Gundlach is the founder of DoubleLine Capital, some remarks crossed the news wires in response to the Federal Open Market Committee (FOMC) decisions today.
- This is one of the best Federal Reserve decisions in a while
- Its the right thing to not raise rates
- We have a lot of crosscurrents in the economy
- Very prudent for the Fed to have a "wait and see" attitude
- Probability for rate hikes is higher than before recent oil spike
- The narrative is going to develop that there won't be a hike in November
- The unemployment rate is going to go higher
- The economy could slow down fairly quickly
- Treasury bonds are quite attractive at this moment
- The next bond rally will not last
- Think we are getting near the end of this 10-year rate rise
- Quite likely there will be rate cuts in first half of next year
- The equity market is really overvalued versus bond market
- Could make a case to build a position in commodities
