Bank of Canada raises rates to 0.50%, warns of Russia uncertainty
https://www.reuters.com/markets/us/...uncertainty-2022-03-02/?utm_source=reddit.com
https://www.reuters.com/markets/us/...uncertainty-2022-03-02/?utm_source=reddit.com
#JustinFlation - Bank of Canada raises rates to 0.50%, warns of Russia uncertainty
- Thread starter B00Mer
- Start date
And how are you going to pull that off ? Another politician making promises he can’t deliver .
Guess we will have to wait for his major steps to counter JustinFlation??
I would think a start is getting Canadian Oil and Gas to market. OH wait the Dippers and Libtards want to block Canadian Jobs
I don't think it will be much of an ask if the Russo-Ukraine war drags on that Canada will be asked to up their deliveries of Oil to the US
From energy to food prices and even inflation, here's how war in Ukraine could impact Canada's economy
Though the conflict is a world away, Canadians will feel its impact
Pete Evans · CBC News · Posted: Feb 24, 2022 3:59 PM ET | Last Updated: February 24
Russia's attack on Ukraine means these prices are going even higher
https://www.cnn.com/profiles/julia-horowitzBy Julia Horowitz, CNN Business
Updated 9:39 AM ET, Fri February 25, 2022
Trudeau says it’s not just Canada suffering inflation pain
“The inflation challenge the world is facing right now is a global challenge,” replied Trudeau.
Published
1 month ago on January 20, 2022 By Western Standard
Just following the price of Transportation (fuel)
Bank Of Canada Will Raise Rates 500% This Year, To Start Within Weeks: National Bank
JANUARY 12, 2022
Canada’s central bank is about to take away the punch bowl real estate has been binging on for the past few years. The National Bank of Canada (National Bank) has forecast interest rates will rise over the next few weeks to combat inflation. Canada’s freshly lowered neutral rate means this will top out fairly fast, though.....More
‘Pressing need’ for Bank of Canada to raise interest rates amid inflation surge
By Craig Lord Global NewsPosted January 20, 2022 5:00 am
Updated January 20, 2022 9:40 am
The likelihood of an interest rate hike from the Bank of Canada next week is growing as record levels of inflation and high housing prices coincide with an anticipated economic rebound from the Omicron wave of the pandemic, some economists say.
Scotiabank Economics said in a note to investors Wednesday that it expects the Bank of Canada to raise its key overnight rate by 25 basis points to 0.5 per cent at its next meeting Jan 26.
This would be the first of multiple interest rate hikes over the course of the year, senior economist Jean-Francois Perrault forecasts, with rates hitting two per cent by the end of 2022.....More
Omicron, Inflation, Housing: What Happens at the Bank of Canada Call for Interest Rates? – Nationally
by Rafi Ullah
Canadian Interest Rate Forecast to 2023
HIGHLIGHTS- Five-year government bond rates have risen from 0.3% to 1.7% since January 2021. This has had a knock-on effect on mortgage rates.
- The Bank of Canada (BoC) signalled it will start raising short-term interest rates in 2022, as a result of a brighter outlook for the Canadian economy and high inflation.
- Bond markets are pricing in five rate hikes in 2022, Scoatiabank’s forecast is the most optimistic for the economy and projects the Bank of Canada target rate could reach 2% by the end of 2022.
- 5-year mortgage rates are expected to remain low by historical standards, but they are forecast to continue rising.
- Short-term variable interest rates are at their ‘lower bound’ and are not expected to fall any further.
There are concerns about inflation which is currently running above 4% and is eroding retirement savings. Generally, lending rates are higher than average inflation.
While low rates were intended to help borrowers weather the economic storm, they also appear to be fueling a real estate boom - and potentially a housing bubble. Asset bubbles in real estate and other assets are putting pressure on the BoC and the government to dial down the stimulus.
This article will explain the forecasts for variable (floating) rates and 5-year fixed (locked-in) rates. Keep reading to learn what the big banks are saying about rates.
THE CURRENT SITUATION
Very Low Mortgage Rates
Fixed rates are currently near record lows but they are rising. As mortgage rates rise, they reduce homebuying budgets.
The impact of early rate increases on homebuying budgets will be greater than the subsequent rate increases. Prospective homebuyers can take advantage of this effect by getting a pre-approved mortgage 4 months before making a purchase. By the time they find a place they like, rates may have risen, and competing bidders who didn’t get a pre-approved committed rate might be saddled with smaller homebuying budgets. If your bank doesn’t offer a 4-month rate guarantee with their pre-approval, then talk to a mortgage broker.
https://portal.mortgagesandbox.com/...&utm_source=Int_Forecast&utm_style=GIF_Banner
MORTGAGE RATE FORECASTS
Should I Lock in a 5-Year Fixed Rate?
Banks charge extra interest for the privilege of borrowing at a fixed rate. Usually, they charge more the longer the rate is locked in. Is it worth paying extra for their fixed-rate service?Locking in a 2.70% 5-year fixed mortgage rate will only start benefiting you financially if variable rates begin to climb. Variable rates are expected to rise in early 2022.