Market View 

Canada lost 25,000 jobs in January, while economists expected the Canadian economy to add 7,000 jobs. However, unemployment dropped to 6.5 percent compared to 6.8 percent expected amid a shrinking workforce. Additionally, oil prices have been volatile in the mid-$60s range due to geopolitical uncertainty and the risk of supply disruptions in the Middle East. On the other hand, the U.S. Consumer Price Index (CPI) increased by 2.4 percent on the annualized basis, slightly lower than consensus estimate of 2.5 percent as the inflation eased more than expected. The Canadian dollar was 73.44 cents USD. The U.S. S&P 500 ended the week down -1.2%, while the TSX was up 1.8%.

It was a mixed week of gains and losses. Materials led the market, rising 6.1%, while energy and consumer discretionary advanced 3.5% and 3.0%, respectively. Consumer staples added 2.6%, and financials edged up 0.1%. On the downside, real estate fell 4.4%, and information technology declined 4.3%. Industrials also finished lower, down 2.1%. The most heavily traded shares by volume were Royal Bank of Canada (RY), Enbridge (ENB), and Toronto Dominion Bank (TD).

5 from 5i

Here are five reads we found interesting last week:

• Markets Are Now a Beauty Contest on Steroids, by Ben Carlson of A Wealth of Common Sense.

• Energy Leads This Year as Tech and Financials Fall Behind, by Capital Spectator.

• How the Line Between Active and Passive ETFs Is Blurring, by Daniel Sotiroff of Morningstar.

• Investing a Lump Sum of Cash in This Market, by Ben Carlson of A Wealth of Common Sense.

• Beautiful Chart That Busts 3 Stock Market Myths, by Jeffrey Patak Morningstar.

  
  

Happy Reading & Stay Safe!

Disclosure: The analyst(s) responsible for this report do not have a financial or other interest in securities mentioned.