10 potential financial disasters for 2023, according to Saxo By Investing.com

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Investing.com – “Gone are the days when low interest rates could fuel dreams of an ideal world based on renewable energy, equality and independent central banks. In 2023, the world’s economies will enter a war economy mode where sovereign economic profits are made. Self-sufficiency will prevail over globalization.” This is emphasized by Saxo Bank, which published its report on black swans for the coming year.

Black Swans are known as events that are apparently unpredictable, have a large socio-economic impact, and are analyzed in hindsight after they occur and eventually become predictable events.

Here are ten “wild” predictions of the Danish bank:

1. A multibillion-dollar coalition creates the “Manhattan Project,” a trillion-dollar energy plan.

The world’s growing need for energy is prompting the wealthy to come together and launch an R&D project on a scale not seen since the Manhattan Project gave America its first atomic bomb.

2. French President Emmanuel Macron resigns

Political stagnation in France and the rise of Marie Le Pen after the 2022 elections have pushed President Macron into a corner, forcing him to withdraw from politics and resign from office.

3. Gold rises to $3,000 after central banks fail to control inflation

It rises to $3,000 when markets and central banks realize that the idea that inflation is temporary and that prices will stay higher for longer is wrong.

4. The European Union acquires its armed forces

Faced with ongoing problems in the region and the US military failing to fulfill its traditional role as a global defender, the European Union agrees to build its own armed forces to defend against various geopolitical risks, such as the Russia-Ukraine war.

5. The country agrees to ban all meat production by 2030.

A country that wants to become one of the world leaders on the road to net zero waste decides not only to impose a heavy tax on meat, but also to completely ban domestic production.

6. An anti-Brexit referendum is held in Great Britain

After a recession and severe domestic pressure, the UK was plunged into political turmoil that would culminate in a vote to withdraw from Brexit.

7. Generalized price controls to limit official inflation

History teaches us that a war economy is accompanied by rationing and price controls. And this time is no different, as leaders begin to impose strict price controls, leading to unexpected results.

8. OPEC+ and China withdraw from the IMF and agree to negotiate new reserve assets.

Sanctions imposed against Russia have created widespread panic due to the movement of the US dollar in countries around the world that do not see the United States as an ally. To get rid of this, they leave the IMF and create a new reserve asset.

9. When Japan overhauled its financial system, $200 was set.

The Bank of Japan is trying to prevent the currency from sliding after the challenges the Japanese yen faces in 2022. Without long-term success, Japan will reboot its entire financial system. USD/JPY rises to $160 and $170 as public protests against runaway inflation reach a climax. When USD/JPY rises above $180, the government and central bank intervene and set a limit of $200.

10. Banning tax havens destroys private capital

With a war economy, the focus is on national interests and the ability of sovereign countries to assert themselves. In this sense, the OECD countries are interested in tax havens and remove the heavy artillery by simply banning it.

By Laura Sanchez

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