Bank of Canada
Once Again No
Change To The Bank of Canada's Key Rate
The Bank of Canada announced earlier today that it is keeping its key
policy rate unchanged, although still noting that future rate hikes may be
necessary – "some modest withdrawal of the present considerable monetary policy
stimulus may become appropriate." The key rate is now unchanged since September
2010. The prime rate for most lenders should stay at 3%, which means no changes
for variable rate mortgage holders.
The Bank's statement noted that the outlook for global economic growth has
weakened, saying "some of the risks around the European crisis are materializing
and risks remain skewed to the downside. This is leading to a sharp
deterioration in global financial conditions."
The Bank's next rate decision is scheduled for July 17.
The great Canadian mortgage sale continues this spring market, with
historically low 5 and 10-year fixed rates that are unrelated to the key policy
rate. Take advantage!