MarkHarvey on Nostr: Real Yield on 1 year U.S. Treasuries (yield minus CPI): *Almost* a positive real ...
Real Yield on 1 year U.S. Treasuries (yield minus CPI):
*Almost* a positive real yield.
Note that this is based on the official CPI data which is manipulated (lower) by the BLS through periodic adjustments to how CPI is calculated.
Using the current official CPI measurement, rate hikes appear to have nearly caught up to inflation, with a near 0% real yield.
However, using the original 1980 CPI methodology, real yields are still significantly negative at -8%.
*Almost* a positive real yield.
Note that this is based on the official CPI data which is manipulated (lower) by the BLS through periodic adjustments to how CPI is calculated.
Using the current official CPI measurement, rate hikes appear to have nearly caught up to inflation, with a near 0% real yield.
However, using the original 1980 CPI methodology, real yields are still significantly negative at -8%.