US inflation to rise above 2% next year – Bond king Jeffrey Gundlach

The US inflation will likely trough in the next several months and rise above 2% in 2021, according to the bond king and Doubleline Capital's CEO Jeffrey Gundlach. 

"The inflation may range from 2.25% to 2.4% in 2021, Gundlach said Tuesday on a webcast for his flagship DoubleLine Total Return Bond Fund, according to Bloomberg. 

While Gundlach foresees a sustained rise in inflation, economists recently surveyed by Bloomberg projected a temporary rise above 2% in the second quarter of 2021. 

The market-based measures of inflation expectations have risen to multi-month highs near 2%, giving gold and treasury yields a lift on expectations of swift global economic recovery on potential coronavirus vaccines.