...The Fed at one time had pegged nominal 2015 gross domestic product growth in excess of 5 percent, Gundlach added. First-quarter real GDP actually contracted 0.2 percent, with expectations for the second quarter varying around 2.4 percent to 3 percent, and the Fed's favorite inflation gauge is reading barely above 1 percent.
Gundlach believes the Fed will not raise rates in 2015. He cautioned investors against assuming that a tightening process will happen just because Fed Chair Janet Yellen said the Fed believes a hike will happen this year.
He said the Fed's data dependency ultimately will lead to a delay in increases.