Robert McLister: With the Fed hinting at a possible rate cut, it’s clear to markets that elevated rates have overstayed their welcome
Canada’s fixed-mortgage leading five-year bond yield is on track for eight straight closing lows. Such theatre typically reflects a monumental shift in market sentiment.
Indeed, the market now believes that central bank policy rates are set for a nosedive. The action could heat up on September 18. That’s when traders expect the U.S. to roll back its key rate for the first time since the pandemic crisis.
With such eye-catching drops in borrowing costs, this rate-easing cycle is starting to get real. It’s becoming incrementally easier to qualify for a mortgage, and that will no doubt ignite more homebuying interest. Now, all eyes are on Friday’s pivotal U.S. jobs report to see if it keeps the rate descent going.
Mortgage rates
The rates displayed below are updated by the end of each day and are sourced from the Canadian Mortgage Rate Survey produced by MortgageLogic.news. Postmedia and Imaginative. Online Inc., parent of MortgageLogic.news, are compensated by certain mortgage providers when you click on their links in the charts.