8% MORTGAGE RATES ARE COMING! (Get Ready)
In a Nutshell
US 30-year Treasury yields above 5.6% are pushing mortgage rates toward 8%, while a weak JOLTS report lowered rate-hike odds to 72%. Over 56% of S&P 500 stocks now trade below their 200-day MA, showing a widening gap between AI leaders and the rest of the market. Micron is set to report $31 EPS and $50B revenue after the bell, with live coverage planned.
These notes were generated by AI and may contain inaccuracies.
The US 30-year Treasury yield is now above 5.6%, representing one of the highest levels since June of 2002. The US Treasury will need to intervene at some point given these elevated levels. This rise in Treasury yields is expected to push 30-year mortgage rates to 8% by next week.
The JOLTS job openings report was released this week and came in lower than expected. A weaker labor market reduces the Federal Reserve's position to raise rates aggressively. When economic reports come in weaker than expected, this is considered bullish because it may cause the Federal Reserve to hold back on rate hikes. The JOLTS release immediately lowered the probability of rate hikes from 75% to 72%.
Tomorrow, one hour before markets open, the PCE report will be released, which is the Federal Reserve's preferred measure of inflation. Micron is also scheduled to report earnings tomorrow after the bell. The speaker plans to live stream Micron's earnings report for free on YouTube.
Yesterday, news emerged that Iran and the US were supposedly working out a deal that appeared to be happening sooner than expected. This caused oil markets to drop and overall markets to rise. The news was later confirmed to be false. Today, bond yields are trading higher while oil remains lower despite the confirmation that the deal was not true. Markets appear uncertain what to expect regarding Middle East tensions.
Over 56% of stocks in the S&P 500 are now trading below their 200-day moving average, representing the worst market breadth since March. There is a significant disconnect between top-performing AI companies and AI infrastructure stocks, which remain elevated, while non-AI related companies are falling behind. Companies like McDonald's, Walmart, Netflix, and Chipotle are significantly underperforming compared to AI-related stocks.
Micron has a common resistance range around $1,100 per share and support around $900. The company is expected to report earnings per share of $31 and revenue of $50 billion. Micron participates in the memory chip space and has been one of the best-performing stocks of 2026. Despite being elevated, Micron trades at a relatively low P/E ratio. The stock has shown volatility ranging from 5-15% increases to 6-7% increases, and drops as large as 19%.
Bloom Energy ran up 13% today. NBIS hit highs of nearly $247. Oracle ran up to highs of $143, then experienced a 3% sell-off. The speaker shorted Oracle after it became overbought, entering the trade live for the LPP team and closing with a $4,600 gain. LIIT is up 6.6%. Core reached $90.50 before quickly correcting.
The LPP live trading session runs every morning at market open and costs $110 per day after a $2.99 discount. The program ends September 30th, giving viewers two days left to join including today. All trades, both good and bad, are shown during live sessions. The trading application used is Webull, which is commission-free and offers a sign-up bonus as part of a $1,000 weekly giveaway. Three weeks remain in the giveaway program. To qualify, users must use the referral link and deposit $5 into their account.
Viewers can reach out via Instagram direct message or YouTube comments for questions. The speaker encourages subscriptions to the YouTube channel for more updates and to watch live streams of earnings reports like Micron's.
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