The Bank of Canada set it’s trend-setting interest rate at 0.75% today, up 0.25% from it’s previous overnight rate, according to this article in the Toronto Star, which stated in part:
“The hike continues the Bank’s movement away from the rock-bottom interest-rate policy Carney adopted during the depth of the recession. After keeping the rate at 0.25 per cent for nearly a year to bolster the struggling economy, the Bank raised its overnight rate to 0.50 per cent on June 1.”
While this move shows some confidence in the Canadian economic recovery, Bank Governor Mark Carney warns that the recovery will likely come about more slowly than the Central Bank had originally predicted.
The next change to the Central Bank’s overnight rate will be announced on September 8, 2010.
Marg Scheben-Edey is a Broker with RE/MAX four seasons realty limited, Brokerage in beautiful Collingwood, ON. With three decades of experience, Marg is a leader in the local real estate marketplace and is ready to help guide both Buyers and Sellers in achieving their real estate goals. Email Marg