Bill Gross: Central banks have gone too far and continue to go too far in their misguided efforts to support future economic growth
Bill Gross: Central banks have gone too far and continue to go too far in their misguided efforts to support future economic growth. In his latest investment outlook letter Bill Gross shares his views on the future implications of currency wars and the resulting negagtive rates. Gross concludes; The financial system has become increasingly vulnerable only six years after its last collapse in 2009. Investors and bondholders who have cheered every instance of lower and now sub-zero yields in developed countries because of near-term capital gains that accompany them, must now beware of the potential negative consequences going forward. Central banks have gone and continue to go too far in their misguided efforts to support future economic growth. Home bred monetary policies earn blue ribbon rewards in the short term, but in the long run may undermine the entire show and send the dogs towards the exits. The full letter is available here: (VIEW LINK)
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