Equity Refinance Mortgage Loans Canada - Equity Mortgage Loans Canada - Second Mortgage Loans Canada
Mortgage Loans Canada, Mortgage Refinance Canada, Equity Mortgage Loans CanadaOnline Mortgage Application Form Instant Mortgage Approval 1-866-573-3122 24 HOUR CUSTOMER SERVICEEQUITY REFINANCE MORTGAGE LOANS CANADA BLOGMortgage Canada Buying and selling a home cheat sheetMortgage Canada Words To Know When Buying A HomeImportant Mortgage Websites linksMortgage Canada Basics - Mortgage Canada GuideMortgage Canada CMHC Newcomers to Canada Buying your First HomeMortgage Canada CMHC Home Buying Step By StepMortgage Canada CMHC Condominium Buyers GuideMortgage Canada Compare all Canadian Credit CardsHow Credit Effects Your Canadian MortgageMortgage Canada CMHC Housing Market Outlook Canada Edition Page 1Mortgage Calculator - Mortgage calculators allow you to make informed mortgage decisions
Equity Refinance Mortgage Loans Canada, Home Equity Unlocking, 1st & 2nd Mortgages, Your Mortgage Experts. My right Mortgage, INSTANT APPROVAL 24/7 CUSTOMER SERVICE FAST MORTGAGE PAYOUTS IN CANADA HIGHEST MORTGAGE APPROVAL RATE IN CANADA 1-866-573-3122

HOME BUYING, BUYING YOUR FIRST HOME & INFORMATION FOR SEASONED HOMEBUYERS
FINANCIAL CONSUMER AGENCY OF CANADA
CANADIAN ECONOMY NEWS
MORTGAGE BROKER NEWS
October, 2015
November, 2015
December, 2015
January, 2016

BoC rate cut no panacea, warns economist

The urgency of dealing with the effects of global oil price crashes may trigger a rate cut, TD Bank Group vice president and Chief Economist Beata Caranci said in a statement released on Wednesday (January 13).
 
Caranci emphasized that a rate adjustment won’t serve as a cure-all for the ailing economy. In fact, all signs currently point to Canadian markets underperforming in 2016, with real GDP growth now projected to be 1.5 per cent (against the Bank’s original 2 per cent target).

BoC rate cut no panacea, warns economist

by |
 
The urgency of dealing with the effects of global oil price crashes may trigger a rate cut, TD Bank Group vice president and Chief Economist Beata Caranci said in a statement released on Wednesday (January 13).
 
Caranci emphasized that a rate adjustment won’t serve as a cure-all for the ailing economy. In fact, all signs currently point to Canadian markets underperforming in 2016, with real GDP growth now projected to be 1.5 per cent (against the Bank’s original 2 per cent target).
 
Caranci highlighted a major contributor to the situation: a drastically weakened global oil and gas industry. Being a petro-currency, the Canadian dollar was especially affected by the continuous price crashes.
 
“Moreover, outside of the energy sector, historically low bond yields are keeping credit cheap for businesses and households,” Caranci added, bolstering her argument that a quarter-point
rate cut won’t necessarily address fundamental economic challenges.
 
With the Bank of Canada’s policy meeting set for January 20, there appears to be no consensus among market players for a rate cut, judging by Governor Stephen Poloz’s neutrally-worded speech last week.
 
However, in anticipation of further declines in the energy sector, combined with various imported financial market stresses from developing markets, a rate cut on January 20 might be prudent. Caranci noted that such a step can allow the currency to provide a level of insurance against prolonged shocks on commodity prices.
 
Overall, despite being fraught with multiple risks amid a backdrop of a struggling economy, Caranci said that 2016 may prove to be the turning point, as long as the Bank of Canada takes the lead in adopting and working with expectations consistent with a more moderate trajectory.

Broker news forum is the place for positive industry interaction and welcomes your professional and informed opinion.

 

Name (required)
   
Comment (required)
   
 
   
   
  By submitting, I agree to the Terms & Conditions
 
 
 
 
<< Back Add New Comment
0 items total
Add New Comment
Name*
Subject*
Comment*
Please type the confirmation code you see on the image*
Reload image

Powered by 4GoodHosting