Rx for the Economy: A Weaker Dollar

Pimco's Bill Gross, head of the world's largest bond fund, says it's time to drop the strong dollar policy and restore U.S. manufacturing strength

Bill Gross, manager of the world's largest bond fund, is everybody's go-to guy when it comes to reading the tea leaves about Federal Reserve policy and the potential direction of interest rates. Lately, though, the manager of the $94-billion PIMCO Total Return fund has found himself making some off-the-mark projections. A year ago, he pegged 10-year Treasury rates going no higher than 4.5% during the next three to five years. They are now 5%.

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