In her latest CTV segment, Peggy breaks down the recent Bank of Canada announcement and what the decision to hold rates could mean for the market moving forward.
Peggy explains that while Canada is not technically in a recession, the economy is showing signs of weakness. With inflation still being impacted by factors the Bank of Canada can’t fully control, including oil prices and global uncertainty, the Bank appears to be holding tight for now.
Peggy shares that she believes we may continue to see the Bank hold steady over the next few announcements as the market reacts to current economic conditions.
She also touches on the May market numbers, which came in stronger than last year. Unlike last May, when political and economic uncertainty had a heavier impact on buyer confidence, this year’s market has shown more movement. Peggy notes that many first-time homebuyers were able to secure lower rates earlier in the year, and those with 90-day approvals were motivated to buy, which helped strengthen April and May activity.
Normally, the market starts to slow once kids are out of school, but Peggy believes this summer could look different. With the bond market continuing to impact interest rates, any shift in global events could influence where rates go next and potentially lead to stronger activity through July and August.
Tune in to watch the full segment and hear Peggy’s complete market outlook.
