Canadian retail sales have been on a roller coaster ride over the last number of months. Most recently, in April, Canadian retail sales plunged 5.7%, the biggest drop since the start of the pandemic. The big decline follows months of ups and down in retail spending, and shows that economic recovery, which many analysts believe […]
23
Jun
Jun
Last week, the S&P 500 flashed a signal that we don’t see often, but when we do, we pay attention. The last time we saw this signal … … the market lost 50% of its value over the coming months. Those that weren’t prepared lost a large percentage of their investment accounts. But you don’t have […]
22
Jun
Jun
The Bank of Canada announced that it is holding its key lending rate at 0.25% noting that rising inflation is only temporary. While the central bank might say inflation will cool down later this year, right now, inflation is at it’s highest level in 10 years. This is making everything from gas to food, clothing, […]
15
Jun
Jun
Stocks are trading at all-time highs, thanks in large part to the low interest rate environment, overly generous monetary stimulus, and investor euphoria about expected strong post-pandemic economic growth. But a large number of economic indicators show that stocks are seriously over-valued, and, according to some on Wall Street, stocks could crash as much as […]
08
Jun
Jun
Because of COVID-19, the state of the global economy, and ongoing uncertainty about just how long the pandemic could last, gold prices experienced significant growth in 2020. From January to early July 2020, gold prices soared 37.5% and were trading at their highest levels ever. Gold rallied again this past May; while strong U.S. economic […]
In this month’s market review, our Chief Options Specialist, Jason Ayres, reflects on the May market conditions. Now that we are halfway through the year, let’s look back at a few events that shaped the market Biden won the election and inventors believed that administration would do what it takes to help the economic recovery. […]
03
Jun
Jun
The Canadian dollar continues to be the most bullish currency among all G10 countries. The month of May marked the fourth straight monthly win for the loonie against the U.S. dollar. The Canadian dollar has gained approximately 1.8% since the start of the month and has rallied 6.0% since the start of February. How Is […]
31
May
May
According to every major indicator, the stock market is seriously overvalued. And the stock market bubble is getting bigger. Unfortunately, it never ends well. Over the last 120 years, we’ve never seen a stock market bubble deflate slowly or get resolved because the stock market has moved sideways. Stock market bubbles pop. What makes a […]
18
May
May
Stock market valuations have been a big concern to investors. And for good reason. Well regarded stock market valuation indicators like the total market capitalization-to-GDP (also known as the Warren Buffett indicator), the Case Shiller P/E, and price-to-sales ratios are all at historically astronomical heights. This has led a number of analysts to predict the […]
11
May
May
Company insiders on Wall Street are selling their stocks. While it’s certainly not uncommon for executives to sell their stocks, the timing should make retail investors sit up and take notice. With the major indices at record levels, the S&P 500 already up more than 11% in 2021, and valuations in nose-bleed territory, it makes […]