On Tuesday, the S&P 500 was down 0.15% while Toronto was up 0.55%
The Canadian Western Bank preferred share that I said (see January 21) was over-priced in relation to a new CWB issue was down 2.6% to $20.11. CWB’s new 6% issue started trading today as CWB.PR.D. It closed today at $24.83 to yield 6.04%. I thought it might trade above $25 given there was a heavy demand for these shares when they were issued last week. So far, rate reset preferreds seem to demand higher and higher yields in order to entice buyers.
Amazon was down 2.7%
Boston Pizza Royalties Income Fund is back up to $17.40 to yield 7.9%. If it is going to be able to increase same store sales then it should probably be trading higher. But given that it may report yet another quarter of same store sales declines it remains vulnerable to sliding back down again. It in effect competes with other yields in the market including rate reset shares and those yields have risen which, all else equal, pushes down the market price for competing investments including BP.
Apple Inc. released earnings after the close and rose 5.7% after hours. We shall see if it maintains or builds on that gain after analysts have a bit of time to digest the report.
CN Rail came out with (not that surprisingly) a big earnings gain Q4 of last year and raised its dividend by 18%. Still, the stock was about unchanged in U.S. after hours trading.