who were desperate for default protection. The question was one of timing and the problem was funding. Going long in CDS when majority opinion was still driving the market up was an expensive and nerve-racking proposition. You were on the other side of the last surge in ABCP and repo deals. At Citigroup in the summer of 2007, CEO Chuck Prince was still telling journalists that “as long as the music is playing, you’ve got to get up and dance. We’re still dancing.”67 The question was what would happen when the music stopped.
