Market notices

Effective Monday, July 15, 2024, dealer limits for Overnight Repo (OR) operations will increase to $3 billion for each eligible participant from the previous $1 billion.

Canadian money markets are undergoing a significant change due to the disappearance of Bankers Acceptances (BAs). BAs will no longer be issued by the major Canadian banks after the cessation of the Canadian Dollar Offered Rate’s (CDOR) publication on June 28, 2024.

The Bank of Canada is announcing the addition of Secured General Collateral Notes (SGC Notes) as eligible collateral under its Standing Liquidity Facility (SLF), with the intent to support the development of this new market.

The Canadian Alternative Reference Rate working group (CARR) is providing guidance to market participants with respect to CDOR-linked loans, derivatives and securities that do not have adequate fallback language to address the cessation of CDOR following the final publication by Refinitiv Benchmark Services (UK) Limited on June 28, 2024 (the “Cessation Date”).

As of 3 June 2024, all Government of Canada auctions of its treasury bills, bonds and Cash Management Bond Buybacks (CMBB) will be subject to T+1 settlement. This move will follow the Canadian secondary market’s own transition to T+1 settlement, expected to occur on Monday, 27 May 2024.

CARR is publishing two presentations to clarify how CARR’s recommended fallback rate for floating rate notes that reference CDOR should be implemented for calculating the coupon and accrued interest post June 2024.

Refinitiv Benchmark Services (UK) Limited (RBSL), the administrator of CDOR, today reaffirmed that all three tenors of CDOR will cease to be published after June 28, 2024.

The Canadian Fixed-Income Forum today announced the establishment of the Collateral Infrastructure and Market Practices Advisory Group.

The Bank of Canada is planning to restart later this year its securities lending program (SLP) which is designed to support the liquidity of Government of Canada (GoC) securities markets.

In line with the announcement in the federal 2024 Budget, the Government of Canada will be introducing a temporary one-month treasury bill.