What TIPS Yields Tell You About Real Returns Now

In this episode of The Bond Market Podcast with Fexingo, Lucas and Luna drill into Treasury Inflation-Protected Securities (TIPS) and what their real yields signal about the current economic environment. With the 10-year nominal yield flat at 4.45 percent and the 30-year yield nudging 5 percent, the hosts examine the breakeven inflation rate and how TIPS are pricing in future CPI. Lucas walks through the mechanics of inflation-adjusted principal, the difference between nominal and real yields, and why the TIPS ETF (TIP) has been outperforming nominal Treasuries lately. Luna presses on whether TIPS still make sense if inflation continues to moderate. The conversation closes with a look at the inflation risk premium and what the 5-year TIPS yield implies for Fed policy. A natural, investor-focused primer for anyone wondering how to preserve purchasing power in a bond portfolio. #TIPS #TreasuryInflationProtectedSecurities #RealYield #NominalYield #BreakevenInflationRate #TreasuryBonds #BondMarket #FixedIncome #Investing #Inflation #CPI #FederalReserve #BondETF #TIP #Economics #BondPodcast #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo