There is a continuous stream of tapering chatter!
U.S. stocks rose, with the Dow Jones Industrial Average capping its best week since January, as disappointing economic data fueled bets that any Federal Reserve stimulus cuts this month would be moderate.
…
Fifty-seven percent of those surveyed say they don’t expect a sudden change in the markets because investors already anticipate tapering action.A Commerce Department report today showed retail sales in the U.S. rose 0.2 percent, the smallest increase in four months and below the 0.5 percent advance seen in Bloomberg survey. Wholesale prices in the U.S. rose more than forecast in August, adding 0.3 percent on higher costs for food and some fuels.
A separate report showed inventories at companies increased more than forecast in July, trailing a gain in sales that signals a pickup in factory orders. The Thomson Reuters/University of Michigan preliminary September index of consumer sentiment fell to 76.8 from 82.1 last month, which was the lowest since April.
It was another mixed day for the Canadian preferred share market, with PerpetualDiscounts up 34bp, FixedResets off 1bp and DeemedRetractibles down 3bp. A fairly lengthy Performance Highlights table is heavily skewed towards winners, led by TCA.PR.X, which got called today. Volume was average.
| HIMIPref™ Preferred Indices These values reflect the December 2008 revision of the HIMIPref™ Indices Values are provisional and are finalized monthly |
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| 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 | 0.4076 % | 2,601.2 |
| FixedFloater | 4.32 % | 3.63 % | 31,192 | 18.07 | 1 | 0.0000 % | 3,845.4 |
| Floater | 2.60 % | 2.88 % | 68,118 | 20.03 | 5 | 0.4076 % | 2,808.6 |
| OpRet | 4.63 % | 1.95 % | 69,550 | 0.54 | 3 | 0.2448 % | 2,638.5 |
| SplitShare | 4.76 % | 4.80 % | 56,991 | 4.08 | 6 | -0.2091 % | 2,940.0 |
| Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.2448 % | 2,412.6 |
| Perpetual-Premium | 5.91 % | 5.93 % | 108,969 | 13.92 | 2 | 0.3391 % | 2,243.2 |
| Perpetual-Discount | 5.64 % | 5.75 % | 132,556 | 14.22 | 36 | 0.3385 % | 2,305.6 |
| FixedReset | 4.95 % | 3.83 % | 241,539 | 3.67 | 85 | -0.0100 % | 2,446.2 |
| Deemed-Retractible | 5.19 % | 4.89 % | 187,094 | 6.93 | 43 | -0.0289 % | 2,344.4 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| IFC.PR.A | FixedReset | -2.37 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 23.49 Bid-YTW : 4.68 % |
| TRP.PR.C | FixedReset | -2.16 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-13 Maturity Price : 22.25 Evaluated at bid price : 22.60 Bid-YTW : 4.16 % |
| CIU.PR.C | FixedReset | -1.89 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-13 Maturity Price : 22.05 Evaluated at bid price : 22.37 Bid-YTW : 3.92 % |
| CGI.PR.D | SplitShare | -1.75 % | YTW SCENARIO Maturity Type : Soft Maturity Maturity Date : 2023-06-14 Maturity Price : 25.00 Evaluated at bid price : 23.52 Bid-YTW : 4.53 % |
| SLF.PR.G | FixedReset | 1.02 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 23.75 Bid-YTW : 4.21 % |
| GWO.PR.I | Deemed-Retractible | 1.29 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 21.20 Bid-YTW : 6.41 % |
| CU.PR.D | Perpetual-Discount | 1.48 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-13 Maturity Price : 22.37 Evaluated at bid price : 22.70 Bid-YTW : 5.43 % |
| PWF.PR.A | Floater | 2.00 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-13 Maturity Price : 23.20 Evaluated at bid price : 23.50 Bid-YTW : 2.21 % |
| TCA.PR.Y | Perpetual-Discount | 2.35 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-13 Maturity Price : 49.56 Evaluated at bid price : 50.00 Bid-YTW : 5.67 % |
| CU.PR.E | Perpetual-Discount | 2.40 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-13 Maturity Price : 22.33 Evaluated at bid price : 22.65 Bid-YTW : 5.44 % |
| TCA.PR.X | Perpetual-Discount | 3.50 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2013-10-15 Maturity Price : 50.00 Evaluated at bid price : 50.51 Bid-YTW : 1.82 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| TCA.PR.X | Perpetual-Discount | 65,375 | Called for redemption. YTW SCENARIO Maturity Type : Call Maturity Date : 2013-10-15 Maturity Price : 50.00 Evaluated at bid price : 50.51 Bid-YTW : 1.82 % |
| RY.PR.L | FixedReset | 28,889 | TD crossed 25,000 at 25.35. YTW SCENARIO Maturity Type : Call Maturity Date : 2014-02-24 Maturity Price : 25.00 Evaluated at bid price : 25.39 Bid-YTW : 2.77 % |
| FTS.PR.K | FixedReset | 25,300 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-13 Maturity Price : 22.97 Evaluated at bid price : 24.55 Bid-YTW : 4.10 % |
| FTS.PR.J | Perpetual-Discount | 23,300 | Desjardins crossed 21,000 at 21.70. YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-13 Maturity Price : 21.46 Evaluated at bid price : 21.74 Bid-YTW : 5.49 % |
| GWO.PR.P | Deemed-Retractible | 22,972 | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 24.39 Bid-YTW : 5.70 % |
| GWO.PR.L | Deemed-Retractible | 20,600 | Nesbitt crossed 18,000 at 24.85. YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 24.77 Bid-YTW : 5.77 % |
| There were 32 other index-included issues trading in excess of 10,000 shares. | |||
| Wide Spread Highlights | ||
| Issue | Index | Quote Data and Yield Notes |
| CGI.PR.D | SplitShare | Quote: 23.52 – 24.00 Spot Rate : 0.4800 Average : 0.2933 YTW SCENARIO |
| PWF.PR.S | Perpetual-Discount | Quote: 22.00 – 22.49 Spot Rate : 0.4900 Average : 0.3440 YTW SCENARIO |
| HSE.PR.A | FixedReset | Quote: 23.37 – 23.70 Spot Rate : 0.3300 Average : 0.2154 YTW SCENARIO |
| POW.PR.C | Perpetual-Discount | Quote: 25.01 – 25.40 Spot Rate : 0.3900 Average : 0.2762 YTW SCENARIO |
| BNS.PR.O | Deemed-Retractible | Quote: 25.80 – 26.09 Spot Rate : 0.2900 Average : 0.1900 YTW SCENARIO |
| BAM.PR.X | FixedReset | Quote: 23.01 – 23.40 Spot Rate : 0.3900 Average : 0.2918 YTW SCENARIO |