George Soros Explains His Gloomy Financial Prediction

 

The future of the global economy is something that seems to have been weighing on the mind of legendary hedge fund manager George Soros in recent times. In an interview published by Bloomberg held at an economic forum in Sri Lanka the Hungarian born Holocaust survivor gave the assembled crowd a dark prediction over where he sees the future of the global financial markets heading. The market conditions are heading towards a position George Soros believes closely resembles that occurring in 2008 when the financial markets of the world collapsed, prompting a global slowdown lasting a number of years.

George Soros is not a financial expert to take the darkest view of the financial outlook unless he feels it is completely justified, but in this case he feels there is little option apart from warning investors of the dangers approaching in the coming months. In the past, George Soros has proven himself to be one of the top financial experts in the world with the hedge fund established by George Soros is well known for averaging over 20 percent growth each year for more than three decades.

The major problems facing the global economy are reported by George Soros to have been prompted by the problems found in the Chinese economy; Soros believes the issues in China could have a disastrous effect on the global economy if Chinese financial officials continue to take wrong decisions. Soros believes the shift in the Chinese economy that has seen the investment and manufacturing markets replaced by a consumption and service based economy. Keeping interest rates low and flooding the economy with greater levels of currency are the only options so far taken by Chinese officials, who George Soros believes should adapt to the current needs of the markets.

Problems in Europe are also of concern for George Soros, where his continued criticism of the Russian regime under Vladimir Putin has seen the Soros backed Open Society Foundations refused entry to Russia. George Soros believes the Russian inspired flood of Syrian refugees into Europe has the opportunity to cause the collapse of the European Union and cause even greater problems for the global economy.