Canadian Mortgages

News on Canadian mortgage rates, mortgage brokers in Canada, banks, and fresh new mortgages.


Mtg Rates Vs. Bonds

Key Interest Rates

Qualifying Rate 5.34%
Prime Rate 3.00%
Next BOC Mtg. Jun 5
   

News Tweets

Twitter Updates


    Home


    Mortgage Architects


    CMT In the News...

    Media & Internet Coverage

    Popular Posts

    > I.D.E.A.S. for Choosing Fixed or Variable
    > The Fixed / Variable Mortgage Conundrum
    > Smith Manouevre
    > The Incredibly Shrinking Variable Discount
    > Neglect Not Thy Cost of Borrowing
    > 5- or 10-year Mortgage?
    > Beacon Score Basics
    > Smith Manoeuvre Maintenance
    > Getting the Best Mortgage Rate



    CMP Mortgage Summit

    « What “Funding Ratios” Mean to You | Main | Posted Rates Drop to All-time Low »

    March 18, 2009

    Massive Decline in Bond Yields

    Bond-yieldsCanada’s 5-year bond yield had a huge drop today—it’s largest 1-day fall since September.

    The yield on the 5-year Canada now stands at 1.70%, a 2-month low.

    The unusual move came after the U.S. Fed announced it would buy over $1 trillion of fixed-income securities in the open market.  Analysts say that is tantamount to the Fed admitting there is no bottom in sight for the American economy.  (More on this at CEP)

    Bond traders--who put their money where their mouth is when predicting rates--never saw this coming.

    Many were caught short and had to cover in panic fashion.  Yields dropped like a rock as a result.

    This, of course, is great news for people on the hunt for a good fixed mortgage rate.  (Bond yields generally lead fixed rates.)  So far we’ve heard of two lenders talk of lowering their rates.  We’ll have to wait and see what happens over the next 3-4 days.


    Comments

    My Photo
    Melanie & Rob McLister

    Mortgage Question?



    Subscribe (Free)

    Enter Your Email Here



    Canadian Mortgage Trends RSS



    Mortgage Links


    Mortgage Calculators

    Mortgage Qualifier
    Credit Score Estimator
    Rate Hold Calculator
    Mortgage Penalty Calculator

    Industry Links


    In the Media...


    Business News Network

    Globe & Mail

    Wall Street Journal

    Macleans

    Financial Post

    Toronto Star


    Staff


    Canadian Mortgage Awards

    Canadian Mortgage Awards

    Canadian Mortgage Awards

    Canadian Mortgage Awards

    Canadian Mortgage Awards


    Commentary


    Off-topic Posts

    Canadian Mortgage Trends (CMT) delivers the latest mortgage news in Canada for homeowners, online mortgage brokers, and real estate professionals. Legal Information: Consult a qualified mortgage advisor before making any mortgage decision based on information you read here. Similarly, if you see a financial or tax strategy discussed here, always consult a licensed and qualified investment or tax advisor to ensure the strategy is right for you. Mortgages, investment, and tax strategies mentioned on this website are not appropriate for everyone. In many cases, they may not be feasible at all and/or entail serious risks. While reasonable effort is made to ensure the accuracy of information and data contained herein, accuracy, facts, completeness, and suitability can not be guaranteed. Past performance is not a good predictor of future performance. Results, rates, strategies, and terms are not guaranteed and CMT and its affiliates assume no liability for any losses that may occur from your reliance on such information. The information on this site reflects purely our opinions, and not necessarily the opinions of any other party. Readers are welcome and encouraged to leave comments. Please note, however, that CMT endeavours to keep all forums factual and civil for the benefit of readers. Comments that are off-topic, quarrelsome, accusatory without evidence, factually incorrect by objective standards, racially insensitive, profane, slanderous, misleading, made with false email addresses, made under multiple pseudonyms or different names from the same IP address, or otherwise rude or deemed inappropriate by CMT, may be removed without notice. To reduce incidences of SPAM, linking to or promoting individual brokers is not permitted. CMT is a news site, and not affiliated with most of the people or companies mentioned. Company logos and trade-marks displayed herein are the property of their respective owners, are displayed for commentary purposes only, are not intended to be used in a competitive manner with said owner, and should not imply an association or affiliation between CMT and said trade-mark owner or its products or services. Information herein is not intended to be, nor does it constitute, mortgage advice, investment advice, tax advise, financial advice, recommendations, or solicitations to buy or sell securities. CMT personnel and related parties may have an interest in the mortgages, services, companies, products, or securities mentioned on this site. Please contact us if you require clarifications of the above. CMT's website is owned and operated by McLister Media Inc. CMT's trademark and copyrights are used by McLister Media Inc. under license. For questions about the news you see here, mortgages, copyright, or republishing CMT content, please contact us at (800) 280-2460 or info@canadianmortgagetrends.com. Thank you for reading CMT. ISSN# 1927-8772. Copyright 2012. All rights reserved.