"Few people have nailed the recurring credit crisis better than Soros. Most importantly, his global perspective provides him with a unique outlook for the entire global economy. In an interview with CNBC yesterday Soros made some blunt comments:
- The USA is already in a double dip recession.
- The USA needs more fiscal stimulus.
- Europe could experience TWO or THREE periphery defaults. They would most likely remain in the EMU and default would be controlled. Uncontrolled default could result in defection.
- The Euro currency should remain fairly strong even in the case of defaults.
- The European leaders are way behind the curve here.
- A form of a central Treasury is required in Europe
- This is a “more dangerous” situation than Lehman Bros.
- The EMU will do what it takes to hold it all together..."
