Gundlach Warns Recession and Layoffs May Be Around the Corner

Veteran bond investor Jeff Gundlach says signs point to an upcoming recession that will cost Americans jobs.

Gundlach points to the narrowing gap between 2-year and 10-year Treasury yields as a sign of a looming slump.

The yield curve inverted in mid-2022 and has now partially de-inverted, which often precedes recessions.

The still-low unemployment rate has moved above its 12-month average, another "recessionary" signal per Gundlach.

Gundlach believes layoffs are coming soon, pointing to recent cuts at tech and finance firms.