ANALYSIS | Bank of Canada worries further rate hikes could overheat spring housing market | CBC News ...Middle East

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ANALYSIS | Bank of Canada worries further rate hikes could overheat spring housing market | CBC News
The Bank of Canada is trying to thread a needle. It’s keeping rates higher for longer at least in part because it’s worried a rate cut now could undermine the last two years of pain and progress. “We don’t want to keep monetary policy this restrictive for longer than we have to. But nor do we want to jeopardize the progress we’ve made in bringing inflation down,” said bank governor Tiff Macklem. On Wednesday, the Bank of Canada announced it would hold its key interest rate at five per cent, where it has stayed since July. One key cause for concern is a housing market that’s showing signs of heating up. The benchmark average home price in Canada is down more than 17 per cent from its peak i

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