The Bank of Canada left the key overnight rate unchanged last week during the latest interest rate announcement on September 3rd. The outlook for inflation remains roughly balanced and is close to the 2 percent target, while the risks associated with household imbalances have not diminished. The Bank of Canada remains neutral with respect to the next change to the policy rate. The next scheduled date for announcing the overnight rate target is October 22nd.
Canada’s major real estate boards released August sales data last week which was generally positive across the country. Vancouver saw steady growth in line with sales figures from previous years, Calgary saw a sharp rise in condominium listings and sales, Edmonton saw a sharp increase in sales and prices, while the major centers in Saskatchewan and Manitoba saw flat prices and an increase in listings, and in Toronto there was continued strong growth with year over year sales and prices. View more real estate markets reports here.
Equifax Canada published its latest Consumer Credit Trends Report last week stating consumer debt levels in Canada continue to grow but that the delinquency rate has reached its lowest level in six years. Overall debt, including mortgages, has grown by 7.2% over the past year.
The benchmark government of Canada five year bond yield ended the week at 1.59%, up slightly from 1.52% the previous week. Bond rates have remained steady during the past 5 months ranging from a low of 1.47% to a high of 1.64%.
