Pacific Investment Management Co.'s Chief Executive Officer
Mohamed El-Erian called U.S. economic conditions "terrifying,"
Bloomberg News reported Wednesday on its website.
El-Erian said the odds of the U.S. returning to recession are as
high as 50%, the report said.
"We have less economic momentum than we thought we had and we
have no policy momentum," the report quoted El-Erian as saying in
an interview.
"What's most terrifying," he said in the report, "we are having
this discussion about the risk of recession at a time when
unemployment is already too high, at a time when a quarter of
homeowners are underwater on their mortgages, at a time then the
fiscal deficit is at 9% and at a time when interest rates are at
zero."
PIMCO is owned by Allianz SE (ALV.XE).
Full story:
http://www.bloomberg.com/news/2011-11-22/pimco-s-el-erian-says-u-s-economic-situation-terrifying-as-growth-slows.html#