‘Sell everything,’ DoubleLine’s Gundlach says
“The artist Christopher Wool has a word painting, ‘Sell the house, sell the car, sell the kids.’ Thats exactly how I feel sell everything. Nothing here looks good, Gundlach said in a telephone interview. “The stock markets should be down massively but investors seem to have been hypnotized that nothing can go wrong.
“The yield on the 10-year yield may reverse and go lower again but I am not interested. You don’t make any money. The risk-reward is horrific,” Gundlach said. “There is no upside” in Treasury prices.
Gundlach reiterated that gold and gold miners are the best alternative to Treasurys and predicted gold prices will reach $1,400. U.S. gold on Friday settled up at $1,349 per ounce.
Gundlach lambasted Federal Reserve officials yet again for talking up rate hikes for this year while the latest GDP data showed disappointing economic growth. “The Fed is out to lunch. Does the Fed look at what’s going on in the economy? It is unbelievable,” he said.
Overall, Gundlach said the Bank of Japan’s decision on Friday to stick with its minus 0.1 percent benchmark rate — and refrain from deeper cuts — reflects the limitations of monetary policy. “You can’t save your economy by destroying your financial system,” he said.”
http://www.cnbc.com/2016/08/01/sell-everything-doublelines-gundlach-says.html
Comment: I do not think this man is alone in his views that gold and miners is a great place to be. More folks like him and we have the underpinnings of a major gold and silver rally. About time the ‘big boys’ took a ride on the Gold Train ! Think a lot of folks are getting out of Wall St town while the getting is good.
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