How Fed Up Will the Market Get After a September Rate Hike?

Many have said “bull markets don’t die of old age; central bankers kill them.” The conventional wisdom is that once rates start to head higher, stocks are less attractive because the cost of borrowing becomes more expensive and investors are offered an income-producing alternative by the bond market. However, history says they are wrong. The […]

Scotiabank has the Cheques and Balances to Justify its Valuation

Yes, Canadian banks are trading at valuation multiples unseen in years. However, comparing these multiples to their historical valuations may not make all that much sense. The banking industry has changed drastically over the years.  Decades ago, banks were mostly just mortgage lenders. They would take in deposits from savers, keep a very small fraction […]