Pimco: QE is a Desperate Gamble to Promote Growth

Investors are playing a dangerous game, according to Pimco’s Bill Gross.  In his monthly investment outlook, the bond king characterized central banks’ “medicine” of loose monetary policy as a “desperate gamble to promote growth.”

The Federal Reserve has launched three rounds of stimulus — or quantitative easing — since late 2008.

And its spigot of cheap money is largely responsible for the bull market of the last five years. The S&P 500 has more than doubled during that time.  The consequence, according to Gross: “artificially priced assets based on artificially low rates.”

CNN

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