8 September 2010
Here are some of the Bank’s written announcements:
• “The BoC expects the Canadian economic recovery to be a little bit more gradual than the previous forecasts projected”.
• “…The consumption level is expected to stay the same and the business investment can seriously rise”.
• “…Yes, it’s true that financial conditions in Canada are tighter now, but they still stay stimulative”.
• “It’s necessary to act very carefully concerning any future reduction in monetary policy stimulus, especially, in such unstable global outlook”.
In the end, the prime rate can rise to 3.00% just this week. If it happens, it would be the first time since February 2009.
In case you have variable mortgage, every month this increase will cost about $12-14 for every $100,000.
The next BoC interest rate meeting is expected to be on October 19.