All in all, the market’s reassessment of the degree to which things can go wrong has generated a potentially lethal combination of high yields and high debt, to the point where the concept of redenomination risk, previously all but unimaginable to most analysts, became factored into market considerations.
2  2  Average of IMF, Commission and OECD estimates. BIS central bankers’ speeches  Moreover, it may have keep rates at those levels more often in the future when the economy slumps and inflation deviates from its objective.