George Soros, the influential investor, is buying gold ahead of a potential Brexit
by Allister Heath
George Soros is only half-right. The billionaire investor, who famously made a fortune predicting that sterling would be kicked out of the Exchange Rate Mechanism in 1992, is now buying gold on the assumption that a Brexit would lead to the disintegration of the EU.
But while our withdrawal from the EU would unleash a wave of change, with at least some other countries tempted to re-embrace independence, this would not trigger the sort of chaos that Soros has in mind. The EU’s real problem is that it is sitting on a ticking time bomb: the eurozone crisis will return whenever the next economic shock occurs, which is yet another good reason to want to leave the EU.
I suspect that an eruption is inevitable at some point: the euro is too intrinsically broken.