Long-term bonds would benefit from Federal Reserve tightening as stocks continue to climb with help from their "best friend," near-zero interest rates, bond investor Jeffrey Gundlach said Wednesday.
Gundlach, Doubleline Capital's CIO, said he doesn't believe the Fed will raise interest rates this year. Many analysts think one will come in September, but it wasn't too long ago that expectations were for one in June.
"If the Fed doesn't raise rates, that's bad for the long bond because the bond wants it to tighten. And it's positive for stocks because stocks love their friend, zero interest rate policy," Gundlach said on CNBC's "Squawk Alley."