Wednesday, November 2, 2016

833 Soros, Rothschild Warn of Brexit Doom (but they are Illuminati, and the power behind the EU project)

Soros, Rothschild Warn of Brexit Doom (but they are Illuminati, and the
power behind the EU project)

Newsletter published on 23 June 2016

(1) Soros, Rothschild Warn Of Brexit Doom
(2) Soros threatens: Brexit will make you poorer
(3) Brexit would be a disaster - Jacob Rothschild
(4) Juncker warns of an acrimonious Divorce

(1) Soros, Rothschild Warn Of Brexit Doom

http://www.zerohedge.com/news/2016-06-20/big-guns-are-out-soros-rothschild-warn-brexit-doom-osborne-threatens-suspending-mark

The Big Guns Are Out: Soros, Rothschild Warn Of Brexit Doom; Osborne
Threatens With "Suspending" Market

by Tyler Durden - Jun 21, 2016 4:32 AM

The big guns are officially out.

Just yesterday, we recounted the story of "Black Wednesday" when on
September 16, 1992, the UK was forced out of the EU’s exchange-rate
mechanism, or ERM, when the BOE tapped out and allowed the British pound
to float freely, leading to 15% losses in the sterling. As we noted,
this was George Soros' infamous trade which "broke the Bank of England"
and made the Hungarian richer by over $1.5 bilion.

24 years later Soros is back, and this time he is warning against the
kind of devaluation that made him a billionaire and which he believes
will be unleashed by Brexit, when in a Guardian Op-Ed he wrote that U.K.
voters are "grossly underestimating" the true costs of a vote to leave
the EU, saying that there would be an "immediate and dramatic impact on
financial markets, investment, prices and jobs."

He predicts that the pound would decline "precipitously", seeing a
gargantuan drop of at least 15% and possibly >20% to below $1.15.
Considering it has now become trendy for analysts to come up with ever
"doomier" forecasts of just how low cable would plunge in case of
Brexit, we are surprised Soros stopped there.

Here Soros makes the distinction how the collapse in cable would be
different from the one that made him richer by saying that this
devaluation wouldn’t be "healthy" like the one in 1992 because BOE
wouldn’t cut rates, U.K. has large current account deficit and
devaluation unlikely to improve manufacturing exports this time. Just
don't tell that to the BOJ, which would gladly leave the EU - twice if
it had to - if it meant a 20% devaluation.

"Brexit would make some people very rich - but most voters considerably
poorer"; "there are speculative forces in the, markets much bigger and
more powerful" than the speculators that profited from the 1967
devaluation at Britain’s expense. "A vote to leave could see the week
end with a Black Friday, and serious consequences for ordinary people."

Here is the gist of Soros' scaremongering, from the Guardian op-ed
titled "The Brexit crash will make all of you poorer – be warned":

     David Cameron, along with the Treasury, the Bank of England, the
International Monetary Fund and others have been attacked by the leave
campaign for exaggerating the economic risks of Brexit. This criticism
has been widely accepted by the British media and many financial
analysts. As a result, British voters are now grossly underestimating
the true costs of leaving.

     As opinion polls on the referendum result fluctuate, I want to
offer a clear set of facts, based on my six decades of experience in
financial markets, to help voters understand the very real consequences
of a vote to leave the EU.

Of course, Soros' set of facts may be clouded by his far greater equity
stake in equity interests around Europe, and the globe, which would be
drastially impacted by not only a Brexit, but by a European Union which
is suddenly on the rocks.

 From that point on, Soros' entire analysis is on the "worst case"

scenario centered around a collapsing pound, something which most
ironically every other central bank around the globe is so desperate to
achieve:

     ... sterling is almost certain to fall steeply and quickly if there
is a vote to leave– even more so after yesterday’s rebound as markets
reacted to the shift in opinion polls towards remain. I would expect
this devaluation to be bigger and more disruptive than the 15%
devaluation that occurred in September 1992, when I was fortunate enough
to make a substantial profit for my hedge fund investors, at the expense
of the Bank of England and the British government.

At least he is honest.

It is notable that Soros' warning comes just days after that of Jacob
Rothschild himself who said in another Op-Ed, this time for The Times,
that leaving the EU could lead to a "damaging and disorderly situation"
in the UK as he urged Britons to vote 'remain'. Just like Soros, Lord
Rothschild, suddenly exhibiting a rare strain of humanitarian concern,
said readers should not "risk the wellbeing of our country"and European
countries are "better off together".

He said that "at present we enjoy being a permanent member of the UN
security council and we are essential to the G8 and Commonwealth. But
diplomacy, defence, the environment and our values of being a liberal
democracy will all be at risk" adding that "I can see no good reason why
we should accept our playing a diminished role on the world stage,"
especially if his own personal fortune would be jeopardized.

* * *

Finally, completing the doom loop, was none other than Chancellor George
Osborne who, according to the Telegraph, "refused to rule out suspending
trading on the London stock market if Britons vote to leave the European
Union on Friday morning... The threat from the Chancellor, made in an
LBC radio interview on Monday evening, after the market had closed could
force shares down in London as early as Tuesday morning."

     Iain Dale, the presenter, asked Mr Osborne: "If the financial
markets do plummet on Friday would you have to consider suspending
trading on the FTSE?"

     The Chancellor responded: "Well look, the Bank of England and the
Treasury – Governor Carney and myself – we have of course discussed
contingency plans.

     But the sensible thing is to keep those secret and make sure you
are well prepared for whatever happens but if you set them all out in
advance then you rather undermine the power of those plans."

     Pushed again on the contingency plans, Mr Osborne said: "I have a
responsibility to the people listening to this programme to do all I can
to protect them.  "But I have to tell you that you cannot in the end
protect people from the economic shock that leaving the EU would bring
about."

And in case the threat of shuttered markets was not enough, Osborne also
hinted at imminent mass layoffs, suggesting that redundancy notices
could be issued hours after Britons vote to leave the EU at the vote.

     Mr Osborne pointed to warnings from the London Stock Exchange there
would be 100,000 job losses in the City after a Brexit.

     Mr Osborne was challenged about whether redundancies warned by the
bank JP Morgan could come as early as Friday – the day after the
referendum. Mr Osborne replied: "I think that will start to happen very
quickly, sadly."

Amid all this gloom, Osborne presented the "only" alternative that would
not lead to the imminent economic collapse he so forcefully imagines:

     "he added that if the UK voted to remain there would be a "quick
snap back" for the British economy, he said that "decisions will be
taken and investment will come in". Asked if these redundancy notices
would be issued on Friday morning if Britons vote to leave, Mr Osborne
said: "That will start to happen very quickly sadly."

Now if only the people will do what these noble public servants tell to
do in their own best interest...

Finally, Osborne also played down claims he could be forced to leave the
Treasury after the referendum amid anger form Tory backbenchers over the
way he has campaigned, saying: "It’s really not about my job".

Oh but is George, just like it is in Soros and Rothschild's own self
interest for the people to vote "Remain." To suggest otherwise is naive,
but it may also be irrelevant. With just three days until the vote, the
scaremongering tactic, not to mention the murder of an innocent woman,
may have already done its job judging by the reveral in public opinion.

In any case, one can only hope that unlike the case of the failed Greek
referendum where the people voted one way only to get the opposite, no
matter how the Brits vote, it will truly represent the democratic will
of the majority and that particular outcome is what they get.

(2) Soros threatens: Brexit will make you poorer

https://www.theguardian.com/commentisfree/2016/jun/20/brexit-crash-pound-living-standards-george-soros

  The Brexit crash will make all of you poorer – be warned

George Soros

My 60 years of experience tells me the pound will plummet, along with
your living standards. The only winners will be speculators

Tuesday 21 June 2016 07.00 AEST Last modified on Tuesday 21 June 2016
18.32 AEST

David Cameron, along with the Treasury, the Bank of England, the
International Monetary Fund and others have been attacked by the leave
campaign for exaggerating the economic risks of Brexit. This criticism
has been widely accepted by the British media and many financial
analysts. As a result, British voters are now grossly underestimating
the true costs of leaving.

Too many believe that a vote to leave the EU will have no effect on
their personal financial position. This is wishful thinking. It would
have at least one very clear and immediate effect that will touch every
household: the value of the pound would decline precipitously. It would
also have an immediate and dramatic impact on financial markets,
investment, prices and jobs. George Soros: EU exit risks 'black Friday'
Read more

As opinion polls on the referendum result fluctuate, I want to offer a
clear set of facts, based on my six decades of experience in financial
markets, to help voters understand the very real consequences of a vote
to leave the EU.

The Bank of England, the Institute for Fiscal Studies and the IMF have
assessed the long-term economic consequences of Brexit. They suggest an
income loss of £3,000 to £5,000 annually per household – once the
British economy settles down to its new steady-state five years or so
after Brexit. But there are some more immediate financial consequences
that have hardly been mentioned in the referendum debate.

To start off, sterling is almost certain to fall steeply and quickly if
there is a vote to leave– even more so after yesterday’s rebound as
markets reacted to the shift in opinion polls towards remain. I would
expect this devaluation to be bigger and more disruptive than the 15%
devaluation that occurred in September 1992, when I was fortunate enough
to make a substantial profit for my hedge fund investors, at the expense
of the Bank of England and the British government.

     Households would lose between £3,000 and £5,000 a year on average

It is reasonable to assume, given the expectations implied by the market
pricing at present, that after a Brexit vote the pound would fall by at
least 15% and possibly more than 20%, from its present level of $1.46 to
below $1.15 (which would be between 25% and 30% below its pre-referendum
trading range of $1.50 to $1.60). If sterling fell to this level, then
ironically one pound would be worth about one euro – a method of
"joining the euro" that nobody in Britain would want.

Brexiters seem to recognise that a sharp devaluation would be almost
inevitable after Brexit, but argue that this would be healthy, despite
the big losses of purchasing power for British households. In 1992 the
devaluation actually proved very helpful to the British economy, and
subsequently I was even praised for my role in helping to bring it about.

But I don’t think the 1992 experience would be repeated. That
devaluation was healthy because the government was relieved of its
obligation to "defend" an overvalued pound with damagingly high interest
rates after the breakdown of the exchange rate mechanism. This time, a
large devaluation would be much less benign than in 1992, for at least
three reasons.

First, the Bank of England would not cut interest rates after a Brexit
devaluation (as it did in 1992 and also after the large devaluation of
2008) because interest rates are already at the lowest level compatible
with the stability of British banks. That, incidentally, is another
reason to worry about Brexit. For if a fall in house prices and loss of
jobs causes a recession after Brexit, as is likely, there will be very
little that monetary policy can do to stimulate the economy and
counteract the consequent loss of demand.

Second, the UK now has a very large current account deficit – much
larger, relatively, than in 1992 or 2008. In fact Britain is more
dependent than at any time in history on inflows of foreign capital. As
the governor of the Bank of England Mark Carney said, Britain "depends
on the kindness of strangers". The devaluations of 1992 and 2008
encouraged greater capital inflows, especially into residential and
commercial property, but also into manufacturing investments. But after
Brexit, the capital flows would almost certainly move the other way,
especially during the two-year period of uncertainty while Britain
negotiates its terms of divorce with a region that has always been – and
presumably will remain – its biggest trading and investment partner.

Third, a post-Brexit devaluation is unlikely to produce the improvement
in manufacturing exports seen after 1992, because trading conditions
would be too uncertain for British businesses to undertake new
investments, hire more workers or otherwise add to export capacity.

For all these reasons I believe the devaluation this time would be more
like the one in 1967, when Harold Wilson famously declared that "the
pound in your pocket has not been devalued", but the British people
disagreed with him, quickly noticing that the cost of imports and
foreign holidays were rising sharply and that their true living
standards were going down. Meanwhile financial speculators, back then
called the Gnomes of Zurich, were making large profits at Britain’s expense.

Today, there are speculative forces in the markets much bigger and more
powerful. And they will be eager to exploit any miscalculations by the
British government or British voters. A vote for Brexit would make some
people very rich – but most voters considerably poorer.

I want people to know what the consequences of leaving the EU would be
before they cast their votes, rather than after. A vote to leave could
see the week end with a Black Friday, and serious consequences for
ordinary people.

(3) Brexit would be a disaster - Jacob Rothschild

http://www.thetimes.co.uk/edition/comment/all-the-evidence-shows-that-brexit-would-be-a-disaster-7vg3zks35

All the evidence shows that Brexit would be a disaster

Jacob Rothschild

We shouldn’t accept a diminished role on the world stage

Success stories in any field are built on one great idea. This was
certainly the case with my forebear Mayer Amschel Rothschild, who at the
end of the 18th century sent his five sons to the five financial
capitals of Europe to set up the first truly international banking
system, a "common market". Operating from London, Paris, Vienna, Naples
and Frankfurt, the brothers, working together to exchange information
and ideas, built an extraordinary business that operated across
boundaries and cultures.

A hundred and fifty years later, the foundation of the EEC operated on
similar principles, namely that we are stronger and better off together.
With a referendum on our membership little more than a week away, I
believe that leaving the EU could have serious negative consequences,
economically and politically, for the future prospects of this country …

Lord Rothschild is chairman of RIT Capital Partners plc

(4) Juncker warns of an acrimonious Divorce

http://www.bbc.com/news/uk-politics-eu-referendum-36599300

Juncker in 'out is out' warning to UK

     4 hours ago     From the section EU Referendum

The UK will not be able to return to the negotiating table if it votes
to leave the European Union, one of the EU's top officials has said.

Speaking on the eve of the referendum, European Commission President
Jean-Claude Juncker said the outcome would be final and "out is out".

And the UK would not get a better deal than the one already negotiated
by Prime Minister David Cameron.

Leave supporter Boris Johnson called Mr Juncker an "unelected tin-pot
figure".

The former mayor of London said the remarks showed Mr Cameron's belief
that the UK could achieve further reform to immigration rules from
within the EU were a "sham, snare and a delusion".

In less than 24 hours, UK voters will head to the polls to decide
whether the country remains in the EU or leaves - a decision that the
leaders of the EU's 27 other states have said will have profound
consequences not only for the UK but for the future direction of the
EU.\ 'Maximum deal'

Asked about the consequences of a Brexit vote, Mr Juncker made it clear
there would be no scope for further negotiations over better terms to
try to keep the UK on board.

"I have to add that the British policymakers and the British voters have
to know there will be no kind of any renegotiation," he told reporters
after talks with new Austrian Chancellor Christian Kern.

"We have concluded a deal with the prime minister, he got the maximum he
could receive, we gave the maximum we could give.

"So there will be no kind of renegotiation, nor on the agreement we
found in February, nor as far as any kind of treaty negotiations are
concerned. Out is out.

His words were echoed by the French President, Francois Hollande, who
said a decision by Britain to leave would be "irreversible". 'Wrong choice'

Mr Cameron has insisted the UK would be leaving the EU for good and
future generations will not be able to "undo" the result.

Speaking on Wednesday, he said: "You can't jump out the aeroplane and
then clamber back through the cockpit hatch."

It is understood Mr Juncker was not referring to the prospect of future
reforms in the event of the UK voting to remain in the EU, something Mr
Cameron has insisted will continue, including in the key area of
immigration and free movement. Image copyright AFP Image caption
European leaders are urging the UK to vote to stay in the EU

But those campaigning for the UK to leave the EU seized on the remarks,
with Mr Johnson saying they had "given the game away".

"If we stay in, there is no prospect of any further change," Mr Johnson
said. "This is it, folks. We have been told from the horse's mouth that
any hope of further change is absolute illusion."

He added: "It is time for us to show our courage and our commitment to
democracy by standing up to these unelected tin-pot figures."

And UKIP's Nigel Farage said it was the "last chance saloon" for the UK.

The BBC's political editor Laura Kuenssberg said Mr Juncker's comments
would be "used by both sides", adding that they "underline PM's 'out
means out' message, but undermine suggestions that if we stay in we can
keep pushing reform". 'Mistake'

European leaders have implored British voters to think carefully before
separating themselves from the EU,

German Chancellor Angela Merkel said she wanted the UK to remain, while
Italian prime minister Matteo Renzi said Brexit would be a mistake of
historic proportions and out of keeping with the British character.

"Seen from Italy, a vote to leave Europe would not be a disaster, a
tragedy or the end of the world for you in the UK," he wrote in the
Guardian. "It would be worse, because it would be the wrong choice.

"It would be a mistake for which you the voters primarily would pay the
price."

And the secretary general of Nato told the same newspaper that a
"fragmented Europe" risked greater instability on the continent.

While maintaining the decision was one for the British public, Jens
Stoltenberg said "a strong UK in a strong Europe is good for the UK".

He added: "It's good for Nato, because we are faced with unprecedented
security challenges, with terrorism, with instability and an
unpredictable security environment, and a fragmented Europe will add to
instability and unpredictability."

Leave campaigners have said the EU has the ambition of creating a
pan-European army and duplicating Nato military structures, claims
rejected by the UK government.





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