It is my belief that many of today’s economic problems are the result of disruption; we are experiencing change at a historically unprecedented pace. The Industrial Revolution and the Renaissance combined weren’t NUTHIN’ compared to what’s been happening since 1980. And usually the effects of disruption are difficult to foresee:
Japan thought it was on track to beat deflation. Then came the Amazon effect.
The country’s retailers have been cutting prices in response to the rise of online rivals like Amazon.com Inc., disrupting what had seemed like perfect conditions for Japan to get the stable dose of inflation it has long been looking for.
In part as a result, Japan’s central bank is likely to lower its price forecast for the current financial year at its policy meeting on Thursday, said people familiar with its thinking. That reflects continued resistance to price rises, despite Japan’s longest economic expansion in 11 years and its tightest labor market in decades. The Bank of Japan is also likely to raise its view on the economy while keeping its policy settings on hold, the people said.
| 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 | 1.5911 % | 2,391.1 |
| FixedFloater | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 1.5911 % | 4,387.6 |
| Floater | 3.62 % | 3.64 % | 105,677 | 18.21 | 3 | 1.5911 % | 2,528.6 |
| OpRet | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.0078 % | 3,070.2 |
| SplitShare | 4.69 % | 4.29 % | 57,784 | 1.42 | 5 | -0.0078 % | 3,666.5 |
| Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.0078 % | 2,860.7 |
| Perpetual-Premium | 5.39 % | 4.75 % | 71,802 | 6.11 | 21 | -0.1283 % | 2,767.9 |
| Perpetual-Discount | 5.31 % | 5.30 % | 89,828 | 14.99 | 15 | 0.2154 % | 2,910.4 |
| FixedReset | 4.33 % | 4.32 % | 180,336 | 6.39 | 98 | 0.0083 % | 2,398.9 |
| Deemed-Retractible | 5.09 % | 5.42 % | 116,888 | 6.15 | 30 | -0.0028 % | 2,842.7 |
| FloatingReset | 2.59 % | 2.93 % | 44,881 | 4.29 | 10 | -0.0767 % | 2,626.9 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| TRP.PR.H | FloatingReset | -1.25 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-07-18 Maturity Price : 15.06 Evaluated at bid price : 15.06 Bid-YTW : 3.27 % |
| BAM.PR.X | FixedReset | -1.14 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-07-18 Maturity Price : 17.33 Evaluated at bid price : 17.33 Bid-YTW : 4.58 % |
| IAG.PR.G | FixedReset | -1.07 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 23.05 Bid-YTW : 5.28 % |
| GWO.PR.S | Deemed-Retractible | 1.21 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-01-31 Maturity Price : 25.00 Evaluated at bid price : 25.00 Bid-YTW : 5.33 % |
| BAM.PR.C | Floater | 1.49 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-07-18 Maturity Price : 14.26 Evaluated at bid price : 14.26 Bid-YTW : 3.64 % |
| BAM.PR.B | Floater | 1.50 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-07-18 Maturity Price : 14.22 Evaluated at bid price : 14.22 Bid-YTW : 3.65 % |
| BAM.PR.K | Floater | 1.78 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-07-18 Maturity Price : 14.30 Evaluated at bid price : 14.30 Bid-YTW : 3.63 % |
| ELF.PR.G | Perpetual-Discount | 2.43 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-07-18 Maturity Price : 22.48 Evaluated at bid price : 22.74 Bid-YTW : 5.24 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| BMO.PR.Q | FixedReset | 301,045 | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 21.55 Bid-YTW : 5.44 % |
| TD.PF.I | FixedReset | 106,693 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-07-18 Maturity Price : 23.17 Evaluated at bid price : 25.08 Bid-YTW : 4.39 % |
| TRP.PR.D | FixedReset | 106,633 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-07-18 Maturity Price : 22.10 Evaluated at bid price : 22.41 Bid-YTW : 4.33 % |
| RY.PR.M | FixedReset | 90,612 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-07-18 Maturity Price : 22.54 Evaluated at bid price : 23.25 Bid-YTW : 4.34 % |
| RY.PR.H | FixedReset | 54,000 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-07-18 Maturity Price : 21.75 Evaluated at bid price : 22.23 Bid-YTW : 4.27 % |
| BAM.PR.K | Floater | 41,600 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2047-07-18 Maturity Price : 14.30 Evaluated at bid price : 14.30 Bid-YTW : 3.63 % |
| There were 16 other index-included issues trading in excess of 10,000 shares. | |||
| Wide Spread Highlights | ||
| Issue | Index | Quote Data and Yield Notes |
| GWO.PR.Q | Deemed-Retractible | Quote: 24.25 – 24.81 Spot Rate : 0.5600 Average : 0.3671 YTW SCENARIO |
| ELF.PR.F | Perpetual-Discount | Quote: 24.41 – 24.97 Spot Rate : 0.5600 Average : 0.4088 YTW SCENARIO |
| PWF.PR.F | Perpetual-Premium | Quote: 24.33 – 24.75 Spot Rate : 0.4200 Average : 0.3021 YTW SCENARIO |
| VNR.PR.A | FixedReset | Quote: 22.45 – 22.77 Spot Rate : 0.3200 Average : 0.2058 YTW SCENARIO |
| EIT.PR.A | SplitShare | Quote: 25.80 – 26.20 Spot Rate : 0.4000 Average : 0.3003 YTW SCENARIO |
| TRP.PR.H | FloatingReset | Quote: 15.06 – 15.69 Spot Rate : 0.6300 Average : 0.5483 YTW SCENARIO |