BoC ups growth, stands pat on rates...
“It will be difficult to pin down when the next hike will be when you have a central bank that takes the currency into account when making its policy decision...”
Cue the MERIX 50/50...and choose both variable and fixed...
* TSX -195.46 to 13,801.40 fell sharply for the second consecutive day on another violent pullback in commodities as Goldman Sachs Group Inc. told investors to take profits while warning of a correction in oil prices. Markets also suffered after Japan acknowledged its nuclear situation had worsened to the equivalent level seven of Chernobyl. “For the last several weeks, world stock markets have taken every disappointment and uncertainty the world could throw at them and continued to drive higher. Like building a Jenga tower higher and higher, however, at some point only the slightest nudge can be all that it takes to send things tumbling down,” said Colin Cieszynski, market analyst at CMC Markets Canada.
* DOW -117.53 to 12,263.58
* Dollar -.72c to 103.83c USD after the Bank of Canada said it would leave its key interest rate unchanged at one per cent. Analysts said it looked likely the bank wouldn't move on rates until at least mid-2011.
* Oil -$3.67 to $106.25USD per barrel
* Gold -$14.50 to $1453.60 per ounce
* Canadian 5 yr bond yields markets -.09bps to 2.80. The spread (based on the MERIX 5 yr rate published rate of 4.39%) is back over the top of the comfort zone at 1.59.
(courtesy of Barb Morgan, DBD Ontario Southwest)
