ECB Vice President Vujčić said rising global bond yields do not threaten financial stability, pointing to strong capitalization and ample liquidity among euro area banks. Yields have climbed to levels last seen before the financial crisis, driven by inflation expectations, interest-rate outlooks and heavy borrowing needs from governments and technology companies. Vujčić said market expectations for additional ECB rate increases are mainly linked to higher energy prices, but policymakers will assess broader economic indicators rather than energy costs alone. He warned that persistently high inflation through autumn could weigh on GDP by reducing household incomes and consumption, with the ECB set to monitor incoming data and adjust policy as needed.