Investors are waking up after years of somnolent money-making.
“This emerging trend highlights just how much risk some investors are willing to take in the current environment.”
Happily dreaming in La-la-land till the rude awakening.
In search of the elusive soft landing.
Gundlach frets about bonds during QE unwind, rate hikes, tax cuts, and rising deficits.
But after the last two times they blew it off, there was a “financial event.”
“Let markets clear.” It’ll be just “a financial engineering shock.”
But now the first feeble reactions as stocks and bonds fall.
Fed lays out plan to unwind QE by $600 billion a year. Markets shrug. But “Painful sell-offs eventually materialize…”
A stock or bond market tantrum might stop the Fed in its tracks. But the opposite is happening.