“People Like Controversy Because That’s What Sells” – Miley Cyrus
Stocks were volatile Friday amid nervousness about possible military intervention in the Syrian civil war. The S&P/TSX composite index slipped 24 points to 12,820. U.S. indexes were slightly lower with the Dow Jones losing 15 points after giving up early, solid gains in the wake of comments from Russian President Vladimir Putin, who told the press at the end of the G20 summit in St. Petersburg that his country would continue to “assist” Syria even if the Mideast country is attacked. President Barack Obama says he will address Americans about Syria on Tuesday while he seeks public support and congressional authority for military action against the regime of Syrian President Bashar Assad as punishment for a chemical attack against civilians in suburban Damascus. Syrian has cast a shadow over trading ever since that chemical attack Aug. 21 but some analysts think sentiment could well improve after it is known just what the U.S. will decide to do. “At the end of the day, when it’s resolved it will be more of a relief than anything,” said Chris King, portfolio manager at Morgan, Meighen and Associates.
Job Growth Boosts Loonie
The Canadian dollar surged almost a full US cent on Friday. The loonie found support from a Canadian jobs report, which beat expectations, jumping 0.86 cents to 96.02 cents US as Statistics Canada reported that the economy created 59,000 positions last month. But the growth was mainly for part-time employment as the unemployment rate fell to 7.1% in August from 7.2% the previous month. The consensus had called for the Canadian economy to have created about 20,000 jobs in August. The Canadian currency was also lifted by an American dollar that backed off after the U.S. Labor Department reported jobs growth of 169,000 last month, narrowly missing expectations of about 175,000 jobs. The U.S. jobless rate was 7.3%, down from 7.4%.
Market Update as of September 6 2013
The TSX closed at 12821, up 167 points or 1.32% over the past week. YTD the TSX is up 2.23%.
The DOW closed at 14923, up 113 points or 0.76% over the past week.YTD the DOW is up 13.88%.
The S&P closed at 1655, up 22 points or 1.35% over the past week.YTD the S&P is up 16.06%.
The Nasdaq closed at 3660, up 70 points or 1.95% over the past week.YTD the Nasdaq is up 18.41%.
Gold closed at 1392, down -3.00 points or -0.22% over the past week.YTD gold is down -17.14%.
Oil closed at 110.2, up 2.53 points or 2.35% over the past week.YTD oil is up 19.05%.
The USD/CAD closed at 1.041, down -0.0126 points or -1.20% over the past week.YTD the USD/CAD is up 5.41%.
Sources: globeadvisor; Investment Executive; Bloomberg: