Financial Post- Bank of Canada raises interest rate 100 basis points in super-sized hike
The Bank of Canada raised its key interest rate by a full percentage point on Wednesday, marking the largest single hike since August 1998.
Financial Post- Bank of Canada raises interest rate 100 basis points in super-sized hike
The Bank of Canada raised its key interest rate by a full percentage point on Wednesday, marking the largest single hike since August 1998.
Today during the fake press conference, Blackie explained to his loyal media that the answer to Canada’s economic problems, is for everyone to stop using fossil fuels. He also wants for the federal government to have more say in how health care dollars are spent. Provincial governments are such a nuisance.
The result of that interest rate hike is that a lot of people will be walking away from their houses. Those empty residences will be seized by the government and given to “worthy” occupants (i. e., Roxham Roadrunners).
I remember my father telling me about such things when Justin’s dad was ruining Canada.
Canadians have to be reminded every five minutes how bad the Trudeau crime family is.
One of my relatives declared bankruptcy twice and abandoned his house each time.
I bought my first home in 1982 … the interest rates were well over 12% for most mortgages. After 14 years my house only increased in value equal to the money we spent fixing it up. This was Alberta from 1982 to about 1995. So, if today’s home buyers are whining about going from a 3% to 5% mortgage, just shut up.
We persevered and did without many things for a long time.
For the past dozen years our retirement savings were only earning a couple of % Points (we don’t do the market as it is rigged for the wealthy) .. the government was stealing our saving through the jokingly low interest rates to keep their own debt manageable.
Because we were forced to live in an austere manner for so long, we managed to save a lot of money over the years.
Now we have a chance to get a 4 or 5% return, but it’s in the middle of an economic shit-storm caused by our mentally disturbed government whereby inflation is twice what we are getting in interest returns.
There is little doubt that Trudeau and his marionette masters of the WEF are decimating Canada’s already shrinking middle class. It is the middle class that keeps the wheels turning and everything working …. This is now going away with the skilled labor shortages, you may have noticed if you are trying to get anything done or trying to find someone to hire… Schools have been teaching hate and discrimination, gender-confusion, violence etc. Rather than wood working, math, English grammar etc.
We need a Nicolae Ceaușescu Christmas here in Canada to turn things around.
Pierre Poilievre may come too late. I no longer consider Canada to be first world country … we merely have the remnants of a once prosperous free capitalist democracy … that is being flushed down the toilet as I type this bleat.
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This is also my story.
Same in many ways,I remember securing a mortgage at just under nine percent and thanking the gods for the low rate!
It won’t be enough, and it won’t stop the stagflation that started a few months ago
This should put a lid on the housing market. And everything else in the non-commodity economy.
Prior to this morning’s rate hike, the $CAD had dropped about 5% this year. It’s going to take quite a premium in interest rates to overcome the pain of holding Canadian dollars.
This will not stop the manufactured inflation, nor is intended to.
Meanwhile banks and financial advisors continue to encourage variable rate mortgages. Recently had discussion with a client whose son is buying and they were advised rates will be going down. We shall see if the guys who make problems can fix them.
Classic. Sure, rates will be going down; they will also be going up. Of course, nothing to do with ruinous government policies.
Wise guy says Socialism is the economic arm of Communism.
The worst is on its way.
Trudeau is just softening you up for his Bejing Buddies!
https://www.newswire.ca/news-releases/buyer-s-remorse-manulife-bank-s-debt-survey-reveals-close-to-1-in-4-homeowners-say-if-interest-rates-were-to-increase-further-they-would-be-forced-to-sell-their-home-808521222.html
In June, one in 4 recent homebuyers said higher rates would mean they have to sell their house. Now, the BoC has just raised rates a full point. In a real “market”, prices would start to come down, but all we see so far is sellers still thinking they should get paid over the offer price. Oddly enough, when the BoC was cutting rates at every meeting, it would only take about ten minutes after the rate announcement before the big banks would follow suit by cutting mortgage rates. Now the BoC hikes a point, and the immediate response from the banks is that homebuyers should still get variable rate loans? Banks talking their positions, or what?
Now, the BoC has just raised rates a full point. In a real “market”, prices would start to come down, but all we see so far is sellers still thinking they should get paid over the offer price.
You are of course correct, In the housing market I am watching the pain has still not been felt, however some of the listings are showing big reductions $56,000-$100,000 which represents 5-8% of the original over-inflated list price, still not a big enough reduction these listings are 30%-40% plus over where they were two years ago. So I will wait, I am seriously thinking that my home buying should be directed abroad.
A good start. But not even close to what is needed. There needs to be real pain. Real stinging, aching pain to force a meaningful change in behaviour.
Being stupid has to hurt. If it doesn’t hurt, people won’t stop being stupid.
Not to worry, HannaH, the real pain is on its way. Bankruptcies, unemployment, and hyperinflation will put the 99% in the poorhouse! When the takers come to the realization that govts can’t take care of them and that if they want their genes to remain in the pool, they will have to become self sufficient. Only then will they vote for politicians that will protect their earnings from criminal govts.
But in the meantime, ladies, tighten your bra straps and gentlemen, put the cups in your jockstraps, we’re in for some tough sledding.
We are also in for some opportunities. I’m building our house now but it’s our own build with a lot of privately sourced lumber, concrete etc. Saving our cash to buy some rental property once things crater out.
Well most construction companies will hire anyone with a heartbeat at the moment. Nobody wants to work. Guys will just not come in.
My employer said right to my face they can’t fire anyone, and have heard similar stories from other work places.Lots of work not enough bodies to do it When the economy tanks I hope the useless tit attitude keeps going. You show up everyday and work, your valued and then some.
I know that should be obvious but not anymore.
Who’s John Galt?
But when the pain comes, will the people recognize the socialist causes, or just double down on their failed view of how things “should be run?” By a strong, caring, central gov’t. Like they have in Cuba.
I hope you are right, Skweeker, but I doubt I will be alive to see it. Many cultures/empires/civilizations have followed the same arc of work and true character creating prosperity….creating softness and weak character, and then no recovery – just a downhill slide while somebody else takes over.
Less of a liftoff and more like a crash landing.
In the summer of ’81 the rate jumped 2% in one move. Stay tuned
I sold my parents’ house 6 weeks ago. Heheheheheheheh!
Relax, peoplekind!
Justin will whip up an interest rate offset handout.
Accompanied by mandatory cheers and vigorous tossing of panties by his entourage of retarded journalists.
The economic equivalent of driving your car with one foot stomping on the brakes and one foot stomping on the accelerator.
Every point up is another 10 billion in interest for taxpayers to cover.
Once bill S-233 gets passed for UBI, that will finish us.
Inflation could be quelled tomorrow with announcements of start up of keystone pipeline and a pro energy agenda.
BOC is on board with collapsing Canada.
Canada’s deceitfully named and privately-owned private bank is now doing its part in the continued planned destruction of Canada’s middle class.
First the planned destruction of affordable, reliable energy leading to skyrocketing costs of everything using the junk science of global warming.
Then layering on fascism using the Coronahoax as the excuse.
And now the incremental ratcheting up of the price of money.
All based on lies, and orchestrated by the priests of deception.
The usual suspects, the Jesuits.
And using their usual puppets to do the legwork, Freemasons and Roman Catholics.
The Blackrock Dept of Mass Homebuying approves this rate hike.
Without a mortgage payment, people might be able to afford food and gas.
This is deliberate middle class destruction. Every signal is that we are already in recession, this is raising rates into that. The inflation is supply side from energy, not demand driven, this will do nothing. Nothing good that is. Mexico has aligned itself with the former BRICS alliance, even the US is not a safe bail from Canada any longer. Mexico is the only safe bet on this continent.
Well, this is gonna be fun.
If Justin balances the budget from the heart outward, what happens when it gets atrial fibrillation?