Ed Yardeni Says It's Not Higher for Longer, It's Normal for Longer

Dr. Ed Yardeni of Yardeni Research, the economist who coined the term bond vigilantes back in the early 1980s, joins Chris Vecchio on Trading Trends with a reframing of the whole rates debate. Yields on the 10 and 30 year have blown out, but he argues this looks more like a repricing of the neutral interest rate than the start of a sovereign debt crisis. His line: it is not higher for longer, it is normal for longer, the truly abnormal period was the near-zero rates between the financial crisis and the pandemic. 📊 tastylive: https://www.tastylive.com/ 📰 Get Tom's pre-market analysis every morning: https://www.tastylive.com/newsletters 📘 FREE Options Strategy Guide: https://tinyurl.com/bp9ms763 📱 Follow tastylive on X: https://x.com/tastyliveshow Chapters 00:00 Introducing Dr. Ed Yardeni 00:41 He coined bond vigilantes in the 80s 01:10 Why the economy is stronger than expected 02:00 Baby boomers and AI capex 02:39 Not higher for longer, normal for longer 03:59 Yields track nominal GDP 04:26 The bond vigilante model 05:30 From the 1970s to the Clinton surplus 06:36 What they're protesting now 08:34 Echoes of the early 2010s 11:56 Would you accept the duration risk 12:40 Why he's not worried about inflation #tastylive #tradingtrends #edyardeni #bondvigilantes #treasuryyields #bonds #nominalgdp #fedpolicy #optionstrading #stockmarket tastylive is a real financial network, producing hours of live programming every day. Follow along as our experts navigate the markets, provide actionable trading insights, and teach you how to trade. With over 120 original segments, and over 25 personalities, we'll help you take your trading to the next level, whether you are new to trading or a seasoned veteran. tastylive content is created, produced, and provided solely by tastylive, Inc. ("tastylive") and is for informational and educational purposes only. It is not, nor is it intended to be, trading or investment advice or a recommendation that any security, futures contract, digital asset, other product, transaction, or investment strategy is suitable for any person. Trading securities, futures products, and digital assets involve risk and may result in a loss greater than the original amount invested. Investment information provided may not be appropriate for all investors and is provided without respect to individual investor financial sophistication, financial situation, investing time horizon or risk tolerance. Options, futures, and futures options are not suitable for all investors. Prior to trading securities, options, futures, or futures options, please read all applicable risk disclosures, including, but not limited to, the Characteristics and Risks of Standardized Options Disclosure and the Futures and Exchange Traded Options Risk Disclosure Statement found at https://tastytrade.com/disclosures/. Past performance is not indicative of future results. Performance is not presented net of all commissions, fees, and expenses. Multi-leg option strategies incur higher transaction costs than single leg trades as they involve multiple commission charges. Examples provided are for illustrative, informational, and educational purposes only and are not intended to be reflective of results you can expect to achieve. Supporting documentation for any claims, including claims made on behalf of options programs), comparisons, statistics, or other technical data, if applicable, will be supplied upon request. tastylive, through its content, financial programming or otherwise, does not provide investment or financial advice or make investment recommendations. tastylive is not a licensed financial adviser, registered investment adviser, or a registered broker-dealer.