{"id":2459691,"date":"2023-03-14T10:21:51","date_gmt":"2023-03-14T14:21:51","guid":{"rendered":"https:\/\/www.valuewalk.com\/?p=2459691"},"modified":"2023-03-14T10:21:51","modified_gmt":"2023-03-14T14:21:51","slug":"jeffrey-gundlach-on-silicon-valley-bank-and-yield-curve-recession","status":"publish","type":"post","link":"https:\/\/www.valuewalk.com\/jeffrey-gundlach-on-silicon-valley-bank-and-yield-curve-recession\/","title":{"rendered":"Jeffrey Gundlach On Silicon Valley Bank And Yield Curve Recession"},"content":{"rendered":"<p>Following are excerpts from the unofficial transcript of a <a href=\"https:\/\/www.valuewalk.com\/cathie-wood-discusses-silicon-valley-bank-crash\/\">CNBC<\/a> exclusive interview with DoubleLine Capital CEO, CIO and Co-Founder Jeffrey Gundlach on CNBC\u2019s \u201cClosing Bell\u201d (M-F, 3PM-4PM ET) today, Monday, March 13<sup>th<\/sup>.<\/p>\n<h2>Gundlach On Silicon Valley Bank<\/h2>\n<p>JEFFREY GUNDLACH: I\u2019m not saying Silicon Valley Bank (NASDAQ:SIVB) did anything particularly wrong. They did the classic thing they were borrowing short and, you know, buying long-term fixed rate securities, which by the way, is exactly what the Fed has been doing and that\u2019s why what Dick Bove is saying is correct.<\/p>\n\n\t<!-- Begin Mailigen Signup Form -->\n\t<script type=\"text\/javascript\">\n\t\tif (typeof jQuery == 'undefined') {\n\t\t\tdocument.write('<scr' + 'ipt type=\"text\/javascript\" src=\"https:\/\/list.mailigen.com\/js\/jquery.js\"><\/scr' + 'ipt>');\n\t\t}\n\t<\/script>\n\t<script language=\"javascript\" type=\"text\/javascript\" src=\"https:\/\/list.mailigen.com\/js\/scripts.js\"><\/script>\n\t<script language=\"javascript\" type=\"text\/javascript\" src=\"https:\/\/list.mailigen.com\/js\/subscribe2.js\"><\/script>\n\t<div id=\"MG-placeholder\">\n\t<style>.first{clear:both;margin-left:0}.one-third{width:31.034482758621%;float:left;margin-left:3.448275862069%}.two-thirds{width:65.51724137931%;float:left}form.ebook-styles .af-element input{border:0;border-radius:0;padding:8px}form.ebook-styles .af-element{width:220px;float:left}form.ebook-styles .af-element.buttonContainer{width:115px;float:left;margin-left: 6px;}form.ebook-styles .af-element.buttonContainer input.submit{width:115px;padding:10px 6px 8px;text-transform:uppercase;border-radius:0;border:0;font-size:15px}form.ebook-styles .af-body.af-standards input.submit{width:115px}form.ebook-styles .af-element.privacyPolicy{width:100%;font-size:12px;margin:10px auto 0}form.ebook-styles .af-element.privacyPolicy p{font-size:11px;margin-bottom:0}form.ebook-styles .af-body input.text{height:40px;padding:2px 10px !important}\n\n\tform.ebook-styles .error,\n\tform.ebook-styles #error {\n\t\tcolor:#d00;\n\t}\n\tform.ebook-styles .formfields h1,\n\tform.ebook-styles .formfields #mg-logo,\n\tform.ebook-styles .formfields #mg-footer {\n\t\tdisplay: none;\n\t}\n\tform.ebook-styles .formfields {\n\t\tfont-size: 12px;\n\t}\n\tform.ebook-styles .formfields p {\n\t\tmargin: 4px 0;\n\t}\n\t<\/style>\n<div style=\"background:#eee;display:block;overflow:hidden;margin-bottom:24px;padding:40px;\">\n<div class=\"two-thirds first\">\n<p style=\"font-size:22px;margin:0 0 10px;\">Get The Full Henry Singleton Series in PDF<\/p>\n\t<p style=\"line-height:1.4;margin-bottom:0;\">Get the entire 4-part series on Henry Singleton in PDF. Save it to your desktop, read it on your tablet, or email to your colleagues<\/p>\n\t<form action=\"https:\/\/valuewalk.us4.list-manage.com\/subscribe\/post?u=c3eb7a1d092fc854772c834e0&amp;id=f6f5bdb8b5\" method=\"post\" id=\"mc-embedded-subscribe-form\" name=\"mc-embedded-subscribe-form\" class=\"validate\" target=\"_blank\" novalidate>\n <div id=\"mc_embed_signup_scroll\">\n \n\t\t\t\t<div class=\"af-element mc-field-group \">\n\t\t\t\t\t<div class=\"af-textWrap c1\"><input type=\"email\" value=\"\" placeholder='Email Address' name=\"EMAIL\" class=\"required af-element email\" id=\"mce-EMAIL\"><\/div>\n\t\t\t\t\t<div class=\"af-clear\"><\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"af-element buttonContainer\">\n\t\t\t\t\t<input type=\"submit\" value=\"Subscribe\" name=\"subscribe\" id=\"mc-embedded-subscribe\" class=\"button\">\n\t\t\t\t<\/div>\n \n \n\t<div id=\"mce-responses\" class=\"clear\">\n\t\t<div class=\"response\" id=\"mce-error-response\" style=\"display:none\"><\/div>\n\t\t<div class=\"response\" id=\"mce-success-response\" style=\"display:none\"><\/div>\n\t<\/div>    <!-- real people should not fill this in and expect good things - do not remove this or risk form bot signups-->\n    <div style=\"position: absolute; left: -5000px;\" aria-hidden=\"true\"><input type=\"text\" name=\"b_c3eb7a1d092fc854772c834e0_f6f5bdb8b5\" tabindex=\"-1\" value=\"\"><\/div>\n    \n    <\/div>\n\t<\/form>\n\t<script type='text\/javascript' src='\/\/s3.amazonaws.com\/downloads.mailchimp.com\/js\/mc-validate.js'><\/script><script type='text\/javascript'>(function($) {window.fnames = new Array(); window.ftypes = new Array();fnames[0]='EMAIL';ftypes[0]='email';}(jQuery));var $mcj = jQuery.noConflict(true);<\/script>\n<\/div>\n<div class=\"one-third\">\n<img decoding=\"async\" src=\"https:\/\/www.valuewalk.com\/wp-content\/uploads\/2017\/02\/Singleton-1.jpg\" alt=\"Henry Singleton eBook\" style=\"width:100%; height:auto\">\n<\/div><\/div><\/div><!-- End Mailigen Signup Form -->\n<p style=\"text-align: center;\"><a href=\"https:\/\/valuewalkpremium.com\/q4-2022-hedge-fund-letters-database-now-live\/\" target=\"_blank\"><em><strong>Q4 2022 hedge fund letters, conferences and more<\/strong><\/em><\/a><\/p>\n<div class=\"ca-widget\" data-token=\"k8f5c9ac62a4\">&nbsp;<\/div>\n<p><script async=\"\" defer=\"\" src=\"https:\/\/secure.money.com\/embeds\/embedder.js?v=1\"><\/script><\/p>\n<p>That they own all these treasuries and they\u2019re massively underwater they did quantitative easing. The Fed doesn\u2019t have any money so the only response crises right now is printing money.<\/p>\n<h2>Gundlach On Yield Curve Recession<\/h2>\n<p>GUNDLACH: But I do think that one of the indicators that had not been signaling <a href=\"https:\/\/www.valuewalk.com\/investing-in-a-recession-keep-these-6-factors-in-mind\/\">recession<\/a> was the yield curve was getting steeper and steeper and in all the past recessions going back through decades, the yield curve starts deinverting a few months before the recession comes.<\/p>\n<p>So, since we were at peak inversion last week, it was unlikely that we\u2019re going to go into a recession even in the next four to six months. But at this point with the deinversion happening, the four-to-six-month time window is starting to seem much more plausible.<\/p>\n<h2>Gundlach On Fed To Raise 25 Points<\/h2>\n<p>GUNDLACH: Well, I think the Fed will probably raise just <a href=\"https:\/\/www.valuewalk.com\/50-basis-point-rate-hike-is-the-new-25\/\">25 basis points<\/a>. I would say at this point, the chance, things are happening so quickly that event though it\u2019s a week away, a little over a week away, anything sort of can happen.<\/p>\n<p>But things are happening so quickly, I just think at this point the Fed is going to go 50. I would think 25 and I know people are wondering if they\u2019ll go up at all. I just think to save kind of the program and credibility, they\u2019ll probably raise rates 25 basis points.<\/p>\n ","protected":false},"excerpt":{"rendered":"<p>Following are excerpts from the unofficial transcript of a CNBC exclusive interview with DoubleLine Capital CEO, CIO and Co-Founder Jeffrey &#8230; <a title=\"Jeffrey Gundlach On Silicon Valley Bank And Yield Curve Recession\" class=\"read-more\" href=\"https:\/\/www.valuewalk.com\/jeffrey-gundlach-on-silicon-valley-bank-and-yield-curve-recession\/\" aria-label=\"More on Jeffrey Gundlach On Silicon Valley Bank And Yield Curve Recession\">Read more<\/a><\/p>\n","protected":false},"author":19164,"featured_media":2256547,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"no","_lmt_disable":"no","_mi_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[18],"tags":[659032,659238,660404,663014,664489],"states":[],"acf":[],"modified_by":"Umair Tariq","_links":{"self":[{"href":"https:\/\/www.valuewalk.com\/wp-json\/wp\/v2\/posts\/2459691"}],"collection":[{"href":"https:\/\/www.valuewalk.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.valuewalk.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.valuewalk.com\/wp-json\/wp\/v2\/users\/19164"}],"replies":[{"embeddable":true,"href":"https:\/\/www.valuewalk.com\/wp-json\/wp\/v2\/comments?post=2459691"}],"version-history":[{"count":0,"href":"https:\/\/www.valuewalk.com\/wp-json\/wp\/v2\/posts\/2459691\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.valuewalk.com\/wp-json\/wp\/v2\/media\/2256547"}],"wp:attachment":[{"href":"https:\/\/www.valuewalk.com\/wp-json\/wp\/v2\/media?parent=2459691"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.valuewalk.com\/wp-json\/wp\/v2\/categories?post=2459691"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.valuewalk.com\/wp-json\/wp\/v2\/tags?post=2459691"},{"taxonomy":"states","embeddable":true,"href":"https:\/\/www.valuewalk.com\/wp-json\/wp\/v2\/states?post=2459691"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}