Even if there were some over-valuation in the market, this need not necessarily lead to a sharp correction. It could, for example, ease over time, by a combination of a broad stabilisation of prices and continuing improvements in the fundamentals. This gradual easing over time continues to be our expectation. •  Borrowing levels have continued to increase strongly.
Two additional developments corroborate the view that investors have started internalising our more patient reaction function. One relates to the distribution of risks around the future interest rate outlook.