June 9, 2022

Markets were down on Thursday as the S&P 500 fell 2.4% and Toronto was was down 1.1%.

Canadian Wester Bank was down 2.3% to $29.06. I added a little to my position. I believe I mentioned that I think it is good value but at the same time its going to require patience since its earnings are expected to decline modestly this fiscal year before resuming growth as their investments in staff and technology begin to pay off better next year. 

Apple was down 3.6%. Amazon was down 4.15%.

It appears the market continues to take increased notice of higher interest rates. 

An interesting news item today was that the government of Canada canceled a planned additional issuance of ultra long term bonds. Apparently tax revenue has increased and there is less need for borrowing. The long-term bond yields mentioned being 3.1% o 30 year and 42 year bonds might be an indication that the market does not believe that interest rates are going to rise much or that the current high inflation will persist very long. 

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