Gross: US economy must grow at least 3% to end QE

PIMCO's Bill Gross said the US economy needs to grow by 3% and upwards for several quarters in order to avoid another round of QE.

Gross, manager of the world's biggest bond fund. said although Ben Bernanke's monetary policy speech, due to take place at Jackson Hole later today, could be "snoozy" he still believes more QE will be announced "relatively soon". In an interview with Bloomberg television, he said the Federal Reserve chief knows each round of QE has been less effective than the last, but this will not stop Bernanke from deciding on more easing. "It is a conundrum so to speak, it could be a relatively snoozy speech. We might just get a history of what he has done as opposed to hints of what he will do. ...