I’ll be out with my full notes on today’s Jeffrey Gundlach presentation overnight, but I wanted to just jot a few thoughts down here first…
* Jeffrey seems more optimistic than last year (presentation was called “Getting There” meaning progress is being made) but he does not for a minute believe this recovery period will continue in a straight line
* The sheer level and nature of debt in the world is forefront in his mind, the lack of workable solutions probably right behind it
* Jeffrey’s slides (many of which you’ve seen before) have the effect of making you want to get liquid…I mean really liquid.
* He views a Spanish debacle this summer as likely before an eventual resolution and the breakup of the Euro as inevitable.
* Believe it or not, housing was one of the brighter spots compared to everything else, LOL.
* He’s standing by his trade – Jeffrey continues to believe that the smartest place to be is non-agency MBS, same as last year. We’ll get into why in my follow-up.
Have a good night, all.