The people just dealt another body blow to the global elite…
On Sunday, Italian Prime Minster Matteo Renzi resigned after Italians rejected (59.1% to 40.9%) a constitutional referendum. Voters viewed the referendum as a vote of confidence in Renzi’s pro-EU government.
The “No” vote was another crushing defeat for the European Union… It follows the June “Brexit” vote by the British to leave the eurozone.
Regular Daily readers have expected this outcome…
Longtime crisis investor and PBRG friend Nick Giambruno was on the ground in Rome covering the crisis since September:
Donald Trump’s victory—which shocked Europe’s political and media elite—gives the populists backing the “No” side of Italy’s referendum the political rocket fuel they need for a virtually guaranteed win.
That momentum will be all but impossible to reverse. Anti-elite sentiment is rising on both sides of the Atlantic. And I bet the global populist revolution will continue.
If Italians buck the establishment—and it looks like they will—it will clear a path for a populist party to take power and for Italy to exit the euro.
Renzi’s shock resignation initially sent the euro to a 21-month low against the dollar and jolted stock and bond markets. Then financial markets recovered as European officials downplayed the crisis…
But even if Italy doesn’t exit the EU right away, Nick says the “No” vote will change the continent’s political landscape—and global financial markets—in a way not seen since before World War II. To hear his recommendations on how to play crises like the one happening in Italy, click here.