TXPR closed at 614.13, down 0.80% on the day. Volume today was 2.06-million, well above the median of the past 21 trading days.
CPD closed at 12.25, down 1.05% on the day. Volume was 50,219, well below the median of the past 21 trading days.
ZPR closed at 10.28 down 0.77% on the day. Volume of 149,563 was below the median of the past 21 trading days.
Five-year Canada yields were up to 3.33% today.
Sorry that this is late: I had other things to do last night.
So, how about that Canadian inflation, eh?:
The consumer price index (CPI) rose 7.7 per cent in May from a year earlier, rising from April’s 6.8-per-cent pace, Statistics Canada said on Wednesday. It was the highest inflation rate since 1983 and part of a broader surge in prices that’s taken hold in advanced economies.
The recent jump in energy prices, stoked by the Russia-Ukraine war, is having a tangible effect on the numbers. Gasoline prices rose 12 per cent in May alone and were up 48 per cent from a year earlier; the national average price for regular unleaded remains north of $2 a litre.
So there’s another crypto company in trouble:
TSX-listed Voyager Digital Ltd.’s VOYG-T stock lost half its value in a single day after management warned of a potential default on a US$655-million loan to a troubled hedge fund, as investors continue to fear financial contagion owing to the crypto sector’s recent crash.
Voyager, which went public in Canada in 2019, was historically known for its trading venue that allows retail and institutional investors to buy and sell cryptocurrencies. Lately, however, the company has expanded its operations, and one of its newer divisions offers loans to institutional borrowers. At the end of March, Voyager had lent $2-billion worth of crypto assets, according to its quarterly filings.
On Wednesday, Voyager disclosed that it has lent US$655-million to Three Arrows Capital, a hedge fund known for trading cryptocurrencies, in the form of 15,250 bitcoin and US$350-million worth of USDC, another cryptocurrency.
According to their latest financials (SEDAR Voyager Digital Ltd. May 16 2022 07:30:45 ET Interim financial statements/report – EnglishPDF 606 K) they have loaned $2-billion in crypto while holding $227-million collateral. Sounds like the sooner these guys go bankrupt, the better.
Westjet’s unique take on planning has given me an idea for a new business:
On Wednesday, WestJet’s vice-president of government relations, Andrew Gibbons, said the airline is “disappointed” that the new rule unfairly makes it the “sole provider of reimbursement” for delays it cannot control. He said the airline relies on government agencies, NAV Canada, Canada Border Services Agency and Canadian Air Transport Security Authority (CATSA) to provide a seamless experience for travelers. These are the agencies that are understaffed and blamed for much of the delays at airports, particularly Toronto Pearson.
My idea is to offer valet parking at municipal lots downtown during sports events and other times of high demand; I figure I should be able to sell at least 5,000 tickets on busy days. Customers will not, of course, be refunded if I cannot actually park the cars due to the small number of such spots actually available; capacity is the government’s problem and I rely on them to provide a seamless experience for my customers.
PerpetualDiscounts now yield 6.14%, equivalent to 7.98% interest at the standard equivalency factor of 1.3x. Long corporates now yield 5.37%, so the pre-tax interest-equivalent spread (in this context, the “Seniority Spread”) has narrow sharply to 260bp from the 285bp reported June 15.
| 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 | -1.8351 % | 2,500.3 |
| FixedFloater | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -1.8351 % | 4,795.6 |
| Floater | 4.97 % | 4.99 % | 50,375 | 15.54 | 3 | -1.8351 % | 2,763.7 |
| OpRet | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.5015 % | 3,458.8 |
| SplitShare | 4.92 % | 5.72 % | 40,706 | 3.17 | 8 | -0.5015 % | 4,130.5 |
| Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.5015 % | 3,222.8 |
| Perpetual-Premium | 6.02 % | 6.09 % | 78,762 | 13.68 | 2 | -1.1391 % | 2,872.6 |
| Perpetual-Discount | 6.00 % | 6.14 % | 64,219 | 13.70 | 34 | -0.8679 % | 3,090.9 |
| FixedReset Disc | 4.67 % | 6.66 % | 114,383 | 13.26 | 57 | -0.5711 % | 2,496.4 |
| Insurance Straight | 6.04 % | 6.13 % | 84,548 | 13.74 | 19 | -0.8536 % | 2,978.3 |
| FloatingReset | 5.53 % | 5.86 % | 49,279 | 14.12 | 2 | 0.2756 % | 2,658.2 |
| FixedReset Prem | 5.09 % | 5.48 % | 135,611 | 1.97 | 9 | 0.2655 % | 2,591.5 |
| FixedReset Bank Non | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.5711 % | 2,551.9 |
| FixedReset Ins Non | 4.53 % | 6.51 % | 76,173 | 13.35 | 15 | -0.8589 % | 2,649.4 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| BIP.PR.A | FixedReset Disc | -2.88 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 20.89 Evaluated at bid price : 20.89 Bid-YTW : 7.65 % |
| TRP.PR.D | FixedReset Disc | -2.77 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 18.57 Evaluated at bid price : 18.57 Bid-YTW : 7.62 % |
| MFC.PR.L | FixedReset Ins Non | -2.62 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 19.31 Evaluated at bid price : 19.31 Bid-YTW : 6.99 % |
| CU.PR.F | Perpetual-Discount | -2.62 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 18.61 Evaluated at bid price : 18.61 Bid-YTW : 6.12 % |
| TRP.PR.B | FixedReset Disc | -2.57 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 12.87 Evaluated at bid price : 12.87 Bid-YTW : 7.93 % |
| MFC.PR.F | FixedReset Ins Non | -2.56 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 15.20 Evaluated at bid price : 15.20 Bid-YTW : 6.95 % |
| MFC.PR.M | FixedReset Ins Non | -2.44 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 20.00 Evaluated at bid price : 20.00 Bid-YTW : 6.88 % |
| BAM.PF.E | FixedReset Disc | -2.39 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 18.35 Evaluated at bid price : 18.35 Bid-YTW : 7.51 % |
| BAM.PR.K | Floater | -2.26 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 13.00 Evaluated at bid price : 13.00 Bid-YTW : 4.99 % |
| BAM.PR.T | FixedReset Disc | -2.21 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 17.28 Evaluated at bid price : 17.28 Bid-YTW : 7.44 % |
| TRP.PR.C | FixedReset Disc | -2.19 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 13.40 Evaluated at bid price : 13.40 Bid-YTW : 7.94 % |
| PWF.PR.P | FixedReset Disc | -2.19 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 14.75 Evaluated at bid price : 14.75 Bid-YTW : 7.29 % |
| PWF.PR.F | Perpetual-Discount | -2.11 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 21.29 Evaluated at bid price : 21.29 Bid-YTW : 6.28 % |
| GWO.PR.Y | Insurance Straight | -2.11 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 18.11 Evaluated at bid price : 18.11 Bid-YTW : 6.25 % |
| POW.PR.B | Perpetual-Discount | -2.04 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 21.30 Evaluated at bid price : 21.57 Bid-YTW : 6.20 % |
| BAM.PR.R | FixedReset Disc | -2.00 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 17.15 Evaluated at bid price : 17.15 Bid-YTW : 7.41 % |
| BAM.PR.X | FixedReset Disc | -1.98 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 17.33 Evaluated at bid price : 17.33 Bid-YTW : 7.58 % |
| BMO.PR.T | FixedReset Disc | -1.94 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 20.20 Evaluated at bid price : 20.20 Bid-YTW : 6.73 % |
| MFC.PR.N | FixedReset Ins Non | -1.94 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 19.70 Evaluated at bid price : 19.70 Bid-YTW : 6.86 % |
| CM.PR.O | FixedReset Disc | -1.90 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 20.60 Evaluated at bid price : 20.60 Bid-YTW : 6.70 % |
| BAM.PR.B | Floater | -1.81 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 13.00 Evaluated at bid price : 13.00 Bid-YTW : 4.99 % |
| MFC.PR.B | Insurance Straight | -1.77 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 19.40 Evaluated at bid price : 19.40 Bid-YTW : 6.04 % |
| FTS.PR.H | FixedReset Disc | -1.75 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 14.60 Evaluated at bid price : 14.60 Bid-YTW : 7.38 % |
| CCS.PR.C | Insurance Straight | -1.75 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 20.78 Evaluated at bid price : 20.78 Bid-YTW : 6.05 % |
| MFC.PR.Q | FixedReset Ins Non | -1.74 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 22.57 Evaluated at bid price : 23.10 Bid-YTW : 6.41 % |
| GWO.PR.R | Insurance Straight | -1.53 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 19.34 Evaluated at bid price : 19.34 Bid-YTW : 6.24 % |
| PVS.PR.J | SplitShare | -1.52 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2028-02-29 Maturity Price : 25.00 Evaluated at bid price : 22.65 Bid-YTW : 6.47 % |
| CU.PR.D | Perpetual-Discount | -1.51 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 20.19 Evaluated at bid price : 20.19 Bid-YTW : 6.14 % |
| BAM.PR.C | Floater | -1.44 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 13.05 Evaluated at bid price : 13.05 Bid-YTW : 4.97 % |
| GWO.PR.S | Insurance Straight | -1.43 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 21.39 Evaluated at bid price : 21.39 Bid-YTW : 6.17 % |
| PVS.PR.H | SplitShare | -1.40 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2027-02-28 Maturity Price : 25.00 Evaluated at bid price : 23.92 Bid-YTW : 5.85 % |
| SLF.PR.E | Insurance Straight | -1.39 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 19.21 Evaluated at bid price : 19.21 Bid-YTW : 5.89 % |
| BAM.PF.D | Perpetual-Discount | -1.31 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 19.65 Evaluated at bid price : 19.65 Bid-YTW : 6.27 % |
| PWF.PR.E | Perpetual-Discount | -1.27 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 22.22 Evaluated at bid price : 22.50 Bid-YTW : 6.21 % |
| BAM.PF.A | FixedReset Disc | -1.26 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 21.63 Evaluated at bid price : 22.03 Bid-YTW : 7.09 % |
| FTS.PR.J | Perpetual-Discount | -1.24 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 19.90 Evaluated at bid price : 19.90 Bid-YTW : 6.04 % |
| BNS.PR.I | FixedReset Disc | -1.24 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 23.56 Evaluated at bid price : 23.95 Bid-YTW : 6.09 % |
| GWO.PR.Q | Insurance Straight | -1.23 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 20.82 Evaluated at bid price : 20.82 Bid-YTW : 6.22 % |
| SLF.PR.G | FixedReset Ins Non | -1.20 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 14.76 Evaluated at bid price : 14.76 Bid-YTW : 7.20 % |
| IFC.PR.G | FixedReset Ins Non | -1.19 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 21.83 Evaluated at bid price : 22.33 Bid-YTW : 6.63 % |
| PWF.PR.L | Perpetual-Discount | -1.19 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 20.80 Evaluated at bid price : 20.80 Bid-YTW : 6.24 % |
| GWO.PR.G | Insurance Straight | -1.18 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 21.00 Evaluated at bid price : 21.00 Bid-YTW : 6.23 % |
| NA.PR.S | FixedReset Disc | -1.13 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 21.00 Evaluated at bid price : 21.00 Bid-YTW : 6.76 % |
| SLF.PR.H | FixedReset Ins Non | -1.12 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 17.65 Evaluated at bid price : 17.65 Bid-YTW : 6.94 % |
| BIP.PR.E | FixedReset Disc | -1.05 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 22.87 Evaluated at bid price : 23.50 Bid-YTW : 6.76 % |
| ELF.PR.H | Perpetual-Discount | -1.05 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 23.25 Evaluated at bid price : 23.55 Bid-YTW : 5.94 % |
| SLF.PR.C | Insurance Straight | -1.04 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 19.05 Evaluated at bid price : 19.05 Bid-YTW : 5.87 % |
| CM.PR.Q | FixedReset Disc | 1.05 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 21.26 Evaluated at bid price : 21.26 Bid-YTW : 6.62 % |
| IFC.PR.E | Insurance Straight | 1.13 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 22.06 Evaluated at bid price : 22.35 Bid-YTW : 5.83 % |
| IFC.PR.F | Insurance Straight | 1.36 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 22.08 Evaluated at bid price : 22.40 Bid-YTW : 5.93 % |
| FTS.PR.K | FixedReset Disc | 1.36 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 18.60 Evaluated at bid price : 18.60 Bid-YTW : 7.21 % |
| MFC.PR.K | FixedReset Ins Non | 2.14 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 21.50 Evaluated at bid price : 21.50 Bid-YTW : 6.51 % |
| BAM.PF.I | FixedReset Prem | 2.16 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2027-03-31 Maturity Price : 25.00 Evaluated at bid price : 26.07 Bid-YTW : 4.39 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| IAF.PR.G | FixedReset Ins Non | 220,000 | YTW SCENARIO Maturity Type : Call Maturity Date : 2022-07-30 Maturity Price : 25.00 Evaluated at bid price : 24.98 Bid-YTW : 3.78 % |
| RS.PR.A | SplitShare | 118,833 | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2025-12-31 Maturity Price : 10.00 Evaluated at bid price : 10.04 Bid-YTW : 5.47 % |
| BAM.PF.F | FixedReset Disc | 103,000 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 20.06 Evaluated at bid price : 20.06 Bid-YTW : 7.44 % |
| MFC.PR.J | FixedReset Ins Non | 59,000 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 22.88 Evaluated at bid price : 23.52 Bid-YTW : 6.38 % |
| IFC.PR.G | FixedReset Ins Non | 53,100 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 21.83 Evaluated at bid price : 22.33 Bid-YTW : 6.63 % |
| CM.PR.R | FixedReset Disc | 48,300 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2052-06-22 Maturity Price : 24.10 Evaluated at bid price : 25.05 Bid-YTW : 6.83 % |
| There were 20 other index-included issues trading in excess of 10,000 shares. | |||
| Wide Spread Highlights | ||
| Issue | Index | Quote Data and Yield Notes |
| SLF.PR.H | FixedReset Ins Non | Quote: 17.65 – 23.50 Spot Rate : 5.8500 Average : 4.1905 YTW SCENARIO |
| BAM.PR.K | Floater | Quote: 13.00 – 15.31 Spot Rate : 2.3100 Average : 1.3184 YTW SCENARIO |
| BAM.PF.E | FixedReset Disc | Quote: 18.35 – 20.90 Spot Rate : 2.5500 Average : 1.6646 YTW SCENARIO |
| MFC.PR.L | FixedReset Ins Non | Quote: 19.31 – 22.00 Spot Rate : 2.6900 Average : 1.9184 YTW SCENARIO |
| IFC.PR.I | Perpetual-Discount | Quote: 22.50 – 24.74 Spot Rate : 2.2400 Average : 1.6008 YTW SCENARIO |
| PWF.PR.Z | Perpetual-Discount | Quote: 21.20 – 23.00 Spot Rate : 1.8000 Average : 1.2304 YTW SCENARIO |
[…] PerpetualDiscounts now yield 6.07%, equivalent to 7.89% interest at the standard equivalency factor of 1.3x. Long corporates now yield 5.33%, so the pre-tax interest-equivalent spread (in this context, the “Seniority Spread”) has narrowed slightly (and perhaps spuriously) to 255bp from the 260bp reported June 22. […]