Monthly Archives: June 2014

Barrons: ‘No Exit from Bond Funds?’

Barrons columnist Randall Forsyth is writing this week about an intriguing – and somewhat scary – proposal: That the Federal Reserve is considering placing exit fees on bond mutual funds to prevent a potential run when interest rates rise. Here … Continue reading

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30-year TIPS reopening auctions with yield of 1.116%

The Treasury just posted that CUSIP 912810RF7 reopened with a yield to maturity of 1.116%, slightly higher than the market rate earlier this morning. This is a 29-year 8-month TIPS with a coupon rate of 1.375%. Because the yield is … Continue reading

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Checking in on today’s 30-year TIPS auction

The Treasury’s reopening of CUSIP 912810RF7 at auction today will create a 29-year 8-month TIPS with a coupon rate of 1.375%. Non-competitive bids (like those made through Treasury Direct) must be received by noon; competitive bids close at 1 p.m. … Continue reading

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U.S. inflation rose a sharp 0.4% in May

The Consumer Price Index for All Urban Consumers (CPI-U) increased 0.4% in May on a seasonally adjusted basis, the U.S. Bureau of Labor Statistics reported today. That creates an inflation rate of 2.1% over the last 12 months, the biggest … Continue reading

Posted in I Bond, Inflation, Investing in TIPS | 2 Comments

The TIPS problem: ‘Interest rates rose and inflation did not’

Although I’m not a huge fan of TIPS mutual funds, I own a small stake in the Fidelity Inflation-Protected Bond Fund (FINPX) and I appreciate the candor that comes in each annual and semi-annual report from the fund’s managers, William … Continue reading

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Next up: 30-year TIPS reopens in auction June 19, 2014

I noted yesterday that the Treasury has formally announced that it is reopening CUSIP 912810RF7, creating a 29-Year 8-Month TIPS with a coupon rate of 1.375%. The auction is Thursday, June 19 – non-competitive bids (like those made through Treasury … Continue reading

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Back from vacation; checking in on 30-year TIPS auction

I’ve returned from a couple of weeks vacationing in the Mediterranean island of Corsica. It is French, the birthplace of Napoleon, and amazingly scenic, with high mountains rising out of the sea. There are no ‘easy’ hikes or drives on … Continue reading

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