Mr Cœuré reviewed the latest financial market developments since the Governing Council’s previous monetary policy meeting on 13-14 June 2018. The slope of the US Treasury and German government bond yield curves, measured as the difference between the ten-year and two-year yields, had continued their flattening trend of recent months. In particular, between April and July 2018 estimates of the term premium in the United States had fallen deeper into negative territory despite factors which should have led, in principle, to a decompression of the premium, such as the gradual balance sheet wind-down by the Federal R ... (full story)