The Bank of Canada has held its trendsetting interest rate at 5.0% for a third straight setting and talk of further increases has been all but silenced. In the statement that came with the most recent rate announcement, The Bank offered a number of reasons for the decision to hold steady: higher rates are “clearly […]

Two key guide posts for the Canadian economy are pointing in the same direction.  Both the third quarter GDP numbers and November jobs figures suggest the Bank of Canada is unlikely to make any changes to its trendsetting interest rate in the coming days. Canada’s economy shrank at an annualized rate of 1.1% through July, […]

The Fall Economic Statement from the federal government concentrated closely on Canada’s housing situation.  Most of the new spending is meant to address the need for adequate, affordable shelter, rather than increasing housing stock to quench the “desire for ownership”.  But there was one item that seemed designed to get the attention of most homebuyers. […]

There has been a little relief for mortgage shoppers in recent days.  Fixed-rates have come down slightly, led by declining yields for government bonds.  Variable-rate mortgages appear to be maintaining their discounts and most market watchers believe the Bank of Canada has reached the top of this rate-hiking cycle. The Bank, however, continues to warn […]

An interesting difference of opinion has developed between the economists and the people who deal in the bond markets.  The economists do not expect to see any rate cuts by the Bank of Canada until the middle of next year.  But the markets see things changing sooner.  And there may be benefits for mortgage shoppers. The Bank of […]

An interesting new survey suggests a growing number of Canadians may be getting ready to move back into the housing market. The newly launched survey by Dye and Durham indicates one in ten are looking to sell their primary residence and move into a new one within the next 12 months; double the number who […]

Under the heading no news is good news, the Bank of Canada decided today to keep its benchmark (overnight) interest rate steady at 5.00%, putting at least a temporary hold on a policy that resulted in 10 increases stretching back to March 2022. At the Bank’s last meeting in July, it raised the rate 0.25% […]

The latest reading on Canada’s economy has triggered a quick turnaround in expectations about the Bank of Canada’s course on interest rates. The latest reading by Statistics Canada shows economic growth slowed markedly in the second quarter.  Gross Domestic Product – which is the total value of all goods and services produced in the economy – […]

New reports on a number of the key components that feed into the Bank of Canada’s interest rate decisions are out this week.  The one that will be getting the most attention is the inflation reading for July. It is expected there will be a small up-tick in the Consumer Price Index – or headline […]

One of the closely watched components in the Bank of Canada’s interest rate setting process missed growth expectations, but was still up on a month-over-month basis. The country’s Gross Domestic Product rose by 0.3% in May, less than the 0.4% that had been forecast, but up from 0.1% in April.  (April’s growth rate was revised […]