• The real yield is likely to come in around 0.35%, more than 60 basis points below where these yields started the year.
• The inflation break-even rate was about 1.77% as of Friday. That might seem low, but it is a fair reflection of current inflation.
• The superior alternative is the U.S. Series I Savings Bond, currently offering a real yield of 0.50%, tax-deferred interest and a flexible maturity.

The U.S. Treasury will offer a new 10-year Treasury Inflation-Protected Security – CUSIP 9128287D6 – in a $14 billion auction Thursday, with the real yield likely to fall substantially below recent results for this term.

Read my full analysis on SeekingAlpha.com