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Soros didn't get his pound of flesh, this time around | Soros didn't get his pound of flesh, this time around |
(about 1 hour later) | |
The man, who nearly broke the Bank of England in 1992 by betting against the pound, missed his opportunity this time around. A spokesman for George Soros said the billionaire did not speculate against the British currency ahead of the UK referendum. | The man, who nearly broke the Bank of England in 1992 by betting against the pound, missed his opportunity this time around. A spokesman for George Soros said the billionaire did not speculate against the British currency ahead of the UK referendum. |
“In fact, he was long on the British pound leading up to the vote,” the representative said, pointing out that George Soros profited from other investments, without specifying details. | “In fact, he was long on the British pound leading up to the vote,” the representative said, pointing out that George Soros profited from other investments, without specifying details. |
Two days before the world-shaking vote the man, who made billions by betting against sterling in 1992, said that the decision to leave the EU would cause a bigger and more damaging fall of the British currency, sparking a second “black Friday” for the UK. Soros expected the pound to drop 15-20 percent. | Two days before the world-shaking vote the man, who made billions by betting against sterling in 1992, said that the decision to leave the EU would cause a bigger and more damaging fall of the British currency, sparking a second “black Friday” for the UK. Soros expected the pound to drop 15-20 percent. |
“I would expect this devaluation to be bigger and also more disruptive than the 15 percent devaluation that occurred in September 1992, when I was fortunate enough to make a substantial profit for my hedge fund investors at the expense of the Bank of England and the British government,” Mr. Soros told The Guardian. | “I would expect this devaluation to be bigger and also more disruptive than the 15 percent devaluation that occurred in September 1992, when I was fortunate enough to make a substantial profit for my hedge fund investors at the expense of the Bank of England and the British government,” Mr. Soros told The Guardian. |
On Friday, sterling had its worst single-day fall against the US dollar, at one point losing 10 percent of its value, dropping as low as $1.30 against the greenback. The pound continued to reel on Monday, dropping another three percent against the US currency - its lowest level since September 1985. | |
Whatever opportunity Soros missed by failing to predict Brexit, he made up for in commodities trading. | Whatever opportunity Soros missed by failing to predict Brexit, he made up for in commodities trading. |
Earlier this year, the billionaire cut his US stock investments by a third and invested in gold and bought shares in gold mines. | Earlier this year, the billionaire cut his US stock investments by a third and invested in gold and bought shares in gold mines. |
READ MORE: Soros dumps US stocks, buys gold | READ MORE: Soros dumps US stocks, buys gold |
The precious metal surged 4.8 percent on Friday, its biggest one-day gain since January 2009. Brexit triggered a mass selloff of riskier assets and investment in safe haven commodities such as gold. | The precious metal surged 4.8 percent on Friday, its biggest one-day gain since January 2009. Brexit triggered a mass selloff of riskier assets and investment in safe haven commodities such as gold. |
Gold continued to rise on Monday, trading near two-year highs at $1,330 per troy ounce. | Gold continued to rise on Monday, trading near two-year highs at $1,330 per troy ounce. |
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