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What to make of the rebound in inflation compensation?

The gap between the nominal yield of 10-year conventional US Treasuries and the real yield of 10-year US TIPS has rebounded over the past month. This increase in inflation compensation could conceivably reflect other factors as well as higher expected inflation. But these factors have probably not played a major role in influencing inflation compensation, unlike between mid-2014 (when the price of oil began to slide) and the middle of February this year (when the US stock market troughed).

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