Market expert predicts when we can see a rate cut

DAVID: THE INFLATION RATE, PRICES NOT ALL COMING DOWN BUT THE INFLATION RATE IS LOWER. THANK YOU. THOMAS HAYES JOINED ME NOW. WHAT DO YOU THINK OF RATE CUTS THIS YEAR? THOMAS:HE IS ON THE RIGHT SIDE OF THE TRADE. IF YOU LOOK AT COMMERCIAL HEDGERS, THE LONGEST 10 YEAR BOND SINCE 2011 WHEN BONDS RALLIED, LOOK AT THE ISSUES IN EUROPE, NO ONE IS TALKING ABOUT THAT, UK YIELDS, THE HIGHEST SINCE 2011. THE COST FOR FRANCE TO BORROW IS HIGHER THAN THE COST A LEAD TO BORROW AND THAT'S CAUSED BY THE WAR. US WILL BE THE SAFE HAVEN. SO I EXPECT CUTS BEFORE THE END OF THE YEAR? POSSIBLY IN DECEMBER. I AM WITH PETER BUT MORE LIKELY YOU WILL GET YOUR FIRST CUT IN THE FIRST QUARTER OF NEXT YEAR. WHILE EVERYONE IS EXPECTING A HIKE, I THINK YOU WILL SEE A NEUTRAL FED CHAIR OUT OF JACKSON HOLE IN THE COMING WEEKS AND YOU WILL SEE CUTS, NOT HIKES IN THE FIRST PART OF NEXT YEAR. DAVID: WE GOT THE TO EUROPE BUT WE HAVE TO TALK ABOUT THE 10 YEAR BEFORE WE MOVE ON. THAT IS UP TO A LEVEL WE HAVEN'T SEEN. WAIT A MINUTE. LET'S TALK THE 30 YEAR. 10 YEAR IS UP 4.7. THE 30 YEAR IS UP TO A 19 YEAR HIGH. THAT IS EXTRAORDINARY. IS IT AT ITS LIMIT? THOMAS:YEAH. I MORE FOCUSED ON THE 10 YEAR YIELD THAN THE 30 YEAR YIELD. IT IS SAYING A LITTLE ABOUT GROWTH AND INFLATION BUT I WILL TAKE THE OTHER SIDE OF THIS IN THE COMING MONTHS. YOU WANT TO BE A BUYER ON THE LONG END, NOT A SELLER AND LOOKS LIKE I'VE GOT SOME COMPANY IN PETER. WE ARE IN THE MINORITY. EVERYONE THINKS YIELD WILL GO HIGHER. THE MORE TROUBLE YOU SEE IN EUROPE THE BETTER FOR US TREASURIES AND STAY TUNED ON THAT. DAVID: I LIKE THE OPTIMISM. MICRON IS DOWN BUT IT WAS BRIEFLY BACKUP ABOVE A THOUSAND DOLLARS, IT'S UP 254% THIS YEAR, 730 OVER THE PAST 12 MONTHS, CHARLES PAYNE HAS CALLED MICRON THE NEW NVIDIA. IS THE RIGHT? THOMAS:NEVER GO AGAINST CHARLES PAYNE BUT I DISAGREE. IT'S A CYCLICAL BUSINESS. NVIDIA WAS GOING STRAIGHT UP A YEAR AND A HALF. THEY HAVE SOMETHING SPECIAL NO ONE COULD PROVIDE BETWEEN A SOFTWARE STACK AND THE GPUs. ONCE THE INFERENCE GAME CAME INTO PLAY AND CPUs SEEKING MORE PORTS, MICRON BECAME LESS CREEK WHEN YOU SEE OTHER MEMORY STOCKS RALLY WELL NVIDIA IS EFFECTIVELY FLAT. I WOULD BE FADING THIS OPTIMISM IN MEMORY. NEW CAPACITY WILL COME ON BOARD. IT IS PRICING IN ALL OF THE EXCESSIVE DEMAND PEOPLE ARE EXCITED ABOUT. PRICE IS WHAT YOU PAY, VALUE IS WHAT YOU GET, A I WILL CHANGE THE WORLD, THERE ARE BETTER PLAYS TO PLAY AI, THIS ONE IS TOO CROWDED. DAVID: YOU THINK AI IS TOO CROWDED, WHERE ARE YOU FINDING OPPORTUNITY? THOMAS:LET'S TALK BENEFICIARIES VERSUS COST CENTERS. 60% OF ELECTRICITY FOR DATA CENTER DEMAND WILL GROW BY 165%, 60% FUELED BY NATURAL GAS. COMSTOCK RESOURCES IS THE LOWEST COST PRODUCER, HAYNESVILLE SHALE IS PERFECTLY LOCATED NEAR WEST TEXAS, JERRY JONES, OWNER OF THE DALLAS COWBOYS OWN 71% OF THE STOCK OF THE BEST INVESTMENT IMPLYING YOU WILL BE MORE VALUABLE THAN THE DALLAS COWBOYS. DAVID: MY SON WOULD ARGUE NOTHING IS M