Updated Version of Inflation and the Curve: an unfortunate mistake was made in the initial version of “inflation and the curve”. This has now been ammended.
Tag Archive 'discount rate'
Inflation is an uneasy issue for most fixed-income enthusiasts, it can be both a cure and an ill to ongoing financing decision: this two-sided blade can have pernicious effects over a security’s yield curve. This post reviews a recent 3 year treasury note auction and potential valuation issues that can occur with an already ‘priced’ in inflation measure.