Banking titan places $200 million dollar short against single currency
If the actions of Lord Jacob Rothschild are anything to go by, the long predicted collapse of the Euro may not be far away, with the banking titan placing a $200 million dollar bet against the troubled single currency.
âLord Rothschild, an elder member of the dynastic Rothschild banking family, has taken the position against the euro through RIT Capital Partners, the 1.9 billion pound investment trust of which he is executive chairman,âÂ reports CNBC.
RIT has upped its short against the Euro from 3 per cent in January to 7 per cent in July.
The European Central Bank continues to try to re-animate a dead corpse by continually pumping bailout money into debt-ridden countries like Greece, Ireland, Portugal and Spain.
However, top investors only see it as a matter of time before the single currency is consigned to the landfill of economic history.
Last week, influential German newspaperÂ Der Spiegel reportedÂ that âBanks, companies and investors are preparing themselves for a collapse of the euro.â
Meanwhile, billionaires like John Paulson and George Soros are throwing their financial muscle behind gold as the financial picture looks increasingly unstable heading towards the end of the year.
âAccording to Bloomberg News, Paulson & Co. and Soros Fund Management bumped up exposure to SPDR Gold Trust to 21.8 million shares and 884,000 shares, respectively. Paulson & Co. now has 44 percent of its $24 billion fund exposed to bullion,âÂ reports ABC News.
The next leg of the financial collapse is being forecast by many to be far greater in severity than the 2008 downturn, with Max Keiser appearing on the Alex Jones Show Friday to predict a systemic economic meltdown before April 2013.
âThere is no way to stop it because systems analysis tells me that when you complicate a system to the degree that this has been compromised and complicated thereâs a 99.9 per cent probability of a total utter systemic collapse before April (2013),â said Keiser.
He followed up by stating, âThere is only one possible outcome from that and thatâs civil war â thereâs gotta be a civil war â itâs gonna be a civil war in America intergenerational â all the people under 30 are going to go to war with everybody whoâs 45-plus who basically stole all their money, stole their country, stole their wealthâŠ.if you have one youâre gonna have the other and that would come in 2013.â