We nonetheless see increasing focus on yields and concern about the low bond yield. Many investors still remember the far higher bond yield ten years ago, and the low interest rate has undoubtedly stimulated interest in shares and real assets. Today a 10-year government bond yields 3.5 per cent interest.
7). The forecast errors in predicting consumer price changes during last year were indeed sizeable and much larger than those observed in the past.9 Some have even argued that these large errors call into question the very credibility of the ECB, although other international institutions and private forecasters have made similarly large mistakes.