Nervous Germans are planning a covert operation designed to target hedge funds.
According to Bloomberg, Germany’s Finance Minister Wolfgang Schaeuble told the Bundestag on March 16 that the country may have to consider ordering “intelligence agencies to set up surveillance of who is getting together with whom for which kinds of speculative processes, and where” to protect the euro.
We get that European authorities are upset about hedge funds speculating about the collapse of the Euro.
But this is intense:
“Within continental Europe there are those that do think that financial speculators are sort of terrorists,” Vanessa Rossi, a senior research fellow in the international economics program at London’s Chatham House, told Bloomberg.
“In their lexicon it is economic terrorism, so they may view this as more serious than the U.S. or U.K.”
Spain’s secret service has apparently been investigating economic “attacks” on the country since last month.
European politicians seem to believe that the fall of the Euro and Greece can in part be traced to currency speculation done by hedge funds.
Of course hedge funds can easily fight back with spies of their own. Many, like SAC Capital, have already used intelligence agencies to gain advantages over their competitors. If they’re working against the government too, this could make the finance world significantly more exciting.