{"id":20575,"date":"2023-08-13T16:49:02","date_gmt":"2023-08-13T16:49:02","guid":{"rendered":"https:\/\/www.thinkadvisor.com\/2023\/08\/13\/bill-gross-slams-stock-and-bond-bulls-says-markets-are-overvalued\/"},"modified":"2023-08-13T16:49:02","modified_gmt":"2023-08-13T16:49:02","slug":"bill-gross-slams-stock-and-bond-bulls-says-markets-are-overvalued","status":"publish","type":"post","link":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/2023\/08\/13\/bill-gross-slams-stock-and-bond-bulls-says-markets-are-overvalued\/","title":{"rendered":"Bill Gross Slams Stock and Bond Bulls, Says Markets Are &#8216;Overvalued&#8217;"},"content":{"rendered":"<div class=\"media_block\"><a href=\"https:\/\/feeds.feedblitz.com\/-\/777354179\/0\/thinkadvisor\/\"><img decoding=\"async\" src=\"https:\/\/images.thinkadvisor.com\/contrib\/content\/uploads\/sites\/415\/2021\/03\/Gross_Bill_2017_BB_640x640.jpg\" class=\"media_thumbnail\"><\/a><\/div>\n<div><img decoding=\"async\" src=\"https:\/\/images.thinkadvisor.com\/contrib\/content\/uploads\/sites\/415\/2021\/03\/Gross_Bill_2017_BB_640x640.jpg\" class=\"ff-og-image-inserted\"><\/div>\n<div class=\"the-advisor bullet-summary\">\n<h3>What You Need to Know<\/h3>\n<ul>\n<li>The former chief investment officer of PIMCO says financial professionals who are bullish on equities and bonds are wrong. <\/li>\n<\/ul>\n<\/div>\n<p id=\"first-para\">Bill Gross, the one-time bond king, said stock and bond bulls are wrong, as both markets are \u201covervalued.\u201d<\/p>\n<p>The former chief investment officer of Pacific Investment Management Co., speaking in an interview on Bloomberg Television, said the fair value of the 10-year Treasury yield is about 4.5%, compared with the current level of around 4.16%.<\/p>\n<p>Gross, who retired from asset management in 2019, said inflation may prove sticky at around 3%.<\/p>\n<p>He pointed out that 10-year yields historically traded about 135 basis points above the Federal Reserve\u2019s policy rate.<\/p>\n<p>So even if the Fed lowers interest rates to about 3%, the current 10-year yield remains too low, given the historical relationship. In addition, the skyrocketing government deficit will add supply pressure on the bond market, he said, reiterating his view&nbsp;outlined&nbsp;in his recent investment outlook.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>What You Need to Know The former chief investment officer of PIMCO says financial professionals who are bullish on equities and bonds are wrong. Bill Gross, the one-time bond king, said stock and bond&#46;&#46;&#46;<\/p>\n","protected":false},"author":1,"featured_media":20576,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[],"tags":[1],"jetpack_featured_media_url":"https:\/\/blog.lifeinsurance-orleans.ca\/wp-content\/uploads\/2023\/08\/bill-gross-slams-stock-and-bond-bulls-says-markets-are-overvalued.jpg","_links":{"self":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/20575"}],"collection":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/comments?post=20575"}],"version-history":[{"count":0,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/20575\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/media\/20576"}],"wp:attachment":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/media?parent=20575"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/categories?post=20575"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/tags?post=20575"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}