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To: atomic_dog

By the way, I don’t know if you noticed, but I think I was wrong above. If the inflation rate heats up people will probably pay a premium in the after market for these bonds, so the -.55% would be made up in an inflationary environment and the buyers of the bonds could do better in return than the official inflation rate.


16 posted on 10/26/2010 3:39:36 AM PDT by November 2010
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To: November 2010

The problem with these inflation protected bonds is that the seller declares what the inflation rate is. Right now they’re saying 1% but by all other yardsticks it’s around 10%. Lots of room for hanky panky there.


17 posted on 10/26/2010 8:41:07 AM PDT by atomic_dog
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