Morning Minutes 11/25/2020

Morning Minutes

Stocks Pause Post-Dow 30,000, Pre-US Thanksgiving Holiday

November 25, 2020

At SIA Wealth Management everything we do is based on Relative Strength Analysis. We evaluate the Relative Strength between asset classes giving us insight into money flows on a large scale, and from this select top ranked investments.

Market Commentary By:
Colin Cieszynski, CFA, CMT
Chief Market Strategist
+1 (647) 282-4428

Its Getaway Wednesday, where trading often slows down in the afternoon heading into the US Thanksgiving/Black Friday/Cyber Monday holiday break and seasonal shopping bonanza. Coming off of two strong days which saw the Dow Industrials finish at a record high above 30,000 yesterday and the NASDAQ close above 12,000, US index futures are flat with Dow futures slipping slightly back under 30,000.

European markets are also backsliding a bit this morning with the Dax down 0.2% and the FTSE down 0.5%. Commodity action is mixed with WTI and Brent crude oil both up about 0.9% but copper down 0.3%. Gold and silver are bouncing back a bit with gains of 0.3%-0.4% with gold finding some support near $1,800/oz.

With the holiday slowdown approaching, there has been a flurry of corporate and economic announcements overnight and into this morning. On the corporate side, retailers remain in the spotlight. Gap is down 10.75% in premarket trading today after the clothing retailer missed on EPS ($0.25 vs street $0.32) with struggles at Gap and Banana Republic offsetting growth at Old Navy and Athleta. In Canada today, convenience store operator Couche-Tard ($0.68 vs street $0.50) and recreational vehicle producer BRP ($2.13 vs street $1.51) both reported results well above expectations.

Three days of economic announcements are also being compressed into one due to the upcoming US holidays. October durable goods orders slowed from the previous month but were better than expected (1.3% vs street 0.9% and previous 2.1%), jobless claims were around expectations with continuing claims still trending downward and getting closer to 6.0M. A number of announcements are scheduled for later today including: consumer sentiment, personal income/spending and new home sales at 11:00 am EDT, weekly oil and natural gas inventories at 11:30 am, and minutes of the last FOMC meeting at 3:00 pm.


SIA Wealth In The Media

Chief Market Strategist appeared on BNN Bloomberg yesterday afternoon and spoke about recent trends in sector rotation, Dow 30,000 and more. A link to the replay is below:


Support Team SIA Motacular Moustaches This Movember


This month, in support of men’s health, SIA team members are participating in the Movember charity fund-raising campaign. Many of us know someone who has fallen ill to prostate or testicular cancer, mental illness or have passed away in recent years and are looking for a way to give back. The funds we help Movember raise will support life-changing services for mental health, innovative research, and scientific breakthroughs for cancer care. We know it has been a difficult year for everyone; if you are interested and able to support the cause this year, please click on the link below to access our team’s site.


Best Regards, Jeremy Fehr and the Motacular Moustaches team.

Disclaimer: SIA Wealth Management Inc. (SIAWM) specifically represents that it does not give investment advice or advocate the purchase or sale of any security or investment whatsoever. This information has been prepared without regard to any particular investor’s investment objectives, financial situation, and needs. None of the information contained in this document constitutes an offer to sell or the solicitation of an offer to buy any security or other investment or an offer to provide investment services of any kind. As such, advisors and their clients should not act on any recommendation (express or implied) or information in this report without obtaining specific advice in relation to their accounts and should not rely on information herein as the primary basis for their investment decisions. Information contained herein is based on data obtained from recognized statistical services, issuer reports or communications, or other sources, believed to be reliable. SIAWM nor its third party content providers make any representations or warranties or take any responsibility as to the accuracy or completeness of any recommendation or information contained herein and shall not be liable for any errors, inaccuracies or delays in content, or for any actions taken in reliance thereon. Any statements nonfactual in nature constitute only current opinions, which are subject to change without notice.