Friday, February 26, 2010

Jim Rogers: British Pound Could Collapse Within Weeks

Digital Journal reports:

[Jim] Rogers, making statements prior to delivering a keynote speech at next month’s Global Trading Day seminar in Westminster, believes the collapse of the Pound could foreshadow a global economic disintegration before the end of the year. The last few months of increases in the markets have been a “false bounce” and occurred due to government interference in the market and throwing everything at it except for the kitchen sink.

“But it can’t last. We’ve been applying temporary sticking plasters, not long-term cures. Later this year we’ll see the start of the real recession, with more Lehman-scale disasters and a fallout which won’t stop until the underlying malaise is genuinely cured,” said Rogers.

The author of “Hot Commodities” believes the beginning of the collapse of the UK will start with the Pound, adding that the Pound has devalued against all other currencies and is a “basket case,” which will put Great Britain in a bad position when the “shakedown” occurs.
The entire financial world is pretty unstable right now. The pound could very well be the flashpoint, but there are a thousand mines buried under this global economy. No one really knows which will go off first.

1 comment:

  1. I'm heartened that the final defeat of Keynesian economics will soon be at hand, but scared at the cost of the victory.