Lowering interest rates could worsen vulnerabilities related to household debt at the margin, but it would also lessen the chances of the oil price shock triggering financial stability risks. In the current context, getting the economy back to full capacity with inflation on target is central to promoting financial stability over the longer term. Conclusion It’s time to conclude.
Moreover, we now observe very active participation of various hedge funds, proprietary trading desks of banks, broker-dealers and trading units of large non-financial enterprises. Accordingly, investment and trading strategies have also become more diverse. In particular, let me focus on the changing nature of index investment.