5-year inflation expectations, as measured by TIPS breakeven rates, have actually declined from 2.46% at the start of the Iranian conflict to 2.28%, while 5-year bond yields have risen from 3.62% to 4.30%, creating a divergence where real yields (rates minus inflation) have risen nearly 1% despite declining inflation expectations.

factualpending

Speaker

Michael Lebowitz

Evidence Quote

5-year inflation expectations...started at basically 2.46...They're now 2.28. Inflation expectations have actually declined...bond yields which started 3.62...But they're at 4.30.

Source

What Bonds, Oil & Gold Are Telling Us | Michael LebowitzAdam Taggart | Thoughtful Money®
Created: 8/12/2026, 6:23:20 PM

My Notes

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