- 10-year real yields (meaning yields above inflation) briefly dipped into negative numbers in August, but have climbed 30 basis points since then.
- The Treasury is offering a 10-year TIPS reopening auction on Thursday, but the real yield still isn’t attractive.
- The 10-year inflation breakeven rate is running at about 1.63%, below average annual inflation over the last 10 years. That will make this TIPS attractive to big money investors.
The U.S. Treasury on Thursday will auction $12 billion in a reopening of CUSIP 9128287D6, creating a 9-year, 8-month Treasury Inflation-Protected Security.
Should you consider a purchase? Read my full analysis on SeekingAlpha.com