Morning Minutes





World markets are trading lower this morning as investors respond to more earnings reports and await today’s Fed monetary policy decision. Ahead of the meeting, the US dollar is trading higher against other majors, climbing 0.4% against the Euro, 0.5% against the Canadian Dollar and 0.6% against gold. Other metals are under pressure today with silver falling 1.7% and copper dropping 1.1%.

Market action suggests that investors are not expecting any new stimulus from the FOMC today. Investors may look to comments in the statement or the press conference related to current and projected economic conditions, any hints on whether additional stimulus is under consideration, and any thoughts on how the central bank plans to work with the incoming administration, particularly since the new Treasury Secretary, Janet Yellen, was current Chair Powell’s predecessor.

US index futures are down 0.75% to 1.00% this morning, with Dow futures down nearly 300 points, continuing overseas markets’ downward course which has seen the Dax drop 1,8%, the FTSE fall 1.3% and the Hang Seng slip 0.3%. Weaker than expected US durable goods orders for December (0.2% vs street 0.9% and previous 1.2) aren’t helping the bulls cause.

Another flurry of earnings reports have come out overnight and this morning. Canadian National Railway beat expectations on earnings ($1.43 vs street $1.41) and raised its dividend by 7%. Management indicated that a sharp drop in petroleum related revenue was offset by growth in lumber, potash and consumer goods volumes.

Highlights of today’s US earnings reports include: Microsoft ($2.03 vs street $1.64), Starbucks ($0.61 vs street $0.55), Texas Instruments ($1.64 vs street $1.34), Advanced Micro Devices ($0.52 vs street $0.47) and Boeing (sales $15.3B vs street $15.0B, earnings distorted by large charges against the 737 ad 777 programs due to groundings, and falling demand for air travel).  After the close today, results are due from Apple, Facebook, and Tesla.

Subscribe to the Morning Minutes:

Today's earnings reports and market activity, delivered right to your inbox.

Colin Cieszynski, Chief Market Strategist

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

Read More

Legal and Regulatory Disclosures

Terms and Conditions:
This information is for Investment Advisors only. The website is for informational purposes only and is not intended to provide a complete description of SIA Wealth Management’s products or services. Past performance is not indicative of future results. It should not be construed as investment advice or relied upon in making an investment decision. Products and services of SIA Wealth Management are only offered in jurisdictions where they may be lawfully offered for sale. The information contained in this Website does not constitute an offer or solicitation by anyone to buy or sell any investment fund or other product, service or information to anyone in any jurisdiction in which an offer or solicitation is not authorized or cannot be legally made or to any person to whom it is unlawful to make an offer of solicitation. All products and services are subject to the terms of each and every applicable agreement. It is important to note that not all products, services and information are available in all jurisdictions outside Canada.

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. SIA Wealth Management Inc. 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.