September 7, 2018 Newsletter

Dear Friends,

Tangents:

Carolann is out of the office this afternoon, I will be writing the newsletter on her behalf.

PHOTOS OF THE DAY

Aerial view of the Red Beach in Panjin in China’s northeastern Liaoning province. – The beach gets its name from its appearance, which is caused by a type of sea weed that flourishes in the saline-alkali soil. Credit: China Out-/AFP/Getty Images

Whale enthusiasts look out to sea in the hope of spotting a humpback – despite the colossal 30 tonne giant being just beneath them. Two massive 50 ft-long male humpbacks can be seen happily circling under the 20ft boat. Credit: Mike Korostelyov/Solent News

A father and his daughter play in sunset on the seashore in Yantai City, east China’s Shandong Province. Credit: Xinhua/Alamy Live News
Market Closes for September 7^th, 2018

International Markets

Bonds

Currencies

Commodities

Market Commentary:
Canada
By Tatiana Darie
     (Bloomberg) — Canadian stocks were little changed, following U.S. peers lower, as global trade tensions showed no signs of easing, with President Trump threatening more tariffs on China. Meanwhile, a Canadian official said no deal will be reached on Friday, with talks set to continue.
     The S&P/TSX Composite Index fell 0.07 percent, closing off its session lows as tech shares rebounded on Friday. Telecom, industrials and financials led to the downside.
     The Canadian dollar fell against the greenback after the country’s latest jobs data showed an unexpected drop.
     In other moves:
                            Stocks
* Nevsun Resources fell 0.3 percent after Scotia Capital analyst Orest Wowkodaw downgraded to sector perform from sector outperform.
* Tahoe Resources rebounded 9.9 percent after restarting its La Arena mile after signing an agreement with protesters from the community of La Ramada; the CEO also said the company expects to be in a position to restart operations at Escobal
* Horizons Marijuana Life Sciences rose 0.7 percent after becoming the first cannabis-focused fund to break the billion- dollar mark; shares rallied 124 percent since its April 2017 debut on the Toronto Stock Exchange.
                            Commodities
* Western Canada Select crude oil traded at a $27 discount to WTI
* Gold fell 0.2 percent to $1,201.70 an ounce
                            FX/Bonds
* The Canadian dollar fell 0.3 percent to C$1.3181 per U.S. dollar
* The Canada 10-year government bond yield rose 5.6 basis points to 2.289%
US
By Jeremy Herron and Sarah Ponczek
     (Bloomberg) — U.S. stocks fell for a fourth straight days after President Donald Trump’s threat to escalate the trade war with China roiled technology and multinational shares. The dollar climbed and Treasuries fell as wage gains bolstered the prospects for further rate hikes.
     The Nasdaq 100 Index capped its worst week since March as Apple slumped on its warning that the Trump administration’s musing over levying virtually everything imported from China would hit a broad range of its products. The S&P 500’s weekly drop was the most since June and Boeing led declines in the Dow Jones Industrial Average. The dollar rallied versus major peers and the offshore Chinese yuan fell the most in a week. The 10- year Treasury yield pushed above 2.94 percent.
     The latest salvo from Trump in the trade war rattled U.S. stocks a day after top American executives made a last-minute push to convince the president to not impose fresh tariffs. Instead, Trump Friday signaled he’s ready to target a sum of goods equal to virtually all imports from China. The tariff drama overshadowed an August jobs report that showed a healthy labor market with signs of wage inflation that could clear the way for two more rate hikes this year.
     “The risks are real and there’s increasing evidence that we’re closer to more of a full blown trade war,” Bong-Seok Choi, director of research at San Francisco-based Wetherby Asset Management, said by phone. “The trade wars only serve as a catalyst for the turning of the cycle. Things can change rather quickly, so the trade war, if a lot of the threats do materialize, I think things will turn very quickly.”
     Emerging-market equities snapped seven days of declines while a gauge of currencies also rose. The Stoxx Europe 600 Index pared its worst weekly slide since March. Equities fell in Japan and Australia, while those in China posted gains. Oil had its worst week since July. Gold fell for the eighth week of the past nine.
     These are the main moves in markets:
                            Stocks]
* The S&P 500 fell 0.2 percent at 4 p.m. in New York.
* The Nasdaq 100 lost 0.3 percent. It’s weekly loss of 2.9 percent was the worst since March.
* The Stoxx Europe 600 added 0.1 percent. It fell 2.2 percent for its worst week since March.
* The MSCI Emerging Market Index rose for the first time in more than a week.
* The MSCI Asia Pacific Index declined a seventh straight day to its lowest in a year.
                            Currencies
* The Bloomberg Dollar Spot Index rose 0.4 percent.
* The euro dipped 0.5 percent to $1.156.
* MSCI’s emerging-market currency index added 0.1 percent to halt a four-day slide.
* The Japanese yen decreased 0.2 percent to 111 per dollar.
                            Bonds
* The yield on 10-year Treasuries advanced seven basis points to 2.94 percent.
* The two-year yield jumped seven basis points to 2.7025 percent, the highest intraday since July 2008.
* Germany’s 10-year yield climbed three basis points to 0.387 percent.
                           Commodities
* West Texas Intermediate crude fell 2 cents to settle at $67.75. Prices ended the week down 2.9 percent, the most since July.
* Gold futures fell 0.3 percent to end at 1,200.40 an ounce.

Have a great weekend.

Be magnificent!

As ever,

Karen

Happiness cannot be traveled to, owned, earned, worn or consumed. Happiness is the spiritual experience of living every minute with love, grace, and gratitude.     Denis Waitley

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