Canadian inflation numbers came out today:
Here are some highlights from Tuesday’s report:
- Core inflation is showing some mixed signals. On a three-month annualized basis, the Bank of Canada’s preferred measures of core inflation – which strip out volatile movements in consumer prices – rose by 3.2 per cent and 3.3 per cent, respectively. Two months ago, those measures were rising by 2.1 per cent.
- On the other hand, the short-term trend for other measures of core inflation is more encouraging. On a three-month annualized basis, the CPI excluding food and energy rose by 1.9 per cent in November, matching the increase in October.
- Rents are moving in the wrong direction. Year-over-year, rental costs jumped by 7.7 per cent in November, up from a 7.3-per-cent pace in October. However, there is ample data out of the private sector that shows asking rents are on the decline in many urban areas.
- Grocery prices rose 2.6 per cent, year-over-year, in November, a slight deceleration from 2.7 per cent in October. While food price increases have moderated, grocery costs have risen by 20 per cent over three years.
There was a minor reaction from the swaps market:
Pre-Announcement
Post-Announcement
So the projected December, 2025, policy rate edged up 2bp, from 2.76% to 2.78%. Not much change, but the current projection of 2.78% is significantly higher than the post-BoC-easing rate of 2.65%.
TXPR was down 0.24% today, but still managed to set a new 52-week high before sliding.
| 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 | 0.4608 % | 2,291.9 |
| FixedFloater | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.4608 % | 4,395.8 |
| Floater | 7.61 % | 7.75 % | 33,971 | 11.71 | 4 | 0.4608 % | 2,533.3 |
| OpRet | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.0228 % | 3,629.0 |
| SplitShare | 4.76 % | 4.32 % | 62,260 | 1.16 | 7 | -0.0228 % | 4,333.8 |
| Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.0228 % | 3,381.4 |
| Perpetual-Premium | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.1588 % | 2,896.0 |
| Perpetual-Discount | 5.93 % | 6.08 % | 52,889 | 13.70 | 32 | -0.1588 % | 3,158.0 |
| FixedReset Disc | 5.46 % | 6.67 % | 104,377 | 12.87 | 53 | -0.3609 % | 2,755.4 |
| Insurance Straight | 5.87 % | 5.94 % | 65,290 | 14.02 | 21 | -0.0246 % | 3,083.7 |
| FloatingReset | 6.49 % | 6.06 % | 34,298 | 12.94 | 4 | 1.2642 % | 3,310.6 |
| FixedReset Prem | 6.03 % | 5.59 % | 204,811 | 13.76 | 9 | 0.0608 % | 2,598.0 |
| FixedReset Bank Non | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.3609 % | 2,816.5 |
| FixedReset Ins Non | 5.15 % | 6.05 % | 85,011 | 13.83 | 14 | -0.1792 % | 2,850.5 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| FFH.PR.I | FixedReset Disc | -26.01 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 16.50 Evaluated at bid price : 16.50 Bid-YTW : 8.59 % |
| BIP.PR.F | FixedReset Disc | -6.82 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 21.68 Evaluated at bid price : 22.00 Bid-YTW : 6.92 % |
| CU.PR.C | FixedReset Disc | -4.47 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 20.10 Evaluated at bid price : 20.10 Bid-YTW : 6.75 % |
| PWF.PR.S | Perpetual-Discount | -3.06 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 19.64 Evaluated at bid price : 19.64 Bid-YTW : 6.21 % |
| SLF.PR.E | Insurance Straight | -2.91 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 20.00 Evaluated at bid price : 20.00 Bid-YTW : 5.65 % |
| IFC.PR.G | FixedReset Ins Non | -2.18 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 22.57 Evaluated at bid price : 23.33 Bid-YTW : 6.05 % |
| POW.PR.C | Perpetual-Discount | -2.12 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 23.69 Evaluated at bid price : 24.00 Bid-YTW : 6.15 % |
| CU.PR.E | Perpetual-Discount | -1.73 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 20.50 Evaluated at bid price : 20.50 Bid-YTW : 6.04 % |
| FFH.PR.H | FloatingReset | -1.61 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 21.45 Evaluated at bid price : 21.45 Bid-YTW : 6.74 % |
| MFC.PR.L | FixedReset Ins Non | -1.53 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 22.03 Evaluated at bid price : 22.55 Bid-YTW : 5.93 % |
| MFC.PR.I | FixedReset Ins Non | -1.49 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 22.91 Evaluated at bid price : 23.80 Bid-YTW : 6.18 % |
| GWO.PR.G | Insurance Straight | -1.24 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 21.44 Evaluated at bid price : 21.44 Bid-YTW : 6.09 % |
| PWF.PR.F | Perpetual-Discount | -1.18 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 21.59 Evaluated at bid price : 21.85 Bid-YTW : 6.09 % |
| BN.PR.X | FixedReset Disc | -1.14 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 16.41 Evaluated at bid price : 16.41 Bid-YTW : 7.30 % |
| FFH.PR.E | FixedReset Disc | -1.07 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 21.77 Evaluated at bid price : 22.21 Bid-YTW : 5.77 % |
| FTS.PR.H | FixedReset Disc | -1.05 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 15.95 Evaluated at bid price : 15.95 Bid-YTW : 6.90 % |
| FFH.PR.K | FixedReset Disc | -1.05 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 22.92 Evaluated at bid price : 23.65 Bid-YTW : 6.64 % |
| POW.PR.D | Perpetual-Discount | 1.02 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 20.71 Evaluated at bid price : 20.71 Bid-YTW : 6.16 % |
| IFC.PR.I | Insurance Straight | 1.15 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 22.55 Evaluated at bid price : 22.91 Bid-YTW : 5.90 % |
| BN.PR.B | Floater | 1.23 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 12.30 Evaluated at bid price : 12.30 Bid-YTW : 7.81 % |
| GWO.PR.P | Insurance Straight | 1.25 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 22.40 Evaluated at bid price : 22.66 Bid-YTW : 5.97 % |
| IFC.PR.F | Insurance Straight | 1.32 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 21.78 Evaluated at bid price : 22.25 Bid-YTW : 5.96 % |
| ENB.PF.G | FixedReset Disc | 1.88 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 18.95 Evaluated at bid price : 18.95 Bid-YTW : 7.38 % |
| CU.PR.J | Perpetual-Discount | 2.59 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 19.79 Evaluated at bid price : 19.79 Bid-YTW : 6.07 % |
| PWF.PR.G | Perpetual-Discount | 2.71 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 24.29 Evaluated at bid price : 24.60 Bid-YTW : 6.08 % |
| IFC.PR.A | FixedReset Ins Non | 3.00 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 20.93 Evaluated at bid price : 20.93 Bid-YTW : 5.69 % |
| SLF.PR.J | FloatingReset | 8.01 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 16.31 Evaluated at bid price : 16.31 Bid-YTW : 7.09 % |
| BN.PF.H | FixedReset Disc | 25.36 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2025-12-31 Maturity Price : 25.00 Evaluated at bid price : 24.67 Bid-YTW : 6.18 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| NA.PR.E | FixedReset Disc | 79,800 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 23.30 Evaluated at bid price : 24.95 Bid-YTW : 5.63 % |
| TD.PF.C | FixedReset Disc | 71,200 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 23.52 Evaluated at bid price : 24.65 Bid-YTW : 5.32 % |
| FTS.PR.M | FixedReset Disc | 56,260 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 20.70 Evaluated at bid price : 20.70 Bid-YTW : 6.70 % |
| TD.PF.D | FixedReset Disc | 52,900 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 23.77 Evaluated at bid price : 24.41 Bid-YTW : 5.85 % |
| IFC.PR.C | FixedReset Ins Non | 46,982 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 21.45 Evaluated at bid price : 21.45 Bid-YTW : 6.32 % |
| ENB.PF.K | FixedReset Disc | 39,000 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2054-12-17 Maturity Price : 21.96 Evaluated at bid price : 22.30 Bid-YTW : 7.00 % |
| There were 19 other index-included issues trading in excess of 10,000 shares. | |||
| Wide Spread Highlights | ||
| Issue | Index | Quote Data and Yield Notes |
| FFH.PR.I | FixedReset Disc | Quote: 16.50 – 22.26 Spot Rate : 5.7600 Average : 3.1195 YTW SCENARIO |
| BIP.PR.F | FixedReset Disc | Quote: 22.00 – 23.48 Spot Rate : 1.4800 Average : 0.8948 YTW SCENARIO |
| GWO.PR.L | Insurance Straight | Quote: 23.85 – 25.15 Spot Rate : 1.3000 Average : 0.7735 YTW SCENARIO |
| BN.PR.M | Perpetual-Discount | Quote: 19.02 – 20.39 Spot Rate : 1.3700 Average : 0.8571 YTW SCENARIO |
| ENB.PF.E | FixedReset Disc | Quote: 18.89 – 19.95 Spot Rate : 1.0600 Average : 0.6314 YTW SCENARIO |
| CU.PR.C | FixedReset Disc | Quote: 20.10 – 21.25 Spot Rate : 1.1500 Average : 0.7473 YTW SCENARIO |