Jeffrey Gundlach is a founder of DoubleLine Capital, he spoke after the US CPI data sent shudders through financial markets.
- Doesn’t look like Fed will start cuts in May, likely June if at all.
- Rising interest rate environment could spur company defaults.
- When the economy weakens enough for the Fed to cut in earnest, could see debt expense problems.
- Personal consumption expenditures are more important than CPI at this juncture.
- Inflation on the CPI will relax.
- CPI won’t make that big of a difference for the Fed, but PCE will be important.
- Commodity prices are a leading indicator for the economy.
- More bullish than ever on India.
This article was written by Eamonn Sheridan at www.forexlive.com. Source