George Soros and British Pound

British Pound Plunging

The ongoing plunge in value of the British pound brings to mind the millions earned by George Soros when he bet against it in September 1992.

Concerns over the rate of the fall in value of the pound has some concerned over how that will impact the value of stocks, commodoties and trade around the world.

The pound has been in even worse shape than the euro over the last month and a half or so, and it remains to be seen how it could effect the global scene.

It makes you wonder if old George Soros is back in the picture, or at least someone like him.

British Pound Plunging

Jim Rogers Denies British Pound Statement

Jim Rogers on British Pound Collapsing

According to Jim Rogers, the comments attributed to him that he said the British pound was ready to collapse, possibly in the next several weeks, isn't true, and he knew nothing of the press release which made the assertions.

Interestingly though, Rogers did make a fortune betting against the pound in the past.

Even so, Rogers didn't exactly back down from the issue in general, as he reasserts that while he didn't make the statements attributed to him, he still considers that over the next several years the British pound has some major problems.

What is sounds like is Rogers believes in the collapse of the British pound, he's just saying it didn't say it.

Jim Rogers on British Pound Collapsing

Gold Rising 30% in 2010?

Gold Rising 30% in 2010

According to the London Market Bullion Association, gold could rise close to 30 percent in 2010, as continual concerns over central banks printing money, sovereign defaults, quantitative easing and outrageous government stimulus programs weigh on the minds of investors.

It's unknown what will happen if the British pound collapses, as a number of investment experts like Jim Rogers and Marc Faber are predicting, and that could cause gold prices to go through the roof as investors and consumers look for somewhere safe to place their money.

Now that the government stimulus programs have been proven to be mass failures, the growing realization we aren't close to being out of the recession yet is settling on people, and that will cause even more to move toward gold as a haven.

In the short term it doesn't look like any new gold mines are coming online either, making gold a possible rare commodity as funds continue to buy physical gold to back them up. That is another possible factor which could move gold prices higher in 2010 and beyond.

Gold Rising 30% in 2010

Jim Rogers: Britain Bankrupt

Jim Rogers on what to invest in

In a recent interview, commodity investor Jim Rogers stated that Britain is bankrupt, and there's not a bank in the country that's not in trouble.

Other than oil and banking, the UK hasn't had much going for it, and oil is depleting while the UK banking industry is in shambles he said.

Jim Rogers reiterated that investing in real assets is the way to go over the next 30 years, and those that produce "real things," will dominate the business landscape.

Rogers recommends, as mentioned, real assets, raw materials, commodities, and to stay away from the U.S. dollar and sterling for sure. The currency Rogers says he's investing in now is the yen.

He also said he is buying China shares again, signifying he things they are near a bottom.

Jim Rogers on what to invest in

Rupee Declines against Major Currencies except ... US Dollar

The rupee was weak over the last seven days, as it was only able to gain against the US dollar in open and inter-bank markets which ended Saturday.

The US dollar traded Monday at Rs62.86, and dropped to Rs62.65 by Saturday. The greenback gained Saturday a little, as it traded at Rs62.70; still lower than Monday's price.

In the inter-bank market, the Rupee fell the most against the pound sterling, trading Monday at Rs124.5813, and reaching Rs125.4430 by the weekend. Pound Sterling also rose on the open market, closing at Rs125.95 Saturday, after trading on Monday for Rs124.25.

With the Euro, it traded at Rs94.7125 on the inter-bank market, and ended Saturday at Rs95.6875. It came close to an all-time high of Rs96 during the week. In the open market, the Euro ended up, closing at Rs95.95, while trading on Monday at Rs95.1.

For the Japanese yen, its inter-bank trading was at Rs0.6042 on Monday, and closed at Rs0.6104. On the open market the yen rose only a fraction, closing at Rs0.605.

Relief for the U.S. Dollar Not Coming in the Near Future

Most currency experts believe the fall of the U.S. dollar is far from over, and it has a ways to go before it reaches bottom.

There are many reasons for the decline of the dollar, and many consequences as well.

Here's some of today's stories talking about what they are:

Myriad of factors behind dollar's sudden drop

Momentum trading, the break of key options barriers and technical levels, and crosscurrents with oil and other commodities all played a role in beating down the buck.

Take, for example, momentum trades, which are market bets made simply on direction rather than fundamentals or intrinsic values. Analysts say the dollar's rapid rise against the euro this week was due in part to this strategy.

"When prices roll higher -- or lower -- and momentum kicks in, the trend attracts fresh interest from momentum traders and models," said Andrew Wilkinson, senior market analyst at Interactive Brokers.

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Dollar: It will only get worse

Despite all the pain the U.S. dollar has endured in recent days, the greenback may still have further to fall before seeing any sort of relief, according to currency experts.

Driving much of the dollar's decline this week were tepid remarks about the U.S. economy by Federal Reserve Chairman Ben Bernanke, who hinted that the central bank would cut interest rates once again at the Fed's March meeting.

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Euro breaches $1.50 barrier, What's it mean for Sterling?


THE EURO, once the butt of currency dealers’ jokes, is now enjoying its place in the sun. Last week the currency traded above $1.50 against the beleaguered dollar for the first time in its nine-year history.

The dollar’s fall also helped to produce a grim new milestone for energy users. Its weakness contributed to a rise in oil prices to almost $103 a barrel. Though calculations vary, on most measures that is the highest oil price in inflation-adjusted terms in the modern era, exceeding the level reached in 1980 in the aftermath of the fall of the shah of Iran in 1979.

As with other dollar-priced commodities, the American currency’s fall has a twin impact on oil. It leads to a compensatory rise in prices and encourages investors to seek what they see as the safer haven of commodities. Both effects conspire to push prices higher.