Canada’s fast-rising bond yields just hit hyperdrive and they’re now rising even faster. Government of Canada (GoC) bond yields surged across the board on Tuesday. The move will drive mortgage costs higher, especially 5 year fixed rates with the corresponding government bond hitting the highest rates since 2007. There’s just one issue—back then, the rate […]
The US Federal Reserve just scrapped the transitory narrative, and it was felt in Canada. Reserve Chairman Powell candidly dismissed the transitory inflation explanation. This immediately began to flatten Canada’s yield curve, according to BMO. The bank’s chief economist, Douglas Porter, highlighted this point to clients in his latest research note. His analysis shows the […]
Time for your cheat sheet on this week’s top real estate stories. Canadian Real Estate Canadian Real Estate Prices Are Overvalued By Up To 91%: Moody’s Canadian real estate is massively overvalued, said a global credit rating giant. Moody’s estimates the average urban market in Canada is 22% overvalued as of Q2 2021. Large overvaluations […]
Canadian bond yields are rallying, and that’s bad news for people looking for cheap mortgage debt. The Government of Canada (GoC) 5-Year bond yield surged higher on Wednesday. The yield on this bond influences 5-year fixed mortgage rates, but have yet to be priced in. The last time yields were at this level, mortgage rates […]
Canadian bond yields are on the rise, and a big bank has forecast it will take mortgages along for the ride as well. The latest research note from BMO focuses on climbing longer term bond yields. The bank sees this as just the beginning, and sees modest growth for the next two years. They also […]
Canadian (and US) bond yields made an abrupt decline over the past few weeks. This is contrary to what experts had forecast, but it hasn’t changed their tune. In fact, Desjardins chief economist Jimmy Jean said it reinforces his belief. In a note to clients this week, he outlined the disconnect between yields and the […]
On the day Canadian home sales and prices hit record highs, the central bank announces an end to the program partially responsible for the surge. The Bank of Canada (BoC) flooded the market with cheap mortgage credit in March. Yesterday, as market data showed a fever pitch had been reached during the “worst” recession in […]
