Monthly Archives: December 2014

5-year TIPS reopening auctions with a yield of 0.395%, highest in 4 1/2 years

The Treasury just announced that its reopening of CUSIP 912828C99 – creating a 4-year, 4-month Treasury Inflation-Protected Security – auctioned with a yield to maturity of 0.395%. This is the highest yield – and first positive yield – for any … Continue reading

Posted in Investing in TIPS | 6 Comments

Checking in on today’s reopening of a 5-year TIPS

This is the auction of CUSIP 912828C99, creating a 4-year, 4-month Treasury Inflation-Protected Security with a coupon rate of 0.125%. Non-competitive bids must be placed before noon. Here is what we know as of 10:05 a.m.: Bloomberg’s Current Yields page … Continue reading

Posted in Investing in TIPS | Leave a comment

U.S. inflation fell 0.3% in November

The Consumer Price Index for All Urban Consumers (CPI-U) declined 0.3% in November on a seasonally adjusted basis, the U.S. Bureau of Labor Statistics reported today. Over the last 12 months, the all items index – also called ‘headline inflation’ … Continue reading

Posted in Investing in TIPS | 1 Comment

Chart of the day: TIPS yield curve is flattening out

My reaction: “Are my eyes deceiving me?” A 5-year TIPS is trading on the secondary market with a yield to maturity of 0.31%, just 17 basis points below the yield on a 10-year TIPS, and only 54 basis points below … Continue reading

Posted in Investing in TIPS | Leave a comment

Up next: 5-year TIPS will reopen at auction Thursday, Dec. 18, 2014

Hey TIPS fans, we’re going to close out 2014 with a very interesting auction – one that might actually be worth an investment, especially if you are looking for a short-term TIPS with a positive yield, great inflation breakeven rate … Continue reading

Posted in Investing in TIPS | 10 Comments

‘Real’ return: Why TIPS and I Bonds are still attractive

I was listening to NPR’s Marketplace last night, a story about the gentrification of a Los Angeles neighborhood. And then came this quote from Steve Jones, the owner of a house-flipping business, on how he attracts investors: “All these people … Continue reading

Posted in Investing in TIPS | 9 Comments