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mpc: 4 Longer-term risk-free forward interest rates had also fallen, by around 10-20 basis points in Europe and around 50 basis points in the United States, more than unwinding the rise in yields that had occurred earlier in February and March. The decline was accounted for by falls in both inflation expectations and real interest rates. Some commentators had been placing more weight on the flattening of the yield curve as an indicator of a near-term slowdown in global economic growth, but it was hard to see why that could account for a fall in ten-year forward rates. As the Committee had discussed at previous meetings, there were a variety of possible explanations for the fall in long-term forward rates over the past year, none of which was entirely compelling. There had been no new evidence this month regarding those explanations. There remained a risk that long-term interest rates might rise again quite sharply.