Jim Bianco Says Cheaper Mortgages Start With a Rate Hike, Not a Cut.

Jim Bianco of Bianco Research (@biancoresearch) joins Trading Trends with a counterintuitive read on rates: he argues the bond market is overruling the Fed. He notes the 30-year yield has climbed roughly 125 basis points since the cutting cycle began, which he calls the biggest rise in a cutting cycle in 40 years, and says it is the market flagging an inflation problem that has run above target for years. His conclusion is that if you want cheaper mortgages, you should want short-term rates to go up, not down. He also argues this is a post-2020 regime that old models miss, and that broad AI exposure now makes up close to half the S&P's market cap, so index owners are far more concentrated than they think. On the leveraged fund that blew up, he says reckless leverage at the top is the oldest story in markets. All views are his. 📊 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 A market processing six things at once 01:13 Why the Fed dropped forward guidance 03:16 The 30-year yield's message 09:19 Why hikes could lower long yields 09:45 A post-2020 regime nobody models 11:50 AI is now half the S&P 15:05 The leveraged fund that blew up 19:55 When genius fails, again #tastylive #jimbianco #bondmarket #macro #inflation #federalreserve #aistocks #tradingtrends #yields #markets 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.