In this article the man who predicted the collapse of the Euro against the Swiss Franc is now warning about an imminent global financial crash. He says that the world economy as we know it will soon cease to exist.
Today the man who 73 days ago remarkably predicted the collapse of the euro against the Swiss franc stunned King World News when he said that the current global financial system will cease to exist. This interview takes a frightening look what is really happening around the world and the chaos that is still to come.
Egon von Greyerz: “Eric, the Greek situation is key because the consequences of the outcome in Greece will have a major impact on the world. It’s interesting to note that Greece has been in default or rescheduling its debts for 50 out of the last 200 years. The Greek Finance Minister, Varafoukis, is playing a very clever game….
“Varafoukis demands that there will be no austerity and that most of the debt be forgiven. This is unacceptable to the Germans and the Eurocrats.
But the Greek Finance Minister, Varafoukis, knows how to play this game because he is an expert at game theory. He has now opened up a dialogue with China and Russia. This is unacceptable to the EU and the United States. Neither the EU nor the U.S. would welcome a Russian naval base in Greece.
Regardless of the outcome in Greece, there will be major repercussions for Europe and the world. The world is already very close to an avalanche of money printing and defaults. Also, other countries in the EU are waiting to follow Greece.
In Spain, an even more radical opposition party than the one in Greece is now well ahead in the opinion polls and is likely to win the November election. Their platform is a canceling of debts with the EU, public control over energy and banks and withdrawal from NATO. And in Italy, all three opposition parties are anti-euro. They are calling for a return to the lira. This anti-euro sentiment is already spreading to France.
Eric, this will not end well because the world is so incredibly fragile and unstable. The truth is that central banks have no idea how to get out of this crisis. The problem is that there is no way out of this without a major implosion of the world economy.
Central bank after central bank is now setting negative interest rates. The latest today is Sweden. This is being done in an attempt to create inflation. Sweden is also starting a QE program and this is with an existing massive property bubble and consumer debt problem.
The bottom line is that the world is heading toward a catastrophic outcome and there is nothing that can be done to stop it. In the meantime governments are desperately using propaganda to try to keep social order in their countries. This will only work for so long before massive protests erupt and total chaos ensues. Time is running out for the current global financial system — it will cease to exist — and people need to make sure that they have themesleves and their families prepared for the coming chaos.”