Former Pimco CEO Mohamed El-Erian told CNBC on that the bond market has figured out what stocks haven't yet: The Federal Reserve, while remaining committed to supporting asset prices, are "targeting different things."
"We are in a transition [at the Fed] from a regime that was tool-based to a regime that is objective-based," he said. "We were told exactly what they were going to do. Now what we're going to do … is conditional on outcomes. That increases uncertainty."
Appearing on "Squawk Box," El-Erian also addressed why he decided to earlier this year leave Pimco, where he had been considered the heir apparent to founder Bill Gross. He said it was time for him to do something different and that it was a "difficult personal decision."
