Lower inflation in February likely to keep interest rates low...
“However, expect both the annual headline and core rate to move higher in March on a year-on-year basis...”
* TSX +43.48 to 13,789.63 as investors picked up beaten down stocks for a second day after Libya declared a ceasefire in its fight against rebel forces and G7 countries pledged to support the Japanese economy. Despite the heavy volatility, the TSX ended the week up 0.77 per cent following a four per cent slide the previous week
* DOW +83.93 to 11,858.52 Financial stocks helped power New York markets higher after several large banks announced that they were increasing dividends
* Dollar +.02c to 101.41c USD after G7 countries, including Canada, pledged concerted intervention to halt the yen's rise. The yen surged to record highs this week due to its status as a safe haven for investors — even when the emergency is in Japan — and an expected huge repatriation of funds for reconstruction. But a more expensive currency was the last thing Japan needed following the disaster
* Oil -$.35 to $101.07USD per barrel amid uncertainty that Libya would actually follow through with its’ ceasefire announcement
* Gold +$11.90 to $1416.10 per ounce
* Canadian 5 yr bond yields markets -.01bps to 2.51. The spread (based on the MERIX 5 yr rate published rate of 4.04%) is at the top of the comfort zone at 1.53
