Pros:
– Potential for prices of long-dated Treasurys to rebound in the first half of 2024 during a predicted recession, according to Jeffrey Gundlach.
– Long-duration Treasurys are considered safer than other investments during times of economic downturns.
– The interest rates on treasuries may provide a stable source of income for investors.
Cons:
– Predicting the timing and severity of a recession is inherently uncertain.
– Long-dated Treasurys may not necessarily provide the highest returns compared to other investment options.
– Economic conditions could change, altering the outlook for long-dated Treasurys and their prices.
Jeffrey Gundlach predicts that long-duration Treasurys will experience a price rebound during the first half of 2024, coinciding with a projected recession.
