TIIS yields became negative? why?

Economics
Tutor: None Selected Time limit: 1 Day

why did TIIS yields became negative after a period of time after the recession in 2008?

Feb 5th, 2015

TIIS is treasury inflation-indexed securities.  It is based on that its rate will not fall below the rate of inflation.

So after 2008, the rate of inflation was approx. -0.2 or lower. As a result, the TIIS yield became negative to comply with the negative inflation rate after 2008 recession.

Feb 5th, 2015

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