Overnight in Asia, markets were off more than 2% on the declines in North America and continued concerns over the situation in the middle east and the Fed minutes release later today.
Europe is off about 1% at midday for the same reasons.
The North American futures however are pointing higher with the US up about a third of a point and Canada just slightly positive.
Gold is up about 4.00 to 1370, oil is lower by 0.90 to 105.96 and the loonie is off half a cent at 96.19.
Bonds are rallying today with 10 year yields in Canada at 2.68% and in the US at 2.83%. My analysis on the fixed income markets going forward has been completed and I will be implementing the changes before the end of the month.
Lastly, for those that may have forgot , the US Debt Ceiling limit that was extended to September 30th from May is looming and will once again need to be raised. I do believe it will happen, however the bond buying that the Fed continues to do will have to be pulled back at some point to reduce the continuing escalation of the cumulative debt. Also, Obama care is at the point of implementation and it will also cause the public debt to increase along with taxes. With that said, there will also be some great opportunities in the health care area as more are able to utilize services they could not before.
Kenneth A. Dick, BA, CIM, CFP, FCSI
Branch Manager & Portfolio Manager | Independent Wealth Management
Canaccord Genuity Wealth Management