Category Archives: Inflation

A stunner: I Bond’s inflation-adjusted variable rate will surge to 3.54% in May

Posted on April 13, 2021 by Tipswatch

By David Enna, Tipswatch.com U.S. inflation surged 0.6% in March, the Bureau of Labor Statistics reported today, and provided the final piece of data to determine the new variable rate for U.S. Series I Savings Bonds: a whopping 3.54%, annualized, … Continue reading →

Posted in I Bond, Inflation, Savings Bond | 11 Comments

Inflation is heading higher. Will it be a ‘head fake’?

Posted on April 11, 2021 by Tipswatch

By David Enna, Tipswatch.com One of the most important inflation reports of the year is coming up Tuesday at 8:30 a.m., when the Bureau of Labor Statistics releases its March inflation report. That report carries a lot of weight, because: … Continue reading →

Posted in I Bond, Inflation | 2 Comments

February inflation rose 0.4%: What does it mean for TIPS and I Bonds?

Posted on March 10, 2021 by Tipswatch

By David Enna, Tipswatch.com As expected, U.S. inflation surged 0.4% in February, triggered primarily by rising gasoline prices. But the overall February inflation report from the Bureau of Labor Statistics, released this morning, is a bag of mixed messages. One … Continue reading →

Posted in I Bond, Inflation, Investing in TIPS, Savings Bond | 7 Comments

Inflation expectations are soaring, with a short-term twist

Posted on March 7, 2021 by Tipswatch

By David Enna, Tipswatch.com I’ve been writing about inflation and inflation breakeven rates for 10 years, and I’ve never seen anything quite like the picture presented by this chart, which shows the trend in the 5-year inflation breakeven rate over … Continue reading →

Posted in Inflation, Investing in TIPS | 9 Comments

Could rising real yields cause the Treasury to raise the I Bond’s fixed rate above 0.0%?

Posted on March 3, 2021 by Tipswatch

By David Enna, Tipswatch.com There’s been a lively discussion going on over at the Bogleheads forum about the possibility that the recent rise in real yields could prompt the Treasury to raise the fixed rate on the Series I Savings … Continue reading →

Posted in I Bond, Inflation, Investing in TIPS, Savings Bond | 10 Comments