Bill Gross of the European QE: Too little, too late
Bill Gross,
a veteran in the world of investing,
Mario Draghi praised the plan to revive the economy
Eurozone vkachivaya it 60 billion euros
monthly, the words' too little,
too late". According to Gross, in
ECB President had no choice,
but to aggressively promote the idea
quantitative easing. but
The company's success hampered by the
the fact that Mr Draghi is too long
I waited and did not start the buyback program
assets.
Mr Gross
said that the delay in decision-making
and the subsequent drop in interest rates
throughout Europe raises doubts on
the topic of whether banks will be able to - pipeline
between QE and the real sector
Economy - to use the money for
appointment.
"I do not think that
Europe's QE will work well
the same as in the US. There is only a limited
the number of securities to buy and
interest rates are now so
low, that banks do not necessarily
begin to pump capital into the real
sector of the economy. I'm wondering,
I do a lot of good will from QE
European model ".
septuagenarian
a veteran of the stock market is variegated
history of relations with QE. AT
2011, he is very much mistaken, wrong
assessing the value of redemption of securities
US and missed the rally American
Treasury securities. In 2013, he
incorrectly calculated the beginning of time
Fed purchases of assets. This error is caused
the biggest drop Pimco income
the last two decades.
Also in the interview
for the Financial Times Mr Gross
He said he expects the two increases
Fed interest rates this year, the first
of which will be held in June or July.
The rate will rise to suspected
25 points.
"Likely,
sure we'll know about it by March -
he says. -If at the March meeting
The Fed will maintain a tough, impatient
rhetoric, and it will be a signal to the fact
It will rate increased in June or later.
Even in the face of looming deflation
The Fed acknowledged that the zero or close
zero interest rate itself distorts
the essence of capitalism. " Bill Gross adds,
that an increase in interest rates will
"Symbolic" the Fed move.
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