3 Responses to “October 19, 2018”

1. prefman says:

   October 20, 2018 at 4:10 am

   So GOC-5 was steady around 2.4% & TSX overall was up. Any speculation for the reason for the decline in pref shares?

2. jiHymas says:

   October 20, 2018 at 12:50 pm

   Any speculation for the reason for the decline in pref shares?

   Nope! It’s a mystery to me … major market moves are almost always a mystery to me and I envy the talking heads on television who can pick something out of the huge mass od data and say in a deep, confident voice ‘The markets were down today because the price of eggs in Spain indicate an impending surge in inflation’. Or sometimes they say ‘Profit taking!’.

   The illiquidity of the preferred share market exacerbates my confusion. One big player, clumsily and lazily altering his portfolio allocation by a handful of percentage points, can have an enormous short-term effect.

3. Nestor says:

   October 21, 2018 at 6:09 pm

   if you want a random answer… someone looked at a chart of the prefs, drew a line across certain price levels, they broke below, never recovered and the selling piled on.

   if you look at (example) slf.pr.b, and pull up a 5 year chart. there is “support” at $22 from late 2016. it kind of gets there, and pops. this last time, in 2018, the pop was really weak. horrible in fact. and over the last few weeks, we got to $22.. did NOT manage to hold.. and someone just bailed.

   you can look at a lot of the pref shares that are similar. gwo.i, mfc.b, pwf.s… it’s the same sort of idea… just a random answer.