Econintersect: Billionaire investor George Soros is pessimistic that a solution will be found in the Eurocrisis, and in an interview with SPIEGEL ONLINE stated:
As an investor, I would be very pessimistic, especially about Europe. But as a believer in an open society, I have to put my faith in the people and leaders of Europe to show some reason.
Soros’ position was that Germany was responsible for the Eurocrisis:
Germany will always do the minimum to preserve the euro. Doing the minimum, though, will perpetuate the situation where the debtor countries in Europe have to pay tremendous premiums to refinance their debt. The result will be a Europe in which Germany is seen as an imperial power that will not be loved and admired by the rest of Europe — but hated and resisted, because it will perceived as an oppressive power.
To read more of this interview:
With the EU summit set to start on Thursday, pressure is on European leaders to find a way out of the euro crisis. Investor George Soros is pessimistic that a solution will be found and says time is extremely short. In an interview with SPIEGEL ONLINE, he warns that Germany could develop into a hated, imperial power.
Other Recommended Reading On the Eurocrisis Today:
What was supposed to be a proud moment for the tiny island nation of Cyprus may be overshadowed by its request for a bailout and its long-simmering feud with Turkey.
Italy’s Parliament is set to approve a watershed labor law, but even the law’s architect, Elsa Fornero, says its ultimate success will hinge on a deeper cultural change in Italy.
Spanish financial leaders, who took positions assessing global financial risk for the International Monetary Fund, failed to sound alarms as Spain edged closer to a real estate and banking crisis.
Continue Reading On nytimes.com »
Higher than expected borrowing so far this year and an upward revision to last year’s deficit cast further doubt on the UK Government’s ability to meet its deficit reduction targets in the current economic environment.
Prime Minister Rajoy warned Spain can’t finance itself at current prices, as he said he would push for a euro-zone banking and fiscal union.
Equities have steadied after Monday’s losses, but the markets clearly remained worried by the weak growth outlook and the Eurozone crisis.
The 10-year plan calls for a more tightly knit union and more sharing of the region’s debt burden.
The Italian government agreed to lend up to $2.5 billion to Banca Monte di Paschi di Siena, Rome’s first aid to banks in two years.