Tag: BoC

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News: No change to Bank of Canada Rates

RobHLeave a comment

To the surprise of nobody, the Bank of Canada left interest rates unchanged — again. This is of interest to DIY investors only because it drives the kinds of rates you can expect from high-interest savings accounts and the like. I try to keep a table up-to-date with all the latest and greatest news for both HISAs and ETFs that are like HISAs over here.

The overnight rate remains at 2.25%. That makes 5 straight rate announcements with no change. The next one for the Bank of Canada happens on July 15th. The next one for the US Federal Reserve is next week, on June 16th.

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News: Steady as She Goes — BoC and US Fed rates unchanged

RobHLeave a comment

To the surprise of no one, both the Bank of Canada and the US Federal reserve announced no changes to their benchmark rates today.

As reflected in HISA and short-term bond table (Canada & US), the Bank of Canada rate held steady at 2.25% and the US Federal Reserve held their rates steady in a range of 3.50-3.75%.

The posted rates matter because they drive numbers like how much money you can expect to earn from a high interest savings account.

Bank of Canada next announces on June 10. US Fed next announces on June 17.

News: Canada and US both lower prime rate

RobH2 Comments

To the surprise of no one, both the Bank of Canada and the US Federal Reserve lowered their headline interest rate by 1/4 of a % (that’s 25 basis points if you want to be fancy about it).

Official statement from BoC sets the policy rate at 2.5%, down from 2.75%.

Official statement from the US Fed lowers the “target range for the federal funds rate by 1/4 of point”, which puts the range between 4.0% and 4.25%1

Anyway, to the DIY investor, this will no doubt lower the rates available by the HISA providers, last captured here. A quick spot check shows no change yet2, but that won’t last, I predict. The rates have now been lowered and I’ve updated the September table accordingly. The next meetings for these orgs happens at the end of October, so this means stability for the next 6 weeks on the interest rate front.

  1. why is it range? I have no idea. ↩︎
  2. insert joke about “banker’s hours” here ↩︎