28 percent in a fifth straight day of declines in the note.
* Germany’s 10-year yield climbed one basis points to 0.46 percent, the highest in more than six weeks.
                            Commodities
* West Texas Intermediate crude fell 14 cents to settle at $50.55 a barrel.
* Gold futures decreased 1.7 percent to $1,293.90 an ounce, the weakest in four weeks.
* Copper futures declined 1.1 percent to $2.936 a pound.

Have a wonderful evening everyone.

Be magnificent!

Every day we see or read of appalling things happening in the world as the result of violence in man.
You may say, “I can’t do anything about it,” or “How can I influence the world?”
I think you can tremendously influence the world if you yourself are not violent,
if you lead actually every day a peaceful life – a life which is not competitive, ambitious, envious –
a life which does not create enmity.
Small fires can become ablaze.
Krishnamurti

As ever,

Carolann

I think success has no rules, but you can learn a lot from failure.
                                                 -Jean Kerr, 1922-2003

Carolann Steinhoff, B.Sc., CFP®, CIM, CIWM
Portfolio Manager &
Senior Vice-President

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