US inflation was basically steady:
The Consumer Price Index report showed that inflation steadied at 2.4 percent in February from the same time last year, matching January’s annual increase. On a monthly basis, overall prices ticked up 0.3 percent.
“Core” inflation, which excludes volatile food and energy prices, also budged little, registering a 2.5 percent year-over-year pace. Compared to the previous month, these prices were 0.2 percent higher.
February’s report, which was released by the Bureau of Labor Statistics on Wednesday, covers the period up until the United States and Israel first struck Iran on the final day of the month.
…
In February, food prices were one of the biggest drivers of the overall increase, rising 0.4 percent over the course of the month, or 3.1 percent compared to the same time last year. Grocery prices, in particular, were up 2.4 percent, or 0.4 percent in February, while food away from home was 3.9 percent costlier on a year-over-year basis.
…
Sectors most exposed to Mr. Trump’s tariffs, such as appliances, have continued to become costlier. Prices for those goods rose 3.1 percent in February and are up 2.9 percent from a year ago. Furniture prices were flat for the month, although compared to the same time last year, are 4.2 percent higher.
With that in mind, we may review yesterday’s Survey of Consumer Expectations:
February Survey: Labor Market Expectations Decline Slightly Overall,
Inflation Expectations Tick Down at Short-Term Horizon, and Delinquency Expectations Improve
- Median inflation expectations declined by 0.1 percentage point (ppt) at the one-year-ahead horizon to reach 3.0 percent in February while holding at 3.0 percent at the three- and five-year-ahead horizons.
- Median one-year-ahead earnings growth expectations decreased in February by 0.2 ppt to 2.5 percent, just below the trailing twelve-month average of 2.6 percent. The mean probability of leaving one’s job voluntarily, or the expected quit rate, in the next twelve months decreased by 2.8 ppts to 15.9 percent, a new series low.
- The mean perceived probability of finding a job in the next three months if one’s current job was lost decreased by 1.6 ppts to 44.0 percent. However, mean unemployment expectations—or the mean probability that the U.S. unemployment rate will be higher one year from now—decreased by 2 ppts to 39.9 percent.
- The average perceived probability of missing a minimum debt payment over the next three months decreased by 2.1 ppts to 11.6 percent, its lowest level since February 2024.
| 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 | -0.1484 % | 2,489.3 |
| FixedFloater | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.1484 % | 4,720.1 |
| Floater | 5.79 % | 6.08 % | 55,721 | 13.70 | 3 | -0.1484 % | 2,720.2 |
| OpRet | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.3937 % | 3,650.0 |
| SplitShare | 4.78 % | 4.38 % | 86,389 | 2.99 | 5 | -0.3937 % | 4,358.9 |
| Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.3937 % | 3,401.0 |
| Perpetual-Premium | 5.70 % | 5.81 % | 81,486 | 14.06 | 7 | -0.0170 % | 3,069.7 |
| Perpetual-Discount | 5.63 % | 5.73 % | 47,149 | 14.25 | 28 | -0.2036 % | 3,364.0 |
| FixedReset Disc | 5.85 % | 5.88 % | 132,163 | 13.81 | 27 | 0.4614 % | 3,215.5 |
| Insurance Straight | 5.49 % | 5.59 % | 61,063 | 14.53 | 22 | 0.0934 % | 3,310.4 |
| FloatingReset | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.4614 % | 3,825.2 |
| FixedReset Prem | 5.95 % | 4.62 % | 84,159 | 2.03 | 21 | 0.2467 % | 2,667.6 |
| FixedReset Bank Non | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.4614 % | 3,286.9 |
| FixedReset Ins Non | 5.26 % | 5.34 % | 87,461 | 14.52 | 14 | 0.0459 % | 3,142.9 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| PWF.PR.T | FixedReset Disc | -3.41 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-11 Maturity Price : 23.04 Evaluated at bid price : 24.10 Bid-YTW : 5.57 % |
| CU.PR.J | Perpetual-Discount | -3.22 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-11 Maturity Price : 20.71 Evaluated at bid price : 20.71 Bid-YTW : 5.79 % |
| SLF.PR.G | FixedReset Ins Non | -2.52 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-11 Maturity Price : 18.92 Evaluated at bid price : 18.92 Bid-YTW : 5.70 % |
| POW.PR.D | Perpetual-Discount | -2.20 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-11 Maturity Price : 21.97 Evaluated at bid price : 22.20 Bid-YTW : 5.72 % |
| PVS.PR.L | SplitShare | -1.15 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2030-06-30 Maturity Price : 25.00 Evaluated at bid price : 25.70 Bid-YTW : 4.82 % |
| IFC.PR.C | FixedReset Ins Non | 1.31 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-11 Maturity Price : 24.24 Evaluated at bid price : 24.80 Bid-YTW : 5.60 % |
| GWO.PR.Y | Insurance Straight | 2.50 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-11 Maturity Price : 20.50 Evaluated at bid price : 20.50 Bid-YTW : 5.50 % |
| BN.PR.R | FixedReset Disc | 2.82 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-11 Maturity Price : 22.05 Evaluated at bid price : 22.64 Bid-YTW : 5.77 % |
| NA.PR.K | FixedReset Prem | 3.36 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2029-05-01 Maturity Price : 25.00 Evaluated at bid price : 27.97 Bid-YTW : 3.92 % |
| ENB.PF.C | FixedReset Disc | 3.83 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-11 Maturity Price : 22.37 Evaluated at bid price : 23.05 Bid-YTW : 6.03 % |
| BN.PR.T | FixedReset Disc | 7.64 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-11 Maturity Price : 21.50 Evaluated at bid price : 21.85 Bid-YTW : 5.95 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| GWO.PR.N | FixedReset Ins Non | 140,725 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-11 Maturity Price : 18.31 Evaluated at bid price : 18.31 Bid-YTW : 5.73 % |
| MFC.PR.M | FixedReset Ins Non | 52,900 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-11 Maturity Price : 23.17 Evaluated at bid price : 24.71 Bid-YTW : 5.34 % |
| MFC.PR.L | FixedReset Ins Non | 31,750 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-11 Maturity Price : 23.31 Evaluated at bid price : 24.91 Bid-YTW : 5.17 % |
| ENB.PR.N | FixedReset Disc | 28,344 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-11 Maturity Price : 23.31 Evaluated at bid price : 24.68 Bid-YTW : 5.83 % |
| GWO.PR.I | Insurance Straight | 27,975 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-11 Maturity Price : 20.95 Evaluated at bid price : 20.95 Bid-YTW : 5.39 % |
| ENB.PR.J | FixedReset Disc | 27,500 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2056-03-11 Maturity Price : 22.65 Evaluated at bid price : 23.36 Bid-YTW : 6.00 % |
| There were 15 other index-included issues trading in excess of 10,000 shares. | |||
| Wide Spread Highlights | ||
| See TMX DataLinx: ‘Last’ != ‘Close’ and the posts linked therein for an idea of why these quotes are so horrible. | ||
| Issue | Index | Quote Data and Yield Notes |
| PWF.PR.T | FixedReset Disc | Quote: 24.10 – 25.10 Spot Rate : 1.0000 Average : 0.5639 YTW SCENARIO |
| SLF.PR.E | Insurance Straight | Quote: 21.85 – 22.90 Spot Rate : 1.0500 Average : 0.6677 YTW SCENARIO |
| CU.PR.J | Perpetual-Discount | Quote: 20.71 – 21.73 Spot Rate : 1.0200 Average : 0.6760 YTW SCENARIO |
| BIP.PR.F | FixedReset Prem | Quote: 25.51 – 26.40 Spot Rate : 0.8900 Average : 0.5970 YTW SCENARIO |
| POW.PR.D | Perpetual-Discount | Quote: 22.20 – 23.19 Spot Rate : 0.9900 Average : 0.6972 YTW SCENARIO |
| SLF.PR.G | FixedReset Ins Non | Quote: 18.92 – 19.92 Spot Rate : 1.0000 Average : 0.7466 YTW SCENARIO |