DoubleLine's Gundlach says fed funds rate should be 50 basis points higher
TLT•Gundlach says fed funds rate should be higher
NEW YORK, Sept 8 (Reuters) - DoubleLine Capital Chief Executive Officer Jeffrey Gundlach said in a webcast on Tuesday the federal funds rate should be 50 basis points higher.
"The fed funds rate looks like it should probably be up about 50 basis points higher than it is right now, based upon where the two-year Treasury yield is," said Gundlach, an influential bond investor.
"Fed day is next week ... and we'll see what happens."
Gundlach noted that at the moment the rate futures market has priced in about a 60% chance of a rate increase, but he would not be surprised if the Fed does not raise interest rates next week.
