DoubleLine

DoubleLine Portfolio Manager Ken Shinoda, CFA surveys markets through June, including the outperformance of a handful of tech stocks, possible near-term $ strength on higher Treasury rates and attractive relative values in Agency MBS. https://lnkd.in/gzABPyvt

Today the Federal Reserve holds $4.45 trillion U.S. Treasuries on its balance sheet, a whopping 550% increase over the past 20-years. While this may sound like a stark increase, and it is, the Fed’s holdings of U.S. Treasuries have not kept up pace with the increase of U.S. Treasury debt outstanding which has surged more than sixfold during the same period. Of the $27 trillion of marketable U.S. Treasury debt outstanding, the Fed now holds nearly 17%, down from the 25% peak reached at the end of 2021, and perhaps surprisingly to most, in line with the pre-global financial crisis (GFC, 2002-2007 average) era.

Thanks to Jeffrey Gundlach, CEO of DoubleLine, for joining me to share his thoughts about rates, inflation, the economy and how all three may impact your portfolio. Tune in to listen to our conversation.

In State of Flux we noted, “The current market setup creates an interesting proposition for U.S. Treasury investors in that should U.S. economic data, particularly the inflation data, soften over the coming quarters we would expect to see a rally in U.S. Treasuries.” On June 12th, we received some of that in form of a soft consumer price index (CPI) data print which fueled financial markets. Since the CPI release, benchmark U.S. 10-year Treasury yield have declined 13 basis points (bps) and S&P 500 futures have risen 1.7%. #economy #supercore #rates 

DoubleLine’s Jeffrey Sherman visits CNBC’s Money Movers to talk inflation data, French elections and U.S. debt. #rates #economy #credit

Today the Federal Reserve holds $4.45 trillion U.S. Treasuries on its balance sheet, a whopping 550% increase over the past 20-years. While this may sound like a stark increase, and it is, the Fed’s holdings of U.S. Treasuries have not kept up pace with the increase of U.S. Treasury debt outstanding which has surged more than sixfold during the same period. Of the $27 trillion of marketable U.S. Treasury debt outstanding, the Fed now holds nearly 17%, down from the 25% peak reached at the end of 2021, and perhaps surprisingly to most, in line with the pre-global financial crisis (GFC, 2002-2007 average) era.

DoubleLine Founder and CEO Jeffrey Gundlach conducts a broad review of macroeconomic and market readings, including an in-depth dive into inflation data and labor readings “on the brink of, but too early to declare, recession.” https://lnkd.in/gcUN4dAg

Inflation, interest rates and government borrowing are affecting the markets. Hear from our Chief Investment Officer, Chris Hyzy, and DoubleLine CEO, Jeffrey Gundlach, what this means for your portfolio and the importance of a long-term approach. Tune in to the conversation.

As this week’s chart shows, the divergence between the Establishment and Household surveys has grown with the Establishment Survey indicating 4.1 million more jobs than the Household Survey. Which data series is better gauging the health of the economy? #unemployment #laborforce #economy

In State of Flux we noted, “The current market setup creates an interesting proposition for U.S. Treasury investors in that should U.S. economic data, particularly the inflation data, soften over the coming quarters we would expect to see a rally in U.S. Treasuries.” On June 12th, we received some of that in form of a soft consumer price index (CPI) data print which fueled financial markets. Since the CPI release, benchmark U.S. 10-year Treasury yield have declined 13 basis points (bps) and S&P 500 futures have risen 1.7%. #economy #supercore #rates