“When the music stops, in terms of liquidity, things will be complicated. But as long as the music is playing, you’ve got to get up and dance. We’re still dancing.” - Citigroup CEO Chuck Prince, July 9, 2007 Several months later the liquidity "music" ends, Bear Stearns fails, Lehman bankruptcy follows and entire financial system nearly collapses. ... Fast forward to: "Truth be told, we almost hope those forecasts are proven wrong. They imply a widening gap between valuations and traditional fundamental relationships. They imply a dearth of yields and spreads that will almost invariably push more and more investors into positions they would ultimately rather not take. But if the old adage that markets move in the direction that causes the most pain to the largest number of people is anything to go by, then we suspect that this is what will happen. Depressingly, our instinct is that those new forecasts are more likely too conservative than too aggressive. Longer-term, sweet dreams really aren't made of this." - Citigroup Strategist Hans Lorenzen, February 20, 2015 Several months later, will it be different this time?