National Bank of Canada : Thursday January 12, 2023

Market Review

January 12, 2023

EQUITY INDICES	LAST	CHANGE	%CHG	52 WK-HIGH	52 WK-LOW	YTD
DOW JONES INDUSTRIAL AVERAGE	34,189.97	216.96	0.64%	36513.88	28660.94	3.15%
S&P 500	3,983.17	13.56	0.34%	4748.83	3491.58	3.74%
NASDAQ COMPOSITE	11,001.11	69.43	0.64%	15319.03	10088.83	5.11%
S&P/TSX COMPOSITE	20,211.20	186.15	0.93%	22213.07	17873.18	4.26%
STOXX EUROPE 50	3,848.04	16.10	0.42%	3864.32	3279.47	5.37%
FTSE 100	7,794.04	69.06	0.89%	7809.13	6707.62	4.59%
DAX PERFORMANCE-INDEX TR	15,058.30	110.39	0.74%	16090.29	11862.84	8.15%
CAC40	6,975.68	51.49	0.74%	7227.35	5628.42	7.75%
Nikkei 225 Index	26,449.82	3.82	0.01%	29222.77	24681.74	1.36%
HANG SENG INDEX	21,514.10	78.05	0.36%	25050.59	14597.31	8.76%
Shanghai SE Composite Index	3,163.45	1.61	0.05%	3601.07	2863.65	2.40%

Market Review

U.S consumer prices fell for the first time in more than 2-1/2 years.

The Canadian stock market rose today as energy companies and gold miners rallied. In the U.S., equity markets swung between gains and losses despite the release of economic data that kept investors' sentiment positive. It showed that U.S consumer prices fell for the first time in more than 2-1/2 years in December amid declining prices for gasoline and motor vehicles, offering hope that inflation was now on a sustained downward trend. Americans also got more relief at the supermarket last month, with the report also showing food prices posting their smallest monthly increase since March 2021. The consumer price index dipped 0.1% last month. In the 12 months through December, the CPI increased 6.5%. That was the smallest rise since October 2021 and followed a 7.1% advance in November. The annual CPI peaked at 9.1% in June, which was the biggest increase since November 1981. Excluding the volatile food and energy components, the CPI climbed 0.3% last month after rising 0.2% in November. On a yearly basis, the so- called core CPI increased 5.7%. That was the smallest gain since December 2021 and followed a 6.0% advance in November. Cooling inflation could allow the Federal Reserve to further scale back the pace of its interest rate increases next month. The U.S. central bank is engaged in its fastest rate hiking cycle since the 1980s. Traders' bets of a 25-basis point rate hike by the Fed in February shot up to 91% after the inflation data, from 77% previously. A separate report showed weekly jobless claims fell last week, signaling a still tight labor market. Offsetting somewhat the economic data, Philadelphia Fed President Patrick Harker and St. Louis Fed President James Bullard acknowledged the moderation in prices, but stressed on the need for further monetary policy tightening to bring inflation down to the central bank's target. The recent bounce in U.S. stocks is about to face a key test, as companies get set to report fourth-quarter results tomorrow. Analysts expect earnings for S&P 500 companies to have declined 2.2% for the quarter compared with a year ago. That would be the first U.S. quarterly earnings decline since the third quarter of 2020, when companies were still grappling with the start of the coronavirus pandemic.

S&P/TSX: LEADERS	LAST	CHANGE	%CHG
Tilray Brands Inc	$4.40	$0.34	8.37%
Converge Technology Solutions Corp	$5.22	$0.35	7.19%
Canopy Growth Corp	$3.56	$0.23	6.91%
Advantage Energy Ltd	$9.02	$0.56	6.62%
MEG Energy Corp	$19.35	$1.19	6.55%

S&P/TSX: LAGGARDS	LAST	CHANGE	%CHG
Aritzia Inc	$46.16	-$5.06	-9.88%
Kinaxis Inc	$140.50	-$9.50	-6.33%
Algonquin Power & Utilities Corp	$9.53	-$0.42	-4.22%
Waste Connections Inc	$171.01	-$6.41	-3.61%
Cargojet Inc	$122.20	-$4.28	-3.38%

S&P/TSX INDUSTRY	LAST	CHANGE	%CHG	YTD
ENERGY	241.52	7.19	3.07%	-0.61%
MATERIALS	354.06	4.85	1.39%	8.05%
UTILITIES	306.64	-0.68	-0.22%	3.89%
FINANCIALS	367.37	3.45	0.95%	4.36%
INDUSTRIALS	393.94	-0.59	-0.15%	3.28%
HEALTH CARE	21.51	0.75	3.61%	10.76%
CONS. DISCRETION.	264.99	-0.60	-0.23%	5.14%
CONS. STAPLES	833.92	-5.14	-0.61%	1.32%
INFO TECH.	142.93	1.03	0.73%	4.79%
COMMUNICATION SVS	191.81	1.73	0.91%	3.10%
REAL ESTATE	322.39	3.03	0.95%	7.15%

GOVERNMENT BONDS	2YR	5YR	10YR	30YR
CANADA (YLD%)	3.81%	3.04%	2.90%	2.94%
U.S. (YLD%)	4.14%	3.54%	3.44%	3.58%
COMMODITIES/ FX	LAST	CHANGE	%CHG	YTD
CRUDE OIL WTI	$78.35	$0.94	1.21%	-2.38%
NATURAL GAS	$3.68	$0.01	0.14%	-17.95%
GOLD	$1,889.10	$14.50	0.77%	3.81%
COPPER	$4.16	$0.01	0.20%	9.27%
CAD / USD	$0.7483	$0.0035	0.47%	1.42%
CAD / EUR	€0.6895	-€0.0028	-0.40%	0.04%
USD / EUR	€0.9214	-€0.0081	-0.87%	-1.36%
USD / JPY	¥129.26	-¥3.21	-2.42%	-1.41%

Source: Refinitiv

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