Category Archives: Investing in TIPS

30-Year TIPS Reopening Auctions With A Real Yield Of 0.908%

Summary The after-inflation yield came in right on target, based on pre-auction trading in this TIPS on the secondary market. The inflation breakeven rate was a moderate 1.92%. This TIPS seems fairly priced versus a nominal 30-year Treasury. Long-term real … Continue reading

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I Bonds: Here’s My Late-2017 Buying Guide

Summary I Bond investors have entered 2017’s limbo period: Buy now, or wait until November? If you view I Bonds as a short-term investment, buying now seems to be the wisest decision. Investors longing for a higher fixed rate than … Continue reading

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Is Thursday’s 30-Year TIPS Reopening Another Halloween Scare?

Summary Buy-and-trade investors ought to be at least a little frightened; 30-year TIPS are very volatile investments. The real yield for this TIPS is currently trading very close to the 0.875% coupon rate. It should auction at close to par … Continue reading

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September inflation sets Social Security COLA at 2.0%, new I Bond variable rate at 2.48%

Summary Hurricane-boosted gasoline prices have caused a two-month surge in overall inflation. The Social Security cost-of-living adjustment will be 2.0% for 2018, lower than the Social Security Administration’s projection but higher than looked likely three months ago. The I Bond … Continue reading

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10-Year TIPS Reopens At Auction With A Real Yield Of 0.450%

Summary The after-inflation yield of 0.450% was 20 basis points higher than where 10-year TIPS were trading on September 8. Today’s investors benefited from the Federal Reserve’s announced intention Wednesday to unwind its bond portfolio and continue gradually increasing short-term … Continue reading

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