Davos

Former Morgan Stanley Chief Asia Economist: "Don't Listen To The Ruling Elite, The World Economy Is In Real Trouble"

"Don't listen to the ruling elite," warns former Morgan Stanley Asian Economist, Andy Xie, "the world economy is on the cusp of a prolonged period of stagnation and instability." Xie points out that the ruling elite is blaming it on people seeing things (skeptic and fiction peddlers), and that "their strategy is to change people’s psychology." Unfortunately for them he concludes, "the world is catching fire and that fire will eventually reach their Davos chalets."

SaxoBank CIO Warns "Central Banks Can Do Nothing"

Saxo Bank chief economist Steen Jakobsen said that zero rates, zero growth, zero productivity, and zero reforms have left a great many countries adrift in a “new nothingness”. The products of this nothingness, said Jakobsen, include apathy, stagnation and “an economic outlook based more in peoples’ heads than in reality”.

The Woodstock Of Crony Capitalism

In Davos, they chug bottles of Chateau Lafite Rothschild and plot how to pillage small nations. At Berkshire, we will eat Dilly bars and plot how to pillage the middle class. Capitalism is beautiful and crony capitalism is the end product of politicians who prostitute the laws. I don’t have the power to change the current rules, but I can certainly learn to thrive within them.

George Soros Warns "China Resembles US In 2008", Hard Landing "Practically Unavoidable"

China's massive credit growth in March (and $1 trillion surge in total social financing in Q1) is a "warning sign" according to billionaire George Soros, "because it shows how much work is needed to stop the slowdown." Speaking at an event in new York this evening, Soros commented on "troubling developments" in China, the anti-corruption drive's impact on capital outflows and the real-estate bubble "feeding on itself." His conclusion, rather ominously, was that despite all the naysayers and fiction-peddlers, China "resembles US in 2007-8," before credit markets seized up and spurred a global recession.

Two Key Soros PMs Depart Over "Disagreement About Direction Of Global Markets"

In late January, when George Soros was interviewed in Davos, he revealed what may have been his most bearish outlook yet. That may have cost the aging billionaire. According to Bloomberg, two of the key portfolio managers working at Soros' family office, David Rogers and Joshua Donfeld, are leaving the firm over disagreements with its new chief investment officer about the direction of global markets, according to people with knowledge of the matter.

What Is The Worst-Case Outcome Of Helicopter Money: Deutsche Bank Explains

"A “successful” helicopter drop may therefore be easier said than done given the non-linearities involved: it needs to be big enough for nominal growth expectations to shift higher and small enough to prevent an irreversible dis-anchoring of inflation expectations above the central bank’s target. Either way, the behavior of the latter is the key defining variable both for the policy’s success as well as the asset market reaction.... under the assumption of policy “success” without fears of hyperinflation, we would conclude that bond yields rise."

George Soros Warns Europe: Absorb 500k Refugees Costing $34Bn, Or Risk "Existential Threat"

The asylum policy that emerged from last month’s EU-Turkey negotiations has four fundamental flaws, according to Billionaire puppet-master George Soros, which combined pose an "existential threat to Europe." His solution is 'simple' - Accept 500,000 refugees per year costing $34 billion year (via "surge" funding through more borrowing, and a newly-created refugee crisis fund from increased VAT on member states) or else, in his words, "the European Union is in mortal danger?"

Refugee Crisis: Using Chaos To Build Power

A European Union military force with power to intervene in member states. A new “Marshall Plan” to radically redesign whole regions of the world and impose regional government. A United Nations empowered to manage it all. Christendom under siege. And the end of nationhood as it is understood today. That is where the “refugee crisis” is heading, as the engineered disaster wreaks havoc across Europe and beyond. Despite the appearance of chaos, though, it is all by design, with a series of radical goals in mind.

Soros Floods Democrats With Millions, Warns Trump Of "Consequences"

Following MoveOn.org's "success" last Friday, George Soros is back on the lips of an increasing number of Americans as Bloomberg reports, the liberal billionaire, whose effort to unseat President George W. Bush in 2004 shattered political spending records, is returning to big-ticket activism after an 11-year hiatus. Soros has spent or committed more than $13 million to support Hillary Clinton and other Democrats this election cycle and has warned Donald Trump (and Ted Cruz) of "consequences" for their words and actions. Welcome to the Oligarchy.

This Is What Wall Street Thinks Of China's FX Trading Tax

Last night we reported that the PBoC is now considering a Tobin tax on FX transactions. The follows reports that a series of big name money managers - or, as China calls them “predators,” and “crocodiles” - have placed outsized bets against the yuan. Here's what analysts think of the PBoC's latest move to crush the "speculators."

Energy Wars Of Attrition - The Irony Of Oil Abundance

In the end, the oil attrition wars may lead us not into a future of North American triumphalism, nor even to a more modest Saudi version of the same, but into a strange new world in which an unlimited capacity to produce oil meets an increasingly crippled capitalist system without the capacity to absorb it. Think of it this way: in the conflagration of the take-no-prisoners war the Saudis let loose, a centuries-old world based on oil may be ending in both a glut and a hollowing out on an increasingly overheated planet. A war of attrition indeed.