---
title: Monetary Policy and Bond Return Decomposition Across Regimes
url: https://www.ml-quant.com/papers/ssrn/7549733/
site: ML-Quant (https://www.ml-quant.com)
updated: 2026-10-02
license: Summaries CC BY 4.0; links go to the original sources
index: https://www.ml-quant.com/llms.txt
identifier: SSRN 7549733
source_url: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=7549733
featured: 2026-10-02
citations: unknown
topic: Macro-Finance & Rates
---


# Monetary Policy and Bond Return Decomposition Across Regimes

The research decomposes bond returns into real rates, risk premia, and inflation expectations, finding that forward guidance and asset purchases had opposite effects at the zero lower bound versus normal times.

- Source: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=7549733
- Identifier: SSRN 7549733
- Released: 2026-10-01
- First featured: Quant Letter No. 133 (2026-10-02): https://www.ml-quant.com/issues/2026-10-02/
- Citations (Semantic Scholar): not tracked
- Published in: not yet
- Topic: Macro-Finance & Rates
- Authors: Jialing Wang, Woonwook Jang, YoungHo Eom

## Related

- [Inflation—Who Cares? Monetary Policy in Times of Low Attention](https://www.ml-quant.com/papers/arxiv/2105.05297/): Who Cares?: The decrease in public attention to inflation after the Great Inflation period in the U.S. complicates managing inflation expectations and can lead to inflation-attention traps, suggesting a need to increase the inflation target.
- [Post-COVID inflation and the monetary policy dilemma: an agent-based scenario analysis](https://www.ml-quant.com/papers/arxiv/2306.01284/): A new modelling approach using the Mark-0 Agent-Based Model explores the impact of regulatory policies on inflationary dynamics resulting from COVID-19-related shocks.
- [The Rollover Clock: Debt Maturity, the Central-Bank Balance Sheet, and the Debt Limit of a Reserve-Currency Sovereign](https://www.ml-quant.com/papers/ssrn/7542158/): Rollover clock measurement of consolidated Treasury and central bank liability repricing predicts U.S. Treasury interest rates and prices inflation costs of fiscal deficits.
- [Banking-System Heterogeneity and Monetary Policy Transmission in the Euro Area: High-Frequency Shocks, Local Projections, and Regime Dependence](https://www.ml-quant.com/papers/ssrn/7519040/): A 100-basis-point contractionary monetary shock lowers inflation and sales across 20 euro-area economies, with transmission strength varying by bank asset-risk exposure and assets-to-GDP ratio rather than a simple weak-strong taxonomy.
- [Prices and Monetary Policy: The Role of Financial Constraints](https://www.ml-quant.com/papers/repec/hhs-rbnkwp-0468/): Swedish data reveals that financially constrained firms adjust prices less to monetary shocks, materially dampening aggregate inflation response to policy changes.
- [Inflation Data for Gold and Treasury Investments](https://www.ml-quant.com/papers/ssrn/5151557/): The piece examines the intricate relationship between inflation and the value of gold and treasury bonds, influenced by factors such as market sentiment and monetary policy.