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Published 1 year ago

'Red alert recession signals.' Gundlach expects the Fed to cut rates substantially 'soon.'

Summary by Ground News
Jeffrey Gundlach, DoubleLine Capital’s chief executive and chief investment officer, predicts the Fed will have to cut rates substantially soon. He zeroed in on what he called  red alert recession signals, pointing out that the yield on the 10-year Treasury yield TMUBMUSD10Y, 3.353% versus the 2-year treasury yield TMubMUSD02Y,. 3.695% is now inverted by 40 basis points. The Fed Funds rate currently stands at a nearly 16-year high of 4.75% to 5%, from close to zero a year ago.

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