Saturday, June 9, 2007

Canadian Bonds Decline on Concern Centeral Bank Will Raise Interest Rates

(Bloomberg) -- Canadian government debt fell,
pushing yields on two-year bonds to the highest since 2001, on
concern that accelerating inflation will prompt central banks
worldwide to raise interest rates.

``Inflation fears are back in investors' minds,'' said Sal
Guatieri, a senior economist with BMO Capital Markets in
Toronto. ``That's got bond investors quite worried, and that
will continue to push yields higher.''


Read more at Bloomberg Bonds News

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