TD/Canada Trust released their economic forecast for 2002 and predicted Central Bank rates to remain low and perhaps even drop over the next 9 months, while bond rates would increase in anticipation of an economic recovery in both Canada and the U.S. (albeit small recover to begin in the last half of 2002). If they are correct, this would equate to lower rates on variable rate mortgages (5 years and up which are affected by changes in the bond markets). Deposit rates would be similarly affected, with shorter terms dropping and longer terms rising slightly. More great reasons to buy real estate this year!