Our report on an Enbridge rate reset preferred share is updated and rated (higher) Buy at $15.81 for those seeking tax efficient yield and willing to hold for the long term. Rate resets and in particular the Enbridge rate rests have disappointed investors time and again by falling in price due to falling interest rates combined (paradoxically) with higher market rates on newer rate reset shares being issued. Meanwhile these shares have paid their dividend exactly as required. This particular share will reset in December. Interest rates are hard to predict but if the 5 year Canada bond were to stay where it is then the yield at the current price would be 6.4%. If the 5 year Canada bond yield falls then the reset yield will be somewhat lower- but still attractive in such a low interest rate world.
On Thursday, the S&P 500 was up 0.4% while Toronto was about unchanged.
Toll Brothers rose 2.1% and Dollarama was up 2.2%. FedEx was up 2.1%.
Shopify rebounded 4.0% which indicates a lot of resiliency and faith in that company.