The Fed Minutes That Finally Broke the Bond Market

The May FOMC minutes landed on June 18, 2026, and bond traders finally got the hawkish confirmation they had been bracing for since Kevin Warsh took the chair. Lucas and Luna walk through the specific language change that spooked the market—the removal of the phrase 'some additional policy firming'—and what it signals about the Committee's internal divergence. They connect the dots to the VIX creeping back above 17, the VVIX stubbornly elevated, and the quiet rotation out of rate-sensitive small caps into cash and short-duration Treasuries. This is not a panic. It is a recalibration of expectations for a Fed that no longer telegraphs its next move. #FOMC #FedMinutes #KevinWarsh #HawkishFed #BondMarket #VIX #VVIX #SmallCaps #Russell2000 #Treasuries #RateHike2026 #FedPolicy #MarketRotation #Finance #Investing #FexingoBusiness #BusinessPodcast #StockMarketPodcast Keep every episode free: buymeacoffee.com/fexingo