December 21, 2017

On Thursday, the S&P 500 was up 0.2% and Toronto was up 0.1%.

CRH Medical was up 7.1% to $3.33 in Toronto.

Wells Fargo was up 2.4% to $61.61. This bank bottomed out at under $10 in early March 2009. There was a massive spike in volume as some investors rushed to sell as low prices as they feared even lower prices and other investors , enticed by the low prices, bought. The end result was a massive transfer of wealth from fearful to braver investors.

Statistics Canada released October figures for Food Service and Drinking Places which were up for the country as a whole. This report reinforces my expectation that Boston Pizza should continue to show modest growth. However, they do face competition. A newer chain, “The Canadian Brewhouse” was started in Edmonton in 2002 and now has 18 locations in Alberta and a total of 28 locations as it has expanded to the other three western provinces. Its locations are larger than Boston Pizzas. They do target a different market. I was at their newest location in St. Albert, Alberta on Wednesday evening and it was packed at 5:30 pm. The service and quality were excellent. If this business is any indication, then reports of the recession in Alberta seem to be somewhat exaggerated. (But yes, certainly some people have been very hard hit by the recession.)

Statistics Canada also released inflation figures for November showing a 2.1% annual inflation rate. If you click the link here and go into the CANSIM tables and use “add remove data” it is possible to explore the individual inflation rates for dozens of categories.