I bonds issued from May 1, 2026 through Oct. 31, 2026 earn a 4.26% composite rate, built from a 0.9% fixed rate and a 1.67% semiannual inflation rate that Treasury resets on November 1. The article compares this with Realty Income (NYSE:O), which had a trailing dividend yield of 5.56% as of Oct. 15, 2026, while noting the two figures measure different things. I bonds cannot be cashed in during the first 12 months, and cashing in before 5 years forfeits the last 3 months of interest; each Social Security number can buy up to $10,000 per calendar year, and the bonds are not FDIC-insured. Realty Income's dividend is about 73% of the low end of its 2026 AFFO guidance of $4.44 to $4.45 per share, with 98.8% occupancy and 673 consecutive monthly dividends, though leverage rose to 5.4x from 5.2x. The stock closed at $55.55 on Oct. 15, so its market value can fall while an I bond's redemption value does not.
Summary written by Upside AI from the original article. Read the source for full details.
Original headline: A 4 . 26 % I Bond or a 5 . 56 % Dividend Stock ? Here What Retirees Should Know
Read the original on 247wallst.com ↗
Related news
- 7 Things Veterans and Military Retirees Should Know About 3 . 6 % COLA for 2027
- JPMorgan Chase & Co. (JPM) is Attracting Investor Attention: Here is What You Should Know
JPMorgan Chase & Co. (JPM) has drawn investor attention on Zacks.com. Over the past month, its shares fell 2.9%, versus a 1.5% gain in the Zacks S&P 500 composite, while the Zacks Financial - Investment Bank industry lost 6.3%. Current-quarter EPS is expected at $6.00 (up 14.7% year over year), and the current-year consensus of $24.55 (up 20.7%) has fallen 2.4% over 30 days. The stock carries Zacks Rank #3 (Hold). In the last reported quarter, revenue of $50.17 billion (up 8.1%) and EPS of $5.75 missed consensus by 3.9% and 3.2%, respectively, and the company beat EPS estimates three times in the past four quarters.
- Meta Platforms, Inc. (META) is Attracting Investor Attention: Here is What You Should Know
Meta Platforms (META) recently appeared on Zacks.com's list of most-searched stocks. Over the past month, its shares rose 11.6%, compared with a 2.1% gain in the Zacks S&P 500 composite. For the current quarter, EPS is expected at $6.39, down 11.9% year over year, while consensus EPS for the current fiscal year of $31.38 implies a 33.6% increase. In the last reported quarter, revenue reached $60.8 billion, up 28%, but EPS of $6.18 showed a surprise of -12.96% versus consensus. The stock carries a Zacks Rank #3 (Hold) and a D grade for Value Style.
- Apple Inc. (AAPL) is Attracting Investor Attention: Here is What You Should Know
Apple (AAPL) has been among the most-searched stocks on Zacks.com recently. Over the past month, its shares gained 2.4%, versus 2.1% for the Zacks S&P 500 composite. For the current quarter, consensus EPS is $1.99, up 7.6% from a year earlier, and consensus revenue of $113.01 billion implies a 10.3% rise. Apple's last reported quarter brought revenue of $109.42 billion, up 16.4%, and EPS of $1.91 beat consensus by 1.6%; the company has topped EPS estimates in each of the last four quarters. The stock carries a Zacks Rank #3 (Hold) and an F grade for Value Style, indicating a premium valuation relative to peers.
- Social Security COLA Tracks Working Households , Not Retirees . Here How Much Bigger 2024 Raise Would Have Been .
Social Security benefits will rise 3.6% starting January 2027, based on the CPI-W index, which tracks prices for working households rather than retirees. The article argues this misses retirees' spending patterns: they spend less on food, housing and transportation but more on healthcare. Using the CPI-E index for people aged 62 and older, the 2024 raise would have been 4% instead of 3.2%, a $62 monthly increase instead of $50. The Senior Citizens League estimates beneficiaries have lost 13.7% of their buying power since 2016, and the shortfalls compound over time. Because Congress is unlikely to act quickly, retirees can offset the gap by generating more investment income or using higher-yielding savings accounts.
- Social Security COLA Tracks Working Households , Not Retirees . Here How Much Bigger 2024 Raise Would Have Been .
Social Security benefit payments will rise 3.6% in January, an adjustment based on the CPI-W index, which the article argues may not fit retirees well. Retirees are considerably older than the average American, spending less on food, housing and transportation but more on healthcare, so the CPI-E index for people aged 62 and over may better reflect their costs. Using CPI-E for 2024 would have produced a 4% raise instead of the 3.2% received, meaning $62 more per month instead of $50. The Senior Citizens League says beneficiaries have lost 13.7% of their buying power since 2016, and most proposed fixes require Congress. The article suggests retirees seek more investment income or higher-yielding savings accounts for idle cash.
Related markets
Latest news
- JPMorgan Backs Two Defense Startups With $5 Billion
JPMorgan has already committed half of its $10 billion investment pool to hypersonic-missile maker Castelion and defense manufacturer Hadrian. The bet reflects America's push to rebuild its defense industrial base.
- X-Energy, Amazon, AEP Partner To Evaluate Feasibility Of 960 MW Nuclear Project In Indiana – A Look At The Key Highlights
X-energy and American Electric Power (AEP) announced a joint development agreement to evaluate the feasibility of a proposed 960-megawatt small modular reactor project in Indiana, with Amazon supporting development through a milestone-based funding agreement. The plant would feature 12 Xe-100 units near the former Breed Generating Station in Sullivan County, redeveloping an AEP-owned brownfield site. It is the second commercial project under the X-energy and Amazon collaboration, which aims to bring more than 5 gigawatts of new nuclear capacity to the U.S. grid by 2039. At the time of writing, XE was up 2%, AMZN gained 3.75%, and AEP fell 1.13%.
- Waymo Will Be “a Trillion Dollar Business. Easy” per VC Investor
Bessemer Venture Partners' Sameer Dholakia says Waymo could become a trillion-dollar business by expanding from ride-hailing into personal car ownership, trucking and logistics. The article notes Bessemer invested in Waymo's $16 billion February round, which valued the company at $126 billion. Waymo reached 500,000 paid rides a week in March, but Sacra estimates its annualized revenue at only $355 million in February, under 0.1% of Alphabet's $403 billion in 2025 revenue. Alphabet trades at 25.0x forward earnings, within its usual range, while Uber trades at 18.2x, a level analyst Walter Piecyk links to the threat from Waymo and Tesla's Robotaxi.
- Jensen Huang Declares NVIDIA Can Win “in the Absence of Any AI Labs”
NVIDIA CEO Jensen Huang said on the BG2 podcast that about a third of the business, classical computing unrelated to AI labs, is growing 30% to 40% a year, while frontier labs account for roughly 25% to 30% of compute. In the three months to July 26, 2026, revenue rose 106% to $96.2 billion, with AI clouds, industrial and enterprise revenue up 138%. Steve Eisman cited a 10-Q line showing 70% of NVIDIA's accounts receivable comes from five customers, though the article notes receivables are not the same as revenue share. NVIDIA trades at 17.7x forward earnings, near its three-year low of 17.5x and well below its 30.3x average.
- AWS Margin Expansion and Retail Execution Power Amazon (AMZN) in Q3
Wedgewood Partners reported that its Wedgewood Composite returned 2.5% net in the third quarter of 2026, compared with 2.3% for the S&P 500 and 0.9% for the Russell 1000 Growth. In its investor letter, the firm named Amazon a leading contributor, citing AWS revenue growth accelerating to 37% from 17% a year earlier and a 63% rise in the segment's operating income. AWS backlog of around $500 billion is more than double last year's level and up 37% from 90 days earlier, and Wedgewood said this demand supports a plan to double AWS capacity from circa 2025 levels by 2027. Advertising grew 26% and generated over $75 billion in revenue over the past 12 months. As of October 16, 2026, Amazon closed at $250.00, with a market capitalization of $2.7 trillion and a 21.22% gain over the past year.
- Bitcoin is rejected at $83K as US bond yields reverse higher with equities
Bitcoin failed to follow rising equities as a wall of sell orders above $83,000 across exchanges capped gains, and BTC slipped below $82,000 after Monday's Wall Street open. The Nasdaq Composite gained 1.5% and South Korea's KOSPI rose 1.76% to 5,768 points, while the US 10-year yield climbed to 5.13% and the 30-year to 5.46%, moving in step with stocks ahead of major tech earnings from Meta, SpaceX and Tesla. QCP Capital warned that a repeat of last week's tech sell-off could threaten the $80,000 support level. Crypto liquidations totaled $335 million over 24 hours, and the Binance whale ratio fell to 0.45 from 0.54 at the start of October.
Get the briefing on Telegram or Zalo
Join the Upside Telegram channel or Zalo group for the Vietnam stocks and gold briefing at 8:00 and 19:00 (Vietnam time) on trading days, plus a weekly wrap on Saturday morning.