Wednesday Morning Radio Advice

North American & European markets opened higher this morning. The Bank of Canada raised its overnight lending rate by 1/4% this morning. However that doesn't appear to be what is driving markets today. The TSX is up about 1/4% while US and European markets are up closer to 1%. President Obama's speech on bolstering jobs and the economic news out of the Beige Book report are getting investors attention.

Keep in mind that the move to raise interest rates in Canada is a move to normalize interest rates and keep inflation at about 2%. That said Banks may take this opportunity to raise borrowing costs. For investors 10 year government bond yields have been falling and are below 3%. This limits their options and many are looking to higher dividend yielding companies for income. For a high income generating investment strategy call me at 868-5525 or visit yourlifeyourplan.ca.