Pimco’s McCulley Says Odds of More Fed Easing Drop

Pacific Investment Management Co.’s Paul McCulley said the larger-than-forecast increase in private jobs in August lowers the odds that the Federal Reserve will seek more quantitative easing at this month’s policy meeting.

“The Fed can breathe a little bit easier,” McCulley, a portfolio manager and partner at the world’s biggest manager of bond funds, said during an “In the Loop” interview on Bloomberg Television with Betty Liu. There is “no compelling pressure to move to QE2.”