Navigating the Bifurcated Economy and Interest Rate Policies

Jim Bianco, president of Bianco Research, returns to The Julia La Roche for episode 165 to discuss the current macro picture and the potential impact of inflation on the economy. 

In this episode, he highlights the bifurcated nature of the economy, with inflation posing a challenge for lower-income individuals. Bianco also shares his insights on the Federal Reserve's interest rate policy and the outlook for long-term interest rates. He thinks rates for the 10-year are likely headed higher to 5-5.5% and breaks down what that could mean for asset allocation. 

Elsewhere, he weights in on his concerns surrounding the narrative of the Bitcoin ETF, while emphasizing the need for a comprehensive alternative financial system. 

Links: 

BiancoResearch.com 

BiancoAdvisors.com

twitter.com/biancoresearch 

Timestamps: 

0:00 Welcome Jim Bianco and intro 

0:59 Macro picture 

1:49 Stickier inflation 

4:27 Bifurcated economy

6:06 Interest rate policy outlook 

7:50 Fed is not partisan but it is political 

9:29 Rates on the 10-year likely headed to 5-5.5% 

12:00 The Fed doesn’t change policy in the summer up to election day 

13:19 Implications for 10-year at 5-5.5% 

19:59 Demographics 

24:01 Bitcoin ETF 

31:38 How Bitcoin gets to $1 million

34:10 Parting thoughts