For example, the overnight call rate is 0.01%, the yield on 1-year government bonds 0.01-0.02%, and that on 5-year government bonds once declined to 0.3% and has recently been just over the 0.4% mark. Yields on 10-year government bonds have been moving at the low level of 1.1-1.4%.
In addition, the difference between the yield on corporate bonds or CP and yields on government securities, namely the ‘credit spread’, has also been narrowing, implying a continual improvement in fund raising through the market. As such, there is abundant liquidity in financial markets.