BMO.TO - Bank of Montreal
| Previous Close | 93.06 |
| Open | 92.75 |
| Bid | 92.74 x 0 |
| Ask | 92.75 x 0 |
| Day's Range | 92.58 - 93.80 |
| 52 Week Range | 86.25 - 109.00 |
| Volume | 768,066 |
| Avg. Volume | 1,410,400 |
| Market Cap | 59.258B |
| Beta (3Y Monthly) | 1.30 |
| PE Ratio (TTM) | 9.84 |
| EPS (TTM) | 9.43 |
| Earnings Date | Aug 27, 2019 |
| Forward Dividend & Yield | 4.12 (4.42%) |
| Ex-Dividend Date | 2019-07-31 |
| 1y Target Est | 106.46 |
- CNW Group
BMO Asset Management Inc. Announces Cash Distributions for Certain BMO Exchange Traded Funds
TORONTO , Aug. 21, 2019 /CNW/ - BMO Asset Management Inc. today announced the August 2019 cash distributions for BMO Exchange Traded Funds (BMO ETFs) that distribute monthly. Unitholders of record of the ...
- Simply Wall St.
Is It Worth Buying Bank of Montreal (TSE:BMO) For Its 4.4% Dividend Yield?
Dividend paying stocks like Bank of Montreal (TSE:BMO) tend to be popular with investors, and for good reason - some...
- Bloomberg
‘Wall of New Money’ Flees Negative Rates for American Credit
(Bloomberg) -- Blue-chip U.S. companies are likely to see a surge in demand for their bonds as the rising amount of negative-yielding debt globally forces more overseas investors to seek higher returns in dollar assets, according to Bank of America Corp.Record low yields on global non-dollar investment-grade debt and over $16 trillion of fixed-income assets paying less than 0% should fuel an increase in demand for U.S. credit, strategists led by Hans Mikkelsen wrote in an Aug. 16 note to clients. Attractive currency-hedging costs are helping to offset recent yield compression as offshore investors weigh allocations, according to the report.“There is a wall of new money being forced into the global corporate bond market,” the analysts wrote. “Given the near extinction of non-USD IG yield, foreign investors are forced to take more risk.”The average yield on about $27.8 trillion of global non-dollar denominated high-grade debt has plunged to just 11 basis points, while non-dollar sovereign yields are now negative on average for the first time, paying -3 basis points, according to the report.U.S. borrowers took advantage of robust demand Monday, issuing $6.75 billion of investment-grade bonds across seven deals in an unusually busy mid-August session. Volume has already passed the low end of dealer estimates projecting $5 billion to $10 billion of new supply this week, led by 3M Co.’s $3.25 billion, four-part offering.“There’s sizable demand for new issues and the over-subscription level is very notable despite the decline in yields,” said Scott Kimball, a portfolio manager at BMO Global Asset Management. “If you’re looking for generous concessions in new issue investment-grade you’re not going to get it.”For investors concerned about a U.S. recession, the front-end of the U.S. credit curve is the “best place to hide,” the Bank of America strategists wrote in the report. Still, they noted that they disagree with the market’s recent pricing of a much higher recession probability, and that they prefer to take credit risk further out the curve.(Adds clip from Bloomberg TV.)\--With assistance from James Crombie and Rizal Tupaz.To contact the reporter on this story: Caleb Mutua in New York at dmutua@bloomberg.netTo contact the editors responsible for this story: Nikolaj Gammeltoft at ngammeltoft@bloomberg.net, Boris Korby, Dan WilchinsFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
- The Motley Fool
3 Cheap Dividend Stocks for RRSP Investors
Here's why Nutrien Ltd. (TSX:NTR) (NYSE:NTR) and another two top Canadian stocks deserve to be on your RRSP radar today.
- The Motley Fool
3 Dividend Stocks That Have Never Missed a Payout
If you're looking to hunker down during a recession, it doesn't get better than these three bank stocks.
- The Motley Fool
TFSA Investors: Should You Trust Bank Stocks Today?
Toronto-Dominion Bank (TSX:TD)(NYSE:TD) and Canada’s other top banks are set to release earnings as the central bank wrestles with worrying global data.
- Bloomberg
China Loses Status as U.S.’s Top Foreign Creditor to Japan
(Bloomberg) -- Japan surpassed China in June as the top holder of U.S. Treasuries as the trade war between the world’s two largest economies intensified.Japan increased its holdings of U.S. bonds, bills and notes by $21.9 billion to $1.12 trillion, the highest level in more than 2 1/2 years, according to data released by the Treasury Department on Thursday. Meanwhile, China’s ownership rose for the first time in four months to $1.11 trillion, up by $2.3 billion.The last time Japan held the position as America’s largest foreign creditor was May 2017. The nation has added more than $100 billion worth of Treasuries at a fairly steady pace since October 2018. Treasuries have become more attractive as the globe’s pool of negative yielding debt grows, according to BMO Capital Markets. While benchmark 10-year U.S. yields have plunged to the lowest level since 2016 in recent months, the rate on 10-year Japanese government bonds is currently negative 0.23%.“The buying we have seen from Japanese investors is really a reflection of the globally low and negative yield environment,” said BMO strategist Ben Jeffery.A cautious months-long calm in the U.S.-China trade war was interrupted in May when talks between the two sides broke down. In June the U.S. raised tariffs on $200 billion of Chinese goods to 25% from 10%.While Trump and Chinese leader Xi Jinping agreed to a ceasefire in late June, that only lasted about a month before the U.S. president announced that on Sept. 1 he’ll impose a 10% levy on virtually every import from China not yet subject to duties.This week, Trump partially backed down by delaying the 10% charge on certain items, including mobile phones and laptops, until Dec. 15 to stem the impact on holiday shopping. Beijing says it still plans to retaliate.China’s U.S. debt hoard has come under increased scrutiny in the trade dispute amid speculation that the Asian nation could sell Treasuries in response. Earlier this month, the U.S. formally labeled China a currency manipulator after the yuan weakened past 7 per dollar.(Updates with analyst comment from third paragraph.)To contact the reporters on this story: Sarah McGregor in Washington at smcgregor5@bloomberg.net;Katherine Greifeld in New York at kgreifeld@bloomberg.netTo contact the editors responsible for this story: Margaret Collins at mcollins45@bloomberg.net, ;Benjamin Purvis at bpurvis@bloomberg.net, Sarah McGregor, Robert JamesonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
- CNW Group
Bank of Montreal Announces Results of Conversion Privilege of Non-Cumulative 5-Year Rate Reset Class B Preferred Shares, Series 29
TORONTO , Aug. 14, 2019 /CNW/ - Bank of Montreal (the "Bank") (TSX:BMO)(NYSE:BMO) today announced that none of its 16 million Non-Cumulative 5-Year Rate Reset Class B Preferred Shares, Series ...
CNW GroupBMO 1st Art! Competition Recognizes Fresh Perspectives from Emerging Canadian Artists
BMO Financial Group announces one national winner and 12 regional winners of their annual BMO 1 st Art! competition $15,000 is awarded to the national winner; $7,500 is awarded to each regional winner ...
- The Motley Fool
Stash This 1 ETF in Your TFSA for Smooth Sailing to a Wealthy Retirement
The BMO Low Volatility Equity ETF (TSX:ZLB) has your back in a bear market and it's also one of the best ways to amass a wealthy retirement.
- The Motley Fool
Ranking the Top 3 Bank Stocks at the 2019 Halfway Mark
In order of performance, Toronto-Dominion Bank (TSX:TD)(NYSE:TD), Royal Bank of Canada (TSX:RY)(NYSE:RY), and Bank of Montreal (TSX:BMO)(NYSE:BMO) are the top three banks stocks year to date.
- CNW Group
BMO Bank of Montreal Strengthens Partnership with Fintech Platform Blend to Enhance Bank's Technology and Improve Customer Experience
TORONTO, Aug. 9, 2019 /CNW/ - BMO is pleased to announce an expanded partnership with leading digital lending platform Blend, having participated as a strategic investor in the company's recent Series E round. The expanded relationship will further accelerate the bank's digital strategy in North America. "Customers are telling us that they are looking for digital-first experiences, and working with Blend gives us the opportunity to find innovative ways to bring digital solutions to customers across their banking journey," said Brett Pitts, Chief Digital Officer, BMO Financial Group.
- Bloomberg
Broadcom to Buy Symantec’s Enterprise Unit for $10.7 Billion
(Bloomberg) -- Broadcom Inc. said it agreed to buy Symantec Corp.’s division that serves business customers for $10.7 billion in cash, adding software designed to keep hackers out of corporate systems.The deal, which is expected to close in Broadcom’s fiscal first quarter ending in January, comes less than a month after the two companies’ discussions for a full merger fell apart over disagreements about the price. The transaction announced Thursday will refocus Symantec on its consumer-facing products, such as the LifeLock identity-protection brand and Norton antivirus software.The acquisition marks Broadcom’s second big bet in software, following its $19 billion takeover of CA Technologies last year. Chief Executive Officer Hock Tan is spreading the reach of the company he built through acquisitions in the chip industry, and is now using a similar playbook to extract value from software assets that are struggling to grow.Symantec has been grappling with major challenges in the past year, facing job cuts, an internal investigation that led to restated earnings and the sudden departure of its CEO in May. The 37-year-old company provides products and services to more than 300,000 businesses and 50 million consumers, according to its website.“This transaction represents the next logical step in our strategy following our acquisitions of Brocade and CA Technologies,” Tan said in a statement. Broadcom will use its sales channels to pitch Symantec products to its corporate customers.Broadcom said it expects $2 billion in sustainable revenue from the acquisition, which will deliver earnings before interest, tax, depreciation and amortization of $1.3 billion. The company will carve out “more than $1 billion of run-rate cost synergies within 12 months following close,” it said in the statement. The transaction doesn’t need approval in China, Chief Financial Officer Tom Krause said on a conference call.Broadcom is maintaining its fiscal year 2019 sales forecast of $22.5 billion. About $17.5 billion of that revenue will come from chips and $5 billion from infrastructure software, the company said in the statement.The chip market is still suffering from the impact of the trade dispute between China and the U.S., but business conditions haven’t worsened since the company gave its forecast in June.Broadcom is going to concentrate the use of its cash flow on paying down debt to make sure it retains its investment rating, Krause said.Symantec had been projected to report overall sales growth of just 1% in its current fiscal year, according to analysts’ estimates. That would follow a 2% decline in the previous 12 months. Symantec’s lackluster outlook mirrors the performance of previous targets for Tan and his team. So far he’s been successful in turning them around.The enterprise business generated about $2.3 billion in sales in the last fiscal year for the Mountain View, California-based company. While Symantec’s revenue may not be growing, the purchase of a piece of the company will bring with it wider profit margins -- higher than those typically achieved in the chip industry, which historically requires greater levels of investment and higher costs to build products. Symantec’s gross margin, the percentage of sales remaining after deducting costs of production, will reach 83% this year, according to estimates. Broadcom’s margin is predicted to be a full 10 percentage points lower than that.Symantec said the sale is expected to generate $8.2 billion after taxes, which it will provide to shareholders after the completion of the deal in the form of a special dividend of $12 a share. It plans to cut jobs, reducing its headcount by about 7%. It’ll also close some facilities incurring charges of about $100 million.Tan’s strategy has been to acquire “franchises,” groups or businesses within companies that have sustainable market positions through technology leadership. He then invests in them to maintain that leadership, running the purchased units as distinct parts of Broadcom, rather than integrating them.The discipline he’s brought to his acquisitions and the spinoff or sale of other assets has created a more profitable company. Broadcom’s estimated gross margin for fiscal 2019 is more than 10 points wider than what the company reported in 2016.Symantec was advised by Goldman Sachs Group Inc. and its legal adviser was Fenwick & West LLP. Broadcom was working with banks including JPMorgan Chase & Co., Bank of America Corp, Barclays Plc, Bank of Montreal, Wells Fargo & Co., Citigroup Inc., HSBC Holdings Plc, Royal Bank of Canada and Morgan Stanley, while Wachtell, Lipton, Rosen & Katz was its legal adviser.(Updates advisers in the final paragraph.)\--With assistance from Nabila Ahmed.To contact the reporter on this story: Ian King in San Francisco at ianking@bloomberg.netTo contact the editors responsible for this story: Jillian Ward at jward56@bloomberg.net, Andrew Pollack, Molly SchuetzFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
- CNW Group
Media Advisory - BMO Financial Group to Announce its Third Quarter 2019 Results
TORONTO , Aug. 7 2019 /CNW/ - BMO Financial Group will announce its third quarter 2019 financial results and hold its investor community conference call on August 27, 2019 . Financial results will be issued ...
- Bloomberg
China Retaliation Is ‘11’ on Scale of 1 to 10, Wall Street Warns
(Bloomberg) -- Terms of Trade is a daily newsletter that untangles a world embroiled in trade wars. Sign up here. Analysts continued to warn about the dangers of an escalating trade war on Monday, as China moved to strike back at the U.S., hitting U.S. stocks and boosting Treasuries. Semiconductors, with direct exposure to trade, and banks stocks, which are sensitive to interest rates, were among the decliners. The biggest U.S. banks slid, with the KBW Bank Index dropping as much as 4.1% to the lowest since June 4. Bank of America Corp. led index decliners, with a drop of 5.5%, the most since Dec. 4, while Citigroup Inc. shed more than 4% and JPMorgan Chase & Co. slipped 3.8%.Micron Technology Inc. fell 6.2% while Texas Instruments Inc. lost 4.4% and Intel Corp. was down 4%. Apple Inc. dropped 5.6%, the most since May 13. Shares in Chinese tech giants Alibaba Group Holding and JD.com Inc. fell near two month lows in U.S. Trading.Agriculture equipment makers Deere & Co. and AGCO Corp. tumbled as China suspended imports of U.S. agricultural products. The escalating trade tensions are also a major risk for the U.S. automotive industry, which has a significant exposure to the country. According to UBS’s Global Wealth Management Chief Investment Officer Mark Haefele, the latest spat raises the possibility that "tariffs could also be placed on auto imports."President Donald Trump tweeted about China and the Fed on Monday morning, saying: “China dropped the price of their currency to an almost a historic low. It’s called ‘currency manipulation.’ Are you listening Federal Reserve? This is a major violation which will greatly weaken China over time!”Here’s a sample of some of the latest commentary:Cowen, Chris KruegerKrueger called China’s retaliation “massive,” adding that “on a scale of 1-10, it’s an 11.” He cited the Chinese government calling on state buyers to halt U.S. agricultural purchases, while there’s “increased anecdotal evidence that the Chinese government is tightening its overview of foreign firms.”“While there were measures that could have been chosen with larger direct effects on supply chains, the announcements from Beijing represent a direct shot at the White House and seem designed for maximum political impact,” Krueger said. “ We expect a quick (and possibly intemperate) response from the White House, and consequently expect a more rapid escalation of trade tensions.”“There now will be increased expectations that the Fed will cut again in September to offset the drag caused by this escalation in the trade war,” he added. “Such moves will only be a partial, lagged offset to the recessionary headwinds a cycle of retaliation would cause.”In a mid-day note, Krueger added that “the next stop on the currency manipulation road is probably off the map.” Krueger expects Trump’s “drumbeat on currency” will get louder, with the potential for the president to use a “charge of currency manipulation to justify some combination of (more) tariffs, investment restrictions and export controls.”BMO, Ian Lyngen“The wait is over for those wondering how Beijing would respond to Trump’s recent tariff announcement,” BMO said. “The result: the yuan was allowed to depreciate well beyond 7.0.”Instructing state-owned Chinese firms to halt U.S. crop purchases triggered “the obligatory flight-to-quality,” which pushed 10-year yields to 1.74%, with two-year yields keeping pace. That was “an impressive move that suggests August will not experience the traditional summer doldrums. Who needs vacation anyway?”“The most significant unknown at this moment,” Lyngen added, “is how much further the yuan will be allowed to fall given that it’s already the weakest since 2008.”Morgan Stanley, Betsy Graseck (bank analyst)Bank investors’ eyes were “glued to the yield curve last week,” with Trump’s tariff tweet on Thursday, Graseck wrote in a note. They’re now asking about Morgan Stanley’s net interest margin (NIM), outlook.Graseck didn’t change her NIM assumptions -- yet. “We bake one additional cut of 25 basis points in 2019 in-line with our economist, and bake in the 10-year at 1.75% by mid 2020,” she wrote. She’ll update NIM and earnings per share estimates “if it looks like these trade tariffs are going through as September approaches.”Morgan Stanley, Michael Zezas (policy strategist)“The dynamics of U.S.-China negotiation and macro conditions mean the next round of tariffs will likely be enacted, and investors are likely to behave as if further escalation will follow in 2019 until markets price in impacts,” Zezas wrote. “This supports our core view of weaker growth and skews the Fed dovish.”Zezas sees incentives for the U.S. to escalate quickly. If the administration “understands the Fed’s trade policy reaction function, then it may also perceive that a more rapid escalation could deliver one or more of three beneficial points ahead of the 2020 election: 1) A quicker, potentially more aggressive Fed stimulus response that could help the economy heading into the election; 2) More time to re-frame the potential economic downside; and 3) A major concession by China (not our base case, but it is, of course, a possibility).”Veda, Henrietta Treyz“The U.S. and China are moving into one of their most aggressive phases yet in the year-plus long trade war and we fully expect things to escalate from here,” Treyz wrote in a note.Treyz added that China’s ability to quickly adjust their currency is an advantage they have over the U.S. that “goes to the heart of the issue for the Trump administration.” The administration may view China’s communist regime as a “systemic advantage” versus “free markets and democracy” in the U.S., as the Chinese can “subsidize domestic industry, quickly, enact lower tax rates and provide stimulus.”Furthermore, her conversations with Republicans point to the belief that “China’s economy is on the brink of collapse,” she said, with turmoil in Hong Kong “considered evidence of an organic domestic uprising that many believe the Chinese government cannot contain.” Republicans may also believe Trump will “galvanize” his base behind him, while attracting “anti-trade and union Democrats in the Rust Belt as he takes on the mantle of a war time president going into 2020 by engaging in this trade war.”(Updates shares in second and third paragraphs; adds ag stock decline; adds comments from Cowen.)\--With assistance from Ryan Vlastelica, Cristin Flanagan and Esha Dey.To contact the reporter on this story: Felice Maranz in New York at fmaranz@bloomberg.netTo contact the editors responsible for this story: Catherine Larkin at clarkin4@bloomberg.net, Scott Schnipper, Jennifer Bissell-LinskFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
- The Motley Fool
2 Top Dividend Stocks for Self-Directed RRSP Investors
Here's why Bank of Montreal (TSX:BMO)(NYSE:BMO) and a top utility stock deserve to be on your RRSP radar.
- The Motley Fool
Income Investors: This Is Canada’s Top Dividend Growth Stock
Fortis Inc. (TSX:FTS)(NYSE:FTS) gets all the attention, but I think Bank of Montreal (TSX:BMO)(NYSE:BMO) is the better long-term dividend growth stock.
- CNW Group
Bank of Montreal to Redeem $1,000,000,000 3.12% Series H Medium-Term Notes First Tranche
TORONTO , Aug. 1, 2019 /CNW/ - Bank of Montreal (TSX:BMO) (NYSE:BMO) today announced that it intends to redeem all of its $1,000,000,000 3.12% Series H Medium-Term Notes First Tranche due September 19, ...
- Bloomberg
Powell Finds a Way to Disappoint Markets. Again.
(Bloomberg Opinion) -- The Federal Reserve, by cutting interest rates for the first time in a decade, signaling more reductions are possible and ending its balance-sheet reduction two months early, did what the market expected. Then Fed Chair Jerome Powell, who has a history in his relatively short tenure of making some incredible communication gaffes that have roiled markets, did it again.At his press conference a half hour after the Fed announced its decision, Powell said this rate cut wasn’t necessarily the start of an easing cycle. Stocks went from little changed to having the rug pulled out from under them, with the S&P 500 Index falling as much as 1.83%, while the closely watched gap between short- and long-term U.S. Treasury yields narrowed and the dollar soared. None of this was desirable for a Fed chairman and a central bank in the crosshairs of President Donald Trump, who has complained that Powell has “no feel” for markets. But of those market reactions, the movement in bonds may be the most concerning. To refresh, a flattening yield curve is generally a sign that bond traders see slower economic growth and inflation. So the reaction in the bond market, where the gap between two- and 10-year yields shrank to 0.14 percentage point from 0.23 percentage point, is in direct conflict with Powell’s opening statement that the rate cut was aimed at insuring against further downside risks to the economy while sparking faster inflation toward the central bank’s target. Also note that at the start of the last two easing cycles, in January 2001 and September 2007, the yield curve steepened, as you would expect it would. “The flattening of the curve implies investors are worried about a potential 'policy error' if the Fed doesn't act further,” the top-ranked team of rates strategists at BMO Capital Markets wrote in a note to clients.In his defense, Powell was in a tough spot. He needed to sound dovish without actually sounding downbeat on the economy. It’s not an easy needle to thread. After all, nobody wants a central banker who isn’t confident in the abilities of his or her policies to get the job done. They also don’t want a central banker who is out of touch with what the markets are signaling, which in this case was that the economy needs more than a “mid-cycle adjustment policy.”POWELL’S FED AND STOCKSStock market rallies on the day of Fed decisions have been a rare event under Powell, happening just twice in the 12 meetings he has chaired before today dating back to March 2018. Even so, Powell’s tenure has been pretty good for the stock market, with the MSCI USA Index up 10.2% since that March 2018 meeting, handily beating the 8.21% decline a MSCI index of global equities outside of the U.S. This year’s gains can be solely credited to the Fed and Powell’s dovish pivot back in January, which sent bond yields lower. Simple discounted cash flow analysis shows how lower rates make future earnings more valuable now, justifying higher multiples for equities even though profits are flat from a year earlier and forecasts have come way down. That explains the expansion in the S&P 500’s price-to-earnings multiple based on forecasted 2019 profits to 18.1 from 14.6 at the start of January. Up next is a notoriously tough month for equities. The S&P 500 has been down an average of 0.78% in August over the past 10 years, worse than any other month, according to LPL Research. Going back further, the S&P 500 has been up at least 20% by the end of July seven times with 2019 poised to become number eight before Wednesday. So it’s probably a good thing that stocks fell to trim this year’s advance to just under 20% because of those seven times, August was a down month in five of those years, LPL found. The last time it happened was in 1997, and the S&P 500 tumbled 5.7% in August.FOREX FUNThe dollar’s reaction is another seeming market anomaly, as lower rates are typically viewed as a negative for a currency. The Bloomberg Dollar Spot Index, though, soared as much 0.53% in its biggest gain since March 7. While bad for U.S. exporters, it capped an epic month for currency traders. The Citi Parker Global Currency Index, which tracks nine distinct foreign-exchange investment styles, was up 3.40% for July. Not only is that the best monthly performance since April 2003, it’s also more than what the index has gained in a full year since 2008. Another way to look at it is that returns have fallen in each of the past four years and seven of the past eight. Currency traders have been a victim of central bank transparency, which has suppressed volatility. It’s hard to be a contrarian when everyone knows what the major central banks will do, when they will do it and how much they will do it by. Also, increasing globalization means economies tend to move in the same direction more or less at the same time. In July, however, speculators benefited from some big moves in widely traded currencies. The British pound tumbled 4.27% against the dollar amid rising concern about the possibility of a so-called hard Brexit, the Swedish krona fell 3.85% and the Norwegian krone dropped 3.69% despite a general firming in the price of oil. On the flip side, Turkey’s lira soared 3.77% despite increased control over the central bank by the government and the Brazil real appreciated even with evidence of a slowing economy. Currency trading, it seems, is getting fun again.GOLD BUGS SCATTER … FOR NOWThe Fed’s actions Wednesday are being described as a “hawkish cut.” At least that’s how the gold market reacted. Although rate cuts are traditionally good for the precious metal – with prices having risen 11.6% this year through Tuesday on the Fed’s dovish pivot – gold tumbled as much as 1.41% on Wednesday. Nevertheless, gold is still poised for its best annual showing since 2010. Just this month, prices topped $1,450 an ounce for the first time since 2013. Gold is traditionally viewed as a haven asset to own in times of turmoil, but what’s happening this year is less about strife than it is about financial repression, as major central banks embark on a new easing cycle. That can be seen in the almost direct correlation between gold and the rising amount of negative-yielding debt globally, which has more than doubled to about $13.8 trillion from less than $6 trillion October, according to data compiled by Bloomberg. The prospects for ever lower rates are generally a boon to gold, which doesn’t pay interest. But gold is that much more appealing in a world where Deutsche Bank figures that a whopping 43% of bonds globally outside the U.S. trade at negative yields. In a sign of demand, exchange-traded funds backed by bullion own the most amount of gold since 2013.TEA LEAVESLet the second-guessing begin. The Institute for Supply Management’s national manufacturing index for July set to be released Thursday will either support or discredit the Fed’s decision to lower rates for the first time in a decade. The median estimate of economists surveyed by Bloomberg is for little change, forecasting a reading of 52 for July versus 51.7 in June. The first thing to know is that the measure is a diffusion index, meaning readings above 50 denote expansion and those below 50 signal contraction. The second thing to know is that recent measures of regional manufacturing activity by the Fed have been all over the place, with those from the New York and Philadelphia branches coming in stronger than forecast and those from Richmond, Dallas, Kansans City and Chicago doing worse. Bloomberg Economics is more optimistic, expecting a reading of 53.5 in the ISM index, aided by the gains revealed in the recent durable goods report.DON’T MISS Fed Can’t Seem to Satisfy Bond Traders or Trump: Brian Chappatta Boris Johnson Is Playing With Fire on the Pound: Lionel Laurent Mark Carney Is Smacked in the Face by Reality: Marcus Ashworth China Buying More U.S. Farm Goods Is a Dead End: David Fickling This Political Storm Could Churn Up Some Hidden Gems: Shuli RenTo contact the author of this story: Robert Burgess at bburgess@bloomberg.netTo contact the editor responsible for this story: Beth Williams at bewilliams@bloomberg.netThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Robert Burgess is an editor for Bloomberg Opinion. He is the former global executive editor in charge of financial markets for Bloomberg News. As managing editor, he led the company’s news coverage of credit markets during the global financial crisis.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
- The Motley Fool
CIBC (TSX:CM) or BMO (TSX:BMO): Which Major Bank Belongs in Your RRSP?
Here's a head-to-head look at banking giants Canadian Imperial Bank of Commerce (TSX:CM)(NYSE:CM) and Bank of Montreal (TSX:BMO)(NYSE:BMO), which are compared across their operating metrics, growth drivers, and valuations.
- CNW Group
BMO Asset Management Inc. Announces Proposed Termination of Three BMO Exchange Traded Funds
TORONTO, July 31, 2019 /CNW/ - BMO Asset Management Inc. (the "Manager"), the Manager of each of BMO Global Banks Hedged to CAD Index ETF (Ticker:Ticker::BANK), BMO Global Insurance Hedged to CAD Index ETF (Ticker:Ticker::INSR) and BMO Shiller Select US Index ETF (Ticker:Ticker:NasdaqGS:ZEUS - News) (each a "Fund" and collectively, the "Funds"), has announced that it will terminate the Funds on or about November 1, 2019 (the "Termination Date").
- Bloomberg
Pound Extends Miserable Run After Johnson Hands EU Ultimatum
(Bloomberg) -- The pound slumped for a fourth day as investor concerns over a no-deal Brexit intensified.Sterling continued its slide versus both the dollar and the euro, with investors pricing a higher chance of the U.K. crashing out of the European Union on Oct. 31. As differences between the two sides increase, Prime Minister Boris Johnson’s office said the U.K. will push the EU to negotiate a better divorce deal while preparing the country to leave the bloc without one if he fails.“The biggest threat to the pound for the remainder of this year is the risk of an accidental no-deal Brexit,” Credit Agricole SA strategists, including Valentin Marinov, wrote in a note to clients. “We continue to estimate a long-term fair value for pound-dollar that is consistent with a disruptive Brexit outcome of around 1.20.”Sterling fell 0.6% to $1.2151 as of 4:40 p.m. in London and weakened 0.6% to 91.74 pence per euro. Benchmark gilt yields fell two basis points to 0.64%, while the FTSE 100 Index of stocks retreated from the highest level since August 2018.The yield on Ireland’s 10-year bonds climbed two basis points to 0.17%, a two-week high, as investors sought a higher risk premium on the nation’s securities. Citigroup strategists including Jamie Searle recommend selling the debt versus its Belgian counterpart as a hedge against a Brexit no-deal outcome.The lowest level reached by the pound in the aftermath of the Brexit vote was in October 2016, when a flash crash which some speculated was caused by a mistaken order led the currency to slump as much as 6% to $1.1841 in a one-minute window.It looks increasingly likely that the pound will revisit that post-Brexit low over the summer, according to Lee Hardman, a currency analyst at MUFG. “Recent price action supports our view that financial markets had not fully adjusted to price in the rising risk off a no-deal outcome.”The market will also have to contend with the Bank of England’s policy decision on Thursday, and sterling could face further pressure if the central bank strikes a more dovish tone. Money markets are pricing a more than 60% chance of a 25-basis point rate cut by December on concern that Britain could exit the EU without a deal.(Updates pricing throughout.)\--With assistance from James Hirai.To contact the reporters on this story: John Ainger in London at jainger@bloomberg.net;Charlotte Ryan in London at cryan147@bloomberg.netTo contact the editors responsible for this story: Ven Ram at vram1@bloomberg.net, William ShawFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
- CNW Group
Bank of Montreal Announces Dividend Rates on Non-Cumulative 5-Year Rate Reset Class B Preferred Shares, Series 29 and Non-Cumulative Floating Rate Class B Preferred Shares, Series 30
TORONTO, July 26, 2019 /CNW/ - Further to the announcement by Bank of Montreal (the "Bank") (TSX:BMO.TO - News)(NYSE:BMO - News) on June 27, 2019, the Bank today announced the applicable dividend rates for its Non-Cumulative 5-Year Rate Reset Class B Preferred Shares, Series 29 (the "Preferred Shares Series 29") and Non-Cumulative Floating Rate Class B Preferred Shares, Series 30 (the "Preferred Shares Series 30"). With respect to any Preferred Shares Series 29 that remain outstanding after August 25, 2019, commencing as of such date, holders thereof will be entitled to receive fixed rate non-cumulative preferential cash dividends on a quarterly basis, as and when declared by the Board of Directors of the Bank and subject to the provisions of the Bank Act (Canada).
- The Motley Fool
How to Reach Financial Freedom at 55
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