“In my view, this is outstanding central banking by the ECB and ought to provide a lot of comfort to the market.” – Erik Nielsen, chief European economist, Goldman Sachs
“What is unsettling today is the failure of the Fed and the ECB to have greater foresight into the extraordinary strains that developed overnight in the European money market.” Tony Crescenzi, bond market strategist, Miller Tabak
“Economic Darwinism” - Trader Mike sums up what he sees as going among the funds out there.
“There are known unknowns and unknown unknowns. And now we’re discovering there are a lot more unknown unknowns than anyone thought.” – a money manager talking to Dealbreaker has a Rumsfeld moment.
“Remember those pictures from the Great Depression? The ones where the banks had to lock their doors because depositors were rioting to withdraw their savings. That’s what we’ve got right now,” a particularly morose money manager talking to DealBreaker.
“The ECB is saying, ‘you got into this…it’s your problem. We will do what we as a central bank we should do: provide liquidity. But you’re going to pay the going rate for it.’” - Gabriel Stein, Lombard Street Research
“I’m told there is enough liquidity in the system to enable markets to correct.” – President George W Bush
“The current liquidity injections represent a “tough love” strategy from the central banks designed to force hedge funds and investment banks to re-value their portfolios and recognise impaired assets gradually over the next 6-18 months” - John Kemp, Sempra Metals
“There is always a risk. This could definitely be seen as signalling something that it isn’t signalling,” – an official at a central bank in Europe talking to the FT.