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  5. XLB: Hello team with the Fed govt going into more debt , interest rate pending cut by Bank of Canada what is going to happen to the bond funds in gneral? [iShares Core Canadian Long Term Bond Index ETF]

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Q: Hello team
with the Fed govt going into more debt , interest rate pending cut by Bank of Canada
what is going to happen to the bond funds in gneral? I do have XBB, XLB all losing some grounds
If indeed there is inflation due to the tariffs hitting the basic goods and little growth, how does it affect the bond funds?
thank you
Michael
Asked by Michael on August 20, 2025
5i Research Answer:
Bonds, normally, react positively to interest rate cuts, with longer term bonds (XLB) have more...
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