{"id":48601,"date":"2017-07-12T23:02:00","date_gmt":"2017-07-13T03:02:00","guid":{"rendered":"https:\/\/prefblog.com\/?p=48601"},"modified":"2025-07-22T23:03:23","modified_gmt":"2025-07-23T03:03:23","slug":"july-12-2017","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=48601","title":{"rendered":"July 12, 2017"},"content":{"rendered":"

The big news of the day was the Canadian policy rate hike<\/a>, but Yellen’s remarks were also important<\/a>:<\/p>\n

Federal Reserve Chair Janet Yellen said the U.S. economy should continue to expand over the next few years, allowing the central bank to keep raising interest rates, while also stressing a gradual approach to tightening as the Fed monitors too-low inflation.<\/p>\n

\u201cConsiderable uncertainty always attends the economic outlook,\u201d Yellen said Wednesday in remarks delivered to the U.S House Financial Services Committee. \u201cThere is, for example, uncertainty about when — and how much — inflation will respond to tightening resource utilization.\u201d
…<\/b>
On monetary policy, Yellen didn\u2019t diverge far from the comments she made at a press conference after the June policy meeting. She sounded slightly more cautious on the inflation outlook, while sticking to an expectation for continued rate hikes and maintaining the initiative to begin reducing the Fed\u2019s balance sheet \u201crelatively soon.\u201d<\/p>\n<\/blockquote>\n

PerpetualDiscounts now yield 5.24%, equivalent to 6.81% interest at the standard equivalency factor of 1.3x. Long corporates<\/a> now yield a little under 3.85%, so the pre-tax interest-equivalent spread is now 300bp, a slight (and perhaps spurious) widening from the 295bp reported July 12<\/a>.<\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
HIMIPref™ Preferred Indices
These values reflect the December 2008 revision of the HIMIPref™ Indices<\/strong>
Values are provisional and are finalized monthly<\/td>\n<\/tr>\n
Index<\/td>\nMean
Current
Yield
(at bid)<\/td>\n		Median
YTW<\/td>\n		Median
Average
Trading
Value<\/td>\n		Median
Mod Dur
(YTW)<\/td>\n		Issues<\/td>\nDay’s Perf.<\/td>\nIndex Value<\/td>\n<\/tr>\n
Ratchet<\/td>\n0.00 %<\/td>\n0.00 %<\/td>\n0<\/td>\n0.00<\/td>\n0<\/td>\n1.5295 %<\/td>\n2,337.5<\/td>\n<\/tr>\n
FixedFloater<\/td>\n0.00 %<\/td>\n0.00 %<\/td>\n0<\/td>\n0.00<\/td>\n0<\/td>\n1.5295 %<\/td>\n4,289.1<\/td>\n<\/tr>\n
Floater<\/td>\n3.39 %<\/td>\n3.41 %<\/td>\n93,439<\/td>\n18.75<\/td>\n3<\/td>\n1.5295 %<\/td>\n2,471.8<\/td>\n<\/tr>\n
OpRet<\/td>\n0.00 %<\/td>\n0.00 %<\/td>\n0<\/td>\n0.00<\/td>\n0<\/td>\n0.0547 %<\/td>\n3,068.8<\/td>\n<\/tr>\n
SplitShare<\/td>\n4.69 %<\/td>\n4.26 %<\/td>\n57,788<\/td>\n1.44<\/td>\n5<\/td>\n0.0547 %<\/td>\n3,664.8<\/td>\n<\/tr>\n
Interest-Bearing<\/td>\n0.00 %<\/td>\n0.00 %<\/td>\n0<\/td>\n0.00<\/td>\n0<\/td>\n0.0547 %<\/td>\n2,859.4<\/td>\n<\/tr>\n
Perpetual-Premium<\/td>\n5.36 %<\/td>\n4.69 %<\/td>\n70,614<\/td>\n5.90<\/td>\n21<\/td>\n0.0489 %<\/td>\n2,783.0<\/td>\n<\/tr>\n
Perpetual-Discount<\/td>\n5.26 %<\/td>\n5.24 %<\/td>\n89,733<\/td>\n15.10<\/td>\n15<\/td>\n-0.0086 %<\/td>\n2,939.9<\/td>\n<\/tr>\n
FixedReset<\/td>\n4.33 %<\/td>\n4.29 %<\/td>\n182,766<\/td>\n6.42<\/td>\n97<\/td>\n0.2283 %<\/td>\n2,399.5<\/td>\n<\/tr>\n
Deemed-Retractible<\/td>\n5.04 %<\/td>\n5.30 %<\/td>\n115,578<\/td>\n6.17<\/td>\n30<\/td>\n0.0895 %<\/td>\n2,872.5<\/td>\n<\/tr>\n
FloatingReset<\/td>\n2.64 %<\/td>\n3.02 %<\/td>\n47,826<\/td>\n4.30<\/td>\n10<\/td>\n0.4728 %<\/td>\n2,623.1<\/td>\n<\/tr>\n<\/table>\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
Performance Highlights<\/strong><\/td>\n<\/tr>\n
Issue<\/td>\nIndex<\/td>\nChange<\/td>\nNotes<\/td>\n<\/tr>\n
MFC.PR.H<\/td>\nFixedReset<\/td>\n1.05 %<\/td>\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2022-03-19
\nMaturity Price : 25.00
\nEvaluated at bid price : 25.14
\nBid-YTW : 4.55 %<\/td>\n<\/tr>\n
BAM.PR.B<\/td>\nFloater<\/td>\n1.09 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2047-07-12
\nMaturity Price : 13.90
\nEvaluated at bid price : 13.90
\nBid-YTW : 3.42 %<\/td>\n<\/tr>\n
IFC.PR.A<\/td>\nFixedReset<\/td>\n1.13 %<\/td>\nYTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2025-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 19.67
\nBid-YTW : 7.00 %<\/td>\n<\/tr>\n
TRP.PR.F<\/td>\nFloatingReset<\/td>\n1.16 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2047-07-12
\nMaturity Price : 20.09
\nEvaluated at bid price : 20.09
\nBid-YTW : 3.30 %<\/td>\n<\/tr>\n
TRP.PR.E<\/td>\nFixedReset<\/td>\n1.18 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2047-07-12
\nMaturity Price : 22.59
\nEvaluated at bid price : 23.09
\nBid-YTW : 4.15 %<\/td>\n<\/tr>\n
BAM.PR.K<\/td>\nFloater<\/td>\n1.75 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2047-07-12
\nMaturity Price : 13.99
\nEvaluated at bid price : 13.99
\nBid-YTW : 3.40 %<\/td>\n<\/tr>\n
BAM.PR.C<\/td>\nFloater<\/td>\n1.75 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2047-07-12
\nMaturity Price : 13.93
\nEvaluated at bid price : 13.93
\nBid-YTW : 3.41 %<\/td>\n<\/tr>\n
TRP.PR.C<\/td>\nFixedReset<\/td>\n1.91 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2047-07-12
\nMaturity Price : 17.06
\nEvaluated at bid price : 17.06
\nBid-YTW : 4.21 %<\/td>\n<\/tr>\n
HSE.PR.A<\/td>\nFixedReset<\/td>\n2.02 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2047-07-12
\nMaturity Price : 16.65
\nEvaluated at bid price : 16.65
\nBid-YTW : 4.58 %<\/td>\n<\/tr>\n
PWF.PR.P<\/td>\nFixedReset<\/td>\n2.33 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2047-07-12
\nMaturity Price : 17.10
\nEvaluated at bid price : 17.10
\nBid-YTW : 4.28 %<\/td>\n<\/tr>\n
TRP.PR.H<\/td>\nFloatingReset<\/td>\n3.85 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2047-07-12
\nMaturity Price : 15.37
\nEvaluated at bid price : 15.37
\nBid-YTW : 3.27 %<\/td>\n<\/tr>\n<\/table>\n\n\n\n\n\n\n\n\n\n\n
Volume Highlights<\/strong><\/td>\n<\/tr>\n
Issue<\/td>\nIndex<\/td>\nShares
Traded<\/td>\n		Notes<\/td>\n<\/tr>\n
CM.PR.R<\/td>\nFixedReset<\/td>\n348,960<\/td>\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2022-07-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 25.14
\nBid-YTW : 4.42 %<\/td>\n<\/tr>\n
BMO.PR.D<\/td>\nFixedReset<\/td>\n288,726<\/td>\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2022-08-25
\nMaturity Price : 25.00
\nEvaluated at bid price : 25.02
\nBid-YTW : 4.44 %<\/td>\n<\/tr>\n
RY.PR.I<\/td>\nFixedReset<\/td>\n157,300<\/td>\nYTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2022-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 24.74
\nBid-YTW : 3.81 %<\/td>\n<\/tr>\n
TRP.PR.A<\/td>\nFixedReset<\/td>\n103,575<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2047-07-12
\nMaturity Price : 20.11
\nEvaluated at bid price : 20.11
\nBid-YTW : 4.21 %<\/td>\n<\/tr>\n
BAM.PR.K<\/td>\nFloater<\/td>\n98,400<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2047-07-12
\nMaturity Price : 13.99
\nEvaluated at bid price : 13.99
\nBid-YTW : 3.40 %<\/td>\n<\/tr>\n
CU.PR.C<\/td>\nFixedReset<\/td>\n91,600<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2047-07-12
\nMaturity Price : 21.99
\nEvaluated at bid price : 22.52
\nBid-YTW : 4.30 %<\/td>\n<\/tr>\n
There were 33 other index-included issues trading in excess of 10,000 shares.<\/td>\n<\/tr>\n<\/table>\n\n\n\n\n\n\n\n\n\n
Wide Spread Highlights<\/strong><\/td>\n<\/tr>\n
Issue<\/td>\nIndex<\/td>\nQuote Data and Yield Notes<\/td>\n<\/tr>\n
TRP.PR.G<\/td>\nFixedReset<\/td>\nQuote: 24.29 – 24.75
\nSpot Rate : 0.4600
\nAverage : 0.3090<\/p>\n

YTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2047-07-12
\nMaturity Price : 23.05
\nEvaluated at bid price : 24.29
\nBid-YTW : 4.40 %<\/td>\n<\/tr>\n

MFC.PR.M<\/td>\nFixedReset<\/td>\nQuote: 22.02 – 22.39
\nSpot Rate : 0.3700
\nAverage : 0.2602<\/p>\n

YTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2025-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 22.02
\nBid-YTW : 5.89 %<\/td>\n<\/tr>\n

MFC.PR.F<\/td>\nFixedReset<\/td>\nQuote: 17.00 – 17.30
\nSpot Rate : 0.3000
\nAverage : 0.2208<\/p>\n

YTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2025-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 17.00
\nBid-YTW : 8.31 %<\/td>\n<\/tr>\n

IFC.PR.C<\/td>\nFixedReset<\/td>\nQuote: 22.56 – 22.80
\nSpot Rate : 0.2400
\nAverage : 0.1624<\/p>\n

YTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2025-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 22.56
\nBid-YTW : 5.28 %<\/td>\n<\/tr>\n

IAG.PR.G<\/td>\nFixedReset<\/td>\nQuote: 22.95 – 23.23
\nSpot Rate : 0.2800
\nAverage : 0.2026<\/p>\n

YTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2025-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 22.95
\nBid-YTW : 5.33 %<\/td>\n<\/tr>\n

EIT.PR.A<\/td>\nSplitShare<\/td>\nQuote: 25.69 – 26.20
\nSpot Rate : 0.5100
\nAverage : 0.4345<\/p>\n

YTW SCENARIO
\nMaturity Type : Soft Maturity
\nMaturity Date\t: 2024-03-14
\nMaturity Price : 25.00
\nEvaluated at bid price : 25.69
\nBid-YTW : 4.41 %<\/td>\n<\/tr>\n<\/table>\n","protected":false},"excerpt":{"rendered":"

The big news of the day was the Canadian policy rate hike, but Yellen’s remarks were also important: Federal Reserve Chair Janet Yellen said the U.S. economy should continue to expand over the next few …<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[15],"tags":[],"class_list":["post-48601","post","type-post","status-publish","format-standard","hentry","category-market-action"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/48601","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=48601"}],"version-history":[{"count":1,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/48601\/revisions"}],"predecessor-version":[{"id":48602,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/48601\/revisions\/48602"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=48601"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=48601"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=48601"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}