It is hard to imagine that, having downgraded the US, S & P will not follow suit on at least one of the other members of the dwindling club of sovereign AAAs. If this were to materialise and involve a country like France, for example, it could complicate the already fragile efforts by Europe to rescue countries in its periphery.
The world is on a bumpy journey to a new destination and the New Normal. - Mohamed El-Erian
The world is on a bumpy journey to a new destination and the New Normal.
- Mohamed El-Erian
The theory is that if you take interest rates negative, people are going to say, "That's a silly game! I'm not going to lend my money to governments … - Mohamed El-Erian
The theory is that if you take interest rates negative, people are going to say, "That's a silly game! I'm not going to lend my money to governments …
We normally think if you're going to lend someone money, you should get some reward for doing this. In Europe, it's a tax! - Mohamed El-Erian
We normally think if you're going to lend someone money, you should get some reward for doing this. In Europe, it's a tax!
The one instrument that has relative political autonomy is monetary policy. Central banks do not need to go to Congress to get approval for an intere… - Mohamed El-Erian
The one instrument that has relative political autonomy is monetary policy. Central banks do not need to go to Congress to get approval for an intere…
The world changes! So we're in a situation today where the only policymakers that have flexibility are central banks. But they don't have the instrum… - Mohamed El-Erian
The world changes! So we're in a situation today where the only policymakers that have flexibility are central banks. But they don't have the instrum…
Most people are under exposed to global assets, including foreign stocks, bonds and currencies. - Mohamed El-Erian
Most people are under exposed to global assets, including foreign stocks, bonds and currencies.
Investors should be cautiously positioned as the global economy and markets face major uncertainties. The downgrade will be a further headwind to gro… - Mohamed El-Erian
Investors should be cautiously positioned as the global economy and markets face major uncertainties. The downgrade will be a further headwind to gro…
Investors have to ask themselves two questions. How much can we grow our investments? And, can we afford our mistakes? - Mohamed El-Erian
Investors have to ask themselves two questions. How much can we grow our investments? And, can we afford our mistakes?
As we spend more, and as companies are pushed to invest, they say, "Hey wait a minute! There's more demand in the system. Let's invest more." - Mohamed El-Erian
As we spend more, and as companies are pushed to invest, they say, "Hey wait a minute! There's more demand in the system. Let's invest more."
Login to join the discussion
Login to join the discussion