It's been a trying two months for mortgage originators. As if 50 bps of post-BoC-pause rate tightening wasn't bad enough, yields surged even more. The benchmark 5-year Canada Mortgage Bond, for example, climbed 80 bps in that timespan. Several new long-term rate highs were made in

When this rate hike cycle began in early 2022, few envisioned Canada's overnight rate with a 5-handle—certainly not the 1 in 2 borrowers who chose floating rates at the time. But that's precisely what we've got. Canada’s overnight rate just hit 5%

Canada's bank regulator doesn't like it when banks allow mortgage balances to grow. So OSFI is making that practice more costly. The regulator has been telegraphing this change for a while and finally announced a consultation for it. The new policy (see announcement) will apply to

The Bank of Canada needs to take out insurance tomorrow, and it's a safe bet it will. The BoC is trying to contain at least four risks: * Core CPI lingering in the 3% range * Inflation expectations getting stuck in the 3% to 4% range * Counter-productive housing momentum * An