Mortgage Rates: Give Them Time

ratespy ratespy | 2 years ago

Bond yields have sunk this month. And it’s taken no time for skeptics to pronounce that inflation fe

Bank of Canada preview: 50-bps rate hike a "done deal," economists say - Mortgage Rates & Mortgage B...

Canadian Mortgage Trends Canadian Mortgage Tr... | 1 year ago

Markets fully expect the Bank of Canada to deliver its second half-point rate hike in as many months at its upcoming rate decision meeting on Wednesday. In June, the Bank hiked its overnight target rate by 50 basis points, bringing it to 1.00%, citing an “increasing risk” that expectations of high inflation could become “entrenched.” With headline inflation reaching a 31-year high of 6.8% in April, and core inflation at a 32-year high of 4.23%, the Bank of Canada is widely expected to c...

Hawkish Bank of Canada announcement fuels rate hike expectations - Mortgage Rates & Mortgage Broker ...

Canadian Mortgage Trends Canadian Mortgage Tr... | 1 year ago

While today’s 50-bps rate hike was no surprise, the Bank of Canada’s hawkish statement that accompanied it was. Today’s rate increase—the second half-point hike in as many months, and the third of the year—was fully priced in by markets. It brings the Bank’s key lending rate to 1.50%, 125 basis points above its record-low levels, where it sat throughout the pandemic. Markets were instead focused on the accompanying statement, where the Bank reaffirmed its commitment to essentially ...

Bank of Canada preview: A 100-bps rate hike "can't be ruled out" - Mortgage Rates & Mortgage Broker ...

Canadian Mortgage Trends Canadian Mortgage Tr... | 1 year ago

All eyes will be on the Bank of Canada’s interest rate decision this week, which some say could be its last increase of the year, and perhaps of this rate cycle. Markets are pricing in a 75-bps hike, which would bring the Bank of Canada’s overnight rate to 3.25%, just above its 2%-3% “neutral” range and into restrictive territory. If that happens, economists from CIBC, TD Bank and National Bank of Canada believe this could be the central bank’s last rate hike of this cycle, with the ...

Mortgage Rates Chart | Historical and Current Rate Trends

themortgagereports.com themortgagereports.c... | 1 year ago

Current and historical mortgage rate charts showing average 30-year mortgage rates over time. See today's rates in context.

Bank of Canada preview: 75-bps rate hike in the cards this week - Mortgage Rates & Mortgage Broker N...

Canadian Mortgage Trends Canadian Mortgage Tr... | 1 year ago

Markets and economists alike overwhelmingly expect the Bank of Canada to lift its policy rate by 75 basis points when it meets this Wednesday. If it does, it would be the BoC’s largest rate hike since 1998. That would take the Bank’s target overnight rate to 2.25%, and implies a prime rate (upon which variable-rate mortgages and lines of credit are priced) of 4.45%. The last time Canadians saw a prime rate above 4% was back in 2008. Experts agree that with inflation still stubbornly at 7...

What the latest inflation data means for the upcoming Bank of Canada rate decision - Mortgage Rates ...

Canadian Mortgage Trends Canadian Mortgage Tr... | 1 year ago

Inflation in Canada grew at a pace not seen since 1983, further increasing the likelihood of an “oversized” rate hike of 75 basis points at the Bank of Canada’s next meeting in July. The Consumer Price Index (CPI) accelerated to an annual rate of 7.7% in May. That’s a 1.4% increase from April, and more inflation than Canadians had to contend with in all of 2015, as economists from Desjardins noted. Core inflation, based on an average of three key measures that strip out the most volati...

The Bank of Canada's September rate hike will be its last: CIBC - Mortgage Rates & Mortgage Broker N...

Canadian Mortgage Trends Canadian Mortgage Tr... | 1 year ago

If CIBC economists are correct, the Bank of Canada’s expected rate hike next week will be its last of this rate-hike cycle. In a report published last week, economists Benjamin Tal and Karyne Charbonneau say they expect the Bank of Canada to hike another 75 bps next week, and will then call it a day, leaving the overnight target rate at 3.25% “for the duration of 2023.” They also see the 5-year bond yield averaging 2.45% in 2022 and 2.3% in 2023, which they say translates to close to $19 ...

Rate pricing: Canada vs. the U.S. - Mortgage Rates & Mortgage Broker News in Canada

Canadian Mortgage Trends Canadian Mortgage Tr... | 1 year ago

Sometimes you just don’t know how good or bad you have it. Take the mortgage business, for example. When it comes to mortgage pricing, Canada is a unique animal compared to many other countries, including the United States. Being married to a U.S. mortgage broker has made that all too clear for this author. And Tuesday, August 2, was a case in point. Frenetic rate updates While Canadian brokers watch the 5-year yield for hints on fixed-rate direction, in the U.S. the benchmark is the 10-year T...

Bond yields plunge. What it means for fixed mortgage rates - Mortgage Rates & Mortgage Broker News i...

Canadian Mortgage Trends Canadian Mortgage Tr... | 1 year ago

Bond yields dove over 30 basis points on Friday as economic worries start to replace inflation concerns. Bond yields, which lead fixed mortgage rates, fell to 2.84% on Friday, down from 3.15% on Thursday and well off the 3.59% high reached in mid-June. The decline comes as investors are increasingly seeking the safety of the bond market (yields fall as demand for bonds rises) to ride out volatility in the stock indices and due to growing expectations of an economic downturn. Rate analyst Rob...

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Mortgage Rates: Give Them Time

Mortgage Rates: Give Them Time