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Why Interest Rates Matter for Canadians

Interest rates are the single most powerful lever in Canada's economy.  When the Bank of Canada adjusts its policy rate, the effects reach every household—from the cost of carrying a mortgage to the return on a savings account. With rates currently at 2.25% and significant uncertainty ahead, understanding how rates work has never been more important for your finances. What Is the Bank of Canada's Policy Rate? The Bank of Canada sets the overnight policy rate—the interest rate at which major banks lend money to each other. This rate serves as a benchmark that influences borrowing and lending costs across the entire economy. When the Bank raises or lowers this rate, commercial banks adjust their prime rates accordingly, which directly affects the rates you pay on mortgages, lines of credit, and other loans. The Bank's primary goal is to keep inflation near its 2% target. When inflation runs too hot, the Bank raises rates to cool spending. When the economy slows, it cuts rates...

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Your daily horoscope: December 8, 2025

 

IF TODAY IS YOUR BIRTHDAY

You will go on some kind of voyage over the coming year. It may be a voyage in a physical sense but more likely it will be a voyage of mental and emotional and maybe even spiritual discovery. Never stop loving and never stop learning.

ARIES (March 21 - April 20):

You will be asked a few difficult questions over the next 24 hours and you must be brave enough to answer them honestly. Even if you have to admit to something a bit embarrassing about yourself others will appreciate your frankness.

TAURUS (April 21 - May 21):

Try not to be too hard on yourself today. If you make a mistake of some kind it may strike you as a big deal but in the greater scheme of things it’s of no importance at all. Stay calm and just do better the next time.

GEMINI (May 22 - June 21):

Cosmic activity in your opposite sign may be challenging as far as relationships are concerned but you have what it takes to ride them out and come through unscathed. Differences with loved ones are not as bad as you appear to believe.

CANCER (June 22 - July 23):

If you need to make changes on the work front you must take other people’s views and wishes into consideration first. You won’t get those changes approved if you rub colleagues and employers the wrong way by your high-handed attitude.

LEO (July 24 - Aug. 23):

The sun remains in the most dynamic area of your chart for another two weeks, so get your act together and make those two of the very best weeks of the year. Aim to be No. 1 today, tomorrow and well into the future.

VIRGO (Aug. 24 - Sept. 23):

Not everyone you deal with over the next 24 hours will be as quick off the mark either mentally or physically as you, so make allowances and be ready to slow down occasionally to give friends and co-workers time to catch up.

LIBRA (Sept. 24 - Oct. 23):

The more plans you make the better, so keep thinking and keep coming up with new ways to make life more interesting for yourself. Yes, you have many allies but there is one enemy you need to constantly look out for – boredom.

SCORPIO (Oct. 24 - Nov. 22):

There will be a lot of opportunities over the next few days, so make sure you have enough money available to finance several projects at once. If you have to dip into your cash reserves then so be it but don’t let it become a habit.

SAGITTARIUS (Nov. 23 - Dec. 21):

If you feel the need to make a break with the past now is the time to get serious about it. However, before making any kind of major move you must consult with family members who may be indirectly affected. Their needs matter too.

CAPRICORN (Dec. 22 - Jan. 20):

Put on a brave face and act as if everything is all right with your world, even if it isn’t. Also, try not to take too negative an outlook on life. Everyone gets a bit depressed at times, it’s quite natural, so forget the doom and gloom.

AQUARIUS (Jan. 21 - Feb. 19):

This is not the time for caution. With so much positive activity in the friendship area of your chart you should be out there getting involved in the wider world, maybe even stirring things up a bit. You know that’s what you most like to do.

PISCES (Feb. 20 - Mar. 20):

Opportunities to move up in the world are heading your way and you need to be ready to take advantage of them. But don’t jump at the first offer that arrives as there will be several more maybe better ones following closely behind it.

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