George Soros, the founder of the Soros Hedge Fund, is so concerned with the future of the stock market; he has increased his investment in gold. For over a year, George Soros has touted the purchase of gold as opposed to concentrating all investments in the stock market.
George Soros predicts a serious problem that has been unfurled in the China’s financial market and extensive problems in the Euro market. During several interviews with the news media, Soros has voiced his concerns of a repeat of the financial crisis experienced in 2008. China is concentrating on purchasing all the gold it can and will hold the gold in their country to secure their financial position in the world. During an interview in January, George Soros noted that a hard-landing in the Asian market was “practically unavoidable.” The result of a hard-landing in Asia would hasten global deflationary forces, sending stock tumbling and boost U.S. government bonds.
Stan Druckenmiller, a former chief strategist at Soros Fund Management, is also bullish on what he calls the “yellow metal.” Gold, silver and platinum distributors worldwide are preparing for the “precious metals” rush as investors prepare to secure their investments by buying and banking on gold.
Soros is not alone in his prediction of the Asian market crisis on http://www.nybooks.com/contributors/george-soros/, and has been stating this position against Chinese policymakers when he discusses the hard-landing in China is unavoidable. Others are beginning to fall in line with his prediction as they observe a repeat of data signals reigniting just as events happened before everything went so horribly wrong in the 2007-2008 global crisis.
New lending created in the Chinese market just a couple of months ago in March was alarmingly high and blew out expectations that come on the back of aggregate financing earlier in the year that again hit record highs on http://www.theatlantic.com/magazine/archive/1997/02/the-capitalist-threat/376773/. The anti-corruption campaign continues to influence Chinese investors and holders of capital as Chinese investors continue to take their money out because they are unsure of where policy in China is going.
George Soros continues to warn investors of the 2008 crisis repeating history, especially as it travels alongside Greece’s debt crisis. After examining all financial issues floating on the surface, it is essential that people take a look at the safest venues for their investments, and precious metals such as gold, silver and platinum appear to win the confidence of the giant investors. History does repeat itself, and smart investing is prudent.