Author Archives: Tipswatch

Summary The real yield looks likely to come in right around 0.95%, close to the originating auction result. The inflation breakeven rate is trending at 1.83%, pretty desirable. One warning: Do not buy this TIPS in a taxable account. It … Continue reading →

Summary 12-month inflation has dipped to 1.9%, down from 2.7% in February. Core inflation is up 1.7% over the last year, also in a downward trend. Will the Federal Reserve back off on interest rate increases? Not likely today, but … Continue reading →

Summary Real yields fell sharply this week in reaction to White House turmoil. The 10-year inflation breakeven rate came in at an attractive 1.79%, making this TIPS attractive versus a nominal Treasury. Market reaction looks positive, with TIPS yields falling … Continue reading →

Summary CUSIP 912828V49 is currently trading in the secondary market with a real yield of 0.47%. If you are considering a purchase, watch the secondary market, which will predict the likely yield. The 10-year inflation-breakeven rate is currently at an … Continue reading →

Summary Headline inflation was 2.2% over the last 12 months, down from 2.7% in February. Year-over-year core inflation dropped to 1.9%, the lowest number since October 2015. These numbers ease pressure on the Federal Reserve. Rate increases coming? Probably, but … Continue reading →