Gross: U.S. may be in recession now

Bill Gross told the Financial Times (12-21-07 issue, see the video) that we could already be in a recession, beginning this month. He said that interest rates have to go to at least 3%, low enough to provide a floor for home prices. Plus, fiscal stimulus and increased deficit spending by the federal government is needed, he added. ... Separately, in a Dec. 18 Reuters story citing a research note, Gross said the dollar may have seen its lows against the euro and pound.