DoubleLine bond guru Jeff Gundlach he's long the dollar now but that the dollar will go down 'in the next recession, which might not be until 2023'. He said short USD was his highest-conviction call.
His path for interest rates is two 50 bps hikes and then several more 25 bps hikes before year end. That's slightly more-dovish than what's priced into the market.
He said "we are at peak inflation - that is going to be sticky".
In terms of stocks, he said to bet on consumer staples and against cyclicals. He also said tech will underperform and likes Europe and emerging markets.
As for the Fed, he said they will simply follow the 2-year yield. Notably, the 2-year is down 8.6 bps to 2.42% today.
