2024-09-21 10:38:00

Need to Know: Jeffrey Gundlach says bonds are wickedly cheap compared to stocks and offers one way to get a 9% return...

Logo MarketWatch
MarketWatch
By Steve Goldstein

You can forgive Jeffrey Gundlach, a long-suffering Buffalo Bills fan, if he has the NFL on his mind now that the team he supports looks like the Super Bowl favorite. The chief executive of DoubleLine Capital says he recalls an ad for Crown Royal whisky, in which a referee tells drinkers to take a water break.

The tagline is stay in the game,' said Gundlach, in a Twitter Spaces conversation hosted by Jennifer Ablan, the editor in chief of Pension and Investments. [The Fed] started partying which is a euphemism for tightening one shot, two shots, back-to-back three shots, and now three more like dude, have a water, you know? Slow down.

AD
AD

Gundlach says theres a serious risk the Fed will overtighten, and overshoot on the downside just as it overshot on the upside, particularly as its also reducing the size of its balance sheet through quantitative tightening. Since theyre trying to get [inflation] down 700 basis points, the overshoot may be even bigger, he says. Maybe it moves down to negative 4% on CPI, or negative 2%.

He says thats what the bond market is saying with inflation running at between 8% and 9%. Why is anyone buying a 3.50%-ish 30-year Treasury TMUBMUSD30Y, 3.546% ? The only logic that squares the circle is that inflation will overshoot to the downside.

Continue read on marketwatch.com

AD
Logo Bloomberg
MarketsBy Emily Graffeo2024-09-14 04:46:43
Jeffrey Gundlach of DoubleLine Capital is worried the Fed will choke off economic growth by raising interest rates too fast. Former Treasury Secretary Larry...

Logo Bitcoin.com
CryptocurrenciesBy Kevin Helms2024-09-18 01:30:47
Billionaire Jeffrey Gundlach, aka the Bond King, has shared his view on when to buy cryptocurrency. “You need a true Fed pivot,” he stressed. Gundlach also...

Logo CNBC
MarketsBy Yun Li2024-09-14 17:36:08
Cathie Wood, chief executive officer and chief investment officer, Ark Invest, gestures as she speaks during the Bitcoin 2022 Conference at Miami Beach...

Logo Kitco NEWS
EconomyBy Anna Golubova2024-09-14 15:48:33
(Kitco News) It is too early to jump on the crypto bandwagon as more rate hikes are still coming, said DoubleLine CEO Jeffrey Gundlach. I'd certainly not be...

Logo MarketWatch
MarketsBy Vivien Lou Chen2024-08-24 14:09:00
Treasury yields advanced Wednesday morning, led by the 2-year maturity which reflects the near-term path of Federal Reserve policy, as investors digested...

Logo CNBC
EconomyBy Lee Ying Shan2024-09-14 05:52:45
Key Points That level of uncertainty in terms of terminal rates, where the Fed will stop raising, is now officially an unknown. And so that's extremely...

Logo MarketWatch
MarketsBy Barbara Kollmeyer2024-09-15 10:54:00
After that CPI shock earlier in the week, Wall Street is bracing for a fresh batch of data including retail sales, on Wednesday, with a deepening yield curve...

Logo Nasdaq
Business / FinanceBy Rtt News2024-08-26 17:40:15
(RTTNews) - After pulling back sharply early in the session, stocks have seen further downside over the course of the trading day on Friday. With the steep...

Logo RTTNews
EconomyBy Rtt News Staff Writer2024-08-26 17:40:15
After pulling back sharply early in the session, stocks have seen further downside over the course of the trading day on Friday. With the steep losses on the...

Logo RTTNews
EconomyBy Rtt News Staff Writer2024-08-26 15:00:20
Stocks have moved sharply lower over the course of morning trading on Friday, largely offsetting the upward move seen over the two previous sessions. The...

Logo MarketWatch
MarketsBy Barbara Kollmeyer2024-08-29 11:17:00
Still reeling from Fed Chairman Jerome Powells higher-for-longer remarks last week, riskier asset like equities look set for another battering, on Monday....

Logo Nasdaq
Business / FinanceBy Reuters2024-09-15 05:56:52
By Tom Westbrook SINGAPORE, Sept 15 (Reuters) - Asia's stock markets were mixed on Thursday, a day after their biggest slide in three months as investors...

Logo MarketWatch
MarketsBy Jamie Chisholm2024-08-26 12:39:00
What Federal Reserve chairman Jay Powell says on Friday in his speech at the Jackson Hole symposium should swiftly ripple across the markets. From interest...

Logo MarketWatch
MarketsBy Greg Robb2024-08-27 14:34:00
The odds are high that the United States economy will sink into a recession sometime within in the next year, according to a former chief economist for the...

Logo Nasdaq
MarketsBy Etf Trends2024-09-08 23:07:07
By Roman Chuyan, CFA Investors hope that the Fed killed inflation, and would soon end its tightening, fueled the summer market rebound. Chairman Powell...

Logo Investing.com
MarketsBy Investing Com2024-08-29 10:39:21
© Reuters. Larger Risk for Stocks Remains Earnings, Not Rates - Morgan Stanley's Wilson By Senad Karaahmetovic Reflecting on the last week and especially a...

Logo The Daily Hodl
CryptocurrenciesBy Daily Hodl Staff2024-08-31 20:00:42
The chief global strategist at JPMorgan Asset Management is reportedly warning investors to avoid Bitcoin ( BTC ) as the threat of a recession looms. In a...

Logo MarketWatch
MarketsBy Steve Goldstein2024-09-14 11:07:00
Not for the first time, inflation numbers caught the market by surprise. The bad news was the S&P 500 SPX, -4.32% saw the largest one-day decline in two...

Logo Investing.com
EconomyBy Bloomberg2024-08-25 14:54:15
(Bloomberg) -- Federal Reserve officials stressed the need to keep raising interest rates even as they reserved judgment on how big they should go at their...