WHAT THE BANK OF CANADA HAS DECIDED ON ABOUT THE BOC RATE

“When we need to reduce the amount of monetary stimulus, you can expect us to begin by raising our policy interest rate,” Macklem said in remarks prepared for a virtual speech to the Quebec chamber of commerce. “What this all means is it is reasonable to expect that when we reach the reinvestment phase, we will remain there for a period of time, at least until we raise the policy interest rate.”’

The Bank of Canada has been using two major tools to keep borrowing costs low: maintaining its main overnight policy rate near zero and buying up hundreds of billions of government bonds from investors to keep longer-term borrowing costs in check. #SANDI HALPERN # SOLD # LEASED # BANK OF CANADA