Fed will have to 'capitulate' over interest rate hikes, says DoubleLine's Jeffrey Gundlach
Aug 11, 2023
Fed will have to 'capitulate' over interest rate hikes, says DoubleLine's Jeffrey Gundlach
Jeffrey Gundlach, DoubleLine Capital CEO, joins CNBC’s “Closing Bell” to discuss the ongoing banking crisis and his forecasts for the economy and stock market. For access to live and exclusive video from CNBC subscribe to CNBC PRO: https://cnb.cx/2NGeIvi https://cnb.cx/SubscribeCNBCtelevision https://cnb.cx/SubscribeCNBC http://www.cnbc.com/ https://cnb.cx/LinkedInCNBC https://cnb.cx/LikeCNBC https://cnb.cx/FollowCNBC https://cnb.cx/InstagramCNBC https://www.cnbc.com/select/best-cred …
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0 -> you don't think forgive me for
1.319 -> interrupting you but you don't think
2.46 -> that you know if you get to 42 or 4 300
5.16 -> on the S P the the and as you said that
8.22 -> the storm has passed at least the first
10.08 -> storm you don't think the fed's going to
11.94 -> say you see we can do it we can keep
14.519 -> going the stock market is fine the
17.279 -> economy is still okay we put out a fire
20.64 -> and we did it relatively quickly and if
22.8 -> there's another flare-up we'll just do
24.3 -> it again they may feel that way but it's
27.42 -> a ways to the next meeting and we have a
30.66 -> couple of employment reports uh coming
33 -> out I think the next meeting is is May
35.399 -> is May 3rd I there probably isn't an
37.92 -> employment report because that would be
39.18 -> on a Wednesday so the point we're Beyond
40.8 -> but there's going to be some economic
42.84 -> data and the way things are going I
46.02 -> expect the economic data to be weakening
48.18 -> and so I'm not so sure the fed's going
50.34 -> to be able to feel like you know we've
51.539 -> pulled this off because the economy uh
54.059 -> is is has been deteriorating for quite
56.82 -> some time and I I don't think it's
60 -> very logical to assume that trend is
61.98 -> going to continue so I just don't think
63.719 -> I just don't think the FED I I think the
66.24 -> FED kind of half-heartedly raised rates
68.28 -> it reminds me of the old story I tell
70.799 -> about this guy the guy that swam across
72.9 -> the English Channel first Guys across
74.76 -> the English Channel went to uh Western
77.4 -> New York and saw these amazing Rapids in
80.159 -> Niagara Falls and he made a boast that
81.96 -> he could swim across it and he actually
84.479 -> the reporters came and he actually did
86.52 -> jump in down in the lower Gorge of the
88.68 -> Niagara River and he was seen flailing
90.78 -> his arms and legs a little bit and then
92.4 -> they found his dead body six miles down
94.68 -> the river
95.88 -> um he had to do it because he bragged
98.04 -> about it and just wanted to save face I
100.439 -> sort of felt like and I talked about
101.64 -> this two weeks ago that's kind of where
103.2 -> what it felt like to me was where the
105.54 -> Fed was at uh in the press conference
107.82 -> last week so I don't think they're very
109.68 -> braggadocious about uh or highly
112.979 -> confident in what was not plot out there
116.159 -> no still remaining out in 2024 I think
119.1 -> they're going to have to capitulate yeah
121.38 -> well May 3rd we're going to find out and
123.84 -> the good news is we're going to be
124.92 -> together again right after that fed
127.439 -> decision so I can't wait for that keep
129.539 -> your calendar open for me okay
Source: https://www.youtube.com/watch?v=rh75VojGA9U
