The federal funds rate will be capped at 4%, the housing market is due for a correction, oh, and by the way, "JELL-O sucks," according to Bill Gross, the well-known managing director of Pacific Investment Management Co., Newport Beach, Calif.
Mr. Gross, in his most recent Investment Outlook report, starts off by complaining about how he could only eat flavored gelatin for a day because of an upcoming medical exam: "I'm HUNGRY. I'd sneak out to the kitchen right now for some of … cookies, but the doctor would find out and make me swallow the castor oil all over again. Oh man, now I love food — and not that awful green JELL-O that I've been swallowing since I got up this morning. JELL-O sucks. Just give me a peanut butter sandwich will ya please."
Mr. Gross eventually did get serious, speculating how a correction in prices in the U.S. property market because of further interest rate hikes could lead to increased caution among investors and prospective home buyers.
"(Mr. Gross) is known a lot for having different opinions and thinking outside the box," said James Clarke, a PIMCO spokesman.
