Mark Carney held the overnight interest rate at 1% for the 11th consecutive meeting. Bond yields have also dropped to record lows in the past few weeks which have pushed CDN lending institutions to cut the 5 year rate to as low as 2.99% and the 10 year fixed rate to a record low of 3.89%.
Carney noted he is worried about the level of Canadian household debt with these low interest rates, but said the economy is too weak to justify higher rates anytime soon.
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