TXPR closed at 576.10, down 0.87% on the day. Volume today was 2.22-million, above the median of the past 21 trading days.
CPD closed at 11.45, down 0.87% on the day. Volume was 67,520, second-highest of the past 21 trading days.
ZPR closed at 9.86, down 0.90% on the day. Volume was 135,870, fourth-highest of the past 21 trading days.
Five-year Canada yields were up to 3.80%.
The Globe managed to get some Canadian content into their commentary:
Canada’s main stock index fell to a five-week low on Monday as long-term borrowing costs climbed and investors worried that this week’s federal budget would propose raising taxes.
…
U.S. stocks also fell as an early lift from a strong retail sales report gave way to a jump in Treasury yields and concerns about rising tensions in the Middle East.
I’m going to go with US retail sales, although that means the abject surrender of Canadian sovereignity and the demise of Canadian exceptionalism:
Treasuries showed a substantial move to the downside during trading on Monday, as strong U.S. retail sales data added to concerns about the outlook for interest rates.
Bond prices regained some ground after falling sharply in early trading but remained firmly negative. As a result, the yield on the benchmark ten-year note, which moves opposite of its price, surged 12.9 basis points to 4.628 percent.
With the significant increase on the day, the ten-year yield ended the session at its highest closing level in five months.
The sell-off by treasuries came after the Commerce Department released a report showing much stronger than expected U.S. retail sales growth in the month of March.
The Commerce Department said retail sales climbed by 0.7 percent in March after advancing by an upwardly revised 0.9 percent in February.
| 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 | 0.3223 % | 2,377.6 |
| FixedFloater | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.3223 % | 4,560.3 |
| Floater | 10.12 % | 10.29 % | 47,684 | 9.32 | 1 | 0.3223 % | 2,628.1 |
| OpRet | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.1076 % | 3,431.7 |
| SplitShare | 4.91 % | 7.09 % | 31,862 | 1.76 | 7 | -0.1076 % | 4,098.2 |
| Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.1076 % | 3,197.6 |
| Perpetual-Premium | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -1.1386 % | 2,584.6 |
| Perpetual-Discount | 6.65 % | 6.74 % | 44,257 | 12.91 | 29 | -1.1386 % | 2,818.4 |
| FixedReset Disc | 5.34 % | 7.33 % | 105,532 | 12.04 | 57 | -0.9168 % | 2,489.3 |
| Insurance Straight | 6.56 % | 6.71 % | 52,787 | 12.93 | 21 | -0.9296 % | 2,763.7 |
| FloatingReset | 9.56 % | 9.48 % | 31,446 | 9.97 | 2 | -0.3667 % | 2,675.1 |
| FixedReset Prem | 6.44 % | 6.62 % | 205,917 | 3.16 | 3 | -0.3727 % | 2,497.5 |
| FixedReset Bank Non | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.9168 % | 2,544.6 |
| FixedReset Ins Non | 5.43 % | 7.45 % | 70,965 | 12.16 | 14 | -0.7362 % | 2,616.2 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| PWF.PR.S | Perpetual-Discount | -8.29 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 16.60 Evaluated at bid price : 16.60 Bid-YTW : 7.27 % |
| NA.PR.W | FixedReset Disc | -5.72 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 20.11 Evaluated at bid price : 20.11 Bid-YTW : 7.33 % |
| MFC.PR.Q | FixedReset Ins Non | -4.32 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 21.05 Evaluated at bid price : 21.05 Bid-YTW : 7.45 % |
| CM.PR.Q | FixedReset Disc | -3.93 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 21.60 Evaluated at bid price : 22.00 Bid-YTW : 7.05 % |
| FTS.PR.K | FixedReset Disc | -2.89 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 18.15 Evaluated at bid price : 18.15 Bid-YTW : 7.97 % |
| SLF.PR.C | Insurance Straight | -2.64 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 17.72 Evaluated at bid price : 17.72 Bid-YTW : 6.35 % |
| BN.PF.B | FixedReset Disc | -2.51 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 19.01 Evaluated at bid price : 19.01 Bid-YTW : 8.37 % |
| FTS.PR.G | FixedReset Disc | -2.42 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 20.55 Evaluated at bid price : 20.55 Bid-YTW : 7.35 % |
| PWF.PF.A | Perpetual-Discount | -2.37 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 16.89 Evaluated at bid price : 16.89 Bid-YTW : 6.70 % |
| BN.PF.I | FixedReset Disc | -2.31 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 21.10 Evaluated at bid price : 21.10 Bid-YTW : 8.51 % |
| TD.PF.C | FixedReset Disc | -2.23 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 21.54 Evaluated at bid price : 21.90 Bid-YTW : 6.69 % |
| SLF.PR.E | Insurance Straight | -2.14 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 17.84 Evaluated at bid price : 17.84 Bid-YTW : 6.37 % |
| CM.PR.O | FixedReset Disc | -2.13 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 22.26 Evaluated at bid price : 23.00 Bid-YTW : 6.51 % |
| FTS.PR.H | FixedReset Disc | -2.01 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 15.15 Evaluated at bid price : 15.15 Bid-YTW : 8.23 % |
| FTS.PR.J | Perpetual-Discount | -1.99 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 18.25 Evaluated at bid price : 18.25 Bid-YTW : 6.62 % |
| MFC.PR.B | Insurance Straight | -1.94 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 18.15 Evaluated at bid price : 18.15 Bid-YTW : 6.49 % |
| BN.PF.J | FixedReset Disc | -1.84 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 20.75 Evaluated at bid price : 20.75 Bid-YTW : 8.13 % |
| MFC.PR.C | Insurance Straight | -1.82 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 17.82 Evaluated at bid price : 17.82 Bid-YTW : 6.40 % |
| PWF.PR.G | Perpetual-Discount | -1.81 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 21.45 Evaluated at bid price : 21.71 Bid-YTW : 6.82 % |
| BN.PR.N | Perpetual-Discount | -1.79 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 17.00 Evaluated at bid price : 17.00 Bid-YTW : 7.07 % |
| GWO.PR.S | Insurance Straight | -1.75 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 19.60 Evaluated at bid price : 19.60 Bid-YTW : 6.77 % |
| FTS.PR.F | Perpetual-Discount | -1.70 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 19.05 Evaluated at bid price : 19.05 Bid-YTW : 6.54 % |
| BN.PF.G | FixedReset Disc | -1.69 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 17.40 Evaluated at bid price : 17.40 Bid-YTW : 9.12 % |
| BIP.PR.F | FixedReset Disc | -1.69 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 20.30 Evaluated at bid price : 20.30 Bid-YTW : 8.21 % |
| BN.PR.X | FixedReset Disc | -1.68 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 15.24 Evaluated at bid price : 15.24 Bid-YTW : 8.81 % |
| BN.PR.R | FixedReset Disc | -1.61 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 15.25 Evaluated at bid price : 15.25 Bid-YTW : 9.20 % |
| CM.PR.S | FixedReset Disc | -1.59 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 22.30 Evaluated at bid price : 22.30 Bid-YTW : 6.87 % |
| GWO.PR.I | Insurance Straight | -1.56 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 17.07 Evaluated at bid price : 17.07 Bid-YTW : 6.66 % |
| TD.PF.J | FixedReset Disc | -1.54 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 22.00 Evaluated at bid price : 22.45 Bid-YTW : 6.97 % |
| SLF.PR.D | Insurance Straight | -1.49 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 17.83 Evaluated at bid price : 17.83 Bid-YTW : 6.31 % |
| PWF.PR.H | Perpetual-Discount | -1.47 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 21.43 Evaluated at bid price : 21.43 Bid-YTW : 6.74 % |
| BIK.PR.A | FixedReset Disc | -1.44 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 23.04 Evaluated at bid price : 24.65 Bid-YTW : 7.76 % |
| FTS.PR.M | FixedReset Disc | -1.41 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 18.90 Evaluated at bid price : 18.90 Bid-YTW : 8.24 % |
| BN.PF.A | FixedReset Disc | -1.40 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 21.10 Evaluated at bid price : 21.10 Bid-YTW : 7.99 % |
| GWO.PR.Y | Insurance Straight | -1.40 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 16.96 Evaluated at bid price : 16.96 Bid-YTW : 6.71 % |
| BN.PR.Z | FixedReset Disc | -1.32 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 19.44 Evaluated at bid price : 19.44 Bid-YTW : 8.50 % |
| BN.PF.F | FixedReset Disc | -1.30 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 19.70 Evaluated at bid price : 19.70 Bid-YTW : 8.39 % |
| BN.PF.E | FixedReset Disc | -1.29 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 16.79 Evaluated at bid price : 16.79 Bid-YTW : 9.19 % |
| BN.PF.C | Perpetual-Discount | -1.25 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 17.31 Evaluated at bid price : 17.31 Bid-YTW : 7.09 % |
| FFH.PR.C | FixedReset Disc | -1.21 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 21.25 Evaluated at bid price : 21.25 Bid-YTW : 8.08 % |
| IFC.PR.G | FixedReset Ins Non | -1.20 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 21.78 Evaluated at bid price : 22.15 Bid-YTW : 7.06 % |
| IFC.PR.F | Insurance Straight | -1.15 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 19.72 Evaluated at bid price : 19.72 Bid-YTW : 6.80 % |
| PWF.PR.O | Perpetual-Discount | -1.15 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 21.45 Evaluated at bid price : 21.45 Bid-YTW : 6.80 % |
| BN.PR.M | Perpetual-Discount | -1.14 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 17.35 Evaluated at bid price : 17.35 Bid-YTW : 6.92 % |
| GWO.PR.Q | Insurance Straight | -1.13 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 19.19 Evaluated at bid price : 19.19 Bid-YTW : 6.79 % |
| POW.PR.A | Perpetual-Discount | -1.08 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 20.97 Evaluated at bid price : 20.97 Bid-YTW : 6.73 % |
| NA.PR.S | FixedReset Disc | -1.08 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 22.19 Evaluated at bid price : 22.85 Bid-YTW : 6.67 % |
| FFH.PR.G | FixedReset Disc | -1.07 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 17.51 Evaluated at bid price : 17.51 Bid-YTW : 8.57 % |
| GWO.PR.N | FixedReset Ins Non | -1.04 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 14.26 Evaluated at bid price : 14.26 Bid-YTW : 8.19 % |
| CU.PR.J | Perpetual-Discount | -1.00 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 17.77 Evaluated at bid price : 17.77 Bid-YTW : 6.80 % |
| IFC.PR.I | Insurance Straight | 1.30 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 20.26 Evaluated at bid price : 20.26 Bid-YTW : 6.74 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| TD.PF.A | FixedReset Disc | 131,000 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 22.90 Evaluated at bid price : 23.64 Bid-YTW : 6.20 % |
| TD.PF.B | FixedReset Disc | 70,900 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 23.04 Evaluated at bid price : 23.97 Bid-YTW : 6.18 % |
| MFC.PR.F | FixedReset Ins Non | 55,000 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 15.35 Evaluated at bid price : 15.35 Bid-YTW : 7.76 % |
| TD.PF.M | FixedReset Disc | 47,300 | YTW SCENARIO Maturity Type : Call Maturity Date : 2024-07-31 Maturity Price : 25.00 Evaluated at bid price : 24.80 Bid-YTW : 7.24 % |
| BN.PF.I | FixedReset Disc | 36,600 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 21.10 Evaluated at bid price : 21.10 Bid-YTW : 8.51 % |
| NA.PR.W | FixedReset Disc | 35,100 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-04-15 Maturity Price : 20.11 Evaluated at bid price : 20.11 Bid-YTW : 7.33 % |
| There were 24 other index-included issues trading in excess of 10,000 shares. | |||
| Wide Spread Highlights | ||
| Issue | Index | Quote Data and Yield Notes |
| PWF.PR.S | Perpetual-Discount | Quote: 16.60 – 18.05 Spot Rate : 1.4500 Average : 0.8124 YTW SCENARIO |
| BN.PF.A | FixedReset Disc | Quote: 21.10 – 22.70 Spot Rate : 1.6000 Average : 1.0068 YTW SCENARIO |
| NA.PR.W | FixedReset Disc | Quote: 20.11 – 21.35 Spot Rate : 1.2400 Average : 0.7849 YTW SCENARIO |
| MFC.PR.Q | FixedReset Ins Non | Quote: 21.05 – 22.50 Spot Rate : 1.4500 Average : 1.0301 YTW SCENARIO |
| FTS.PR.K | FixedReset Disc | Quote: 18.15 – 19.00 Spot Rate : 0.8500 Average : 0.4786 YTW SCENARIO |
| CM.PR.Q | FixedReset Disc | Quote: 22.00 – 23.04 Spot Rate : 1.0400 Average : 0.6747 YTW SCENARIO |
RY.PR.Z called
https://finance.yahoo.com/news/royal-bank-canada-redeem-nvcc-125400493.html
Any thoughts as to why? Reset spread is not really that high and even with the reset coming up, based on today’s 5yr, it would still reset below 6%. Baffling to me why they would call it…
likely they dont need the capital. That, or maybe OSFI “encouraged” them them to issue some NVCC institutional prefs….at like a 7.5% rate with a +450BP spread.
Further to “blue’s” point, not only is the spread low it’s the lowest of all the RY resets outstanding. I hope that there was something at work other than pleasing regulators. But I have no inside knowledge.
I have a big chunk of of my portfolio right now in issues I consider to be likely calls within the next couple years. This one wasn’t even on my radar. Congrats to anyone who saw this coming.
The cost of extending was pretty similar to the cost of an LRCN so it could’ve gone either way. Thought an extension more likely but was a close one.
“Baffling to me why they would call it…”
they wanted to set a fire under all my pref holdings.
there was some massive volumes today on a bunch of issues.
and some pretty large gains (in the pref world)
very good day