“It Is Not Living That Matters But Living Rightly” -Socrates
An Interesting Week
The Toronto stock market was down Friday on data showing marginal growth in U.S. employment and uncertainty surrounding the eurozone’s debt crisis. The S&P/TSX composite index fell 60 points to 12,366.66. The loonie fell 1.06 cents to 98.14 cents US after Statistics Canada reported that the economy shed 54,000 jobs overall, most of them in the manufacturing and construction trades. Economists had expected a moderate increase in employment of 15,000 after September’s surprising 61,000 pick-up. New York markets were also lower after the U.S. Labour Department reported that the economy created about 80,000 jobs last month, compared with expectations of 95,000. The U.S. data also revised higher the previous two months. The report showed an additional 104,000 jobs were created during August and September.
“If you take the optimistic view that the job situation isn’t worsening, then that just reaffirms that the U.S. economy continues to grow,” said Phillip Petursson, director of institutional equities at Manulife Global Investment Management. Markets were volatile earlier this week after Greek prime minister George Papandreou stunned markets by calling a referendum on the country’s bailout. His plan increased investor fears of a disorderly Greek debt default and the country’s possible exit from the eurozone. “You know, it’s unfortunate that things seemed to be moving ahead at a nice pace last week and then at the start of the week Greece just throws this huge cloud of uncertainty over everything at probably the worst possible moment.” Papandreou backed off on the referendum plans Thursday however uncertainties over Greece remain as his government faces a confidence vote in Parliament later.
The TSX closed at 12408, down -112 points or -0.89% over the past week. YTD the TSX is down -7.70%.
The DOW closed at 11983, down -248 points or -2.03% over the past week.YTD the DOW is up 3.50%.
The S&P closed at 1253, down -32 points or -2.49% over the past week.YTD the S&P is down -0.40%.
The Nasdaq closed at 2686, down -51 points or -1.86% over the past week.YTD the Nasdaq is up 1.24%.
Gold closed at 1758, up 14.00 points or 0.80% over the past week.YTD gold is up 23.72%.
Oil closed at 94.46, up 0.99 points or 1.06% over the past week.YTD oil is up 3.00%.
The CAD/USD closed at 0.9834, down -0.0248 points or -2.46% over the past week.YTD the CAD/USD is down -1.92%.
Sources: Bloomberg, Investment Executive, Advisor CA, Statistics Canada