In the Money: 5 Things to Know

Futures pop on slower inflation, Dollarama beats, Musk says sorry, quantum jump's Victoria's Secret stalls

Nine years ago today my husband rode a white horse to meet his bride on our wedding day. Nine years later he is still our white knight, albeit on a less grand scale: bringing me 600 glasses of water day, passing me thousands of diapers over the last seven years, and mounting a brave but futile resistance against our children’s demands. Thank you for being our rock and my favourite punchline.

Watch the full episode: Veteran investor Ross Healy has been navigating markets for 60 years and right now, he’s sounding the alarm. In this episode of In the Money with Amber Kanwar, Ross warns that U.S. stocks are dangerously overvalued, the S&P 500 could drop more than 50%, and the AI-fueled market rally may be repeating the same mistakes of the dot-com bubble.

Priced in: Futures popped into the green after a read of inflation in the US came in lower than expected. Core inflation grew slower than anticipated for a fourth month in a row signaling some companies are showing restraint in passing through price increases stemming from tariffs. Before the CPI print, markets were under slight pressure despite US President Donald Trump emphatically posting “OUR DEAL WITH CHINA IS DONE.” It is still subject to approval by both Trump and China’s President Xi Jinping. Still, markets didn’t appear to be moved by the de-escalation. With the S&P 500 within a hair of all-time highs, it could be that good news is already priced in. The TSX continues to flirt around all-time highs as the energy sector advanced for a fourth session in a row.

Dollars-ama: Dollarama blew the doors down in its latest quarterly results. Comparable sales increased nearly 5%, which was better than the 3% expected. Profit also came in 17% higher than expected. Profit contribution from it’s recently acquired Latin America unit, Dollarcity, doubled from last year. Basket size and traffic both increased in the quarter. However, shares of Dollarama are trading near an all-time high and trade at 40x earnings so we will see if the results are impressive enough for shareholders. RBC’s Irene Nattel calls the results “very strong” and supportive of Dollarama “as a core holding.” Since going public in 2009, Dollarama has been higher every single year except for 2018 with an average annual return of 30%.

Apology tour: Shares of Tesla are popping 3% after Elon Musk apologized for attacking Trump over social media. “I regret some of my posts about President Trump last week. They went too far,” Musk posted on X. Recall, the stock cratered after the two BFF’s had a very public breakup. Since then, however, the stock is up more than 15% as investors bet the two will make nice ahead of Tesla’s all important robotaxi launch in June. “The timing of this globally watched frenemies situation is not ideal as Tesla is set to launch in Austin its highly anticipated Robotaxi now June 22nd (was June 12) according to Musk's X post this morning,” wrote Dan Ives of Wedbush. “We estimate the AI and autonomous opportunity is worth at least $1 trillion alone for Tesla and we fully expect under a Trump White House these key initiatives will get fast tracked (despite the Musk beef),” he wrote.

Quantum leap: Quantum computing stocks are popping off this morning after Nvidia CEO Jensen Huang said we could be at an inflection point for the technology. Yes, the same Jensen Huang who tanked the sector in January saying quantum was 15-20 years ago. Today, he admits he was wrong about the timeline and now believes it will be able to solve “interesting problems” in the “coming years.” Of course, with the help of Nvidia chips. Shares of D-Wave (+3%), Rigetti (+7%), Quantum Computing (+12%), and IonQ (+5%) are all higher this morning.

Secrets: Investors aren’t sure what to do with Victoria’s Secret after the company warned that tariffs will weigh on profit. The lingerie retailer warned tariffs would cost about $50 million this year. It is yet another setback for the turnaround CEO Hillary Super. She is tasked with helping the brand regain market share. Aside from tariffs, the company was hit with a cybersecurity incident that forced them to shut down their website for three days. They haven’t said much about what it was exactly or even how much of a financial hit it will be. They only warned that it could affect results but didn’t quantify by how much. There are enough bears betting the turnaround won’t work out with 17% of the shares outstanding short.

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