Yes, stocks rose once again on this Thursday November 4th. The S&P 500 and Toronto were each up 0.4%.
Shopify was up 3.7%
TFI International was up 3.5%.
Costco was up another 2.65% to $516 after its strong same-store sales gain reported for October. It seems I was wrong to be reducing my position lately. In fact, this stock starts to look like the sky is the limit. But it’s already up 38% this year and that was on top of a 28% gain last year. Costco is a fantastic company but at some point the stock can’t keep rising like this and becomes vulnerable to a decline.
Similarly, the S&P 500 is up 25% this year and that comes on top of the 16% gain in 2020. History shows that stocks go up in the long run. But they also occasionally reach peaks and decline. Sometimes its takes years to get back to the old peak. The dividend yield on the S&P 500 is down to 1.3%. I’m not sure, but this may be a record low. If interest rates increase as expected then stocks are vulnerable to a decline.
I’ve just updated an article that show cases the great long-term return from stocks but which also reveals periods of decline.