Yellow Light, Green Light

The ongoing recovery in International equities, stronger than expected Canadian equity performance and a loonie in flight. See how such themes influenced Q3 performance and how we’re moving ahead.

04.14.2017 - Scott Guitard, Vice President, Portfolio Manager

Yellow Light, Green Light


Here are some themes we’ll be watching this quarter.

We believe:

  • Canadian bond yields will likely trend higher, albeit at a slower pace, as year-over-year data remains healthy, but is working off a depressed base.
  • In aggregate, US equity valuations remain elevated, boosted by key Information Technology stocks.
  • Oil prices are likely to remain range-bound, as overseas production cuts are balanced against rising US output.
  • Political uncertainty in the Euro area is now moderating with the end of elections in France and Germany and outcomes supported by investors.
  • Higher corporate earnings will continue to push emerging markets higher.