Bank of Canada maintains overnight rate. Some remarks about the US and Canada: “US growth is expected to slow considerably in the coming months, with particular weakness in sectors that are important for Canadian exports.” “In Canada, demand is still exceeding supply and the labour market remains tight. Wage growth is still elevated . Housing […]

article written by Sherry Cooper, Chief Economist, Dominion Lending Centres US policymakers take emergency action to protect depositors at failed banks Silicon Valley Bank (SVP) had a sterling reputation among the many tech start-ups it helped to finance. What brought SVB down was an old-fashioned bank run set off in 2021 by a series of […]

On March 8, 2023, the Bank of Canada maintained the overnight rate. This is in line with what was telegraphed from prior meeting’s announcement. “Inflation, while still too high, is coming down due primarily to lower energy prices. Employment growth has been surprisingly strong.” Global impacts mentioned: “United States and Europe, near-term outlooks for growth […]

Bank of Canada increases overnight rate by 0.50%. Your variable rate mortgage and secured lines of credit will increase. ‘Quantitative tightening QT’ continues. Admits “The risk of elevated inflation becoming entrenched has risen.” “With the economy in excess demand, and inflation persisting well above target and expected to move higher in the near term, the […]

Bank of Canada increases overnight rate by 0.50%. Your variable rate mortgage and secured lines of credit will increase.  The tone of announcement is rates need to rise due to inflation.  ‘Quantitative tightening QT’ in effect this month, which means  government no longer replacing maturing bonds on the Bank’s balance sheet. Core inflation now declared […]

Bank of Canada increases overnight rate by 0.25%. Your variable rate mortgage and secured lines of credit will increase.  Increased inflation is the theme of the announcement.  Announcement ends with note on expected future interest rate increases. “CPI inflation remains well above the Bank’s target range. Price increases have become more pervasive, and measures of […]

The Bank of Canada decided to maintain the overnight rate. This means your variable rate mortgage remains unchanged. However, they presented strong language suggesting the rate will need to be increased. The Bank has ‘removed its exceptional forward guidance on its policy interest rate’, which means these emergency rates will need to move. ‘Overall economic […]

Bank of Canada maintains overnight rate. Your variable rate mortgage remains unchanged. The Bank is maintaining its bond buying pace, purchasing bonds solely to replace maturing bonds (“reinvestment phase”). Its assessment of inflation sees little change, expects inflation to remain elevated in the first half of 2022 and ease back towards 2% target in the […]

Bank of Canada maintains overnight rate. Your variable rate mortgage remains unchanged.  The Bank is ending quantitative easing (QE) and moving into the reinvestment phase, during which it will purchase Government of Canada bonds solely to replace maturing bonds. It still states  the economy continues to require considerable monetary policy support.   The Bank backed off […]

Bank of Canada maintains overnight rate. Your variable rate mortgage remains unchanged. Naturally, due to upcoming election, the boat is not being rocked. Status quo message: transitory inflation and recovery still estimated second half 2022. “These factors pushing up inflation are expected to be transitory, but their persistence and magnitude are uncertain and will be […]