Categories for Bank of Canada

Prime Rate Jumps: What You Need to Know

In just the latest reminder that banks value profit above PR, each of the Big 5 have hiked prime rate by a full 1/4 point. That means the rate variable mortgages are based on rises to 2.95% on Thursday, at most big lenders. Some had speculated (hoped) that...

BoC Hikes: Mortgage Rate Surveillance

A quick briefing on recent mortgage rate developments: Higher Rates on the Radar: The market has now fully priced in a rate hike this year, based on the yields of interest rate derivatives. “Clearly this is no longer an economy that requires emergency-level...

Rate Inertia Persists (For Now)

Variable-rate holders can sit back in their easy-chair. Prime rate is cemented at 2.70% after the Bank of Canada pushed out its forecasted economic recovery for the umpteenth time. The Bank said there’s now “heightened uncertainty” in its rate outlook, as if it...

Thank You, Mr. Poloz?

“Young folks with mortgages regularly thank me for keeping interest rates low.“ —Bank of Canada Governor, Stephen Poloz   In fact, Mr. Poloz’s decisions to keep rates low have practically been made for him, by serially disappointing economic data. Monetary...

Prime Rate, Going Nowhere

Another Bank of Canada rate meeting has come and gone with no shift in prime rate. Here’s pretty much the only line in the Bank’s 421-word statement worth repeating: “On balance, risks to the profile for inflation have tilted somewhat...

The Economic Ice Age & Mortgage Rates

Yesterday’s Bank of Canada Decision: Roses in a Weed-patch You’ve got to hand it to Bank of Canada head Stephen Poloz. He’s remained as optimistic as a dog before dinner. The problem is, the BoC’s undying economic optimism doesn’t jibe with...

Rate Surveillance: Another BoC Non-Event

An Idle Bank of Canada If you forgot about the Bank of Canada rate meeting yesterday, you’re one of many. Nobody made a big deal about it because nobody expected anything earth shattering from Poloz’s lips. The takeaway is that prime...

The Bank of Canada Countdown

A feeling or state of nervousness or excitement caused by wondering what will happen. That’s the definition of suspense. And that’s what the financial community is feeling right now about Wednesday’s Bank of Canada rate meeting. Will “The Poloz” chop the...