Thoughts on the Market

Relativity and Investing

Relativity and Investing

December 3, 2024 - Maddy Bodden

Leonard Susskind, the noted theoretical physicist, famously quoted that Einstein proved that different observers, in different states of motion, see different realities. The markets are constantly in motion. Whether it is earnings, news, rumors, or just normal daily activity, every stock is reacting both to its own forces and in relation to the overall direction of the market. How any of those data points are perceived by the market is dependent on the intentions of the observer.

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The Alignment of the Stars

October 21, 2024 - Maddy Bodden

In the children’s fantasy novel, Peter Pan, these are the directions to Neverland, home of Peter Pan and the Lost Boys. With investing, it is often difficult to know which star to follow as the investment horizon is ever changing, and never totally clear. In recent months, market focus has shifted among inflation, interest rates, corporate earnings, and even politics. All these items can have a profound effect on markets that must be carefully navigated. This month, we will review these points to determine the best investment path forward.

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The Little Things

The Little Things

August 23, 2024 - Maddy Bodden

Details. Details. In the investment world, as long as the market is moving higher, data points that are deemed irrelevant are ignored until they become relevant. On August 5, we saw a large sell off in US equities after a 12% decline in Japan’s Nikkei stock index, all triggered by a rise in the yen after the Bank of Japan increased their interest rate from 0.1% to 0.25%. How does such a little thing as a 0.15% Japanese rate increase send the US market into a tailspin?

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RBC Insights

Video: Bank of Canada cuts again in October. Find out why and what lies ahead.

Bank of Canada cuts again in October. Find out why and what lies ahead.

October 24, 2024 |RBC Wealth Management

The Bank of Canada lowered its benchmark interest rate by half a percentage point in October, to 3.75%.

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BoC accelerates pace of rate cuts

October 23, 2024 |Claire Fan

The level of the overnight rate is still restrictive at 3.75% and the BoC in the press release hinted at future rate cuts will follow to support a return to stronger GDP growth.

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Inflation moving to the back burner, but still simmering

Inflation moving to the back burner, but still simmering

October 18, 2024 |Josh Nye

Central banks’ inflation targets are in sight, but not all price trends have normalized. Inflation isn’t the headache it was, but investors should keep it in mind in their asset allocation decisions.

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Exploring the impacts of AI and GenAI across industries

Exploring the impacts of AI and GenAI across industries

October 15, 2024 |Frédérique Carrier

Continuing our examination of artificial intelligence and its potential to shape the investment landscape, we look at the specific impacts AI may have – or is already having – across a wide range of industries.

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Recession scorecard update: Stop and start

Recession scorecard update: Stop and start

October 11, 2024 |Jim Allworth

There have been no recent scorecard rating changes. However, two of the seven indicators have failed to move in the anticipated direction over the past month.

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New listings shoot higher in most major markets

New listings shoot higher in most major markets

October 07, 2024 |Rachel Battaglia

The influx is continuing to build inventory—which is still hovering near the equivalent of four months of supply.

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Debunking debt disaster

Debunking debt disaster

October 04, 2024 |Atul Bhatia, CFA

Myths may be important to folklore, but they’re not helpful in finance. We look at the facts behind some of the common myths surrounding the U.S. national debt.

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The price of Fed rate cut success is steep, but not too steep

The price of Fed rate cut success is steep, but not too steep

October 02, 2024 |Thomas Garretson, CFA

The Fed has finally aggressively lowered interest rates. While a steeper yield curve reflects the market’s optimism that rate cuts will shore up the economic outlook, further steepness could be a sign the Fed will cut rates deeply, likely due to a re

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5 Cyber Scams Targeting Seniors

5 Cyber Scams Targeting Seniors

October 01, 2024 |Diane Amato

Elder fraud can take many forms and is a growing problem in Canada and worldwide. With a general rise in online scams — and seniors’ increased adoption of smartphones and the internet — cyber crimes against Canada’s older population are resulting in

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How to safeguard yourself against cybercrime and electronic fraud

How to safeguard yourself against cybercrime and electronic fraud

October 01, 2024 |DA Marketing

With cybercrime on the rise in Canada, it's important to know how to protect yourself and your family.

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