Bloomberg, Released on 3/31/23

Mohamed El-Erian, chief economic adviser at Allianz and Bloomberg Opinion columnist, says the worst of the recent turmoil in banking is over, but there are still warning signs. “We’re going from liquidity to capital, and from financial contagion to economic contagion,” El-Erian said in an interview on Bloomberg Television in Cernobbio, Italy. El-Erian’s opinions are his own.

Part 1 (part 2 below)

Mohamed El-Erian, chief economic adviser at Allianz and Bloomberg Opinion columnist, says that the Federal Reserve should stay focused on price stability and not overreact to the recent turmoil in banking. “The worst thing that we could do right now is to say ‘we have a credit issue coming up — let’s cut interest rates,'” El-Erian said in an interview with Bloomberg in Cernobbio, Italy. “If they do that we will end up with stagflation and financial instability.” El-Erian’s opinions are his own.

Part 2

Mohamed El-Erian is the President of Queens College, Cambridge and the Chief Economic Adviser of Allianz, a multinational financial services company. He is the former CEO and co-Chief Investment Officer of PIMCO, a global investment firm and one of the world’s largest bond funds in the world. Dr. El-Erian also served as a member of the faculty of Harvard Business School. Before joining PIMCO, Dr. El-Erian was a managing director at Salomon Smith Barney/Citigroup in London and before that, he spent 15 years at the International Monetary Fund in Washington, D.C. His latest book is The Only Game in Town: Central Banks, Instability, and Avoiding the Next Collapse.