Equity markets sold off yesterday...

Posted: Tuesday, November 13, 2018 - 09:02 EST

Equity markets sold off yesterday as a result of concerns around oil prices and the slower growth in the tech sector.  Despite WTI crude prices rising above $60/barrel to start yesterday morning, prices ended the day just below $60 and are trading lower again this morning.  There continues to be discussion around cutting Saudi Arabia and OPEC production, although oil production in the U.S. has maintained its record high levels.  Brexit remains a key concern for investors as the British parliament has not ruled out a second referendum that could send residents back to the polls to vote on whether to leave the European Union after the initial vote two and a half years ago.  Within the Eurozone, Italy will also re-submit its budget to the European committee, although the expectation is that the country will remain in breach of the deficit threshold.  The Canadian fixed income market was closed yesterday in observation of Remembrance Day, although the corporate credit market is opening up more cautiously this morning.

Equity Markets:

 

  Index Level % Change QTD YTD Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018
S&P 500 2,726.22 -1.97% -6.25% 3.65% 3.09% 4.48% 6.64% -0.76% 3.43% 7.71%
TSX

15,156.40

-0.77%

-5.46%

-4.18%

-1.64% 3.68% 4.44% -4.52% 6.77% -0.56%

Rates:

 

Today

% Change

QTD change

YTD change

Q2 2017

Q3 2017

Q4 2017

Q1 2018

Q2 2018

Q3 2018

Canada 5 Year

2.42%

-0.02% 0.07% 0.55% 1.39% 1.75% 1.87% 1.97% 2.07% 2.34%
Canada 10 Year 2.48% -0.03% 0.05% 0.44% 1.76% 2.10% 2.05% 2.09% 2.17% 2.43%
Canada 30 Year 2.51% -0.02% 0.09% 0.24% 2.15% 2.47% 2.27% 2.23% 2.21% 2.42%
30yr Generic Corporate A rated Spread 1.30% 0.02% 0.00% 0.02% 1.21% 1.24% 1.21% 1.24% 1.28% 1.30%
30yr All-in Corporate A rated Yield

3.81%

0.00% 0.09% 0.26% 3.36% 3.71% 3.48% 3.47% 3.45% 3.72%
US 10 Year 3.17% -0.01% 0.11% 0.76% 2.31% 2.33% 2.41% 2.74% 2.86% 3.06%
CDX IG 68.987 2.347                

The information contained herein is intended for advisors for general information only and is compiled from sources believed to be reliable, but no representation or warranty, express or implied, is made as to its accuracy. All opinions contained in the commentary and expressed by the portfolio manager are subject to change without notice and are provided in good faith without legal responsibility. All market data is sourced from Bloomberg.