Category Archives: Investing in TIPS

Summary The sharp increase matched the consensus estimate, so it wasn’t a surprise for the markets. Core inflation remains muted, increasing just 0.1% for the month and 1.7% over the last 12 months. Today’s data won’t alter the Federal Reserve’s … Continue reading →

Summary The after-inflation yield was the highest at auction for this term since January 2016, breaking a string of 10 auctions under 0.50%. The inflation breakeven rate came in at 1.84%, a reasonable number but well off the lows of … Continue reading →

Summary Both the headline and core inflation numbers matched the consensus estimates, so no surprises in today’s numbers. Non-seasonally adjusted inflation declined slightly in October, which will cause a slight drop in TIPS principal balances in December. A December rate … Continue reading →

Summary The real yield could rise above 0.50% for the first time since January 2016. If that trend holds, should you consider an investment? The inflation breakeven rate is currently 1.89%, which is reasonable but puts this TIPS in the … Continue reading →

The answer is: Yes, generally it does. By David Enna, Tipswatch.com Jumping right into it, I’m going to say, yes, the formula used to determine the Social Security cost-of-living adjustment shortchanges seniors. But let’s be clear: I’m not talking about … Continue reading →