Less known by the general public than Warren Buffett or Peter Lynch, George Soros is nevertheless a legend in the investment world. George Soros’ most brilliant move was probably the one that saw him literally broke the Bank of England on September 16th, 1992.
To do this, the American investor took advantage of the European Monetary System (EMS) to carry out a speculative attack that I propose to rediscover in detail in what follows.
Back to the end of the 1980s and the beginning of the 1990s in England.
England joins the European Exchange Rate Mechanism as the country enters a recession
After a period of sustained growth, associated with a moderate rate of inflation and a gradual decline in unemployment between 1983 and 1988, the situation began to reverse from 1989–1990. Inflation rose from 3.3% in January 1988 to a high of 10.9% in September 1990.
— source historyofyesterday.com | Sylvain Saurel | Aug 10, 2021