“When You Talk, You Only Repeat What You Already Know. But If You Listen You May Learn Something” -Dalai Lama XIV
Stocks Close Lower on Friday
U.S. and Canadian stocks closed lower Friday, led by declines in utility shares as investors weighed prospects for an interest rate increase in the coming months. The S&P utility index, which tends to fall as prospects for a rate increase rise, was down 1.3 per cent. The Dow Jones industrial average was down 45.13 points, or 0.24 per cent, to 18,552.57, the S&P 500 lost 3.15 points, or 0.14 per cent, to 2,183.87 and the Nasdaq Composite dropped 1.77 points, or 0.03 per cent, to 5,238.38. The benchmark S&P 500 index is up about 7 per cent this year. Its recent run to record highs has been partly supported by expectations that the Fed will continue to keep rates low, as well as some upbeat earnings and economic news. The S&P/TSX Composite Index closed down 8.22 points, or 0.06 per cent, to 14,687.46 in Toronto, after briefly erasing an earlier decline of as much as 0.4 per cent. The Canadian dollar fell 0.54 of a cent to 77.72 cents (U.S.).
Raw-materials producers have led the rally in Canadian equities in 2016, surging 59 per cent as the top gainers among 10 industries in the S&P/TSX. Energy producers have gained 22 per cent in the same period. That’s boosted the Canadian equity benchmark to a 13 per cent jump in 2016, rebounding from a slump last year that was the worst for the S&P/TSX since the 2008 financial crisis.
Win The Lottery! Good Luck or Bad?
In 10 years, Dan Carley went from total financial freedom to the four walls of a jail cell. Mr. Carley, a 35-year-old father from southern Ontario, won a $5-million jackpot in February 2006. This month, he was sentenced to 2 1/2 years for cocaine trafficking. He spent half his winnings on poor investments and a failed business venture in his first year as a millionaire. Carley also developed a drug addiction and estimates that “more than one-fifth of his prize cash” went to drugs over the years. Within seven months of hitting the jackpot, Carley said he’d sunk about $1.5 million into a “badly thought-out” plan to develop a string of Niagara bars that fizzled by 2007.
He spent a further million on poor investments in the first year, and by 2009 his bank accounts were gutted, evaporating after heady splurges on drugs and alcohol and, more sobering, mortgage payments and back taxes. “I take full responsibility. I’m not blaming anybody else, “says Carley. “I was uneducated, young. I didn’t even have a high school diploma at the time.” Now he’s been clean for nearly two years, and said he’s at peace with his troubled past. “I’m a lot happier now than when I had the money. . . . It was just partying and misery.” He recently attained his high school equivalency certificate, and he said he hopes to enroll in a college social-work program after his release. “I’m actually very content,” he said. “The past I’m not really concerned with.”.
Sources: Bloomberg; Investment Executive; advisor.ca,