Canadian GIC rates have decreased since my last update during December. Now at the end of February, the forward curve is sloping upward (no more higher kink in the 1-2 year rates) but the spread between 1 and 5 year rates has shallowed from 0.74% to 0.55%, which implies a very low premium for locking money up for 5 years compared to just 1 year. The 5 year ladder yield is currently, 2.67% compared to HISA rates of 1.60% on demand deposits.
