For this reason, we must keep our unconventional policy tools ready to be deployed again should shortterm interest rates return to their effective lower bound. 1 5/7  BIS central bankers' speeches  1 Before the Great Recession, the FOMC occasionally provided forward rate guidance, but that guidance was  typically confined to a relatively short horizon.
2 In addition to depressing term premiums, large-scale asset purchases by the Federal Reserve can lower  longer-term yields if those purchases are perceived by the public as a signal that short-term interest rates are likely to remain lower for longer than previously anticipated.