Similarly, there are some signs of stabilization in the leveraged loan market. Banks have been able to sell substantial parts of large deals to investors in recent weeks, and some collateralized loan obligations are coming to market. Issuance of speculative-  4  BIS Review 112/2007  grade bonds resumed somewhat of late.
Still, the functioning of several markets continues to be strained, a condition which I would expect to continue for awhile. Consequently, my colleagues and I on the FOMC will continue to assess the effects that these and other developments could have on the prospects for the economy.