Posted on 03/10/2017 10:56:22 AM PST by Lorianne
Jeffrey Gundlach, chief executive officer at DoubleLine Capital, said on Tuesday he expects the Federal Reserve to begin a campaign this month of "old school" sequential interest rate hikes until "something breaks," such as a U.S. recession.
Gundlach, who oversees more than $101 billion at Los Angeles-based DoubleLine, said U.S. economic data support a rate increase as soon as the next Fed policy meeting on March 14-15, and further rises this year, after a series of false starts in 2015 and 2016.
"Confidence in the Fed has really changed a lot," Gundlach said on an investor webcast. "The Fed has gotten a lot of respect with the bond market listening to the Fed" now that economic data support the tough rhetoric from Fed officials.
(Excerpt) Read more at reuters.com ...
In so many ways, we’re entering “fun times”. :)
I’m so glad I got out of Seattle and into a farm in rural KY. And chickens.
They are trying to kill any chance of recovery that trump can claim credit for.
Glad I got my mortgage when I did.
Yellen wants to tank Trump’s economy. She’s Obama’s girl.
I’m surprised they waited this long. I thought they’d do it the day Trump got in
A quarter point raise by the Fed there or four times this year is not going to do much of anything to the economy. The rates are so low that it is going to take years to normalize rates.
“Glad I got my mortgage when I did.”
Me too. A friend of mine who is very successful in real estate warned me two years ago. He said right after 0bama left office interest rates would go up and away. My guess is that Janet Yellin is a Democrat. I don’t believe that the Fed is independent of politics like they claim.
And Treasury is asking Congress to raise the debt limit. We are living during great times.
It was GWB who started this "temporary" scheme of lowered interest rates so the feds could pay off debt. Instead, the idiots (or traitors, take your pick) chose instead to go further in debt.
Yup....I would only get concerned about rate raises if the Fed starts doing half point, or full point raises every meeting.
This is their economic weapon against Trump. Notice this came out just as the enormous job gains were reported. The Deep State cannot allow Trump to succeed, or they will lose the whole Progressive project (for which we would praise God).
We suspected that after Obutthole left office that rates would begin to rise so we have cleared nearly all debt but our low interest 15yr fixed mortgage. Unfortunately most have not done so, including our GenX kids. I worry about them and our grand kids.
I am glad to see rates start to increase.
My moneymarket is paying 0.75% per year. Some 25 years ago, my moneymarket was paying a moderate rate of 8%.
Low interest rates are great for credit cards, mortgages, auto loans, etc. Low interest rates are the pits for ‘cash’ saving accounts.
Yellin doesn't raise interest rates, the Fed Open Market Committee does. Yellen is one vote of ten.
I agree, but rising interest rates are not good for governments in debt.
Back in october when it looked like hilary was going to win the fed in its minutes especially yellen talked about measured increases and to essential expand the low rate game hinting at a no rate increase in december and maybee a increase in 2017...
Trump wins... Increase in dec 2016, now we are going to have an increase in March and one in june and december... They are activly acting agains the trump administration.
Jeffrey Gundlach, chief executive officer at DoubleLine Capital, said on Tuesday he expects the Federal Reserve to begin a campaign this month of “old school” sequential interest rate hikes until “something breaks,” such as a U.S. recession.
...
Historically, he’s taking the smart position. The FOMC is the great causer of recessions and suppressor of wages.
and the adjustable interest rate debt is so high that you are going to hear a great sucking sound of cash out of the economy.
Yellen wants to tank Trump’s economy. She’s Obama’s girl.
...
Volcker clobbered Reagan’s economy in his first term and he’s remembered as an all knowing god.
Yup....I would only get concerned about rate raises if the Fed starts doing half point, or full point raises every meeting.
...
It’s all relative. The yield curve is the best indicator of Fed malfeasance.
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