Jeff Gundlach reveals his outlook on a range of issues from inflation, to US dollar trajectory and gold prices in his latest monthly podcast entitled,” lockdown”.
Yes, Bond King Jeff Gundlach is referring to the new lockdowns in California which could be extended to the northern hemisphere by the end of summer. If so, we would not be surprised Asian countries were forced to lock down again amid new spikes in COVID-19 cases, deaths. China Returns to Its Strict Covid Limits to Fight a New Outbreak.
“TJeff Gundlach reveals his outlook on a range of issues from inflation, to US dollar trajectory and gold prices”
WEALTH TRAINING COMPANY
Europe has lifted its lockdown in a desperate attempt to save its tourism industry but based on what is happening in Asia it wouldn’t be unreasonable to assume that Europe could also go back into lockdown by the autumn. Maybe this is the era of the AD Pandemic.
What was the point of mass vaccinations, bearing in mind vaccination is only effective up to 6-8 months?
Jeff Gundlach reveals his outlook on the US dollar where he continues to remain bearish
Jeff Gundlach reiterated his bearish dollar call in the short-term, saying the greenback will be correlated to the budget. The Bloomberg Dollar Index has since declined 2.4% since he said that. He also called the Nasdaq “dicey” making a daring call that it could eventually drop as much as it did from 2000 to 2003 (after the dot-com bubble deflated.) He also said it was unlikely to outperform, which he ended up being right about. Since those comments, the Nasdaq Composite rallied 6% relative to the S&P 500’s 9% gain.
“Europe has lifted its lockdown in a desperate attempt to save its tourism industry but based on what is happening in Asia it wouldn’t be unreasonable to assume that Europe could also go back into lockdown by the autumn”
WEALTH TRAINING COMPANY
Jeff Gundlach reveals his outlook on long bonds where he forecasts a moderate decline for long bond yields but held his call for the 10-year yield eventually hitting 3%
Since then, the 10-year yield has remained unchanged, but the yield on the 30-year declined by two basis points.
Jeff Gundlach reveals his outlook on the economy in his latest call where he emphasized the jobs market
The last two payroll reports, both of which were major disappointments, are the key to where markets are going next, according to Jeff Gundlach as he dives into savings, income, and spending trends, all of which are tied to the labor market.
Jeff Gundlach emphasized the labor shortage using a $500 McDonald’s signing bonus and the record JOLTS figure as evidence of dislocations. He also cited bottlenecks in housing, saying there are 10 times as many real estate agents as there are homes for sale.
“Jeff Gundlach remains bearish on the US dollar” – Wealth Training Company
Moreover, Jeff Gundlach added that the amount of US spending has been helping the Chinese economy post its largest export-versus-import gap since 1997.
Concerning inflation, Jeff Gundlach reveals his outlook where he points out that inflation expectations among consumers aren’t unlike that of the 1970s citing current PCE figures which he says he has not seen since the 1990s.
Jeff Gundlach remains bearish on the US dollar where he sees 89 levels for DXY as support. He’s neutral short-term.
Gundlach turned positive on European stocks, saying U.S. outperformance since 2005 relative to the world is coming to an end
He also added that commodities could be in for a breather given their linear move.
Jeff Gundlach reveals his outlook on gold, he thinks the precious metal won’t likely make much more progress but eventually will go higher in response to a weaker dollar.