BILLIONAIRE investor Jeff Gundlach has predicted Donald Trump will scoop his democrat rival to win the public’s backing as America’s next President.
The American bond guru has now advised followers to prepare for a Trump presidency.
I think it’s important for investors to deal with reality.”
The chief executive of DoubleLine added Americans should expect the Republican to go on a spending spree fuelled by credit.
He’s very comfortable with debt. We know that about Donald Trump.”
The famed investor has previously likened Trump to former president Ronald Reagan, who was in power during the eighties.
At the Sohn Investment Conference, Gundlach said:
What’s going to happen is you’re going to get a Reagan response with Donald Trump.
He promises a wall, he promises to bring jobs back, and he promises a lot of infrastructure spending.
Let’s face it: Trump is extremely comfortable with debt.”
It will probably look like it’s working at first.
The question is, will the boost to the economy from infrastructure projects and the like off-set the potential drag from shrinking global trade.”
It comes after Trump won the Indiana primary Tuesday, and Ted Cruz and John Kasich pulled out of the race to secure the Republican nomination for presidency.
Gundlach has now advised investors to avoid companies exposed to a hit in global trade, especially if they are dependent on Mexico or China.
Donald will have to at least try to build a wall, at least try to do something with jobs, try to help the median America. How far he’ll go, I don’t know.”