21 Jan Bank of Canada lowers rate!!
The Bank of Canada lowered their key rate by 0.25% this morning. Good news for variable rate mortgage holders. For the full press release: http://www.bankofcanada.ca/2015/01/fad-press-release-2015-01-21
This is largely in response to falling oil prices. Signs of economic growth are present both in Canada and globally. However, inflation already remained in check and will be affected even further by oil prices. This rate cut is an attempt to offset these effects and keep inflation within the target range.
As always, we will continue to monitor closely and keep you updated. If you have any questions on how this affects your mortgage and payments, please let me know.
Have a great day!
PS – Bond Yields are also sliding so expect to see lower fixed rates in the near future as well.