CovOps
Location : Ether-Sphere Job/hobbies : Irrationality Exterminator Humor : Über Serious
| Subject: Soros: Russia Could Default & Disrupt Global Markets Thu Jan 08, 2015 7:04 pm | |
| “Neither the European Union nor the United States is willing to risk war with Russia, and that leaves economic sanctions … The harm has turned out to be much bigger than anybody anticipated … the threat of deflation in the eurozone [is] a reality … By contrast … by enabling Ukraine to defend itself, Europe would be indirectly also defending itself … Unfortunately … Europe seems to be dangerously unaware of being indirectly under military attack from Russia … [and] treats Ukraine as just another country in need of financial assistance, and not even as one that is important to the stability of the euro, like Greece or Ireland.” Soros on where the Russian financial crisis is today: “The big advantage Russia has today compared to 1998 is that it still has substantial foreign currency reserves. This has enabled the Russian Central Bank to engineer a 30 percent rebound in the ruble from its low point by spending about $100 billion and arranging a $24 billion swap line with the People’s Bank of China. But only about $200 billion of the remaining reserves are liquid and the crisis is still at an early stage. … more than $120 billion of external debt is due for repayment in 2015. Although, in contrast to 1998, most of the Russian debt is in the private sector, it would not be surprising if, before it runs its course, this crisis ends up in a default by Russia.”
http://blogs.barrons.com/emergingmarketsdaily/2015/01/08/george-soros-russia-could-default-europe-must-rescue-ukraine/ |
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