Figure 10: A stylised representation of the relative influences on the yield curve  Source: RBNZ  Low global interest rates have restrained the rise in longer-term interest rates relative to the upward pressure monetary policy has been able to exert on shorter-term interest rates during this tightening cycle.
The yield on treasury bills of different maturities has declined, while the yield on Government securities with 10-year residual maturity has marginally firmed up since November 2003. In fact, a slight steepening of the yield curve is noticeable with shifts in yield at the very long-end.