Tags: Gundlach | dollar | headed | higher

Jeff Gundlach Stays on Message: 'Dollar Is Headed Higher'

By    |   Sunday, 07 December 2014 04:19 PM

On Thursday, star bond investor Jeffrey Gundlach, CEO of DoubleLine Capital, predicted that the dollar is headed still higher.

And wouldn't you know it, the greenback hit a seven-year peak against the yen and a two-year high against the euro Friday.

The dollar's advance Friday came after a strong November jobs report. Nonfarm payrolls soared 321,000 last month, the biggest gain in almost three years.

"Currency trends are long in the making and longer in playing out," Gundlach told Business Insider on Thursday. "Most investors challenged me when I informed them the dollar bottomed a long time ago. But look it up. The dollar is headed higher."

The greenback has been rising for about seven months against the euro and four months against the yen. The dollar traded at 121.51 yen and the euro at $1.2282 Friday afternoon. Gundlach predicted it was bottoming out in 2010-11, and on June 10 this year predicted a breakout.

The U.S. currency's ascent has come as the U.S. economy steams forward, while the eurozone and Japan slump.

Many market participants say the November payroll gain will help push the Federal Reserve to boost interest rates around mid-2015, buoying the dollar.

"This number should put a little bit more pressure on the Fed to look at raising rates in 2015, hopefully in the first half of the year," Lennon Sweeting, a dealer at USForex, told Bloomberg.

"That would keep the dollar rolling in a very positive way."

Related Articles:

© 2019 Newsmax Finance. All rights reserved.

   
1Like our page
2Share
Finance
"Most investors challenged me when I informed them the dollar bottomed a long time ago," asserts star bond investor Jeffrey Gundlach, CEO of DoubleLine Capital. "But look it up. The dollar is headed higher."
Gundlach, dollar, headed, higher
266
2014-19-07
Sunday, 07 December 2014 04:19 PM
Newsmax Media, Inc.
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
America's News Page
© Newsmax Media, Inc.
All Rights Reserved