BIS Review 8/2010  3  terms, have continued to fall. Spreads on different types of bond, except those of some governments, have continued to come down. The slope of the yield curve has slightly increased, in particular in the US (see Annex). Finally, an exit is more easily communicated, and understood, by market participants if it is gradual.
What are the dynamics and dependencies between investors, different types of lenders, market developments, and economic prospects?