'Bond King' Jeffrey Gundlach Turns Bearish Again

'Bond King' Jeffrey Gundlach was the first to turn Bullish when DJIA had plunged below 19000. Now, he says he has turned Bearish and put on new shorts. Beware of upcoming crash. "If the Fed bails out everyone no one actually gets bailed out. Think about it," he has warned.

Billionaire Jeffrey Gundlach, who is nicknamed 'Bond King', is famous for his correct reading of the state of the stock markets and the economy.

On 19th March 2020, when the DJIA had plunged to the lower circuit below 19000, he had sent out a buy call.

"For the first time in years I am now not short any U.S. stocks. I covered my last three shorts today at 2:37 p.m EDT. The profits were just too great to not harvest, and the panic is palpable," he said, implying that the markets had bottomed out.



Presently, thanks to the aggressive bailout packages by the FED, the DJIA is 23,719.

Jeffrey Gundlach has warned that the bailout packages are not sustainable for long and the markets will derail soon.

"Sure glad I closed out all my equity shorts below 19,000 on the DJIA. Equally glad I put a few back on the last couple of days. If the Fed bails out everyone no one actually gets bailed out. Think about it," he has warned.

It is better we heed the warning and stay light.