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Interest Rate Announcement - The BoC announced it would not be raising the interest rate just yet, as "moving too quickly could create a financial stability risk" due to high levels of consumer debt. However, rates are expected to rise later this year from current low levels.
Ontario Budget Highlights - The Liberals annaul budget was presented on March 28th, focusing mainly on new and enhanced investments in pharma, health and child care. Budget Proposals Include: additional support for seniors in the form of an expanded OHIP+ and a Seniors' Healthy Home Program; a Drug & Dental plan for those not covered by an extended health plan; implementation of free licensed child care for preschoolers; simplification of Ontario's personal income tax system.
Election Countdown - With the Ontario election coming up this June, we're hearing the usual long list of big promises and cadidate bashing from each party. Who will make good on their promises and how will they be funded? As taxpayers we pay for any increase in services & benefits. Take the time to become an informed citizen and vote wisely.
Portfolio Manager Market Commentary - "Stocks still have room to run and will likely continue in a positive fashion right through into the end of 2019." - Dan Bastasic, Senior VP, IA Clarington Investments.
"Our strategies are positioned defensively and are ready to buy at much more generious rates of return than what is currently offered." - Clement Chang, CFA, QV Investors.
"Market sentiment is a lot more jittery right now than the actual underlying fundamentals. We do expect volatility to remain elevated and plan to continue to take advantage of it to add value in the portfolios." - Dynamic Equity Income Team.
Mortgage Stress Test - Homebuyers with less than a 20% down payment looking for an insured mortgage, must qualify at the central bank's benchmark five-year mortgage rate. Buyers who don't need mortgage insurance must prove they can make payments at the qualifying rate, which is the greater of 2 percentage points higher than the contractual mortgage rate or the central bank's five-year benchmark rate.
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