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[music] >> Hello, I'm Greg Bonnell. Welcome to MoneyTalk Live, brought to you by TD Direct Investing. Every day, I'll be joined by guests from across TD, many of whom you'll only see here. We're going to take you through what's moving the markets and answer your questions about investing. Coming up on today's show, we are going to discuss whether the AI buzz will continue to propel semiconductor stocks higher. Julien Nono-Womdim from TD Asset Management is our guest of the day. MoneyTalk's Anthony Okolie will give us a preview of what to expect from tomorrow's Bank of Canada rate decision. And in today's WebBroker education segment, Jason Hnatyk is going to show us how to screen for technical events on the platform. Here's how you can contact us. Just email moneytalklive@td.com or fill out the viewer response box under the video player on WebBroker. before we get to our guest today, let's get you an update on the market. The TSX Composite Index is up 1/4 of a percent. Noticing some movement in Shopify today. no big news around the name but a little bit of momentum behind it. Let's take a look at Shopify on the screen. The TSX Composite Index of 53 points, I can tell you that much. We'll take a look now at Shopify. It's up a little more than 4%. Cameco and a lot of uranium plays have been making gains on recent sessions. A little bit of giveback today but nothing too dramatic. At 40 bucks and $0.73 per share, got Cameco down 1.9%. The S&P 500 is flirting with multi-month highs and up 10 points. It's pretty modest but it's green on the screen, up about 1/4 of a percent hear the tech heavy NASDAQ, how is it stacking up against the broader market? It's pretty much dead even with the broader market percentagewise. We did notice some big American banks getting a bit today still is taken on one of the big ones, Bank of America. It's up about 2 3/4 of a percent at 29 bucks and $0.32 per share. That's your market update. Semiconductor stocks have had a strong run in recent months amid all this buzz around the potential for artificial intelligence. Joining us now to discuss whether that trend can continue is Julien Nono-Womdim, semiconductor analyst at TD Asset Management. Great to have you back. >> Hey, Greg. >> Look at these charts. They have had a big run. What's we on here? >> It's been a pretty big run. Semiconductor stocks are up 37% on the year. I'd say there aresome big dynamics at play. relative to 1015 years ago has improved significantly. Let's watch this.we are 10 months into a semiconductor contraction. Typically these contractions lost anywhere between a 12 month in the market is starting to underwrite a new cycle.and as you talked about, AI has made significant, some significant buzz in terms of the investments that are being made. You have companies like Microsoft, Meta, Google that are investing significantly in AI, and that is going to determine the winners and losers of tomorrow and that is all semiconductor intensive. And lastly, like I said, the biggest surprise this quarter from a reporting standpoint is despite the weakness and semiconductor demand, margins and gross margins and particular have held well across the industry. I think that's a testament to the fact semiconductors are not a commodity but a critical input into the economy. >> So that's interesting that you have three pillars there because all anyone wants to talk about his AI. I will make the deadly sin of only wanting to talk aboutVI. Let's talk about ChatGPT in. I think people who follow technology and artificial intelligence, suddenly ChatGPT brings it to the mainstream. The average person says, I play with AI all the time now. >> Yes, yes, yes. Let's think about the 80s and 90s. There was the advent of the personal computer. As we moved into the 2000's and 2010s, you had the mobile phone and on the smart phone. And over the last several years, we have been wondering, what comes next? You heard about IOT. Last year, the Meta verse was all the rage. And finally, this picture of the future which was very blurry is starting to become clearer and what drove that clarity is generative AI broadly speaking, but ChatGPT. We are getting a glimpse into what the future might look like from a productivity gains standpoint and all of these really drive continued growth in semiconductor intensity across the economy, and therefore positive for companies within the space and, obviously, the likes of Nvidia and AMD. >> I think of ChatGPT and how it is public facing. Any member of the public can get an account like I did a while ago to start playing with it. That's the tip of the iceberg when we are talking about AI. Why are people excited about the space? >> It is the tip of the iceberg. I think the excitement is because it is tangible. You and I play with ChatGPT and see the implications. But really, the investments that have come on the back of generative AI from the likes of Microsoft, Google, etc., on the one hand, they are going to be a revenue-generating opportunity and, on the other hand, they are going to be correct for some businesses. So this investment, as I said, is going to really determine the winners and losers of tomorrow. I mean, I believe you have an iPhone. >> I do. >> In the smart phone era, Apple captured the vast majority of that ecosystem. If we step back to the early 2000's, everyone had a Nokia. so the evolution of this technology is partly driven by ChatGPT and generative AI but ultimately we take a step back, it is a glimpse into some of the applications that will be available to us. >>when it comes to semiconductors and chipmakers, there is more than one name out there building the chips. Yet, Nvidia seems to be the poster child, I guess, of all this AI hype. What is going on with Nvidia in particular? Why does it seem to reap the rewards at this stage? >> Sure. Let's take a step back. Last year, the stock was down north of 60% peak to trough. Yes, the stock is up over 160% this year. There are three dynamics at play, I would say. Number one is their gaming business, which provides games for PC players, graphics cards for PC players, appears to have bottomed. That's one. Number two,data centre is starting to represent a bigger proportion of that company's business. Pre-pandemic it was set at 50% and it looks like we are going to end the year north of 70%. But I think the most important dynamic that is going on is that you may have heard of this CPU, there central processing unit. Historically, the CPU is the brains behind computers. And what is going on today is that computers and more specifically data centres are going through a brain transplant. CPU is being replaced by the GPO because GP use are better at processing AI type applications. >> These are graphics processing units. I thought it would be related to gaming but now it seems to be in the AI industry. > They are very good at what is called doing it parallel processing, i.e. performing small calculation simultaneously as opposed to serial processing, and AI is essentially that, performing a bunch of different calculations simultaneously and Nvidia is the leader in GPU hardware and software, so they are capturing for now a vast majority of that ecosystem. And consequently, the stock is reacting in kind. But like I said, there are three dynamics, not just the AI element. >> The AI element gets all the headlines but what if, you say there are other elements at play, in the end, these chips, whether it's Nvidia or Intel or AMD, go into devices? What if there is an economic slowdown? What if there is a recession and nobody buys these devices? > It's a good question. Historically, semiconductor demand, you can split it up into a pie that is half consumer, PCs and smart phones, and the other half is a hodgepodge of data centre, industrial, automotive. And you are right that the consumer is in a pretty significant slowdown, partly driven by inflation. But also driven by the binge that was occurring during the pandemic in terms of people just ordering devices. I think it's pretty clear today that that slice of the pie that is dedicated to datacentre communication infrastructure, that's going to grow because companies, as I said earlier, Microsoft and Google are making strategic long-term investments that are driving the value of these businesses five, 10, 15, 20 years out. So that is one element. The other element is that on the automotive and infrastructure piece of the pie, we are talking about electrification, we are talking about greening the economy, all of those are driving in incremental semiconductor development. It appears we have reached a bottom and whether we recover from here it remains to be seen but the other half of the overall demand pie could drive growth into the quarters ahead and I think that's what the market is pricing in. >> Fascinating stuff in a very interesting part of the market. We are going to get your questions about semiconductor stocks for Julien Nono-Womdim in just a moment's time. And a reminder that you can get in touch with us any time. Just email moneytalklive@td.com or fill out the viewer response box under the video player on WebBroker. Right now, let's get you updated on the top stories in the world of business and take a look at how the markets are trading. Teck Resources said it's talking to multiple parties about selling it steelmaking coal business. In a release, the Vancouver-based miner says it's evaluating what are called considerable interest. Earlier this spring, Teck cancelled a shareholder vote on separating its metals and coal business into two separate companies. In the meantime, there is speculation that mining giant Glencore may be getting ready to take another run at Teck with a fresh bid after being rebuffed earlier this year. God shares of Coinbase under pressure today. At the US Securities and Exchange Commission has filed suit against the crypto exchange. In a filing in New York federal court, the SEC allegesCoinbase was acting as an unregistered broker and exchange. The SEC argues that the company should be a, "Permanently restrained" from continuing such activities. Coinbase has not yet responded to the allegations. Investor reaction appears to be somewhat tepid for Apple's first foray into the high-tech headset business. Right now the stock is pretty much flat, down about half a percent. The tachy giant debuted its Vision Pro mixed reality headset at his annual developer conference yesterday. While the headset appears to offer some pretty high-tech immersive technology, the price tag of $3500 US is raising some eyebrows. A quick check in on the markets. We will start your own Bay Street with the TSX Composite Index. Right now we've got 43 points to the upside, a little more than 1/5 of a percent. South of the border, the S&P 500 is making some games but they are modest. You're up a little shy of 1/5 of a percent, will be generous, we will round that up to 8 points to the upside. We are back with Julien Nono-Womdim from TD Asset Management talking about semiconductor stocks. Lots of questions coming in. Julien, they want your Outlook for AMD. >> AMD is an interesting one. I think the business was favourably impacted by the pandemic. PC sales grew significantly. Last year, we started seeing this moderation in PC consumption. Now, it looks like both AMD and Intel are shipping below demand in terms of PCs and so as we move into the quarters ahead, we should see recovery and PC demand. But more importantly, they are also participating in some of these investments around AI and data centres. Their data centre business is expected to grow very nicely in the second half, so we have a secular growth of that data centre further supported by a recovery in PCs. >> How sensitive would data centres spends BU from these big customers and big companies if we did hit a recession? Right now, it seems like, you're trying to gauge the recession as we were talking about for maybe a year now. >> The long anticipated recession. >> You might get pushed into 2024 according to some reports. What happens if it does happen to data centre spends? >> When I think about AMD, the more sensitive peas from an economic standpoint is going to be on the PC side which is consumer, whether or not that actually recovers. We could bubble along the bottom here for an excited period of time or deteriorate if the recession hit send is severe. On the data centre side, AMD, Intel, Nvidia, these companies tend to have really concentrated customer bases. A lot of their customers are cash positive. Like I said earlier, they are investing for the long term. So a sensitivity to macro I think is going to be debatable. >> Interesting stuff. He is one of the big questions we talked about off the top, the excitement around Nvidia. You believe that Intel will ever catch up to Nvidia? There was a time, I don't know if you'll remember, but Intel was the badge of honour to have it stamped on the side of your PC.it doesn't seem to be the story with Intel anymore. >> It goes back into this paradigm shift we are seeing in thePC World. GPUs are taking over CPUs is the brains of the operations. Intel makes CPUs so that's a natural headwind as GPU penetration increases. So is a bit of a challenge in terms of forecasting with that business looks like in the future. that's on the design side. On the manufacturing side, they are trying to catch up with TSMC and there are indications that they are moving along in their product growth map and we will have to wait and see how that moves forward. >> Intel, of course, brought Pat Gilson on board for the big turnaround. >> The stories about two years old now. >> Is that over now? >> it's hard to say how well things are moving given the downturn that we just discussed. but I think the next year or so we will have better indications as to how they are doing from a technology standpoint. as the recovery happens and demand continues to accelerate, we will see what the marketer looks like. > I remember it was a long time ago when Andy was climbing the ranks. Our friend looked down his nose at me and said oh, you got one of those good is with AMD chips. I had to hang my head there. >> Times have changed. Absolutely. >> What's your view on Taiwan Semiconductor? >> Taiwan Semiconductor is a good barometer for the overall industry. As you know,they manufacture for the likes of Apple, Nvidia and a whole host of different companies who manufacture their chips. So the pros on TSMC is that they have process leadership. But obviously, as you know, the geopolitical situation with Taiwan has become a bit of an impediment in terms of how investors should think about the business and its future over the next five, 10, 15 years. >> I can't think of any other semiconductor names where you have two… In mining, you think about political risks. I haven't thought about it in terms of the semiconductor space. >> I think TSMC gets the sort of brunt of that thinking. The overall ecosystem, as you know, is global in nature and so you have companies in Asia, Europe, North America and it is this web of manufacturing complexity where they need to ship things back and forth. And so yeah, the geopolitical picture has started to become more focused for investors, particularly given rising tensions between the US and China. >> An interesting one indeed. As always, make sure you do your own research before making any investment decisions. we are going to get back to your questions for Julien Nono-Womdim on semiconductors and just a moment's time. And a reminder that you can get in touch with us any time. just email moneytalklive@td.com. Now look at our educational segment of the day. Technical analysis is one method investors may consider using and if you want to analyse a stock chart, WebBroker has tools which can help. Jason Hnatyk, Senior client education instructor at TD Direct Investing joins us now with more. Great to see you again. Let's talk about chart patterns using the platform. >> Absolutely. It's always great to be here, Greg. we talked about adding specific indicators to our charts and how to read those charts. One of the tools I really want to show off to everyone here today is, it's pretty powerful and allows WebBroker to scan the market to identify specific buying and selling signals or bullish and bearish eventsso we can hopefully make some informed decisions. Let's jump into the platform and take a look. So I am starting here from the homepage. You're going to go up to the research tab at the top of the page here. Under the tools column, the screeners option is about half the way down the list. We have been to the section on the website many times. This is our opportunity to screen for stocks, mutual funds as well as ETFs. We will be focusing on technical events in this portion here today. On this particular screen, we want to start off by showing that we can narrow down the net we are going to cast. We can choose specific geographic locations were specific indices that we want to be scanning against. Let's choose USA for today purposes. We also have the opportunity to scan against watchlist that have already been created to help narrow the focus. We have the opportunity to scan particular sectors and industries. Let's go with the aerospace. That's at the top of the list. And depending on the market sentiment and the directionality of the trade, we can find events that are specific to those, that direction or market sentiment that is in favour at the moment so let's focus on bullish for the day. The next step is where we are going to focus on this final but on the left-hand side. This is where we get to narrow down specific key technical indicators that we want to be scanning the market for. We scroll down on the left-hand side of the screen. This is where we are going to choose the events in question. We focus last week on moving averages. Let's continue that thread here today. Under the indicator section, there are three specific moving average events that you can have WebBroker look for. We can select the double moving average crossover. We scroll to the top. We will now notice their 47 specific events based on the criteria we have chosen.. So you have to continue to re-create the wheel, if this is a regular trading event for yourself, you have the opportunity to subscribe to the screen so that will be generated for you next time. Next thing I want to show everybody hears this opportunity to choose the tile view. In the tile view, this gives us not only the opportunity to get a visual of the specific chart so we can see and identify when the specific indicator happen, but we also get a view of the exact studies and dates that are involved with is so more information to be informed with. >> I know some technicians over my career wife talked with, real purists, they see the price action list tells me everything I need to know. I want to know about events connected to particular stocks. How can I find that out? >> You got that right. We are scanning the market, we cast a broad net today so maybe you want to learn more information about a stock that you own or one that you are considering buying. So back into the technical section here in WebBroker. If we go to the top of the page, you will notice this magnifying glass. This is our opportunity to put in a very specific symbol that we are interested in learning more about. Let's plug into TD for this purpose. This is going to bring us to the page where we get the opportunity to look for specific technical events that are going to be taking place that have significance across varying degrees of time. We got short-term, intermediate as well as long-term patterns that we can identify. Let's just focus on short term. You will notice on the right-hand side of the chart we have on the screen, all of the events have been noted with specific graphics on the chart but all of the events are actually listed over here on the right-hand side as well. We want to focus in, let's keep the moving average highlight in as well here so we can identify on the chart, it is zooming in on that picture, we are also able, giving us the opportunity to read more about why this specific event might be useful for you to understand and consider when you are making your own trades and if you want to learn more about it and why this pattern might be consequential, you had to learn more button at the bottom which is another helpful tool. > Great stuff as always, Jason. Thanks for that. >> My pleasure. >> Our thanks to Jason Hnatyk, senior client education instructor with TD Direct Investing. And make sure to check out the learning centre in WebBroker for more educational videos, live, interactive master classes and upcoming webinars. before you get back to her questions about semiconductor stocks for Julien Nono-Womdim, a reminder of how you can get in touch with us. Do you have a question about investing or what's driving the markets? Our guests are eager to hear what's on your mind, so send us your questions. There are two ways you can get in touch with us. You can send us an email anytime at moneytalklive@td.com or you can use the question box right below the screen here on WebBroker. Just write in your question and hit send. We'll see if one of our guests can get you the answer right here at MoneyTalk Live. We are back with Julien Nono-Womdim, we are taking your questions about semiconductor stocks. Some have come in in the past couple of moments. Let's take this one. What, if any, notable Canadian companies operate in the semiconductor space? >> Yeah, Greg, that's an interesting question. From a pure semiconductor perspective, we don't have any publicly listed company that operates in the space. But it's important to consider that the industry is not just about the direct semiconductor inputs. There are materials that go into the supply chain. There are compounds that go into making all of these semiconductors. So I would say it's an industry that really touches everything, but there are no direct companies in Canada. >> Okay, interesting stuff, looking beyond just a chip manufacturer if you are looking at Canadian opportunities. >> Absolutely. >> Here's one of the big ones in the space. What is your outlook for Qualcomm? >> The interesting dynamic there is that smart phone volumes have been pretty depressed globally, notably in China. The China reopening was hope to be a catalyst to spur smart phone demand. That hasn't proven to be the case and we are seeing a bifurcation between iPhones and androids and iPhones continue to be somewhat resilient while android continues to be depressed. In the short term, things to look out for is the recovery in smart phone demand. there is a shift away perhaps from the smart phone era into something else and Qualcomm is a smart phone company. As we move to different form factors, are they going to be able to participate? That is the key overhang for the stock over the long term. >> I'm relying on you knowing this space, is the Qualcomm share like radiofrequency chips? >> That's exactly it. They are a lever to RF chips. But as more and more devices become connected, we are going to need RF chips in other devices, cars being one of them. IOT devices being another one of them. But so far, the business continues to be predominantly smart phones smart phones are no longer growing on a per unit basis each year. What takes over the coming years? >> And water was right on that one. I think I read this somewhere. But I didn't think I knew what I'm talking about. >> No, you know what you're talking about. I had to think about that one too. >> Thanks for backing me up on that one. Micron. The viewer wants to know your view on Micron Technology. >> So yeah, we have just gone through perhaps the mostsevere global downturn since the global financial crisis and Micron is a memory maker. So we need to see a recovery in memory driven by consumer applications and smart phones and PC. But over the long term, the demand for memory continues to be driven by the proliferation of semiconductors. More intelligent chips means more data. More data means more memory. >> Micron there, that's a memory play. Is it possible to play companies, this follows onto that Canada question, is it possible to play companies are suppliers to the semiconductor industry? >> It certainly is. As we talked about, there are a group of companies known as semi cap companies, semiconductor capital companies, so these are the companies that provide the equipment used to make semiconductors, ASM L being one of the most well-known ones because they have a monopoly on one of the key steps in making semiconductors, lithography. But you have a number of different companies. You also have a number ofsoftware design companies, synopsis and cadence. The ecosystem is quite large and I would encourage people, investors, to look beyond the obvious names. Their interesting pockets there. >> So it's a picks and shovels kind of argument, you might be looking at the different chipmakers and say. . . >> That is essentially a. There companies that benefit from the overall growth of the industry and are agnostic to who is driving innovation. To a lesser extent, I suppose you could call TSMCsomewhat of a picks and shovels play because they manufacture for everyone and they are somewhat agnosticto their customers. >> Next one, back to Canada. Viewer wants to know if we are investing overall enough in our tech space? We have had some tech successes over the years. Are we making the investments we need for the future? >> It's a good question. I think there is a vibrant technology ecosystem. I went to the University of Waterloo. Waterloo is a huge hub for technology broadly speaking. A lot of that has been predominantly on software. We have a number of publicly traded Canadian companies. You talked about Shopify earlier. Now there is a vibrant ecosystem that is certainly more focused on software. On the hardware side, there hasn't been as much let's call it activity, but I think that is starting to change. Globally, there is a recognition of the critical nature of semiconductors. As you know, manufacturing has historically been in Asia. Some of that is coming back to the US with the CHIPS Act. And over time, I think we will see Canada start playing a more critical role in the semiconductor ecosystem overall. >> Is one of the challenges in the hardware space and the fact that it's capital-intensive to get moving in that direction and build the factory to produce things? I think in terms of software geniuses sitting down at a machine like mine, I use it. I look through social media. You start banging away. Is that the difference between hardware and software? >> I think the capital intensity is a piece and I think you also need to train labour to do so. So there's a lot of complexity associated with hardware type of businesses. Historically, there has also been a cost arbitrage opportunity with manufacturing outside of North America. But I think the conversation is moving beyond just because and also in terms of actually having supply of critical components. >> interesting stuff. Apple had their big developers conference. We talked about the headset they have, mixed reality, but I also noticed and viewers noticed that they got their own ships. They got the M1, M2 chips. I think the iMac that I bought a year ago has the M1 in it. what does that mean to the semiconductor industry? Is that a threat? >> I think like everything, it's both a threat and an opportunity. There will be both winners and losers. Apple source to the design of their chips. That is a negative for the suppliersthat they used prior to that, Intel being one of them. But in terms of opportunities, as we talked about earlier, Taiwan Semiconductor manufactures on behalf of Apple so you can view that as an opportunity for them. And I think overall for the industry, the opportunity is really for the consumer because if more companies are actually in sourcing the design, it means the end product has the potential to be better. And so I think competitive dynamics are common across time and industries and, ultimately, for us as investors, it's really looking at the companies in best positions to adapt to the changes that are going to present themselves inevitably. So askew more on the opportunity side, but certainly a threat for some. >> We will get back to your questions for Julien Nono-Womdim on semiconductor stocks in just a moment's time. As always, make sure you do your own research before making any investment decisions. and a reminder that you get in touch with us at any time. Do you have a question about investing or what's driving the markets? Our guests are eager to hear what's on your mind, so send us your questions. There are two ways you can get in touch with us. You can send us an email anytime at moneytalklive@td.com or you can use the question box right below the screen here on WebBroker. Just write in your question and hit send. We'll see if one of our guests can get you the answer right here at MoneyTalk Live. After a year of aggressive rate hikes, we know that our central bank, the Bank of Canada, hit pause. Well, we had some data lately that has some people rethinking with the Bank of Canada might do next. Next is tomorrow. Anthony Okolie joins us now with an overview of what to expect from that central bank rate decision that is less than 24 hours away now. >> Very close. Thanks very much, Greg. TD Securities has revised their Bank of Canada forecast and now they are looking for the central bank to hike 25 basis points tomorrow, lifting overnight rates to 4. 75%. Now, they believe that the bank's conditional pause is looking far less tenable after the upside surprise that we saw in the Q1 GDP numbers as well as the April inflation numbers. Now 2023 GDP growth in particular is tracking well above projections from January, which the conditional pause was centred around. Now also, the BOC does not have the time to way, according to TD Securities, for the economy to slow, especially with core inflation sitting around 3.5% on a three month annualized basis. Now following the rate announcement, TD Securities is expecting a relatively hawkish policy statement from the central bank as they will reiterate that the economy remains in excess demand and that labour markets remain tight. Now, TD Securities is also expecting the bank to repeat that it remains prepared to raise the policy rate further if needed to return inflation to the 2% target. Now TD Securities also expects the Bank of Canada to hike another 25 Basis Points in July and that would bring the terminal rate to 5%. Looking at the bottom markets right now, TD Securities notes that the short end of the yield curve, that's the one you're under, is currently pricing in a 40% chance that the Bank of Canada will hike rates. On the economy, TD Securities sees Canada avoiding a recession heading into 2024, given the resilient job market and economy. On the subject of rate cuts, TD Securities does not expect the Bank of Canada to start cutting rates until the second quarter of 2024. At that rate announcement will be on Wednesday. We will be interviewing a scene your portfolio manager in TD Asset Management following the Bank of Canada announcement. >> TD Securities, I was jotting down my notes, the third quarter they are expecting an overnight rate from the Bank of Canada of 5%. what are they thinking about the next round of jobs numbers? >> That's coming up this Friday. I think TD Securities expects the Canadian economy to add another 25000 Jobs in May, a bit of a pullback from the recent trend we have been seeing. They are also looking for the on employment rates remained steady at 5%, that would be for the sixth consecutive month. In terms of where the jobs will be, they believe that full-time jobs will drive the headline numbers as the labour market makes it tougher for employers to find part-time workers. When we break down by sector, TD Securities sees the services sector leading growth and that stronger home sales will drive a hiring across the financial and real estate industry while manufacturing should be a contribution will strengthen the good sector. Finally, on wage growth, they expect wage growth to fall modestlyto about 5.1% year-over-year. That will still remain uncomfortably high for the Bank of Canada. >> If you got a floating rate mortgage, I'm not naming names, you want to pay attention tomorrow. Thanks for that, Anthony. >> My pleasure. >> MoneyTalk's Anthony Okolie. Let's get you an update on the market. We are looking at TD's advanced dashboard. We want to take a look at the heat map function which gives you a view of the market movers on the TSX 60. We are looking at price and volume of shares being traded. Let's see what investors are actually interested in today. I'm going to start with Shopify. It's higher as you can see on the screen, up by 4%. That's pretty solid volume. Teck Resources, we've been talking about this name. There has been a lot of drama around it. Now we have them coming up today saying multiple parties are interested in their cool business. Of course, they cancelled a shareholder vote to split the coal from the metals business earlier this year. You got Glencore which took a run at it and got rebuffed. There are rumours out there that Glencore's will and come back to the table. Today it is up about 1.6% in the mining and material space. Some of the gold names in that basket are not faring quite as well. Got Barrick Gold down and Kinross in the red there, down one of the records of a percent. Cameco, it's been a big one for Cameco and other uranium plays given some of the positive momentum in recent weeks and months giving some back today. Nothing too dramatic. It's down to the tune of about2%. You can find more information on TD Advanced Dashboard by visiting TD.com/advanced dashboard. We are back now with Julien Nono-Womdim from TD Asset Management, we are talking semis and technology. Is onshoring impacting the semi stocks? >> Onshoring is certainly a theme that's been discussed over the last couple of years, certainly post-pandemic, and it is impacting companies. Not so much the stocks as the fundamentals where we are seeing cap ex being allocated. You may have heard Intel, TSMC, Samsung, they are all building capacity in the US to address geographic disparities. good diversifying their companies add resilient. It could potentially mean over time that the costs of semiconductors are going to rise to address the rising cost base and potentially margin compression. So those are dynamics that remain to be seen but ultimately, we are seeing a lot of investment along the lines of onshoring and re-shoring, etc. >> That's an interesting give-and-take there, right, but the fact that if okay, you want domestic supply, which you might feel a little more comfortable with, and given geopolitical tensions, you will be paying more. There was a reason why production went overseas. A bit of a give-and-take there. >> Yes. A bit of a give-and-take. Some customers, where the applications for their products are more critical, data centres and important applications, they might want to have onshore capacity available while less critical applications, think of a low and consumer electronics, they might not care as much. > We have run her time for questions. We had lots coming in for you. People are very interested in the conversation. Let's loop around to the top again. Obviously we have seen a big move in semis, regarding artificial intelligence. Looking to the second half of the year, what should we be mindful about in the semi space? >> We should be mindful about that second half recovery, companies and investorsare talking about and starting to put forward. Should that second-half recovery failed to materialize, that could provide some downside. But if it does materialize and, if not, do better-than-expected than this run we have seen to continue. >>fascinating topic. Always knew having you. The words the next time. > Thanks for having me. >> Our thanks to Julien Nono-Womdim, semi conductor analyst for TD Asset Management. As always at home, make sure you do your own research before you make investment decisions. Stay tuned. Tomorrow, Andrew Kelvin, chief Canada rate strategist TD Securities is going to be our guest. We are going to get his response to the BOC rate decision. We will also talk about the economy and interest rates. You can send in your questions at any time. Email moneytalklive@td.com. That's all the time we have for the show today. Thanks for watching and will see you tomorrow. [music]