If Paul Ryan can’t scrounge up a few dozen more votes for the Republican healthcare plan, the economy is doomed. At least that’s DoubleLine Capital chief Jeffrey Gundlach’s take. The man of many enthusiasms figures that the Trump rally has been looking a little tired lately, anyway, and if the G.O.P. can’t get through the one thing it seemed they all agreed on, then Congress may as well just close down until the midterms next year.
"Surveys show that people believe the (Obamacare) repeal is the most likely part of Trump’s agenda to be passed," Gundlach, who oversees more than $101 billion in assets at DoubleLine, told Reuters. "So if you can’t pass the repeal, everything else is in doubt for sure...."
Gundlach, who is known on Wall Street as the Bond King, said Tuesday's stock-market slump illustrated how "investors are questioning whether the pro-growth U.S. policies are really going to happen."