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DEMONS ON THE HORIZON. BOND KING JEFFREY GUNDLACH CAUTIONED.

 "Jeffrey Gundlach ( Nick name, Bond King) issued a slew of warnings about the stock market, the US dollar, and an upcoming recession during the Future Proof conference last week."

""The economy is definitely weakening," Gundlach said. "I look for one next year, and I think the indicators are getting really convincing in that regard," he said about the prospect of a recession."

"The veteran investor also rang the alarm on the greenback, warning the federal government is likely to spend aggressively during the next economic downturn and bring itself to the brink of financial collapse.


"I think the dollar weakens tremendously in the next recession," he said. "The response to the next recession is going to be a complete disaster relative to our fiscal position, and that's going to be the wake-up call where we realize the United States is bankrupt, that we cannot honor our liabilities."

Gundlach suggested that realization could lead to a "complete abandonment" of the dollar, and a wholesale rejigging of the US financial system, in line with the wider de-dollarization trend.


"If you don't see that coming now, you're just an ostrich with your head in the sand," he said."

SOURCE:

https://markets.businessinsider.com/news/stocks/stock-market-outlook-us-dollar-recession-gundlach-economy-dedollarization-fed-2023-9

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