Gross Says Fear ‘Mindless’ U.S. Deficit Spending

The U.S. deficit was $150.4 billion in November, exceeding the median estimate of economists surveyed by Bloomberg News, compared with $120.3 billion in November 2009, according to a Treasury Department budget statement released last month.

“All investors should fear the consequences of mindless U.S. deficit spending.” wrote Gross, a founder and co-chief investment officer at Pimco. Like a female mantis who eats the head of her mate while reproducing, policy makers are “munching on the theoretical heads of future generations, while paying no mind to the wretches that will eventually be called upon to pay the bills,” he wrote.

Bond investors will suffer once general prices start to rise, Gross wrote. He declined to be interviewed today.

Read more at: Gross Says Fear ‘Mindless’ U.S. Deficit Spending