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转贴 Mortgage rates jump again
http://www.cbc.ca/money/story/2007/05/29/mortgages.html! @0 J" }8 x% ]: w
) W; r+ P: K7 h! H" qLast Updated: Tuesday, May 29, 2007 | 4:28 PM ET
% {6 t9 L( M; K/ h: _9 |" wCBC News
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6 P& {! z) H" V3 Q+ qMortgage 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.
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p- U% Q& F0 t+ y5 N5 w4 ZRBC 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.
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, {0 a a! B5 Q* QThe 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.. `0 q2 B( z- F$ n% X/ o
( \9 ~/ }1 D( ~% ?Other banks are expected to follow with rate hikes of their own.8 y& t! b5 {% d5 D% l
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Yields 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.. J# X: X3 c! ^$ a( {7 |, f' [
( J9 V: q6 d; I, vThe 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.
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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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