Gross says Fed likely to keep rates low through 2010

12/10/2009 | Reuters

Bill Gross, who runs Pacific Investment Management, said the Federal Reserve would likely maintain ultralow short-term interest rates throughout 2010 as economic growth remained weak. "If they move by even 25 or 50 basis points, the market will interpret that as 200, 300, 400 to come," Gross said. "And so the Fed is cemented [at ultralow levels] until the economy can stand 'the shock' of higher interest rates that that signal would produce."

View Full Article in:

Reuters

Published in Brief: