Publication - What yield curves are telling us - Speech by Benoît Cœuré, Member of the Executive Board of the ECB at the Financial Times European Financial Forum, “Building a New Future for International Financial Services”, Dublin, 31 January 2018
The US Treasury yield curve flattened considerably last year, reducing the spread between ten-year and two-year US Treasury yields to less than 60 basis points. When Alan Greenspan first referred to a bond market “conundrum” in 2005, the spread was around 80 basis points.[1] In the euro area, by contrast, the term spread remained broadly unchanged last year.