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转贴 Mortgage rates jump again
http://www.cbc.ca/money/story/2007/05/29/mortgages.html, C/ S L5 a0 ~& c4 u/ r! m
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Last Updated: Tuesday, May 29, 2007 | 4:28 PM ET
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Mortgage rates went up Tuesday for the second time in two weeks as the Bank of Canada sent a strong signal that borrowed money is about to get more expensive.2 x8 S/ s/ K( o) I- r
8 }. F+ q' Z& j7 T. R& ^6 j7 \RBC Royal Bank, TD Canada Trust, BMO Bank of Montreal and CIBC have all raised mortgage rates by up to three-tenths of a percentage point, effective Wednesday.; V3 N, c5 J8 X- l8 R$ D+ r
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The posted rate for a five-year closed mortgage is now 7.14 per cent. The banks had boosted the rate for the five-year term to 6.84 per cent less than two weeks ago.2 X7 i8 ~/ s0 W, d3 b
+ [5 `& ^$ X6 Q; I5 VOther banks are expected to follow with rate hikes of their own.
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& d- c% n1 [7 lYields in the bond market, where mortgage financing is determined, jumped Tuesday after the Bank of Canada delivered a strong hint that it may boost interest rates soon — and perhaps more than once this year — to fight inflation.
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The yield on the benchmark two-year Government of Canada bond jumped more than a tenth of a percentage point to 4.57 per cent. It was just 4.18 per cent at the start of May. 8 w: \3 A" F* G: ^; O1 ]' N' p
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The posted rate for a five-year closed mortgage is now lower than those for two-year, three-year or four-year mortgages. That type of inversion is unusual, as banks usually charge more for locking in rates for longer terms. |
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