Prepare to short the euro

The threat of a double-dip is hanging over the global economy. European banks, among the weakest links in the financial sector, remain over-stretched. Add in the very real danger of one of the eurozone countries defaulting, and shorting the euro makes a lot of sense, says professional investor Gary Thomson.

Each week, a professional investor tells MoneyWeek where he'd put his money now. This week: Gary Thomson, director of sales trading at WorldSpreads.

If you are comfortable with spread betting, it has many advantages as a way to play short-term moves in the financial markets. As well as allowing traders to use leverage, and offering 24-hour dealing facilities, any profits made from financial spread betting are exempt from capital-gains tax. Of course, there are risks to spread betting, in that losses can quickly rack up if a bet goes against you, which is why it's worth using stop-losses and opening a practice account before you plunge right in.

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MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.