Markers were moderately positive today. Very soon, I will be updating the report on the valuation of the S&P 500. I expect it will show that the market index still appears to be cheap.
Yesterday I mentioned AIMIA inc. (the former Group Aeroplan, and before that Aeroplan) which released earnings last night. I was bothered by the earnings release that seemed to be trying paint a very positive picture despite reporting a large loss. Perhaps the market was a bit confused by the release. The shares having closed yesterday at $13.08 before this news opened down only very slightly at $13.00. But they trended down all morning before stabilizing at around noon. They ended up down 7.5% at $12.10. Normally on bad news a stock would open down sharply at the open. The trading patter here suggests a delayed reaction to the press release. It is neither here nor there if you don’t own these shares. But I don’t like to see this kind of confused presentation of results. It’s unfortunate for those who bought this morning before the market was able to digest the news properly.