Housing market will be stable next two years: RBC...
”The Bank of Canada will likely raise interest rates by 100 basis points this year and another 150 basis points in 2012.” While everyone has speculated about variable rates increasing this year, this is the first time such an aggressive projection has been seen, putting prime rate at a possible 5.5% by 2012.
* TSX +56.27 to 13,840.57 clawed its way back from an earlier tumble to close higher Thursday as oil and copper prices advanced and investors took in a mixed bag of earnings.
* DOW -10.60 to 12,229.29
* Dollar -.19c to 100.42c USD recovering from early lows as oil prices shed morning losses and moved into positive territory. Also as the U.S. dollar strengthened amid data which showed that the number of Americans applying for unemployment benefits plunged last week to the lowest level in nearly three years.
* Oil +$.02 to $86.73 USD per barrel
* Gold -$3.00 to $1362.50 per ounce
* Canadian 5 yr bond yields up another +.01bps to 2.75. The spread (based on the MERIX 5 yr rate published rate of 4.24%) is in the high end of the comfort zone at 1.49.
(courtesy of Barb Morgan, DBD Ontario Southwest)
