Category Archives: Investing in TIPS

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

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

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%?

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

The steepening real yield curve: What does it mean for TIPS investors?

By David Enna, Tipswatch.com If you follow the bond market at all, you know that longer-term nominal yields have been inching higher since the beginning of the year, and longer-term real yields (meaning yields above inflation) have been climbing, too. … Continue reading

Posted in Investing in TIPS | 11 Comments

One day after weak auction demand, 30-year TIPS yield climbs above zero

By David Enna, Tipswatch.com The Treasury’s offering of a new 30-year TIPS auctioned Thursday to weak demand, generating an above-current-market real yield of -0.04%, about 6 basis points more than expected. Then, one day later, the Treasury’s estimate of 30-year … Continue reading

Posted in Investing in TIPS | 6 Comments