Wednesday, September 9, 2009

Mohamed El-Erian thoughts during Lehman's bankruptcy

Hit the ATM!! Get the cash before someone else does!

When Lehman filed for bankruptcy, what did the CEO of PIMCO do during this crisis?

On the Wednesday and Thursday after Lehman filed for Chapter 11, I asked my wife to please go to the ATM and take as much cash as she could. When she asked why, I said it was because I didn't know whether there was a chance that banks might not open. I remember my wife sort of pausing and saying, "Are you serious?" And I said, "Yes, I am."

Now you know why he keeps talking about "sugar highs!"

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