Category Archives: Investing in TIPS

Summary The real yield is likely to come in around 0.35%, more than 60 basis points below where these yields started the year. The inflation break-even rate was about 1.77% as of Friday. That might seem low, but it is … Continue reading →

Summary The monthly “headline” inflation number and core inflation for the month and year all came in higher than the consensus forecasts. Overall U.S. inflation is being held down by declining gasoline prices, but core inflation is running at 2.1%, … Continue reading →

Summary Both real and nominal yields have plummeted in 2019, with nominal yields on government debt dipping into the negative in Europe and Asia. Returns on I Bonds and EE Bonds still have the same terms that the Treasury set … Continue reading →

Summary Five-year real yields have dropped nearly 100 basis points in the last six months. That’s a huge move in anticipation of Federal Reserve rate cuts. Today’s real yield of 0.152% had to be a disappointment to investors, who also … Continue reading →

Summary Expect volatility in the Treasury market this week because the Federal Reserve’s Open Market Committee will issue a statement Wednesday, one day before the auction. At this point, CUSIP 128286N5 is heading toward a real yield of about 0.35%, … Continue reading →