Category Archives: Investing in TIPS

U.S. inflation increased 0.2% in September

The Bureau of Labor Statistics today released its shutdown-delayed September inflation report, showing that ‘headline’ inflation increased a seasonally-adjusted 0.2% in September, a number matching expectations. Over the last 12 months, this index, known as the Consumer Price Index for … Continue reading

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30-year TIPS reissue auctions at 1.33%

The U.S. Treasury just posted the results of its reopening of CUSIP 912810RA8, which auctioned with a yield of 1.33% for the 29-year, 4-month remaining term. Because the coupon rate on this TIPS is 0.625% – set in the original … Continue reading

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Warning: There’s a cash-flow problem with this 30-year TIPS

I’ve raised this issue before, and I hope this is actually the last time I need to raise it, since yields on TIPS have risen dramatically since February 2013. But here is the problem: If you bid on CUSIP 912810RA8 … Continue reading

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Checking in on Thursday’s 30-year TIPS auction

Well, it’s actually a reopening of CUSIP 912810RA8, so buyers will be getting a 29-year, 4-month TIPS with a coupon rate of 0.625%. It will be going off at a huge discount, showing how volatile 30-year Treasurys can be. Right … Continue reading

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Wall Street Journal prediction: No Fed tapering anytime soon

One of the side effects of the U.S. government fiscal circus of the last few weeks is that  Federal Reserve officials must be sitting on the sidelines, mouths open in horror. Sort of like Edvard Munch’s famous paintings and lithographs. … Continue reading

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