zerohedge.com / by Tyler Durden / 05/26/2016 07:47
In his latest market commentary, presented by Reuters on Tuesday night, Gundlach remained skeptical on the stock market. Specifically, he said that the rally in U.S. stocks, which began on Monday, feels like a short squeeze and characterized U.S. stocks as “dead money.”
He also mocked the return of the rate hikes are good fabulation, which has reemerged in recent days following the Fed’s hawkish shift, and which is a carbon copy of what happened late last year when the Fed’s first rate hike was also spun as positive: “I feel like we are back in December again, where everyone thinks that there is a super secret that some Fed officials have this knowledge that the economy is really good.”
But back to the market, which the DoubleLine manager said an interview with MarketWatch on Wednesday that he’s not ready to endorse, even as the S&P 500 index has climbed 1.9% over the past week.
So is there anything that would make a gloomy Gundlach bullish? As it turns out the answer is yes, but it is a big bogey.
Thanks to BrotherJohnF