The Federal Reserve needs to “get off zero and get off quick,” Janus Capital’s Bill Gross said in his monthly investment letter, arguing that higher rates will encourage savings and better capital allocation, which in turn will restore economic growth.

"Zero bound interest rates destroy the savings function of capitalism, which is a necessary and in fact synchronous component of investment," he wrote. But the world's central bankers are lost in a world of Taylor Rules and Phillips Curves, and obsessed with inflation. What they're missing, he said, is that these policies "act as a weight or an economic 'sinker' that ultimately lowers economic growth as well."