Sentences with phrase «lows in interest rates»

Not exact matches

Its policy of maintaining extremely low interest rates has been, in large part, responsible for fueling the current mania for housing.

Before Yellen addressed the Economic Club of Washington, her counterparts in Ottawa released their latest policy statement, in which Canada's central bank said it was keeping its benchmark interest rate at 0.5 %, a quarter - point shy of the lowest level ever.

In its latest Annual Report, it argued that «even if inflation does not rise, keeping interest rates too low for long could raise financial stability and macroeconomic risks further down the road, as debt continues to pile up and risk - taking in financial markets gathers steam.&raquIn its latest Annual Report, it argued that «even if inflation does not rise, keeping interest rates too low for long could raise financial stability and macroeconomic risks further down the road, as debt continues to pile up and risk - taking in financial markets gathers steam.&raquin financial markets gathers steam.»

«Despite being increasingly unaffordable for new home buyers, the current expensive housing prices are rational, and should be expected in the low interest rate environment.»

In April, Poloz said the Bank of Canada was, «decidedly neutral» on the question of whether the most likely path for interest rates was higher or lower.

The latest change in tone may also reflect an additional concern - that low interest rates are fostering financial instability by promoting bubbles in asset prices and stimulating excessive credit creation.

But in recent years, as the Bank of Canada held interest rates to historically low levels and consumer debt skyrocketed, the federal government tightened mortgage restrictions on regulated financial institutions, including HCG.

Private firms like Amur have proliferated in the past few years, which is hardly a surprise, given that Canada's stubbornly low interest rates have pushed investors into alternative asset classes, and residential real estate has generated stunning returns for investors and homeowners alike.

Those federal rules, which double down on restrictions adopted in 2014 and stern warnings to lenders issued by OSFI earlier this summer, require banks to qualify borrowers at higher interest rates, impose additional limits on mortgages for buyers with small down payments, and compel financial institutions to share the risk by taking out insurance policies on low - ratio mortgages.

The bond purchases, the third round of quantitative easing embarked upon by the Fed in the wake of the 2008 financial collapse and subsequent recession, have kept interest rates and bond yields low.

The decline is noteworthy because you'd think the stars were aligned for a boom in the construction of dream homes: the economy has been churning out jobs steadily for a year, real - estate prices are high, and interest rates are low.

The first major correction, however, will likely happen in a housing market fuelled by low interest rates.

After the U.S. experience during the Great Depression, and after inflation and rising interest rates in the 1970s and disinflation and falling interest rates in the 1980s, I thought the fallacy of identifying tight money with high interest rates and easy money with low interest rates was dead.

In textbooks like Mishkin's, a 0 % interest rate was known as the «zero lower bound.»

In a client note on Thursday titled «Yanking down the yields,» the interest - rates strategist projected that bond yields would be much lower than the markets expected because central banks including the Federal Reserve were reluctant to raise interest rates.

There is reason to doubt that lower interest rates will close the confidence gap needed for Canadian companies to invest in growth, however, as Canadian Business columnist Kevin Carmichael wrote this morning:

A sea change in economic conditions has pushed interest rates considerably lower than they were in the past and are likely to stay there for a while, San Francisco Fed President John Williams said Friday.

Plus, in non-registered accounts, those dividends are taxed at a lower rate than bond interest.

The Australian dollar has followed Wall Street lower after the US Federal Reserve indicated that it is on track to raise its interest rate at its next policy meeting in June.

«In such circumstances, fiscal policy may be called upon to provide stimulus, particularly since it is likely to be more effective at low interest rates,» Lane said.

Unicorns were created in the aftermath of the financial crisis, when the low interest rate environment prompted investments in riskier assets, such as the stock of privately held companies.

By keeping interest rates artificially low, through a program called quantitative easing, the central bank tried to mitigate the negative effects of the recession by promoting investment in other asset classes.

It's not as if it's expensive to borrow and invest, what with interest rates in both countries at near all - time lows.

In many cases, acceleration should lower their costs, as nominal interest rates will likely be higher two years from now than they are today, and idle construction crews in Alberta are relatively abundanIn many cases, acceleration should lower their costs, as nominal interest rates will likely be higher two years from now than they are today, and idle construction crews in Alberta are relatively abundanin Alberta are relatively abundant.

The time spent in the work force before launching Swift helped Harris refinance his loans to a lower interest rate through SoFi, one of a few new marketplace lenders focusing on student - loan debt.

What is interesting about the Canadian numbers is that the participation rate began to drift lower in the late 1970s, starting at around 30 % and sliding to around 22 % by early 1997.

Last year, Poloz was guided by the numbers in front of him, not theoretical concerns about the potential damage of lower interest rates.

May could finance her army cheaply with record - low interest rates and promise — in legislation, if need be — to pay it back as soon as the economy was once again growing at potential.

But low interest rates, at least in Canada, have pushed household debt to such vertiginous levels that officials like Carney know they shouldn't be counting on consumer spending to drive the recovery — ergo, the call for more corporate investment.

That being said, there's a pretty good chance that last summer's low in long term interest rates may be the lowest you will ever have seen in your whole life.

Naturally, a lower credit score will make it more difficult to borrow, and result in higher interest rates on any new credit that you do obtain.

Given the collapse of commodity markets was the trigger for the shock interest - rate cut in January, it is reasonable to speculate that continued weakness could prompt the central bank to lower borrowing costs a third time in 2015.

In the category of communications policy, we also extended our estimate of how long we expect to keep the short - term interest rate at exceptionally low levels to at least mid-2015.

There could be mergers and acquisitions in the German banking sector to offset the costs of low interest rates, a member of the ECB told CNBC on Monday.

Record - low interest rates, as set by the Fed in recent years, have squeezed bank margins.

In order to secure market share, it will need to differentiate its loans from competitors, which is hard to do without either decreasing interest rates substantially or lowering lending standards.

In contrast, we are acquiring Treasury securities on the open market and only on a temporary basis, with the goal of supporting the economic recovery through lower interest rates.

In arguing that the 4 percent rule is broken, that commentator made the claim that today's low interest rates make it outmoded.

On the other hand, leaving the interest rate low encourages the kind of borrowing and spending that has produced record - high levels of consumer debt in Canada and pushed housing prices into the stratosphere.

Even though our activities are likely to result in a lower national debt over the long term, I sometimes hear the complaint that the Federal Reserve is enabling bad fiscal policy by keeping interest rates very low and thereby making it cheaper for the federal government to borrow.

And then oil prices crashed, forcing Poloz to drop his already low benchmark interest rate another half point in 2015 to avoid another deep recession.

Interest rates are low throughout the developed world, except in countries experiencing fiscal crises, as central banks and other policymakers try to cope with continuing financial strains and weak economic conditions.

Trump said he used to invest in U.S. stocks but got out because «I don't like what I'm seeing at all,» pointing to U.S. immigration policies, Syrian refugees, and what he said were «artificially low» interest rates.

The Swiss bank is also cautious about the positive impact that rising U.S. interest rates might actually have on margins, given that rates are still very low in the euro zone and negative in Switzerland.

It achieves that by raising or lowering its policy interest rate, which influences other interest rates such as what you'll pay on your mortgage or auto loan, and the return you'll get on the balance in your savings account.

Interest rates have remained at unprecedented lows since the financial crisis in 2008, providing more incentive for Canadians to jump into the housing market.

I would encourage you to remember that the current low levels of interest rates, while in the first instance a reflection of the Federal Reserve's monetary policy, are in a larger sense the result of the recent financial crisis, the worst shock to this nation's financial system since the 1930s.

European markets closed lower Tuesday as investors digested fresh economic data and eyed a probable interest rate hike in the U.S. later this month

«There's a lot of money seeking a home, especially in this low interest rate environment,» Mingda Zhao of Vinson & Elkins LLP, a law firm that has negotiated drillco agreements, said in an interview.

Keep in mind: If you are pre-approved for the loan before you head to the dealership, you can concentrate on haggling for the lowest price for the car and highest amount for your trade - in without the added pressure of negotiating the interest rate and other details of your loan.