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(Christopher O Driscoll/iStockphoto)

Wet blanket thrown over housing may push mortgage rates down

I don’t imagine Canadian Finance Minister Jim Flaherty is particularly happy with Royal Bank of Canada today, but he can hardly blame RBC’s cut of its mortgage rates on another case of reckless banks behaving badly. The bank is merely responding to market conditions – some that merely reflect economic reality, and others that Mr. Flaherty himself may have unwittingly fuelled.