"In our view, these actions increase the financial risk profile not just for GM but for the industry in general," S&P equity analyst Efraim Levy said in a note for clients.
"All of these steps by the government were likely to have emboldened bondholders (and perhaps also the UAW) to feel that the government lacks the political will to bankrupt GM," JPMorgan automotive analyst Himanshu Patel wrote in a research note for clients.
Mr. Biggs made most of his pronouncements in his weekly research notes for clients of the firm, literate dispatches that displayed an offbeat sense of humor — some featured his conversations with his plumber — and often carried provocative theses.
Below that, we thought, there would be a move into cash, facilitated by banks and others who would efficiently manage the notes for clients.
Another European investment manager, who also declined to be identified because of potential litigation, says he decided to purchase the notes for his clients partly on the strength of the bank's reputation.
"These are building blocks for advisers to create their own diversified commodities portfolios," he said, adding that the short and double-short notes were created for clients who thought food supplies might eventually catch up with demand.
"Christmas is, without question, the biggest time for corporate gift buying, especially for clients," noted Mr. May of Jupiter.
Harry Clark, chairman and chief executive of Clark Capital Management, which oversees $3 billion for smaller investors, said his firm had bought a combination of exchange-traded funds and notes to cap any loss for clients at about 10 percent.
A specialty of law once noted for its procrastinating clients and mordant put-the-client-at-ease jokes has suddenly become serious and urgent.
The restriction was "a core interference with what attorneys ordinarily do for clients," he said, noting that it was very difficult for a lawyer to know in advance what kinds of arguments would serve a client's case.
He pointed out in a note to clients that demand for small gold coins rose sharply after the plunge.
