Like Canadian Homebuyers, Morneau Takes Bet on Short-Term Rates

  • Finance Minister says an `appropriate cost' at this stage
  • Government could miss out locking in low long-term rates

Like homebuyers gambling on floating-rate mortgages instead of locking in more expensive fixed rates, Canada is betting it can cut costs by borrowing short-term as it issues a record C$133 billion ($102 billion) in debt to fund an ambitious spending program.

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