Monthly Archives: April 2016

Am I the only person in the world who thinks EE Bonds are a good investment?

Sometimes it seems that way. I invested in EE Bonds in 1992 and I’m still holding them. They doubled in value in 12 years, and are still paying 4% interest until they drop dead in 2022. I admit I haven’t … Continue reading

Posted in Investing in TIPS | 3 Comments

Here’s a shocker: I bought my 2016 allocation of I Bonds today

Update: Treasury Maintains The I Bond’s Fixed Rate At 0.1% from May to October Yeah, I know. I have been in the wait-until-November camp, especially when it looked like the I Bond’s variable rate could fall to the negative on … Continue reading

Posted in Investing in TIPS | 7 Comments

New 5-year TIPS auctions with a real yield to maturity of -0.195%

CUSIP 912828Q60 will have a coupon rate of 0.125%. Buyers had to pay about $101.63 for $100 of par value. As recently as December, a similar auction had a real yield 66 basis points higher. I wrote the full report … Continue reading

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Checking in on today’s 5-year TIPS auction

The Treasury will be creating CUSIP 912828Q60 today – a new 5-year TIPS. The coupon rate and real yield to maturity will be set at the auction. Here’s how the auction is shaping up: The Treasury’s Real Yields Curve page … Continue reading

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On SeekingAlpha.com: A new 5-year TIPS will auction April 21; is it worth a look?

Summary: CUSIP 912828Q60 looks likely to end up with a negative real yield. Yields for this term of TIPS are down an amazing 68 basis points since December. Even a US Savings I Bond with a fixed rate of 0.1% … Continue reading

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Not negative: I Bond variable interest rate will reset to 0.16% on May 1

The U.S. inflation report for March had non-seasonally adjusted inflation rising 0.43%, enough to overwrite 5 months of deflation for the September 2015 to March 2016 adjustment period. Inflation ended up rising 0.08% in that six-month period, meaningĀ  the Treasury … Continue reading

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On SeekingAlpha.com: Inflation protection is getting more expensive – is it worth it?

I wrote this as a SeekingAlpha.com exclusive … Why? It’s not a mystery. They pay me. Here’s a summary: In 2016, TIPS yields have fallen much more sharply than the overall Treasury market. The five-year TIPS yield has fallen into … Continue reading

Posted in Investing in TIPS | 1 Comment