What differences when the yield curve is flat?

The monetary policy conducted i n all OECD countries has led to a flat and sometimes even inverted yield curve. In a situation of low potential growth and high debt, this situation of flat yield curves is likely to endure. What will be the result of this development? Weak bank profitability; Savers switching to money market assets, which means that banks increasingly have to transform savings and therefore take risk, at a time when their profitability is weak ; High valuation of long-term assets (equities, real estate, etc.) since investors switch to such assets given the low return on bonds. The flat yield curve is a consequence, and not a cause of the decline in growth. It has an ambiguous effect on demand: it stimulates it through wealth effects, but it makes it more difficult for banks to finance the economy.