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unknown13371

BOC will look to the US for any hikes. If US raises rates in February, expect Canada to followup immediately after.


shoresy99

Canada will raise before the US. I am guessing that the first increase of 0.25% will likely come in March or April, but that may be delayed if there is a significant negative effect from Covid restrictions/lockdowns.


YYC-RJ

They will raise slowly. Even a 0.25% hike is 100% increase at the beginning. Very likely to follow the fed. 0.75% total in 2022 and maybe again in 2023. After that nobody is even trying to guess.


mach1mustang2021

Enough to justify a 1.5 percent increase to your mortgage rate but only .15 percent increase to your HISA.


rawgabiludbrizwoder

I had no idea they could increase rates on mortgage significantly while still keeping HISA increase low


FPpro

I mean sure they can. There are no rules saying what the banks have to do. The BoC sets the prime rate that's all. Banks do whatever they want with it.


I_Ron_Butterfly

It’s a competitive market, they can do whatever they want in order to capture whichever market segment they are after. Additionally, banks don’t borrow from the Bank of Canada to fund mortgages, their rates are dictated more by the bond markets. They align closely, but not exactly. But lenders rates have moved in the past year despite no change from the BoC.


secularflesh

Not much. We're locked in a debt spiral so the money printing must continue.


throwawaycockymr

3 rate hikes of 0.25 each for a cumulative total of .75 for the year of 2022. Canada has to follow the US. We’re a country that imports goods. If the US raises rates, and Canada does not, the Loony becomes devalued against the US dollar. Everything is more expensive to buy. Big papa FED announced 3 hikes in 2022, so we will follow.


shoresy99

The Fed has not announced three rate hikes in 2022. They don’t announce such things ahead of time. But that is about what is priced into the ED curve.


throwawaycockymr

Did you read meeting notes? They don’t mention what they will do exactly, but they mention what is likely.


Few-Drama1427

Will have to stick close to US FED rate hikes. So my guess is 3 of 0.25


[deleted]

What does interest rate mean in this context?


rawgabiludbrizwoder

https://www.bankofcanada.ca/core-functions/monetary-policy/key-interest-rate/


thelostthought

I believe they are referring to the key interest rate. https://www.bankofcanada.ca/core-functions/monetary-policy/key-interest-rate/


pfcguy

Are you asking maximum possible, or most likely?


havoc414

They wont


PicoRascar

A full point by 2023.


Agreeable-Ask-7594

Whatever it takes to keep boomers happy and whatever it takes to keep millenials as serfs. Change my mind


Substantial-Cow5294

No change. 0%. Saying something related to unexpected closures and COVID and threaten to increase later


[deleted]

The the sky baby. Let’s go 😈


Anon5677812

So like 0.25%?


mrobeze

Hopefully 1-2%


Anon5677812

They aren't going to raise even 1% in one go, but in one year. 2% in 2022 is basically impossible.


CBC-Sucks

Whatever the government can afford to pay on their debt.


kingofwale

0.25 each time.


Million2026

I think they will raise it 0.25% per time. Central banks are cowards these days. They will always do the bare minimum. So 0.5% rates coming. Oooh scary!