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Shorter-Dated Fixings Leading Mortgage Demand [2/2]

CANADA
  • Separate data from the BoC suggests that the recent acceleration in mortgage lending has been dominated in fixings between 1-5 years.
  • There are mixed impacts here on the sensitivity of households to monetary policy. There is a gradually smaller share with 5Y fixes or longer (segment that still forms the largest part of chartered bank mortgage books), but the share with variable mortgages has seen the bulk of the offsetting decline in recent months.

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