On Friday, markets were little changed with the S&P 500 up 0.1% and Toronto down 0.1%.
The rate reset preferred shares were mostly up on the day. These have mostly done quite well in the past month since they dipped at the end of October.
Many high quality stocks have also done very well in the past month. This includes Apple, VISA, Costco, Amazon, Constellation Software and others.
This coming weak we will get Q4 reports from the large Canadian Banks. It will be interesting to see if they have much to say about the extended amortizations on variable rate mortgages with fixed payments or on the risks associated with probable lower home prices. Looking at RBCs reports this past year, they have not said much at all. I would think that they will have to address it given that it has been so much in the news.
Canadian Western Bank reports on December 8th. They are largely a commercial lender and so should not be impacted by consumer debt issues. But certainly some commercial borrowers will be feeling the pinch of higher interest rates.