Germany Begins to Abandon the Euro

According to insider sources, it looks as though Germany is going to flee the horrible, financial state of the Euro zone.

Phillippa Malmgren, the President and founder of Principalis Asset Management, “speculates” on her website that in the next few weeks, Greece will default while Germany will abandon the euro all together.

Malmgren was Special Assistant to the President for Economic Policy on the National Economic Council for President Bush and has an impressive resume which gives us confidence, at Wealth Wire, that this news is true. According to Sweden's largest business paper, Dagens Industri, she expects the Germans to announce that they will revert back to the Deutschmark and that they already ordered the new currency printed up.

Here is a clip from her website:

News to expect in the coming days and weeks...

- Greece defaults

- Germany protects German banks but other countries cannot do the same thus quickly provoking multiple sovereign defaults and or bank failures, all of which may easily lead to a payments crisis in the global banking system. Derivatives are particularly at risk in terms of operation and execution.

- The Euro falls in value especially against the US dollar.

- The Germans announce they are re-introducing the Deutschmark. They have already ordered the new currency and asked that the printers hurry up.

This news has been spreading quickly, as analysts have been reporting since late last week that Germany has plans to leave the Euro. But the downside of Germany moving back to the Deutschmark is, according to Alex Jones of Infowars.com, it would make the Mark "ridiculously strong and that would kill Germany's export industry."

This sell-off of the euro by Germany is seeming even more likely, as today, the euro's chief guardian, Jean-Claude Trichet, will leave the European Central Bank this month for a position to fight the government debt crisis head on. With the fumbling of positions and uncertainty of Europe, the best move for Germany, the EU's most stable nation, would be to rid itself from the contagious euro.

Malmgren then predicts that as soon as the Germans leave for greener pastures with their new currency, the euro will rapidly fall from the withdraw.

Source: WealthWire.com