Reported 3 days ago
The Canadian bond market is seeing a reduction in its yield spread against U.S. bonds as investors anticipate that the ongoing trade war may hinder both U.S. and Canadian economic growth. The Bank of Canada has aggressively cut interest rates to support the economy, but forecasts from the OECD suggest slow growth for both nations in the coming years. While Canadian yields have recently recorded a notable gap compared to U.S. yields, experts predict a stabilization in spreads, with potential for further fiscal measures to address economic challenges.
Source: YAHOO