This Is Jeff Gundlach’s Favorite (& Scariest) Chart … “These lines will converge …”

This Is Jeff Gundlach’s Favorite (& Scariest) Chart:

According to DoubleLine’s Jeff Gundlach, this is his favorite chart – backing his persepctive that equity markets have “2% upside and 20% downside) from here.

In his words: “These lines will converge…”

20160309_gundlach

Chart: Bloomberg

It should be pretty clear what drove the divergence, and unless (and maybe if) The Fed unleashes another round of money-printing (or worse), one can’t help but agree with Gundlach’s ominous call.

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