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: 110

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

NOAA Declares El Nino, Raising Key Weather Risks for Agriculture

NOAA has officially declared El Nino, and the resulting changes in weather patterns could significantly affect crop production across the United States and Canada in the coming months.

Federal Judge Sends Roundup Class Settlement Back to Missouri State Court, Clearing Path for Approval

A federal judge has ruled that the high-profile Roundup class settlement case must return to Missouri state court, a move expected to accelerate approval of a multibillion-dollar agreement covering tens of thousands of claims.

Hursh: A downward shift in fertilizer prices

War in the Middle East and the blockade of the Strait of Hormuz contributed to a rapid rise in nitrogen fertilizer values, but prices have dropped dramatically in recent weeks. Some analysts were worried that the normal price reset after spring seeding would not occur this year, but a price drop has happened quickly: There have been reports of international prices for urea, 46-0-0 moving lower, but what matters to farmers is the price locally. Up until a few weeks ago, the price of urea at farm input suppliers in Western Canada was around $1,250 a tonne. According to the Alberta Farm Input Price Survey, the lowest urea price of the past five years was just over $600 a tonne back in July of 2021. However, by April of 2022, world events had pushed urea prices to $1,350 a tonne. While prices this spring were not quite that high, they were onerous as compared to the price of grain. So where are prices right now? What would you need to pay for urea for summer or fall delivery? You cou

Soy Canada annual meeting highlights industry collaboration and future direction

Soy Canada’s 2026 annual meeting highlighted the power of collaboration across the soybean value chain and the opportunities ahead for Canada’s soybean industry. Discussions at the event focussed on strengthening market relationships, improving competitiveness and preparing for the future through a renewed strategic vision. The organization’s annual meeting was held June 18, 2026, in Niagara-on-the-Lake, Ont. The event brought together industry leaders from across Canada to review progress over the past year and discuss future priorities for the organization. The 2025-2026 Annual Report highlights progress made in the past year. Brian Innes, Soy Canada Executive Director, shared key accomplishments from the past year, including strengthening relationships with international customers and improving collaboration across the soy value chain. Noted highlights included advancing discussions on soybean protein variability as part of the third Northern Soybean Summit and expanding participa

Two Nunavut communities strengthen access to traditional foods with new processing facilities

The Government of Canada is investing over $4.7 million on two community-led traditional food processing facilities that will help Gjoa Haven and Taloyoak residents access more local foods and strengthen food sovereignty in the region. The Government of Canada is taking action to address local food accessibility and high prices in Nunavut. That means advancing reconciliation with Inuit by investing in food systems to strengthen community infrastructure, reduce dependance on imported foods, and lower costs for Nunavummiut. Today, the Honourable Rebecca Chartrand, Minister of Northern and Arctic Affairs and Minister responsible for CanNor, announced a federal contribution of more than $4.7 million to create country food processing facilities in Gjoa Haven and Taloyoak. This includes $3,389,736 in funding from CanNor, $831,550 from Fisheries and Oceans Canada and $566,038 from Crown-Indigenous Relations and Indigenous Services Canada. The Gjoa Haven Country Food Processing Facility and

© 2026   Created by Darren Marsland.   Powered by

Badges  |  Report an Issue  |  Terms of Service