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 pay an effective interest rate of 3.5%.
- I Bond investors will get another shot with November’s rate reset.
I think this is pretty good news for investors in I Bonds and EE Bonds. The Treasury didn’t scale back on the terms of either bond.