Author Archives: Tipswatch

Summary The 10-year real yield has dipped deeply negative, to nearly 1% below inflation. But that reflects the bond market’s very low nominal yields. This TIPS’ inflation breakeven rate of about 1.67% is still appealing. For the first $10,000 you … Continue reading →

Summary Both all-items inflation (at 0.4%) and core inflation (at 0.4%) were higher than consensus estimates, continuing a recent trend. The August inflation report is signaling a 1.2% increase in the Social Security COLA for 2021, but one more month … Continue reading →

By David Enna, Tipswatch.com These are dire times for investors looking for both safety and a return that can surpass or at least approach U.S. inflation. If you are retired, it’s a double whammy: You want to set aside cash … Continue reading →

Summary The real yield of -0.272% fell about 53 basis points below the yield of the originating auction on February 20. Investors had to pay a huge premium to collect the coupon rate of 0.25%, about $116.32 for about $100.26 … Continue reading →

Summary The Treasury will reopen CUSIP 912810SM1 in a Thursday auction, creating a 29-year, 6-month TIPS. The real yield looks likely to be around -0.26%, making this the first TIPS of this term to get a negative real yield. Investors … Continue reading →