Bank of Canada today reduced it’s target overnight rate one more time. The bank surprised many experts in last January by lowering its target rate, now once more, the bank decided to cut the rate by quarter percent point. Like gasoline price, prime rate do not appear
Read more →The weakest growth potential in the Canadian financial landscape belongs to Canadian overnight interest rate. Bank of Canada chief Stephen Poloz thinks that inflation rate is not going to show any sign of life this year. For inflation rate to return to its healthy self may take
Read more →Bank of Canada today announced that it will maintain the key interest rate at 1% till first week of June. The bank expects that the economic conditions will improve in near future and slowly inflation will head North. For now housing is still in a very tricky
Read more →The Target Overnight Rate is important to a borrower because it is somewhat loosely tied to the Prime Lending Rate set by the lenders. Today the Canadian Central Bank will once again announce its target for the Overnight Lending Rate till 16 April 2014. Experts are not
Read more →Central banks generally talk about rate hike when the economy is booming. Canadian economy shows no sign of any solid performance except housing sector. The issue with Canadian housing sector is – it appears to be founded on quick sand of speculation. Bank of Canada is not
Read more →Bank of Canada manages the overnight lending rates between banks. It oversees the interbank lending through its large value transfer mechanism (Large value is not really large sum of money, it could be much less too – it has to fall under a particular category of transaction
Read more →It is not news that Bank of Canada left the overnight target rate as-is (@1%). Prime rate remained at 3% for now. The chorus of the lenders about restriction in the delivery mechanism may be a prelude to push prime up in future – but that is
Read more →To answer that question first we need to know why Bank of Canada is keeping the rates low. Looking at few news releases by the central bank – right after their interest rate decision announcement – will give us some idea. One thing will never be clear
Read more →There are many reasons for rain or snow. Similarly Bank of Canada had many reasons to keep the low rate low. Overnight target rate is controlled and monitored by the Bank of Canada. It is a trend setter rate. Many other borrowing costs like banks prime rate
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