The $TSX had a great quarter. After finally breaking above resistance in October, the market has lifted most boats. Unfortunately for precious metal investors, they took another mixed martial arts beating. Most have tapped out after having the shiny metal move against them.
Here is the sector performance for the last 3 months.
It feels so good till we compare it with the large cap $SPX.
Only two Canadian sectors outperformed the $SPX. The main problem with this is that the $NASDAQ would outperform as well. By even more. Below is a 200 day comparison to the $COMPQ.
That is a wow. Comparing the Canadian market to the broad $COMPQ over 3 months generates the following chart.
When we add the $USD outperforming the Canadian dollar, We can add another 3%. You will notice the $USD button is greyed out at the top of the chart, so this shows everything relative to the $USD. The Canadian Loonie is shown in orange with a 3.14% underperformance over the last 60 days.
We have been talking about the US outperformance even when the Canadian market was trapped under resistance. The bottom line was the US market was even more euphoric in the fourth quarter than our market after we rose above resistance.
Greg Schnell, CMT.