Typically, we would expect the TIP/IEF ratio to correlate with inflation. But that is NOT what we are seeing today. CPI is declining, but this ratio chart is implying that TLT is taking the brunt of it when compared to TIPS. This may be a warning signal that the bond market is discounting the of attractiveness of 
TLT, whether due to expected issuance or underlying uneasiness of inflation rebounding. Worth monitoring here.
TLT, whether due to expected issuance or underlying uneasiness of inflation rebounding. Worth monitoring here.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.