Soros Speaks

Tyler Durden's picture

Unlike the last time a bunch of men gathered at Bretton Woods to determine the monetary fate of the world and set the stage for globalization, this time around the prevailing activity was a casting call for the role of the new Emperor Palpatine. Yet despite that (or maybe because of) George Soros appeared in full Open Society regalia and spoke to Bloomberg TV about how importing foreign asset collateral (also known as exporting debt) through "globalization" is still the name of the game. And obviously while the Hungarian billionaire would not disuss the true purpose for his presence in Bretton Woods, he did have some words of caution for China bulls: "while the big banks under direct central control are in fact refusing to
lend, there is a shadow banking system that is growing out of control.
There is a real danger there of wage price inflation because prices have
gone up, particularly real estate prices have gone up because there was
a real estate boom." But to those concerned about the key issue at play, namely the future of the reserve monetary system, some could interpret the following statement by Soros, as a tacit agreement that the end of the dollar is fast approaching: "cautionary words for the dollar: "There's a big question whether the U.S. dollar should be the main
reserve currency and in fact it no longer is because it maybe accounts
for two-thirds of the monetary reserves. The euro is an alternative and
there's a lot of diversification into other currencies and even more
into commodities. Not only gold, but actually oil is now an asset class
for investors.
That has put some upward pressure on the commodities." Of course what actually is decided in B-W will be made clear over the next year or so, once the decision makers have already placed their bets accordingly and pull the rug from under the market.

On stimulus vs. austerity and whether U.S. debt impacts the world:

"If you have a growing economy, you can tolerate a higher level of debt. And if you have too much debt and you have a recession, you get into what they called debt check. This is the big issue. "

"I am afraid it is overshadowed by political considerations. You have a financial crisis in Europe. There is the pressure of Spain and Portugal and so on. But debt is a different problem. Those countries are part of the European bloc and they are not in a position to issue their own currency. We can issue our own currency. In fact, the dollar is quite strong. It is really a matter of political judgment. That is where you have different opinions.”

"There is very a strong push to tighten the budget as a way to reduce government spending. It's a resistance to any kind of tax increase and tightening, particularly the budget of the states. The [U.S.] states cannot issue their own currency. They are in a similar situation to Spain and Portugal. There is a danger that by pushing this too far, you could abort the very fragile economic recovery that you are currently enjoying and push the economy once again into a slowdown or a recession."

"I rather fear these political forces will push it into a recession. In my opinion, the country could actually absorb some more debt in order to get the economy going.”

On the ECB vs. the Fed - who is doing it right?:

"Two different directives govern the European Central bank and the U.S. Federal Reserve. In the case of Europe, it's a one-sided directive. Their only job is to prevent inflation, and in the case of the U.S., it is more balanced, to maintain employment and financial stability."

On whether the U.S. dollar is still a safe asset:

"There's a big question whether the U.S. dollar should be the main reserve currency and in fact it no longer is because it maybe accounts for two-thirds of the monetary reserves. The euro is an alternative and there's a lot of diversification into other currencies and even more into commodities. Not only gold, but actually oil is now an asset class for investors. That has put some upward pressure on the commodities."

On whether the sovereign debt crisis has diminished euro's chances of becoming a reserve currency:

"The euro is under a cloud, but that is exactly because there are some inflationary pressures from the price of commodities, particularly now oil and also food prices have risen. That is what has induced the European Central Bank to raise interest rates at a time which is, in my opinion, quite inappropriate…It is not appropriate in current circumstances when you have a number of countries that are suffering from too much debt and high interest rates that they have to pay."

On China's economy:

"China has really stimulated its economy full force very successfully and now it is trying to rein in the rate of growth, and is exercising very strong constraints on the banking system. But because of that constraint, and because of the big demand for money, a shadow banking system has arisen and is growing very rapidly. So while the big banks under direct central control are in fact refusing to lend, there is a shadow banking system that is growing out of control. There is a real danger there of wage price inflation because prices have gone up, particularly real estate prices have gone up because there was a real estate boom."

"Therefore, wage demands have risen, and we now have 20%, 30% wage increases. The Chinese government has made a mistake not allowing its currency to appreciate, which would have controlled the price of inflation. Instead of that, we now have this wage pressure, which is a little bit out of their control."

On the Chinese economic approach and whether they did something right:

"[The Chinese] were the major beneficiaries of globalization. They were the big winners in the financial crash because their economy was largely isolated because they have capital controls on their currency. They have a two-tiered currency system, whereas the rest of the world allows free movement for capital, and you had a runaway expansion of credit and leverage which then resulted in the financial crash, and China was largely immune. So, they benefited tremendously."

"Their system, which really stands in contrast to the international system, international capitalism with free movement of capital, and then there is a system where the state controls the economy. That system actually has performed significantly better than the international system. So now it is beginning to be imitated by others, but I think it is a tremendous mistake, because that was just one particular set of circumstances when it worked better. They had an advantage because they were the only ones that were controlling capital flows. So as a result, they not only control their own currency, they effectively controlled the world currency system. Now other countries, defensively, are beginning to follow them. For instance, Brazil just doubled the surcharge on capital inflows. That is not good for Brazil, and it is not good for the global economy."

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bania's picture

Palpatine! It's so obvious. How did i miss this before?

Highrev's picture

Of course what actually is decided in B-W will be made clear over the next year or so, once the decision makers have already placed their bets accordingly and pull the rug from under the market.

I'll watch the clip tomorrow.

malusDiaz's picture

 

WilliamBonzai7!!!

 

SOROS(PALPATINE) + LIGHTING!!!!

Don Birnam's picture

Emperor Palpatine.

Perfect. Indeed yes, that rictus grin of George Soros bears close resemblance, doesn't it ?

http://cache.gawkerassets.com/assets/images/12/2008/03/medium_Emperor-Pa...

Ahmeexnal's picture

Somebody ought to carve a swastika on Soros fat, greasy, ugly, old, repulsive forehead.

Buckaroo Banzai's picture

They don't call him "The Black Hand" for nothing. I'm pretty sure he has a dungeon where he slaughters babies and drinks their blood.

Well that's what I was told, anyways.

falak pema's picture

buckaroo on kangaroo march. He is more "back hand" that black hand. He knows how to pull the pants down of arrogant central banks who ignore the market. But from there to pretend he is a Sauron and is looking for his ring to become Sauron- infinity in another thing. He has no say in how the world is run. He is a renegade who got rich and now looks for respectability by playing at 'The Count of Monte Christo' showing up all the bad guys..like Bernanke and JCT. All the while he tears into their over exposed currencies. See the reality from the shaded virtuality and you will understand that Dark Vador is the invention of kinky minds looking for dinky clients who love the stories of blood sucking leeches. Suck away, suck away...

If you know John Le Carre, then you know his new book..about the likes of Soros :

"Our kind of traitor", sums it up perfectly. Buccaneers and financial pirates alike, kings of the City and WS, like they used to be of the Waves from "Rule Britannia days".

Bob Paulson's picture

According to Lyndon LaRouche, George Soros is British Intelligence and an agent of the Rothschilds.

cosmictrainwreck's picture

consider the source. that said, George don't work for nobody but George

JR's picture

Renegade?  What makes us think that Soros is the least reputable of attendees at Bretton Woods. These men who would steal the world’s resources, who would destroy the future of families worldwide, who would actually corrode their own nations for pocketfuls of coin over the innocents worldwide are exactly on the same moral level with Mr. Soros.  He’s perhaps more well known,  not as a renegade, but as a criminal insider and mover.

The good news here is that the discussions of these men have a purpose that now is well known, unlike at Jekyll Island and Bretton Woods 1944.  These men, my fellows, are our enemy and the enemy of the future of freedom for mankind throughout the world.  And their face is Soros.

And included in their goals, which they are now bringing to fruition, is a one world currency issued by the IMF/World Bank – as planned at Bretton Woods I.

Here is an excerpt of the Soros Plan, outlined March 29 in the WSJ by Dan Gainor of Media Research Center:

“Two years ago, George Soros said he wanted to reorganize the entire global economic system. In two short weeks, he is going to start - and no one seems to have noticed.

“On April 8, a group he's funded with $50 million is holding a major economic conference and Soros's goal for such an event is to 'establish new international rules' and 'reform the currency system.' It's all according to a plan laid out in a Nov. 4, 2009, Soros op-ed calling for 'a grand bargain that rearranges the entire financial order.'

“The event is bringing together 'more than 200 academic, business and government policy thought leaders' to repeat the famed 1944 Bretton Woods gathering that helped create the World Bank and International Monetary Fund. Soros wants a new 'multilateral system,' or an economic system where America isn't so dominant.

“More than two-thirds of the slated speakers have direct ties to Soros. The billionaire who thinks 'the main enemy of the open society, I believe, is no longer the communist but the capitalist threat' is taking no chances.” ...

http://online.wsj.com/article/SB1000142405274870447190457622902353642441...

Eric Cartman's picture

Wage inflation means peoples salary goes up right? How is this a bad thing for average people?

BorisTheBlade's picture

Good laugh, it's nice for a change to come across someone who still thinks that it is a wage inflation, muahahaha

ghostfaceinvestah's picture

the single most dangerous and evil man in the world (well, maybe #2 after Benocide)

sabra1's picture

that's right, and he handed jews over to the nazis! if i were him, i would be very afraid of dying! 

Anonymouse's picture

It's true.  He's said as much.  In fairness, as much as I despise the man, it was at age 14 (or so) and while under Nazi control and in hiding as a Christian. I'm not sure many would have done differently.  Takes a lot of guts for anyone to stand up to danger, much less a boy

 

What's more vile is his attitude about it.  "If I didn't someone else would have."  Nothing personal, it's just business.  That's got to mess up your mind.  Even scarier would be if it didn't mess up your mind.

Homey Da Clown's picture

spooky dude as Beck calls him. The man is evil

EvlTheCat's picture

-3 junks, and as I assume more will pile up on you!  -n junks.

Farcical Aquatic Ceremony's picture

George Soros appears to have junked you.  George, stop hiding behind junks.  You could've at least responded to the man.  Or shot him with Force lightning.

wisefool's picture

That is pure comed(Tepco). We can laugh at ben bernake. Or we can mourn for the miners who hual shiny metal out of the ground.

For me. I contemplate suicide from a vegitarian point of view. Time to cut some silent scream grass to put rice in my belly.

For all you rice lovers, go eat aparagus. They not only lack the vertebrate gene, but they actually lack the gene to be a plant. code words. Kill. Kill. Kill all asparagus.

Twindrives's picture

Just die already you greedy old fucker.  Take Warren Buffett and Charlie Munger with you.

Geoff-UK's picture

Sad thing is, if you played "The Emperor's March" from Star Wars every time Soros walked into a room, he'd ENJOY it.

Yen Cross's picture

I'll listen with baited breath. The global fossil, speaking about the legacy of Socialism!

Ruffcut's picture

Soro's speaks.

Soro's speaks out.

Soro's speaks out his ass.

Shriveled up old raisin like greedscum.

cosmictrainwreck's picture

a veritable "used-to-be" aka "has-been" but can't [won't] see it....

IQ 145's picture

 It's bad for Brazil, and bad for the world" How the fuck does he know?  Mainly, Brazil is not "playing the game"; there's a good chance this is just fine for Brazil; despite the pontification of the mouthpiece for the NWO.

1fortheroad's picture

Delma is bought and paid for.

weinerdog43's picture

It's 'bated', not 'baited' dumbass. 

High Plains Drifter's picture

Glenn Beck is going to have a field day with this one...........

mtomato2's picture

He has been telling his audience about this gathering for a week now.  You're way behind.

gunsmoke011's picture

The Real Question is - How does this dude remain alive?

Dr. Porkchop's picture

He's on the same program as Keith Richards perhaps.

gordengeko's picture

No, zombies are the things vampires want to create.  Soulless maggots creating soulless servants to do their bidding and maintain their lifestyle while they do their secret twisted shit in the shadows.  Like human, drug, sex and organ trafficking.  This whole fucking system is coming apart at the seams.  Fuck the British empire and their ancient phoencian banking system!

slewie the pi-rat's picture

buffy wld be crushing his windpipe with her fabulous thighs, right now;  driving the stake into the souless heart of the empty, twisted, vacant void. 

HamyWanger's picture

He's a "zionista", according to bigot libertarian conspiracists, so he must sleep in a secret hibernation chamber at Denver Aiport. 

gordengeko's picture

to quote tupac's song blasphemy.

 "We probably in Hell already, our dumb asses not knowin

Everybody kissin ass to go to heaven ain't goin
Put my soul on it,....

-- Babylon beware
Comin from the Pharoahe's kids, retaliation
Makin legends off the shit we did, still bullshittin
Niggaz in Jerusalem, waitin for signs
God promised, *she's* just takin her time, haha...

...I live decent, hope God can see my heart is pure

Is heaven just another door?"

Tupac had mad intelligence and it was evident in the majority of his music.  

mtomato2's picture

Actually, I'm not sure that He does.

Pez's picture

I spent a week there one night.