September 21, 2021 Newsletter

Dear Friends,

Tangents:
46 BC Julius Caesar celebrates first of four triumphal processions in Rome – over Gaul, Egypt, Pontus and Africa with leader of the Gauls Vercingetorix led in chains. Go to article »

New gravitational wave detector picks up possible signals from the beginning of time. 

This 23-year-old woman has been to every country in the world. (h/t Scott Kominers)

Number in the News:
  62.8 TRILLION
Digits of pi calculation by a team of Swiss researchers and their supercomputer.  The previous record calculated 50 trillion figures.
PHOTOS OF THE DAY

A lightning bolt is seen over the Black Sea off the resort village of Dagomys, Lazarevsky Distric

The full moon, also known as the harvest moon, rises above Birmingham, at sunset
CREDIT: JACOB KING/PA WIRE

The windy fire burns along a ridge in Sequoia National Forest, California
CREDIT: AP PHOTO/NOAH BERGER

Thousands of birds including knot and oystercatcher, congregate and perform spectacular murmurations at Snettisham, Norfolk. This spectacular happens when a high tide forces the birds from their feeding ground on The Wash, further up the beach and onto the shingle, before the tide recedes and they can feed on the mudflats again
CREDIT: PAUL MARRIOTT
Market Closes for September 21^st, 2021

International Markets

Bonds

Currencies

Commodities

Market Commentary:
On this day in 1931, U.S. stocks tumbled a day after the Bank of England abandoned the gold standard.  The Dow Jones Industrial Average fell 6.2% to an intraday low of 104.79, and the New York Stock Exchange authorities debated closing the market.
Canada
By Michael Bellusci
(Bloomberg) — The S&P/TSX Composite rose 0.4% at 20,244.29 in Toronto.
The move follows the previous session’s decrease of 1.6%
Brookfield Asset Management Inc. contributed the most to the index gain, increasing 4.0%.
Bausch Health Cos. had the largest increase, rising 8.1%.
Today, 149 of 235 shares rose, while 82 fell; all sectors were higher, led by energy stocks.
Gold advanced as the dollar edged lower and investors weighed the potential for spillover effects from the debt crisis at developer China Evergrande Group, bolstering demand for haven assets.
Oil also gained with supply constraints in focus.
Prime Minister Justin Trudeau won a third term in Canada’s snap election though fell short of regaining the majority he was seeking, forcing him to rely on smaller parties in another fragmented parliament.
Insights
* This year, the index rose 16 percent, heading for the best year since 2019
* This quarter, the index rose 0.4 percent
* This month, the index fell 1.6 percent, heading for the biggest decline since October 2020
* The index advanced 27 percent in the past 52 weeks. The MSCI AC Americas Index gained 33 percent in the same period
* The S&P/TSX Composite is 3.1 percent below its 52-week high on Sept. 7, 2021 and 31.3 percent above its low on Oct. 30, 2020
* The S&P/TSX Composite is down 1.5 percent in the past 5 days and fell 0.5 percent in the past 30 days
* S&P/TSX Composite is trading at a price-to-earnings ratio of 19.3 on a trailing basis and 16.1 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$3.18t
* 30-day price volatility rose to 8.28 percent compared with 8.21 percent in the previous session and the average of 6.77 percent over the past month
================================================================
|Index Points | |
Sector Name | Move | % Change | Adv/Dec
================================================================
Energy | 20.8428| 0.8| 17/6
Financials | 19.9846| 0.3| 12/16
Industrials | 8.3279| 0.4| 20/9
Communication Services | 7.3904| 0.7| 6/1
Information Technology | 7.3655| 0.3| 9/6
Consumer Staples | 7.1488| 1.0| 9/4
Health Care | 5.6123| 2.8| 5/3
Real Estate | 4.9965| 0.8| 24/1
Utilities | 4.6065| 0.5| 14/2
Consumer Discretionary | 2.5804| 0.3| 7/6
Materials | 0.8818| 0.0| 26/28
================================================================
| | |Volume VS |
| Index | | 20D AVG |YTD Change
Top Contributors |Points Move| % Change | (%) | (%)
================================================================
Brookfield Asset | | | |
Management | 27.1100| 4.0| 13.1| 33.5
Enbridge | 7.1650| 1.0| -13.3| 23.5
Canadian National | 6.7660| 1.1| -49.5| 5.5
Teck Resources | -3.1410| -3.2| -10.7| 28.7
Royal Bank of | | | |
Canada | -3.9530| -0.3| -25.9| 19.8
Canadian Pacific | -5.2260| -1.4| -16.7| -6.2
US
By Kamaron Leach and Elaine Chen
(Bloomberg) — U.S. stocks fell in the final minutes of trading a day after registering the biggest slide in four months as traders assessed risks from China’s crackdown on the real-estate sector and this week’s Federal Reserve meeting.
The S&P 500 had whipsawed investors through the session after opening broadly higher, which had initially suggested some improvement in sentiment after concerns about fallout from China
Evergrande Group’s debt woes roiled global markets Monday.
The industrial, communication services and utilities sectored weighed on the benchmark index. Disney slumped the most since May after the company forecast slower subscriber growth.
“Investors remain on the edge of their seats as they await tomorrow’s update from the Fed as well as details around if and how the Chinese government will respond to the Evergrande crisis,” said Adam Phillips, managing director of portfolio strategy at EP Wealth Advisors.
The Stoxx Europe 600 index climbed about 1%, rebounding from the biggest slump in two months.
Aside from worries over Evergrande’s ability to make good on $300 billion of liabilities, investors are also positioning for the two-day Fed meeting that started Tuesday, where policy makers are expected to start laying the groundwork for paring stimulus.
Treasury yields were mostly flat and the dollar was little changed. “We have the virus that’s kicked in again as a concern,” said John A. Carey, a money manager at Pioneer Investment Management Inc. “And then there’s the situation in Washington with the still uncertain outlook for various tax and spending plans, and so it’s hard for people to know which way to go.”
A Hong Kong gauge of real-estate firms steadied, after developers disputed a report of pressure from the Chinese government.
Evergrande slid deeper in equity and credit markets.
Concerns remain about broader contagion after S&P Global Ratings said the developer is on the brink of default.
China’s markets reopen on Wednesday after holidays.
Elsewhere, Bitcoin slid for a third day in volatile trading, tumbling as much as 7.6% before trading around $42,000. Oil finished higher after a two-day slide, while iron ore futures took a breather following Monday’s rout, though stayed below $100 a ton on China’s steel output curbs.

Here are key events to watch this week:
* Bank of Japan rate decision, Wednesday
* Federal Reserve rate decision, Wednesday
* Bank of England rate decision, Thursday
* Fed Chair Jerome Powell, Fed Governor Michelle Bowman and Vice Chairman Richard Clarida discuss pandemic recovery, Friday

Some of the main moves in markets:
Stocks
* The S&P 500 was little changed as of 4:08 p.m. New York time
* The Nasdaq 100 rose 0.1%
* The Dow Jones Industrial Average fell 0.1%
* The MSCI World index rose 0.1%
Currencies
* The Bloomberg Dollar Spot Index was little changed
* The euro was little changed at $1.1725
* The British pound was little changed at $1.3660
* The Japanese yen rose 0.2% to 109.21 per dollar
Bonds
* The yield on 10-year Treasuries advanced one basis point to 1.32%
* Germany’s 10-year yield was little changed at -0.32%
* Britain’s 10-year yield advanced one basis point to 0.81%
Commodities
* West Texas Intermediate crude rose 0.4% to $70.56 a barrel
* Gold futures rose 0.7% to $1,775.50 an ounce
Have a wonderful evening everyone.

Be magnificent!

As ever,

Carolann

There is no more important lesson to be learned or habit to be formed than that of right judgement and of delighting in good characters and noble actions. -Aristotle, 384 BC-322 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