"When they fear inflation, bond buyers typically seek higher yields to protect the value of their investment. ... But sharply lower yields [since 10 January] overall are hardly a symptom of rampant inflation anxiety", Mark Gonloff at the WSJ, 16 January 2008.
MC and I live in alternative worlds. "TIPS ... shield holders from the eroding effects of inflation" he claims. What? Holding TIPS guarantees you will lose to inflation! I used MC's title for this post. The only one "charmed" by TIPS, is Uncle Sam, the issuer. See also my 5 October 2007 post.