On the other hand, announcing that the APP would have a certain lifespan signalled that policy rates would remain at their present levels for longer. And this has reinforced the power of the statements concerning the evolution of the policy rate path.
The forward guidance on policy rates acts as an enabling condition for the purchases to exert their full impact on term premia, and the 3/5  BIS central bankers' speeches  language on the intended horizon of our net asset purchases has reinforced the signalling power of our forward guidance on rates.