Bill Gross Gets ‘New Neutral’ Endorsement on First Day at Janus

On his first full business day at Janus Capital Group Inc., Bill Gross yesterday got a blue-chip endorsement of his economic outlook from a group of former central bankers.

Gross spent his final months atop Pacific Investment Management Co. betting on a “new neutral” rate of interest in which weak economic growth and high debt leave central banks likely to keep interest rates below their pre-financial crisis peaks. A neutral rate is that which neither stimulates nor slows an economy and for the U.S. Gross reckons it’s now around 2 percent.