Category Archives: Inflation

Should TIPS holders root for higher inflation?

Interesting article today in the Wall Street Journal, with the enticing headline: ‘TIPS Investors Rush for Exit.’ Here’s the premise: A surprise drop in gasoline prices has jolted a corner of the bond market, easing investors’ inflation fears and triggering … Continue reading →

Posted in Inflation, Investing in TIPS | 1 Comment

U.S. inflation fell 0.2% in March

The Bureau of Labor Statistics reported this morning that ‘headline’ inflation – the Consumer Price Index for All Urban Consumers (CPI-U) – fell 0.2% in March on a seasonally-adjusted basis, partly reversing the sharp 0.7% increase in February. That means … Continue reading →

Posted in Inflation | 1 Comment

Higher gas prices pushed consumer inflation up 0.6% in September

The Labor Department today reported that ‘headline’ inflation – the measure used to adjust the principal on TIPS and the interest rate on I Bonds – rose a strong 0.6% in September, the second strong increase in two months. Read … Continue reading →

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Are TIPS a good investment in 2012?

I get that question a lot. My quickest reaction is: ‘No.’ Treasury Inflation-Protected Securities were a really good investment back in 1999, when you could have bought a 30-year TIPS with a yield to maturity of 4.138% – that means … Continue reading →

Posted in I Bond, Inflation, Investing in TIPS | 15 Comments

An update on U.S. inflation: Nowhere to be found

I was out of town last week and didn’t get a chance to write about the U.S. inflation rate in July, which was unchanged from June, in other words … zero inflation in July. This is the ‘headline’ inflation rate … Continue reading →

Posted in I Bond, Inflation, Investing in TIPS | 5 Comments