Bank of Canada announcement – keeping an eye on COVID variants and inflation – December 8, 2021

Clinton chats with CityNews 95.7 host, Todd Veinotte about the Bank of Canada announcement. The bank held the key overnight rate at 0.25 per cent and the prime in Canada currently sits at 2.45 per cent. Clinton and Todd discuss that we are very much in a wait-and-see position with the rates at the moment. Everyone is keeping an eye on COVID variants and inflation.

Bank of Canada announcement – December 8, 2021 as heard on CityNews 95.7

Transcript of radio hit:

Bank of Canada announcement: No change

Todd Veinotte: [00:00:00.09] Clinton Wilkins, we’re going to give some tickets away. But Clinton, first I wanted to chat with you actually. Clinton Wilkins, what’s going on?

Clinton Wilkins: [00:00:08.19] How are you doing, Todd?

Todd Veinotte: [00:00:09.00] I’m well, I’m well. Listen, I got to put you on hold and then I’m going to bring you back in, okay? Hang on there.

Clinton Wilkins: [00:00:13.30] Okay, sounds good.

Todd Veinotte: [00:00:14.34] Okay. We’re going to talk about the Bank of Canada update here with Clinton Wilkins in just a little bit. Sorry, didn’t get everybody on, folks. We continue to have these pretty spirited conversations tomorrow, about all of this. And now we’ll go back to Clinton. Clinton Wilkins, the Bank of Canada. No change. Are you surprised or what’s going on with this?

Keeping an eye on inflation

Clinton Wilkins: [00:00:31.20] We’re not surprised. I think there’s a lot going on in the economy right now. Todd, obviously, like things are moving in the right direction. And, you know, I think inflation has calmed a little bit, you know, since we’ve last spoken. I think that’s good news for Canadians.

Keeping an eye on the COVID variant

I think the one thing that the concern that was really mentioned today was about the variant. Obviously, a lot of people talking about this, you know, there’s a lot of uncertainty in Ontario. They have put their reopening due to obviously the concerns. The market, even in the last couple of days, has taken some hits. But there’s a lot of uncertainty right now. And again, it’ll be a wait-and-see.

Predicting a slow burn with rate increases

Economists were saying that we may see some increases even in late next year and it’s probably going to be a slow burn as the Bank of Canada increases the key overnight rate in the coming months and years. But I think it’s going to be a lot of wait-and-see. You know, there’s a lot of optimism. And obviously, inflation has been high, but I think we’ll have to just see kind of what happens here kind of going forward.

Bank of Canada meets next on January 26, 2022

I think through the holidays and the Bank of Canada, it’s going to be meeting again at the end of January, on January 26.

Todd Veinotte: [00:01:52.16] All right, so we shall see what happens next month, thank you, Clinton, I appreciate it, as always.

Clinton Wilkins: [00:01:59.69] No problem, Todd.

Todd Veinotte: [00:02:00.92] All right, take care, Clinton Wilkins is our mortgage guru.

If you have any questions, get in touch with us at Clinton Wilkins Mortgage Team! You can call us at (902) 482-2770 or contact us here.