Market View

 A senior Bank of Canada official calls for more competition in the banking sector to serve Canadians and the economy better, as she believes a more productive economy is better equipped to handle shocks. On the other hand, the market dropped sharply after President Trump threatened a “massive increase” in tariffs on Chinese goods and indicated no reason to meet Chinese leader Xi Jinping. The Canadian dollar was 71.43 cents USD. The U.S. S&P 500 ended the week down 2.0%, while the TSX was down 2.2%.

Most sectors ended the week in the red. Consumer discretionary gave up 3.9%, while real estate slid 3.4%. Materials and industrials edged lower by 2.7% and 2.1%, respectively. Financials and technology ended the week down 2.0%, each, while energy edged lower by 1.3%. Consumer staples slid 0.3%. The most heavily traded shares by volume were Canadian Natural Resources (CNQ), Shopify (SHOP), and Toronto-Dominion Bank (TD).

5 from 5i

Here are five reads we found interesting last week:

• The Off-Balance Sheet Liability: Why Integrity Is An Important Investment Filter, published by Todd Wenning of Flyover Stocks.
• Is Private Credit Drowning in Capital? These Are the Strategic Implications for Investors, by Larry Swedroe of Morningstar.
• Ben’s Spending Rules, published by Ben Carlson of Ritholtz Wealth Management LLC.
• Aaron Judge, Mean Reversion, and Staying in the Game, published by Harvey Sawikin of The Falling Knife.
• AMD stock skyrockets 23% as OpenAI looks to take stake in AI chipmaker, published by The Retirement Manifesto.

Happy Reading & Stay Safe!

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