July 13, 2011
The Sarcasm Report v.112
One remaining rule: Under no circumstances go beyond 10 years.
Yes. By all means sit in short-term investments to meet your long-term needs. Do not take advantage of the steep yield curve to lock in higher long-term rates. Don't worry about the long-term future. Things are bound to get miraculously better once we get through this soft patch (of quicksand).
September 22, 2011
Bloomberg: Rates
5-Year 0.125 04/15/2016 103-29½ / -0.72 -0-15+ / 0.100 16:49
This supposedly safe short-term TIPS bond was down 0.45% today as short-term deflationary pressures appeared.
30-Year 2.125 02/15/2041 132-25+ / 0.86 2-16 / -0.083 16:49
This supposedly unsafe long-term TIPS bond was up 1.92% today as long-term growth expectations experienced yet another whack-a-mole event.
Ten Economic Questions for 2025
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Here is a review of the Ten Economic Questions for 2024.
Below are my ten questions for 2025 (I've been doing this online every year
for 20 years!). These...
7 hours ago
7 comments:
As seen here, the 30-year TIPS bond yield was 1.54% when Forbes told us "under no circumstances" should we buy long-term TIPS. The yield now stands at 0.87%.
That's 0.67% in extra interest per year for 30 years (about 20% more interest overall).
Epic financial advice FAIL.
Put another way, there was at least one circumstance that made buying long-term TIPS okay and somehow Forbes managed to miss it.
It *IS* the circumstance we are currently in now, lol.
Forehead. Desk. Whack. Whack. Whack.
http://www.bankaholic.com/last-nationally-available-3-cd-is-gone/
URL says it all, LOL
But I do think if Perry wins next year there will be an awe-inducing inflation event created by the system, 2014-2016.
"Adding another zero" scale.
The conservatives aren't going to walk their talk.
Right?
Troy,
You are such a tease!
Last Nationally Available 3% CD Is Gone
It sounds so final, lol. Sigh.
Troy,
I just don't know what will happen. I continue to be rather inflation agnostic.
Let's talk about real yields instead. I doubt they'll be high enough to appease most retired savers.
I'm currently working on a post comparing 10-year treasury yields to average annual inflation over the previous 10 years.
So I find it very interesting that you shared the link about 10 year CD yields.
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