In the vicinity of the effective lower bound, a central bank has less means to react to adverse shocks by reducing rates further. 8 / 14  BIS central bankers' speeches  However, on the right-hand side you can see that we have also observed a striking decline in the trend sensitivity of long-term rates to positive news.
Today, it is about half of what it was in the earlier part of this decade. Policy space on the way up certainly has far fewer, if any, constraints. All this suggests that, by reducing the bond free float, stock effects may have helped temper the impact of demand shocks and foreign spillovers on yields.