[5]  Chart 7 10-year OIS rate (percentages per annum)  Sources: Refinitiv, Bloomberg and ECB calculations. Note: The latest observation is for 25 March 2022. While Chart 8 shows that sovereign yields have largely tracked the evolution of the risk-free rate, there was an initial decoupling in the first weeks of the pandemic.
The significant drop in yields upon the announcement of the PEPP vividly illustrated the importance of central banks in underpinning market stability in the event of a large adverse shock. Chart 8 Ten-year euro area GDP-weighted sovereign yield spread over OIS (percentages per annum)  Sources: Refinitiv, Bloomberg and ECB calculations. Note: The latest observation is for 25 March 2022.