Gundlach: Fed Is Guessing That Inflation Will Be Transitory

The transcript discusses the Federal Reserve's perspective on inflation, indicating that they believe inflation will rise and not just temporarily. However, there is an acknowledgment of uncertainty in their predictions, suggesting that the Fed is making educated guesses about the economic future.

What are the potential consequences of inflation going higher as suggested by the indicators?

In what way is the Fed trying to paint the picture of inflation?