While we see the effects the Greek (and now Italy) debt problems on our own US markets, with news of problems usually resulting in a move lower in US stocks (which is usually followed at some point by a resumption of the rally, but we’ll leave that for another day) – it isn’t as clear to those of us on this side of the pond what these moves have meant through the eyes of those whose assets are held in Euros.

The following show that it is quite a different picture when viewed through the lens of Euro denominated investments. First, the Euro has plunged against the Swiss Franc in the last few days, reaching new all time lows. Then, we see that Gold as priced in Euros is up over 8% in just the past few days on its ways to new all time highs.

Both of these tell us that, despite the Euro being about 70% above its all time low against the dollar in 2000 (0.827), and even securely above its financial crisis low (1.19), there are big bets being made against the Euro. It is just that the bets are being denominated in Gold and Swiss Franc rather than the US Dollar.

It has long been said that the US Dollar is the least ugly person at the dance, and all things being equal that is what keeps it from truly tanking – but with Gold and Swiss (in Euro terms) hitting new all time highs, it seems like some pretty people have finally arrived.