SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Bonefish who wrote (1221255)4/16/2020 9:49:55 AM
From: Wharf Rat  Respond to of 1580216
 
Good idea. Excuse me for a moment.



To: Bonefish who wrote (1221255)4/16/2020 10:04:21 AM
From: RetiredNow  Respond to of 1580216
 
Gundlach speaks. That guys one smart cookie...McNamara's response tweet is wrongheaded, though. Gundlach's flagship fund has had tremendous alpha during the COVID crisis and is actually benefitting from the Fed "buy all bonds" actions. So Gundlach is talking against his book when he criticizes the Fed. When I criticize the Fed, I'm talking against my own portfolio as well. I'd say that is credibility.

------
Bond giant Gundlach blasts ‘failed’ and ‘broken’ Federal Reserve

Fund manager says the US central bank is now in contravention of its own rules with stimulus efforts.
Chris Sloley15 April, 2020
Bond heavyweight Jeff Gundlach has blasted the Federal Reserve as a ‘failed’ and ‘broken’ institution, claiming the central bank is now acting in contravention of its own charter.

In two tweets on 14 April, the DoubleLine Capital founder said the US central bank is now not acting in compliance with the Federal Reserve Act of 1913 with its widespread stimulus efforts.

The comments followed a series of measures announced by Jerome Powell, which has seen unprecedented action and support to combat the economic impact of the Covid-19 outbreak.

According to CNBC, the Fed has announced 16 market-moving measures since 3 March as part of plans to arrest an economic collapse. This has included rate cuts and a $2.3tn (£1.8tn) lending programme announced on 9 April which meant around $6tn (£4.8tn) of liquidity has been made available.

For Citywire + rated Gundlach this appeared to be the straw that broke the camel’s back. He tweeted: ‘An institution violating the rules of its own charter is de facto admitting that said institution has failed and is fundamentally broken.’

In a subsequent tweet, Gundlach said he expected the Fed to announce ‘some wonky semantic argument’ that would justify the stimulus. He said it would be the same type of justification it used for stimulus measures announced last year which, Gundlach stressed, was also ‘not QE’.

However, not everyone shared Gundlach’s outrage. Veteran fund manager and avid Twitter user Paul McNamara, who runs several strategies at GAM, offered a facetious take on the LA-based manager’s messages.



HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News