Friday, April 10, 2009
Government Inflation Bonds
Has anyone purchased government Inflation bonds besides me. They are known as I bonds for short. Currently it is receiving a fixed interest rate and the inflation rate for a combined payout of 5.64%. The inflation rate will change and be recalculated on May 01. The treasury can also get rid of the fixed rate as well. It's about 1% right now. The previous fixed rate was zero. The fixed rate remains with you for the life of the bond. I ordered a few. I believe that future inflation will be terrible. With the unemployment around 8.5%, I believe now is the time to play it safe with money. There is no cure for the oil non-crisis happening right now. It will take at least another decade for electrics and hybrids to fully penetrate main-stream America. For now, we are at the mercy of the whims of every pig-faced oil CEO and dictator in the world.
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