NEW YORK Jan 24 Billionaire investor George
Soros said on Thursday that he favors U.S. monetary easing
policy, but warned of a "currency war" because of differences in
how countries manage national deficits.
"I think the policy, basically, pioneered by Bernanke is
actually the right policy," Soros told CNBC in an interview from
Soros was referring to the monetary easing policy of the
U.S. Federal Reserve and its chairman, Ben Bernanke, of buying
$85 billion in Treasury and agency mortgage securities per
Soros warned, however, that Germany's belief in tackling
deficits through austerity clashes with other nations'
preference for monetary easing, and could spur a "currency war."
"I think the biggest danger is actually, potentially, a
currency war," Soros said.
"The rest of the world follows a different recipe from the
Germans. Germans believe in austerity, and the rest of the world
believes in quantitative easing," Soros added.