The US government is heading towards shut-down:
The U.S. government stands poised for its first partial shutdown in 17 years at midnight tonight, after a weekend with no signs of negotiations or compromise from the Congress or the White House.
House Republicans, led by Speaker John Boehner, want to delay President Barack Obama’s Affordable Care Act for a year and make other changes to the law. Democrats, led by Obama, say that won’t happen. Republicans and Democrats say they don’t want to close the government, though neither side is budging from their positions.
…
A brief government closure won’t lead to any significant change of the Treasury Department’s forecast for when the U.S. will breach the debt limit, a Treasury spokeswoman said yesterday in an e-mail. The Treasury has said measures to avoid breaching the debt ceiling will be exhausted on Oct. 17.
It was a very, very slightly negative day for the Canadian preferred share market, with PerpetualDiscounts and DeemedRetractibles off 1bp and FixedResets off 2bp. Considering the modesty of the overall moves the Performance Highlights table is surprisingly lengthy, with BAM issues notable on the winning side. Volume was above average.
And that’s it for another month!
| 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 | -0.1628 % | 2,527.6 |
| FixedFloater | 4.32 % | 3.64 % | 30,916 | 18.02 | 1 | -1.0356 % | 3,841.9 |
| Floater | 2.67 % | 2.84 % | 66,159 | 20.12 | 5 | -0.1628 % | 2,729.1 |
| OpRet | 4.63 % | 3.09 % | 64,489 | 0.49 | 3 | -0.2953 % | 2,633.4 |
| SplitShare | 4.77 % | 4.96 % | 60,488 | 4.04 | 6 | -0.1958 % | 2,941.7 |
| Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.2953 % | 2,408.0 |
| Perpetual-Premium | 5.88 % | 5.56 % | 124,474 | 4.52 | 2 | 0.0989 % | 2,273.1 |
| Perpetual-Discount | 5.56 % | 5.55 % | 145,009 | 14.32 | 36 | -0.0095 % | 2,352.9 |
| FixedReset | 4.93 % | 3.65 % | 240,346 | 3.63 | 85 | -0.0190 % | 2,457.3 |
| Deemed-Retractible | 5.12 % | 4.47 % | 199,971 | 6.78 | 43 | -0.0124 % | 2,380.4 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| PWF.PR.A | Floater | -2.39 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-30 Maturity Price : 22.22 Evaluated at bid price : 22.50 Bid-YTW : 2.32 % |
| CIU.PR.A | Perpetual-Discount | -1.89 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-30 Maturity Price : 20.80 Evaluated at bid price : 20.80 Bid-YTW : 5.60 % |
| BNS.PR.Y | FixedReset | -1.26 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 23.45 Bid-YTW : 3.92 % |
| FTS.PR.J | Perpetual-Discount | -1.23 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-30 Maturity Price : 22.80 Evaluated at bid price : 23.21 Bid-YTW : 5.15 % |
| SLF.PR.E | Deemed-Retractible | -1.05 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 21.62 Bid-YTW : 6.21 % |
| BAM.PR.G | FixedFloater | -1.04 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-30 Maturity Price : 22.41 Evaluated at bid price : 21.98 Bid-YTW : 3.64 % |
| BAM.PR.J | OpRet | -1.02 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2014-03-31 Maturity Price : 26.00 Evaluated at bid price : 26.26 Bid-YTW : 3.22 % |
| BAM.PF.C | Perpetual-Discount | 1.14 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-30 Maturity Price : 20.36 Evaluated at bid price : 20.36 Bid-YTW : 6.00 % |
| BAM.PR.B | Floater | 1.15 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-30 Maturity Price : 18.46 Evaluated at bid price : 18.46 Bid-YTW : 2.84 % |
| IAG.PR.A | Deemed-Retractible | 1.78 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 22.81 Bid-YTW : 5.69 % |
| FTS.PR.H | FixedReset | 2.14 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-30 Maturity Price : 21.50 Evaluated at bid price : 21.50 Bid-YTW : 3.99 % |
| BAM.PF.D | Perpetual-Discount | 2.30 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-30 Maturity Price : 21.31 Evaluated at bid price : 21.31 Bid-YTW : 5.79 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| MFC.PR.C | Deemed-Retractible | 72,005 | RBC crossed 57,100 at 21.35. YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 21.26 Bid-YTW : 6.43 % |
| BNS.PR.Q | FixedReset | 63,445 | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 24.79 Bid-YTW : 3.70 % |
| GWO.PR.R | Deemed-Retractible | 51,938 | Desjardins crossed 30,000 at 22.50. YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 22.50 Bid-YTW : 6.07 % |
| BAM.PF.D | Perpetual-Discount | 37,430 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-30 Maturity Price : 21.31 Evaluated at bid price : 21.31 Bid-YTW : 5.79 % |
| ENB.PR.Y | FixedReset | 35,105 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2043-09-30 Maturity Price : 22.71 Evaluated at bid price : 23.95 Bid-YTW : 4.32 % |
| TD.PR.A | FixedReset | 31,190 | Nesbitt crossed 15,000 at 25.40. YTW SCENARIO Maturity Type : Call Maturity Date : 2014-01-31 Maturity Price : 25.00 Evaluated at bid price : 25.35 Bid-YTW : 3.29 % |
| There were 43 other index-included issues trading in excess of 10,000 shares. | |||
| Wide Spread Highlights | ||
| Issue | Index | Quote Data and Yield Notes |
| MFC.PR.F | FixedReset | Quote: 22.76 – 23.90 Spot Rate : 1.1400 Average : 0.7851 YTW SCENARIO |
| CGI.PR.D | SplitShare | Quote: 23.60 – 24.23 Spot Rate : 0.6300 Average : 0.4009 YTW SCENARIO |
| CIU.PR.A | Perpetual-Discount | Quote: 20.80 – 21.50 Spot Rate : 0.7000 Average : 0.5171 YTW SCENARIO |
| FTS.PR.J | Perpetual-Discount | Quote: 23.21 – 23.74 Spot Rate : 0.5300 Average : 0.3879 YTW SCENARIO |
| BNS.PR.Z | FixedReset | Quote: 23.58 – 23.91 Spot Rate : 0.3300 Average : 0.1981 YTW SCENARIO |
| BNS.PR.O | Deemed-Retractible | Quote: 25.70 – 25.99 Spot Rate : 0.2900 Average : 0.1758 YTW SCENARIO |