Soros Needs a Catalyst to Step Up His Position

Soros needed a catalyst to step up the size of his position and luckily for him on September 16th the president of the Bundus Bank held a seemingly innocent interview. The trade was to short weak European currencies especially the pound and buy German and French bonds. Soros bought half a billion dollars worth of British stocks working on the assumption that a country's equities are likely to rise following a currency devaluation. For the same reason he sold German and French stocks short. When Druckenmiller discussed the trade with Soros Soros seemed unhappy he didn't understand why the trade was size so small. If it worked out they could make a fortune and if they were wrong they would lose hardly anything