Ontario Agriculture

The network for agriculture in Ontario, Canada

http://www.vancouversun.com/sports/Bank+under+pressure+hike+rates/2... 

Pressure on the Bank of Canada to move early on raising interest rates mounted Monday after fourth-quarter data on gross domestic product suggested the economy is roaring its way out of the recession after recording the fastest pace of growth in nearly a decade.

The central bank could provide hints of a change today when it releases its latest statement on rates. Its plan for almost a year has been to conditionally keep its benchmark rate at 0.25 per cent until at least July in an effort to pump up economic growth after the recession.

Data from Statistics Canada suggested the emergency-level rates have worked their magic, perhaps faster and better than anticipated.

The economy expanded five per cent in the final three months of 2009, blasting past market expectations for a four-per-cent gain -- and the central bank's 3.3 per cent forecast -- and setting the stage for robust growth this quarter. It is also the fastest pace of quarterly economic growth since late 2000. Further, the data were solid almost across the board, with personal consumption and net trade contributing to the performance. Third-quarter data were also revised upward, with growth of 0.9 per cent as opposed to the original 0.4-per-cent reading.

This comes on top of January inflation data that indicated price increases had moved closer to the central bank's two-per-cent target earlier than anticipated.
---
The big question I know for us - is when to pull the trigger and lock in our loans that are variable right now -- into fixed.

Anyone else is this situation? What are your plans?

Views: 40

Reply to This

Replies to This Discussion

I have looked at this case many times. My findings are that over a 30 year period the variable always outperforms the fixed rate. I also work hard to overpay it whenever I can, as you get the principal down the risk of higher interest rates drops significantly.

I suspect inflation will start to run up. The price of oil has again risen, this is the real benchmark for everything. If the government really wanted to help they would consider a price ceiling for fuel.
How Changing Interest Rates Will Affect Ag

Video wiith analyst Philip Shaw (http://philipshaw.ca/) at the Western Fair Farm Show about how he thinks interest rates will affect agriculture markets in the medium term. WATCH VIDEO

Reply to Discussion

RSS

Agriculture Headlines from Farms.com Canada East News - click on title for full story

Collaboration builds stronger, flood-resilient Township of Langley

Farmers and families in the Township of Langley will be better prepared for flooding with work underway to improve pump capacity on flood plains and irrigation systems that will strengthen the area’s food security. “The reality of a changing climate means we could see more frequent and intense flooding in the Fraser Valley, and it is vital we work together to keep our communities safe and our food supply stable,” said Pam Alexis, Minister of Agriculture and Food. “This is why we’re supporting collaborative projects that will help keep food on the table, protect the livelihoods of farmers and ensure the health of local ecosystems in the face of future flooding.” The Township of Langley, in partnership with the Kwantlen First Nation and Rivershed Society of BC, is working on a multi-phase project that includes upgrading water infrastructure and adding pumping capacity to manage flooding in the area. These upgrades will improve water flow and storage, increasing the flood resiliency of

Deal to protect ranch from development means family can keep raising cattle there

An agreement to protect a sprawling ranch in southern Alberta from development is the largest of its kind in the country, the Nature Conservancy of Canada says, and will allow the family that owns it to continue raising cattle there. The 22,000-hectare McIntyre Ranch was founded south of Lethbridge, Alta., in 1894 by William McIntyre and it remained in his family until his son, Billy, died in 1947. A longtime family friend and employee, Ralph Thrall, bought the property after Billy’s death and the Thrall family continues to own and operate it today. “We’ve just maintained the legacy of sustainable ranching that the McIntyres began when they came up from Texas and saw the overgrazing that had occurred through the Midwest, and so they learned through others’ mistakes and left the grass rather than taking it all,” Ralph Thrall III said Sunday in a phone interview from Lethbridge. The agreement, formally announced Monday in recognition of Earth Day, is a partnership between the Thrall

B.C. to increase local milk production with $25-million factory investment

The British Columbia government is contributing up to $25 million toward the expansion of a milk production plant aimed at boosting the supply of locally sourced food. The province said the construction expansion to Vitalus Nutrition’s plant in Abbotsford, B.C., will begin this summer and will increase local milk production by 50 per cent, to 1.4 billion litres annually. The project will boost local production for dairy products such as butter, which is currently required to be shipped from Eastern Canada to fill local demand, the government said in a statement. Premier David Eby told a news conference announcing the project Tuesday that it will also create up to 100 more jobs at the site. Eby said the pandemic as well as recent climate disasters, including the atmospheric river that swamped southwestern British Columbia in November 2021, impacted supply chains, elevated grocery prices and showed a need to produce more food locally. “We understand that we still need to ensure that

No-Till Farmer & Farm Equipment Named Finalists for National Writing Awards

Lessiter Media’s No-Till Farmer and Farm Equipment editors were recognized by the American Society of Business Press Editors with regional awards in the association’s 2024 Azbee Awards of Excellence and have been announced as national finalists for the program as well.

Award-Winning Dealers Share Precision Revenue Growth Opportunities & More

A trio of representatives from Precision Farming Dealer’s Most Valuable Dealerships (MVD) shared their keys to success during the 2024 Precision Farming Dealer Summit in Indianapolis.

© 2024   Created by Darren Marsland.   Powered by

Badges  |  Report an Issue  |  Terms of Service