Tick, Tick, Tick

Jeff Gundlach, who has been warning that the U.S. Federal Reserve should not tighten monetary policy in December, gave his “most bearish yet” presentation. According to zero hedge, he cited a number of asset classes that are signaling deteriorating conditions. The commodities market has been facing monstrous declines with copper prices, as an example, down 37 percent since July 2014 while “the breadth of the equity market may be the worst ever.” Gundlach characterized commodities as the “widow maker” of the markets.

Overall, Gundlach said it is “unthinkable” to raise rates with junk bonds and leveraged loans struggling so much. Slides are here, well worth reviewing.

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