Lapdog Carney has been replaced:
Finance Minister Jim Flaherty shocked Bay Street Thursday, shunning the obvious choice to follow Mark Carney as governor of the Bank of Canada, and instead naming Stephen Poloz.
The top comment on the Globe story is:
Oh, this has all the markings of a power grab by the PMO, who don’t want another strong, independent governor of BoC. Very scary.
It was a good day for the Canadian preferred share market, with PerpetualPremiums up 11bp, FixedResets winning 21bp and DeemedRetractibles gaining 3bp. Volatility was minimal. Volume was low.
| HIMIPref™ Preferred Indices These values reflect the December 2008 revision of the HIMIPref™ Indices Values are provisional and are finalized monthly |
|||||||
| Index | Mean Current Yield (at bid) |
Median YTW |
Median Average Trading Value |
Median Mod Dur (YTW) |
Issues | Day’s Perf. | Index Value |
| Ratchet | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.5850 % | 2,620.9 |
| FixedFloater | 3.94 % | 3.16 % | 33,424 | 18.77 | 1 | -0.2070 % | 4,168.0 |
| Floater | 2.66 % | 2.85 % | 84,654 | 20.08 | 4 | 0.5850 % | 2,829.9 |
| OpRet | 4.80 % | 0.24 % | 59,114 | 0.13 | 5 | -0.0771 % | 2,612.3 |
| SplitShare | 4.79 % | 4.16 % | 114,306 | 4.09 | 5 | 0.5347 % | 2,964.9 |
| Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.0771 % | 2,388.7 |
| Perpetual-Premium | 5.20 % | 3.02 % | 87,707 | 0.45 | 31 | 0.1149 % | 2,383.3 |
| Perpetual-Discount | 4.84 % | 4.87 % | 181,941 | 15.68 | 4 | 0.0914 % | 2,686.2 |
| FixedReset | 4.87 % | 2.69 % | 244,041 | 3.74 | 81 | 0.2103 % | 2,516.5 |
| Deemed-Retractible | 4.87 % | 3.34 % | 131,463 | 0.88 | 44 | 0.0309 % | 2,458.4 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| BAM.PR.C | Floater | 1.05 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-05-02 Maturity Price : 18.34 Evaluated at bid price : 18.34 Bid-YTW : 2.88 % |
| BNA.PR.C | SplitShare | 1.58 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2019-01-10 Maturity Price : 25.00 Evaluated at bid price : 25.09 Bid-YTW : 4.43 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| BNS.PR.A | FixedReset | 144,330 | Recently exchanged issue. YTW SCENARIO Maturity Type : Call Maturity Date : 2013-06-01 Maturity Price : 25.50 Evaluated at bid price : 25.67 Bid-YTW : -6.45 % |
| MFC.PR.D | FixedReset | 101,183 | Desjardins crossed 85,000 at 26.35. YTW SCENARIO Maturity Type : Call Maturity Date : 2014-06-19 Maturity Price : 25.00 Evaluated at bid price : 26.35 Bid-YTW : 2.47 % |
| PWF.PR.H | Perpetual-Premium | 61,965 | Desjardins crossed 60,000 at 25.75. YTW SCENARIO Maturity Type : Call Maturity Date : 2013-06-01 Maturity Price : 25.00 Evaluated at bid price : 25.69 Bid-YTW : -25.28 % |
| TD.PR.C | FixedReset | 44,396 | TD crossed blocks of 20,000 and 19,900, both at 25.80. YTW SCENARIO Maturity Type : Call Maturity Date : 2014-01-31 Maturity Price : 25.00 Evaluated at bid price : 25.66 Bid-YTW : 2.07 % |
| HSB.PR.E | FixedReset | 35,387 | Scotia bought 29,300 from Desjardins at 26.39. YTW SCENARIO Maturity Type : Call Maturity Date : 2014-06-30 Maturity Price : 25.00 Evaluated at bid price : 26.42 Bid-YTW : 2.13 % |
| MFC.PR.I | FixedReset | 31,084 | TD crossed 15,000 at 26.47; Nesbitt crossed 10,000 at the same price. YTW SCENARIO Maturity Type : Call Maturity Date : 2017-09-19 Maturity Price : 25.00 Evaluated at bid price : 26.49 Bid-YTW : 3.08 % |
| There were 19 other index-included issues trading in excess of 10,000 shares. | |||
| Wide Spread Highlights | ||
| Issue | Index | Quote Data and Yield Notes |
| RY.PR.L | FixedReset | Quote: 25.61 – 26.10 Spot Rate : 0.4900 Average : 0.3010 YTW SCENARIO |
| FTS.PR.H | FixedReset | Quote: 25.62 – 25.89 Spot Rate : 0.2700 Average : 0.1749 YTW SCENARIO |
| CIU.PR.C | FixedReset | Quote: 25.01 – 25.44 Spot Rate : 0.4300 Average : 0.3520 YTW SCENARIO |
| TCA.PR.Y | Perpetual-Premium | Quote: 51.01 – 51.40 Spot Rate : 0.3900 Average : 0.3121 YTW SCENARIO |
| RY.PR.Y | FixedReset | Quote: 26.41 – 26.65 Spot Rate : 0.2400 Average : 0.1628 YTW SCENARIO |
| W.PR.H | Perpetual-Premium | Quote: 25.55 – 25.84 Spot Rate : 0.2900 Average : 0.2251 YTW SCENARIO |