Bloomberg summarizes his comments quite nicely.  This man is just outstanding at getting to the heart of the matter.  And that would be the housing market, and how long it will take for this market to clear.  That ordeal would be measured in years, not months, so we have a long way to go, both with the credit crunch, and the recession that has hardly begun. 

Charlie Rose also Interviewed Mr. Soros recently, and it is a very good use of 30 minutes, to watch that interview. 

So what do we do?  We do NOT buy financial stocks yet.  We do NOT assume the recession that has never occurred is now nearly over.  We get ready for a rough, and likely longer recession that average. 

I am glad someone is finally setting the record straight. A misinformed poster actually thought the man was bullish along with Cramer.  Unvbelievable!

I note that tonight (April 13) the overseas markets are down immensely:

Nikkei down over 400 points (3%); Hang Sheng down over 870 points and China is down over 6.5%.

This doesn't bode well for tomorrow.

Is it time to buy RE funds?    :-)

 

 Look at the second chart down....
 

http://www.hussmanfunds.com/wmc/wmc080414.htm 

Bear market rules apply:

"Oversold conditions should be viewed as extremely dangerous. Whereas in bull markets oversold lows usually present buying opportunities, in bear markets they can often resolve into more heavy selling. "

Soros speaks with a forked tongue. If he's bearish it's more than likely because he has a huge short position. Trust him at your own peril.

 

Eagle remarks: 

Soros speaks with a forked tongue. If he's bearish it's more than likely because he has a huge short position. Trust him at your own peril.

Agreed that Soros may be wrong, but wouldn't you expect a bearish speculator to be short?  Would you trust any market participant who doesn't "put his money where his mouth is?"  Wouldn't THAT be speaking with a forked tongue?

As a broad rule, I trust no one when it comes to investing my money. 

In this specific case, it is not necessary to trust the man.  I suggest focusing on the logic of his positions.  I listen to a lot of people.  Its hard on my ears, and sometimes harder on my ego, but I try VERY hard to listen to all the viewpoints I can handle.  Then I let these ideas have at each other in my mind.  When one party starts making a lot more sense than another, I follow that view in setting my investment posture. 

For example, a few years ago the gold bugs started making a hell of a lot of sense to me.  So however nutty it seemed to go along with these "trilateral commission", "illuminati" kooks, I bought gold and it has done well for me.  Someday, they will not make so much sense, and I will drift out of gold.  At least that is my plan. 

Back to Soros, I would point out that he has been essentially correct in his views for the previous few years.  The dollar is going down.  Check!  The U.S. has fallen in love with the "markets", the Fed has abdicated its responsibility to supervise them, and it will end badly.  Check!  The housing market was fueled by excessive extension of credit, and its a bubble.  Check!

So is it such a tremendous leap of faith, to see that he sees these things as getting worse before they get better? 

Sure the guy has an agenda.  But does he make more sense than the "just a tiny dip and we'll be done!" crowd?  I believe yes, and that is what I focus on. 

Just a few observations- these people speak Hungarian.  It is an Asiatic language  in the very heart of Europe with the same staccato of a gatlin gun as usual, named after the Huns, who specialized in extortion of the Roman empire at the time, and had no special interests in the advancement of trade, ideas,or culture but rather treasure for peace..........  Two thousand years later......Hungarian Jews have had a tiny but remarkable impact on the world, the Hungarians were much kinder to the their Jews than their German allies in both world wars and make up a more significant powerbase than perhaps even the U.S.. ........ The Hungairan nation is dying from lack of children and the consequences of continuing socialism in an otherwise growing dyananism within eastern europe.  Budapest is Buda and Pest, the capitol and is bisected by the river we know as the Beautiful, Blue Danube.  The Hungarians are as mysterious as Romanians, emotional as Italians, clever as Germans, and nihilistic as Russians......... Small in number, tricky though trustworthy bastards because the mind over there works on a different temporal specturm. Subtle reactionary mysticism part of culture.  Outlooks tend to blend future and present as one, and tendencies toward inexplicabilites in the western way of outlook.....Ten million left in this world, think atomic bomb, billionaire, and goolash.

Soros walks the walk, but talks like the fox, count the chickens

Now, anyone else with some due diligence, feedback available;  can check into crystal ball from Transylvania the region removed from the H. republic due to German alliance by same map makers as modern middle east but anyhow, a manipulating marxist Soros remains, ethical money men strive to remain removed from politics imo.

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Now, anyone else with some due diligence, feedback available;  can check into crystal ball from Transylvania the region removed from the H. republic due to German alliance by same map makers as modern middle east but anyhow, a manipulating marxist Soros remains, ethical money men strive to remain removed from politics imo.

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I agree. Soros once said he'd spend every dime he had if he knew it would keep George Bush from getting reelected. If that's his standard, if he takes politics that serious, I wouldn't trust him to run a whore house. 

The black helicopter crowd is alive and well.They buy high and sell low.

Jessie Livermore

Don't paint the economy with a roller.  Parts of the economy are in terrible shape and will get worse before they get better.  Other segments of the economy are enjoying very good times and may see things continue.  Some of the best money men are back in the market, but look at what they are doing.  They are NOT buying the market.  They've found nuggets or ways to turn a little coal into a diamond. (he bought Tribune, why?)

There is a significant part of the investment community that expects to see a "W" recovery and think that we are only on that first rise in the W.  Unfortunately, after that rise comes a very significant downward movement prior to the inevitable rise.  The question is, does that final rise come in 6 months or three years?  After today's rise I am feeling fat, dumb and happy; everything I own was up.  The question is for how long?  I feel like I should lighten up a bit.       Ken