Displaying items by tag: soros

(New York)

In an unusually blunt, but refreshing statement, Morgan Stanley put out a statement today calling George Soros’ warning of a financial crisis “ridiculous”. Morgan Stanley CEO James Gorman said while some of Soros’ concerns are warranted, others are not. For instance, Gorman said about Soros’ view of the EU that “I don’t think we are facing an existential threat at all”.

FINSUM: Gorman doesn’t know much about Europe if he does not think it is facing an existential crisis. It very well may not break up (we do not think it will), but it is certainly facing a reckoning about its own meaning and the value of being a member.

(New York)

If you are not worried about markets and the global economy at the moment you should be. At least according to legend George Soros. The hedge fund manager thinks that the world is headed for “another major financial crisis”, this time spear-headed by politics. Soros believes the epicenter of the crisis will be the EU. “The EU is in an existential crisis. Everything that could go wrong has gone wrong”, said Soros, continuing that “it needs to reinvent itself”. Soros believes the problems in Europe have three facets: “the refugee crisis, territorial disintegration exemplified by Brexit and an austerity policy, prompted by the financial crisis”.

FINSUM: We sort of feel like we are in a time warp that loops back to the summers of 2011 and 2012. We do not believe the whole EU project, and the Euro will fall apart now.