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转贴 Mortgage rates jump again
http://www.cbc.ca/money/story/2007/05/29/mortgages.html* Z; f$ S, m2 N+ Q
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Last Updated: Tuesday, May 29, 2007 | 4:28 PM ET
5 |, v: v4 g7 fCBC News5 C0 t$ V4 D& b/ [
& d* C4 f# e2 V4 vMortgage 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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2 `( {( `: a+ `! e) ^* K# ARBC 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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" U. m& e( k5 RThe 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.) y2 D4 O% s1 g- D( X% P( Y9 h
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Other banks are expected to follow with rate hikes of their own.* W# d1 m6 v. t# J5 w" W/ r
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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.6 H" H" E; W# E7 j: l/ h
/ T0 `) d' B% wThe 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. ) R( ^" U1 M" U- A* l. Q
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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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