Monthly Archives: May 2016

10-Year TIPS reopening auctions with a real yield of 0.275%

The after-inflation yield was the lowest for any 9- to 10-year TIPS in more than a year. This TIPS has a coupon rate of 0.625%, so buyers paid an adjusted price of about $103.53 for $100 of par value. The … Continue reading

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Checking in on Thursday’s 10-year TIPS reopening

I’ll be working tomorrow morning – I’m usually off on Thursdays – so I won’t be able to post a morning outlook. I wrote an analysis of this auction last week on SeekingAlpha.com, so check that out for a lot … Continue reading

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

The Consumer Price Index for All Urban Consumers increased 0.4% in April on a seasonally adjusted basis, the U.S. Bureau of Labor Statistics reported today. Over the last 12 months, headline inflation rose 1.1%. While that’s a sharp increase, it … Continue reading

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Up next: 10-year TIPS will reopen at auction on May 19

The US Treasury announced this morning that it will reopen CUSIP 912828N71 at auction on May 19, creating a 9-year, 8-month Treasury Inflation-Protected Security. This TIPS originally auctioned on January 21 with a coupon rate of 0.625% and a real … Continue reading

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On SeekingAlpha.com: Scanning the wasteland of ‘super-safe’ fixed-income investments

Summary The ‘no-risk’ fixed-income market has become a low-yield wasteland, with rates dropping in 2016. I Bonds at least offer a return that is guaranteed to beat inflation. FDIC-insured CDs have appeal because of short terms and promotional rates. Although … Continue reading

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Treasury maintains I Bond’s fixed rate at 0.1%; value Of EE Bonds will still double in 20 years

I posted the Treasury’s breaking news this morning at SeekingAlpha.com. Here is the summary: I Bonds purchased from May to October will pay a composite rate of 0.26%. EE Bonds held for 20 years will still double in value and … Continue reading

Posted in Investing in TIPS | 6 Comments