By Mike Keerma
A better-than-expected May U.S. jobs report helped spur the big U.S.
indices to weekly gains. The 223,000 jobs created in May combined with a
monthly 3.8% unemployment rate and accelerating wage growth (up 0.3% on the
month) to raise expectations of a rate hike by the Federal Reserve Board
when its rate-setting Open Market Committee meets on June 11-12. Fears of a
eurozone crisis also receded on news that a coalition government had been
formed in Italy, while traders shrugged off the threat of a growing global
trade war as President Trump imposed stiff tariffs on steel and aluminum
from Canada and Mexico, which had been temporarily exempt. The
S&P 500 Composite Index gained 0.5% on the week, while closing the month with a 2.2% overall
Nasdaq Composite Index grew 1.6% on the week, with a 5.3% monthly gain. And with
crude oil dropping 2.8% on the week (down 2.2% in May), Toronto’s
S&P/TSX Composite Index posted a weekly 0.2% loss, but managed to gain 2.9% in the month.
* Scotia launches ETF portfolios.
Scotia global asset management last week debuted its single asset class
Scotia Strategic ETF Portfolios on the TSX, each with multi-discipline,
Scotia Strategic Fixed Income ETF Portfolio (TSX: SFIX)
Scotia Strategic Canadian Equity ETF Portfolio (TSX: SCAD)
Scotia Strategic U.S. Equity ETF Portfolio (TSX: SUSA)
Scotia Strategic International ETF Portfolio (TSX: SINT)
The portfolios are structured as ETF-on-ETF portfolios. The underlying ETFs
are screened and selected from a broad universe of index-tracking,
factor-based and actively managed ETFs from Canadian and U.S. providers.
Management fees range from 0.45% to 0.60%.
* Invesco changes ETF names.
Invesco Canada announced that effective July 27, it will change the names
of its exchange-traded funds (ETFs) to Invesco from PowerShares. The investment objectives, strategies
and ticker symbols remain the same, as shown in the table below.
† A ticker symbol ending with “.U” represents U.S.-dollar-denominated
units. Distributions are paid in U.S. dollars. U.S.-dollar-denominated
units do not provide a currency hedge between the Canadian dollar and the
* Invesco launches equal-weight S&P 500 ETF.
Invesco last week launched its Invesco S&P 500 Equal Weight Index ETF (TSX: EQL), providing equal-weight exposure to the companies that make up the S&P
500 Index. EQL aims to track the performance of the S&P 500 Equal
Weight Index, which weights each company at 0.2% at each quarterly
rebalancing, and invests primarily in equity securities of companies listed
in the United States.
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