Monday, October 31, 2011

Soros: Eurozone Deal Will Last Only One Day to Three Months

Master global manipulator George Soros is making some sense about the recent Greek/eurozone bailout.

"Given the magnitude of the crisis it is again too little too late," Soros said of the deal at a dinner organised by Pi Capital investor network on Thursday, reports The Telegrapgh. "It will bring relief partly because the markets were so obsessed by the lack of leadership. The mere fact that something was achieved was a major relief and it will be good for any time from one day to three months.

"Unfortunately it is not the last crisis because the fundamental issues have not been settled. It is clear that the amount of debt that Greece has accumulated and is accumulating is untenable and the country is effectively insolvent."

Soros said that the 50% "haircut" is only on private bond holders and thus would only reduce total government Greek debt by 20%.

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