Bloomberg reports that 5-year TIPS yields turn negative

The choice lines from the Bloomberg story are below. These are interesting times.

….The five-year inflation-protected note yield dropped 3 basis points, or 0.03 percentage point, to negative 0.07 percent at 3:12 p.m. in New York, according to BGCantor Market Data. The price of the 0.5 percent security maturing in April 2015 gained 1/8, or $1.25 per $1,000 face amount, to 102 19/32.

…..Yields on inflation-indexed Treasuries maturing in July 2012 have been negative since July 20 as yields on conventional two-year Treasuries dropped to record lows well below the annual rate of inflation.