January’s inflation number was promising, but one swallow doesn’t make a summer!
Canada’s inflation rate fell far enough in January to place it within the Bank of Canada’s target range, surprising analysts and reigniting speculation about a potential interest-rate cut this spring.
The Consumer Price Index rose 2.9 per cent in January on an annual basis, down from 3.4 per cent in December, Statistics Canada said Tuesday in a report. Financial analysts were expecting a slight easing to 3.3 per cent.
With that result, the headline inflation rate has fallen back within the Bank of Canada’s target range of 1 per cent to 3 per cent, for only the second time since consumer prices began to flare up in 2021. (The central bank aims for 2 per cent, the midpoint of that range.) Inflation is also tracking lower than the bank’s estimate for this quarter.
…
Meanwhile, inflation continues to be a pressing concern in the housing market. Shelter prices rose 6.2 per cent from a year earlier, picking up from December’s 6-per-cent pace. Rents accelerated to a 7.9-per-cent increase, from 7.7 per cent.
| 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 | 0.3376 % | 2,297.8 |
| FixedFloater | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.3376 % | 4,407.1 |
| Floater | 10.60 % | 10.88 % | 30,281 | 8.79 | 2 | 0.3376 % | 2,539.8 |
| OpRet | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.1976 % | 3,436.0 |
| SplitShare | 4.90 % | 7.19 % | 49,436 | 1.88 | 7 | 0.1976 % | 4,103.3 |
| Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.1976 % | 3,201.6 |
| Perpetual-Premium | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.1774 % | 2,648.4 |
| Perpetual-Discount | 6.49 % | 6.68 % | 46,720 | 12.93 | 33 | 0.1774 % | 2,888.0 |
| FixedReset Disc | 5.60 % | 7.68 % | 112,990 | 12.12 | 59 | -0.1865 % | 2,358.4 |
| Insurance Straight | 6.28 % | 6.50 % | 62,420 | 13.14 | 21 | 0.2663 % | 2,888.2 |
| FloatingReset | 10.05 % | 10.20 % | 33,829 | 9.30 | 3 | -0.2641 % | 2,590.1 |
| FixedReset Prem | 6.93 % | 6.69 % | 156,911 | 3.26 | 1 | 0.0000 % | 2,519.3 |
| FixedReset Bank Non | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.1865 % | 2,410.7 |
| FixedReset Ins Non | 5.43 % | 7.08 % | 85,245 | 12.45 | 14 | -0.2611 % | 2,617.9 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| BN.PF.G | FixedReset Disc | -2.82 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 16.55 Evaluated at bid price : 16.55 Bid-YTW : 9.39 % |
| RY.PR.J | FixedReset Disc | -2.25 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 19.55 Evaluated at bid price : 19.55 Bid-YTW : 7.83 % |
| FTS.PR.I | FloatingReset | -2.17 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 15.75 Evaluated at bid price : 15.75 Bid-YTW : 10.45 % |
| PWF.PR.P | FixedReset Disc | -2.09 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 14.08 Evaluated at bid price : 14.08 Bid-YTW : 8.51 % |
| MFC.PR.M | FixedReset Ins Non | -1.65 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 19.10 Evaluated at bid price : 19.10 Bid-YTW : 7.80 % |
| NA.PR.S | FixedReset Disc | -1.58 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 20.55 Evaluated at bid price : 20.55 Bid-YTW : 7.36 % |
| IFC.PR.C | FixedReset Ins Non | -1.53 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 19.30 Evaluated at bid price : 19.30 Bid-YTW : 7.56 % |
| CU.PR.G | Perpetual-Discount | -1.52 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 17.50 Evaluated at bid price : 17.50 Bid-YTW : 6.47 % |
| FTS.PR.M | FixedReset Disc | -1.47 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 18.71 Evaluated at bid price : 18.71 Bid-YTW : 8.04 % |
| FTS.PR.K | FixedReset Disc | -1.31 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 18.85 Evaluated at bid price : 18.85 Bid-YTW : 7.53 % |
| BMO.PR.S | FixedReset Disc | -1.30 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 21.27 Evaluated at bid price : 21.27 Bid-YTW : 7.01 % |
| BIP.PR.B | FixedReset Disc | -1.29 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 21.67 Evaluated at bid price : 22.11 Bid-YTW : 8.93 % |
| POW.PR.D | Perpetual-Discount | -1.29 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 19.20 Evaluated at bid price : 19.20 Bid-YTW : 6.61 % |
| FFH.PR.C | FixedReset Disc | -1.23 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 20.15 Evaluated at bid price : 20.15 Bid-YTW : 8.39 % |
| CU.PR.J | Perpetual-Discount | -1.20 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 18.10 Evaluated at bid price : 18.10 Bid-YTW : 6.60 % |
| GWO.PR.N | FixedReset Ins Non | -1.08 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 13.75 Evaluated at bid price : 13.75 Bid-YTW : 8.24 % |
| BN.PR.X | FixedReset Disc | 1.00 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 16.10 Evaluated at bid price : 16.10 Bid-YTW : 8.24 % |
| SLF.PR.C | Insurance Straight | 1.05 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 19.20 Evaluated at bid price : 19.20 Bid-YTW : 5.89 % |
| PWF.PR.S | Perpetual-Discount | 1.11 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 18.20 Evaluated at bid price : 18.20 Bid-YTW : 6.68 % |
| PWF.PR.O | Perpetual-Discount | 1.35 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 21.54 Evaluated at bid price : 21.80 Bid-YTW : 6.72 % |
| CM.PR.P | FixedReset Disc | 1.36 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 18.65 Evaluated at bid price : 18.65 Bid-YTW : 7.72 % |
| TD.PF.B | FixedReset Disc | 1.44 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 21.49 Evaluated at bid price : 21.81 Bid-YTW : 6.74 % |
| SLF.PR.J | FloatingReset | 1.49 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 16.40 Evaluated at bid price : 16.40 Bid-YTW : 10.16 % |
| TD.PF.C | FixedReset Disc | 1.49 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 19.80 Evaluated at bid price : 19.80 Bid-YTW : 7.32 % |
| BN.PR.M | Perpetual-Discount | 1.49 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 17.75 Evaluated at bid price : 17.75 Bid-YTW : 6.82 % |
| CU.PR.H | Perpetual-Discount | 1.68 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 21.15 Evaluated at bid price : 21.15 Bid-YTW : 6.24 % |
| PVS.PR.J | SplitShare | 1.99 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2028-02-29 Maturity Price : 25.00 Evaluated at bid price : 23.10 Bid-YTW : 6.89 % |
| MFC.PR.B | Insurance Straight | 2.23 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 19.75 Evaluated at bid price : 19.75 Bid-YTW : 6.00 % |
| RY.PR.N | Perpetual-Discount | 2.52 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 22.04 Evaluated at bid price : 22.35 Bid-YTW : 5.50 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| CM.PR.P | FixedReset Disc | 100,623 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 18.65 Evaluated at bid price : 18.65 Bid-YTW : 7.72 % |
| TD.PF.B | FixedReset Disc | 36,373 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 21.49 Evaluated at bid price : 21.81 Bid-YTW : 6.74 % |
| GWO.PR.I | Insurance Straight | 30,625 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 17.95 Evaluated at bid price : 17.95 Bid-YTW : 6.38 % |
| TD.PF.J | FixedReset Disc | 27,867 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 21.65 Evaluated at bid price : 21.97 Bid-YTW : 7.06 % |
| CM.PR.O | FixedReset Disc | 24,914 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 20.76 Evaluated at bid price : 20.76 Bid-YTW : 7.11 % |
| RY.PR.Z | FixedReset Disc | 23,719 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-02-20 Maturity Price : 21.06 Evaluated at bid price : 21.06 Bid-YTW : 6.93 % |
| There were 11 other index-included issues trading in excess of 10,000 shares. | |||
| Wide Spread Highlights | ||
| Issue | Index | Quote Data and Yield Notes |
| MFC.PR.L | FixedReset Ins Non | Quote: 19.70 – 24.06 Spot Rate : 4.3600 Average : 3.3330 YTW SCENARIO |
| IFC.PR.K | Insurance Straight | Quote: 20.75 – 25.00 Spot Rate : 4.2500 Average : 3.3352 YTW SCENARIO |
| TD.PF.A | FixedReset Disc | Quote: 20.60 – 22.00 Spot Rate : 1.4000 Average : 0.8753 YTW SCENARIO |
| GWO.PR.G | Insurance Straight | Quote: 20.15 – 20.94 Spot Rate : 0.7900 Average : 0.4703 YTW SCENARIO |
| IFC.PR.I | Insurance Straight | Quote: 21.45 – 23.25 Spot Rate : 1.8000 Average : 1.4972 YTW SCENARIO |
| FFH.PR.G | FixedReset Disc | Quote: 16.50 – 17.41 Spot Rate : 0.9100 Average : 0.6252 YTW SCENARIO |