“You never really know a stock until you own it.” - Walter J. Schloss
Last Week’s Overview
| Index |
Performance |
| TSX Composite |
-1.55% |
| Dow Jones |
-1.38%
|
| S&P 500 |
-2.51% |
| NASDAQ |
-3.81% |
Source: Bloomberg (June 4, 2026)
Weekly Insights
Each week, we break down the key events and market movements shaping the investing landscape. From economic data to investor sentiment and global headlines, this section captures what mattered most, and how it impacted markets.
AI Investment Boom Powers Ahead
The artificial intelligence investment boom remains in full force, with projected spending among technology leaders like Amazon, Alphabet, Meta, Microsoft, and Oracle approaching an extraordinary $1 trillion. Rather than pulling back, these companies are raising their investment plans, a clear vote of confidence in the long-term opportunity ahead.
For our portfolios, this supports opportunities for continued growth across semiconductors, cloud computing, data centres, and software, areas where we own established leaders.
Source: Bloomberg (June 11, 2026)
Job Market Continues to Show Real Strength
America's job market continues to demonstrate impressive underlying strength, with unemployment claims of 229,000 remaining well below historical averages and below last year's levels. Economists attribute the week's modest uptick to temporary seasonal factors like summer school schedules and the various FIFA World Cup events.
A healthy job market supports household incomes and consumer spending, two powerful engines behind the earnings of the companies we own.
Source: Bloomberg (June 11, 2026)
Business Investment Signals Continued Growth
May's producer price report revealed an economy that continues to expand and invest, with notable strength in areas tied to data centres and artificial intelligence infrastructure. While energy and transportation costs pushed prices higher, the underlying message is encouraging: businesses are spending, supply chains are active, and demand remains healthy.
For long-term investors, this combination of resilient investment and ongoing innovation provides a supportive backdrop for continued earnings growth.
Source: Bloomberg (June 4, 2026)
Key Drivers of Our Outperformance
We believe in transparency when it comes to where our outperformance is coming from. This section spotlights a top-performing company we hold, a sector where we've taken a winning position, and a strategy that has driven recent success across our portfolios.
- Top Company: Coca-Cola Co. (KO)
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- Coca-Cola was our top performer this week, gaining 6.13% as investors embraced dependable, high-quality businesses. With iconic global brands, proven pricing power, and remarkably steady cash flows, Coca-Cola delivers the kind of consistency that shines in any economic environment. It is exactly the type of resilient, world-class company we want working for your portfolio.
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- Source: Optimize Asset Management (June 11, 2026)
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- Top Sector: Financials
The Financials sector led our performance this week, with Royal Bank of Canada rising 3.74% on strong quarterly results and Fairfax Financial gaining 5.08%. Healthy bank earnings, resilient lending activity, and growing wealth management and capital markets businesses are powering the sector forward. With strong balance sheets and diversified revenue streams, our financial holdings are well-positioned to keep delivering for clients.
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- Source: Optimize Asset Management (June 11, 2026)
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- Top Quant Strategy: Value
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Our Value strategy was the week's strongest contributor, rewarding our discipline of owning excellent companies at attractive prices. Holdings like Fairfax Financial, Bank of America, and Lockheed Martin combine durable earnings, strong cash flow, and reasonable valuations, exactly the qualities investors are prizing right now. It is a powerful reminder that buying quality at the right price remains a time-tested approach to long-term investing.
Source: Optimize Asset Management (June 11, 2026)
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What To Look For Next Week
We look ahead to the economic reports, events, and earnings that may influence the week ahead. We also look ahead to the economic reports, events, and earnings that may influence the week ahead. From inflation and jobs data to corporate updates from key market players, this section keeps you informed on what's coming, and why it matters.
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- Federal Reserve Rate Decision (Wednesday, June 17): The Federal Reserve concludes its June meeting Wednesday with its latest interest rate decision and updated economic projections; rates are currently at 3.5% to 3.75% after holding steady for three consecutive meetings. Minutes from April's meeting revealed a healthy debate among officials, with several noting that rate cuts would become appropriate once inflation resumes its path lower or the job market shows signs of cooling. Any signal on the timing of future cuts could provide a welcome lift for both stocks and bonds.
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Source: Federal Reserve (June 11, 2026)
- U.S. Retail Sales (Wednesday, June 17): Wednesday morning also brings May retail sales, our most comprehensive look at the strength of American consumer spending. April's report showed a healthy 0.5% gain, with online retailers, electronics stores, and restaurants all posting solid increases, and the core measure that feeds into GDP rising 0.5% and beating expectations. Continued consumer resilience would reinforce confidence in corporate earnings and the consumer-focused companies we hold.
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Source: U.S. Census Bureau (June 11, 2026)
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- Weekly Jobless Claims (Thursday, June 18): Thursday's jobless claims report offers our most timely read on the health of the job market. The latest figures showed claims of 229,000 and continuing claims near 1.8 million, both comfortably low by historical standards and consistent with employers holding onto their workers. Steady employment supports household spending and corporate profits, making this a key indicator we watch every week.
Source: U.S. Department of Labor (June 11, 2026)
Sources: Bloomberg (June 11, 2026), Optimize Asset Management (June 11, 2026), Federal Reserve (June 11, 2026), U.S. Census Bureau (June 11, 2026), U.S. Department of Labor (June 11, 2026).
Disclaimer: This report is for informational purposes only and does not constitute investment advice. Please consult with your financial advisor before making any investment decisions.