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Latest News
Immigration and trade policies cloud next year’s outlook, RBC CEO says as two major banks report Q4 earnings - The Globe and Mail + MORE Dec 4th
Immigration and trade policies cloud next year’s outlook, RBC CEO says as two major banks report Q4 earnings The Globe and MailRBC reports Q4 profit rose to $4.2B despite softening Canadian economy BNN BloombergRoyal Bank of Canada reports $4.22-billion Q4 profit, raises quar.... More »
Battle of the generations: Who’s having the toughest time with finances in Canada? Sep 10th
OK, Boomer. That phrase evokes images of memes that starkly paint the divide between the generations. But when it comes to money, it turns out Canadians of all ages are on the same page. For the annual MoneySense survey, we asked Canadians to identify their generation and share their thoughts on mon.... More »
What’s my RRSP contribution limit? Dec 12th
Your RRSP contribution limit is the maximum amount you can add to your registered retirement savings plan each year without triggering penalties. It’s based on your unused RRSP deduction room plus 18% of your previous year’s earned income, up to the annual CRA limit.
Use our RRSP contri.... More »
ETF strategies to help Canadian investors combat a weak loonie + MORE Jan 29th
While recent moves from the Bank of Canada and the U.S. Federal Reserve primarily influence borrowing costs, they’ve also contributed to a sharp divergence in currency exchange rates. Specifically, the Canadian dollar has depreciated significantly against the U.S. dollar. When interest rates .... More »
U.S. stocks approach their all-time high as oil prices tumble - BNN Bloomberg + MORE Jun 24th
U.S. stocks approach their all-time high as oil prices tumble BNN BloombergTrading Day: Truce triggers world equity whoosh ReutersFragile Iran-Israel ceasefire calms oil markets Al JazeeraHow major US stock indexes fared Tuesday, 6/24/2025 The Globe and Ma.... More »
The after-effect of market lows: a drop in fixed mortgage rates
– moneysense.ca
When markets drop like they did on Monday, you may not immediately think of the impact on mortgage rates. We’ve been relying on the Bank of Canada to nudge rates lower, namely for variable mortgages. But fixed mortgages got a news headline-worthy update today, thanks to bonds, which are reacting to yesterday’s global stock sell-off.
Bond yields have a “positive correlation” with fixed mortgage rates. That means when bond yields go up, so do fixed-rate mortgages, and vice versa. And since Canadian five-year government bond yields have dropped to 2.9%, as of Tuesday, mortgage rates are expected to come down, too.
What are bonds?
Bonds are a form of debt security. Governments and corporations issue bonds to borrow money from investors. The amount borrowed is referred to as the bond’s face value or par value.
Interest is paid on the face value to reward investors for lending their money. The rate may be fixed—constant over the duration of the bond—or variable, changing over time in response to changes in a benchmark interest rate such as the prime rate…
