TIPS earned 0.5% and straight Treasurys lost 1.4% in the 2019 fourth quarter.
TIPS yields declined 19 bp to 0.24% and straight Treasury yields increased 13 bp to 1.87%.
The inflation adjustment was 0.3% in the quarter and the breakeven spread increased 32 bp to 163 bp.
For all of 2019, TIPS had a total return of 9.1%, better than the 7.6% return on straight Treasurys.
After underperforming for two consecutive quarters, TIPS posted a small gain of 0.5% in the 2019 fourth quarter, significantly outperforming comparable maturity straight Treasurys, which posted a decline of 1.4%.
That performance mirrored the trend