Category Archives: Inflation

New 5-year TIPS gets a real yield of 1.32%, an attractive result

Posted on April 20, 2023 by Tipswatch

By David Enna, Tipswatch.com The Treasury’s auction of $21 billion in a new 5-year Treasury Inflation-Protected Security — CUSIP 91282CGW5 — resulted in a real yield to maturity of 1.320%, a bit higher than looked likely through the morning. Demand … Continue reading →

Posted in Inflation, Investing in TIPS | 43 Comments

A 5-year TIPS matured April 15. How did it do as an investment?

Posted on April 18, 2023 by Tipswatch

By David Enna, Tipswatch.com Back in spring 2018, the Federal Reserve was continuing its wind-down of quantitative easing, raising its key short term interest rate on March 21 to a range of 1.50 – 1.75%. That led to a very … Continue reading →

Posted in Inflation, Investing in TIPS | 8 Comments

Thoughts on this week’s 5-year TIPS auction: It’s complicated

Posted on April 16, 2023 by Tipswatch

By David Enna, Tipswatch.com The U.S. Treasury on Thursday will auction $21 billion of a new 5-year Treasury Inflation-Protected Security, CUSIP 91282CGW5. The coupon rate and real yield to maturity will be set by the auction results. For months, I … Continue reading →

Posted in Bank CDs, Inflation, Investing in TIPS, TreasuryDirect | 51 Comments

March inflation report sets I Bond’s new variable rate at 3.38%

Posted on April 12, 2023 by Tipswatch

Annual U.S. inflation fell to 5.0% in March, but core inflation rose to 5.6%. By David Enna, Tipswatch.com Update, April 28, 2023: Treasury raises I Bond’s fixed rate to 0.9%; new composite rate is 4.30% The just-released U.S. inflation report … Continue reading →

Posted in Federal Reserve, I Bond, Inflation, Investing in TIPS, Savings Bond | 50 Comments

After three months of volatility, where do we stand?

Posted on April 4, 2023 by Tipswatch

TIPS remain attractive. And now bank CDs are worth a serious look. By David Enna, Tipswatch.com It’s been kind of wild to go from seeing the possibility of TIPS with a real yield of 2% in early March to the … Continue reading →