Not many people are following it, but there's an incredible race happening in Europe right now… one we predicted. It's between the paper currency of mainland Europe and the currency of Great Britain.
As you can see from this week's chart, it's a race to the bottom right-hand corner of the price chart.
More than three months ago, we highlighted the downside breakout in the British pound. The country's government has taken on a ridiculous amount of debt… which makes it a likely candidate for "the world's next debt crisis starts here" award. We told the euro to expect some competition on the race to destruction. Since our bearish note, the pound has relentlessly plunged to a 52-week low.
This is just the latest in the government debt train wreck of the Western world… and the latest reason to make sure you keep a portion of your wealth in "hard currency" like gold.
No comments:
Post a Comment