Today was a scheduled BoC "Rate Review Day." The news is, BoC left the Key Lending Rate flat. This is in stark contrast to 6 weeks ago - where the rhetoric was "rates are going up, and soon."
But since then, the ongoing economic turmoil in Europe and weaker than expected U.S. employment numbers, have added up to renewed Global uncertainty. So what began as a quiet whisper, just days ago, is now a growing opinion that the BoC may even trim the Key Rate - down.
The other side of the coin - low mortgage rates continue to be a plus for homeowners, homebuyers, and sellers too. And according to reports from the Big Five and BoC - Consumer debt is beginning to correct too.
On another note, OSFI is about to announce a major set of guidelines for Federally Regulated Lenders that will affect mortgage lending and reach renewals too. Some of the ideas they have floated in public have raised eyebrows - more to come as the facts become known.
The next scheduled date for announcing the overnight rate target is 17 July 2012. A full update of the Bank’s outlook for the economy and inflation, including risks to the projection, will be published in the MPR on 18 July 2012.
But since then, the ongoing economic turmoil in Europe and weaker than expected U.S. employment numbers, have added up to renewed Global uncertainty. So what began as a quiet whisper, just days ago, is now a growing opinion that the BoC may even trim the Key Rate - down.
The other side of the coin - low mortgage rates continue to be a plus for homeowners, homebuyers, and sellers too. And according to reports from the Big Five and BoC - Consumer debt is beginning to correct too.
On another note, OSFI is about to announce a major set of guidelines for Federally Regulated Lenders that will affect mortgage lending and reach renewals too. Some of the ideas they have floated in public have raised eyebrows - more to come as the facts become known.
The next scheduled date for announcing the overnight rate target is 17 July 2012. A full update of the Bank’s outlook for the economy and inflation, including risks to the projection, will be published in the MPR on 18 July 2012.
No comments:
Post a Comment