Tuesday, May 1

Tuesday - markets down again


I happened to be online this morning when the markets did a "V" (as Financial Jungle called it). It was pretty wild to see the prices drop so quickly. For a moment I thought that there was going to be freefall!

This movement affected all the banks, with many of them hitting rather attractive prices, if only for a few minutes. In addition to the TSX chart above I am including charts for all the banks (click on images to enlarge).












Pretty consistent, eh?

You can see that they all recovered, although CM is the only one that trended upwards after, the rest are down. Dividend yield is once again improving on these lower closing prices. BMO is up to 3.92%, RY is 3.21% and the others are a bit more spread out now, due to varying levels of losses.

This is a change from how closely the yields were staying together during less turbulent times. I think that the emergence of a spread indicates that opportunities are starting to show up. I will be glued to my screen the rest of the week, I'm sure!

Just a reminder that I am not a pro so please do your own diligence if you are thinking of investing! Happy Tuesday!

4 comments:

Mike said...

Not sure if it affected the price but CM announced a share buyback program yesterday.

moneygardener (AKA investor99) said...

Of all of those chart BNS' stands out to me. It looks like it wants to go lower.

I am most interested in BMO in the near term, however if BNS ever got below $50 again...

the money diva said...

mike,
That could be the reason that CM was the strongest today. Thanks for the info!

99,
I agree that BNS looks like it is pulling downward. Interesting that BMO looks more stable than BNS in these charts!

MD

MillionDollarJourney.com said...

Another down day for BMO. BMO should find support around $68, which would be a decent price to pick up a few shares at. If it falls through $68, the next support level is @ $67.

FT