News on the eceonomic front!

Reading up on infomration that I was keeping an eye on in the last few days. Some good information to read up on.

United States

•   It was a particularly turbulent week for financial markets.  On Monday, the S&P 500 was down 6.6%, but is poised to end to week only 1.5% lower.

•   In an attempt to shore up confidence in the economy, the Fed replaced its promise to keep rates low for an extended period with a conditional commitment to leave interest rates unchanged through mid-2013.

•   Retail sales and initial jobless claims were both stronger than expected and point to a modest acceleration in Q3 growth.

Canada

•   Global financial markets were put through the wringer this week – there were some up rallies, but mostly lows.  The S&P/TSX composite index remains down so far in August.

•   The apparent crisis of confidence that permeated markets came from all angles: (1) the ramifications of Standard and Poor’s downgrade of the U.S. government; (2) lingering concerns about the debt crisis in Europe and whether big players like France will be swept up in the fiscal troubles plaguing the continent; and (3) disappointing international trade numbers which have raised the risk of a Canadian economic contraction in Q2.

•   In this environment, the Bank of Canada (BoC) is put in a difficult position.  With the Fed on hold until mid-2013, the BoC is likely unable to raise rates by more than one percentage point over the next two years.

 There is some good information I belive you all would find helpful.

In the meantime our mortgage rates are here and low to use to take advanatge for a good time for the mortgage refinancing sector:

2 year fixed mortgage promo at 2.59%

5 year fixed mortgage promo at 3.3.4%

Variable Mortgage at Prime – .95%

Like always I am just a phone call and/or email message away.

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