Category Archives: Federal Reserve

What about Thursday’s auction of a new 5-year TIPS?

Real yields are holding up, but the curve is widening. By David Enna, Tipswatch.com The October auction of a new 5-year Treasury Inflation-Protected Security is always a baffler. The auctioned real yield is highly likely to be lower than many … Continue reading

Posted in Federal Reserve, I Bond, Inflation, Investing in TIPS, TreasuryDirect | Tagged , , , , | 20 Comments

September inflation sets I Bond’s new variable rate at 1.90%

Social Security COLA will be 2.5% for payments beginning in January. By David Enna, Tipswatch.com The September inflation report, just released by the U.S. Bureau of Labor Statistics, gives the final pieces of data to determine 1) the new variable … Continue reading

Posted in Cash alternatives, Federal Reserve, I Bond, Inflation, Investing in TIPS, Savings Bond, Social Security | Tagged , , , , | 22 Comments

Forecast: The next I Bond fixed rate should be 1.20%

But there is danger of an ‘outlier’ decision by the Treasury. By David Enna, Tipswatch.com It’s already Oct. 7 and we are closing in on Treasury’s November reset of the fixed and variable rates for U.S. Series I Savings Bonds. … Continue reading

Posted in Cash alternatives, Federal Reserve, I Bond, Inflation, Investing in TIPS, Savings Bond, TreasuryDirect | Tagged , , | 20 Comments

10-year TIPS reopening auction gets a real yield of 1.592%

By David Enna, Tipswatch.com Too often, the bond market tricks you. It happened again Thursday in the wake of Wednesday’s “sort-of surprise” action by the Federal Reserve to cut short-term interest rates by 50 basis points. The initial (and expected) … Continue reading

Posted in Federal Reserve, Inflation, Investing in TIPS, TreasuryDirect | Tagged , , , , | 4 Comments

Real yields are sinking. What does this mean for Thursday’s 10-year TIPS reopening auction?

By David Enna, Tipswatch.com First off, let’s point out that the Federal Reserve has not yet lowered interest rates by a single basis point and, in fact, the federal funds rate has been stable since July 2023. But changes are … Continue reading

Posted in Federal Reserve, I Bond, Inflation, Investing in TIPS, Savings Bond, TreasuryDirect | Tagged , , , | 9 Comments