Excerpt from an article in
The Independent about George Soros, 6th April 2008.
http://www.independent.co.uk/news/bu...ng-804978.html
In his new book,
The New Paradigm for Financial Markets, he notes grimly that "the over valuation of the Euro and Sterling is going to hurt European economies".
Mr Soros's main concern, though, is for the dollar, whose status is being eroded by the credit crisis, pushing up import prices and causing a dilemma for those who want still more interest rate cuts to stimulate the US economy. "The Federal Reserve is constrained by the reluctance of the rest of the world to hold dollars," he said. "We face the double jeopardy of recession and inflation."
Echoing the themes of The New Paradigm, Mr Soros said:
"Regulators have abandoned their duty by letting markets regulate themselves. It's because a market fundamentalist ideology has come to dominate the behaviour of market participants and market regulators over the past 25 years ... and the idea that markets are best left to their own devices became policy."
Says it all.