Greek default & German Gold

Germany is the Eurozone’s biggest economy.  It is arguably the most exposed to a Greek default or exit from the Euro.  Last night the German Chancellor Angela Merkel joined IMF chief Christine Lagarde and ECB president Mario Draghi in crisis talks in Berlin just 3 days before the next debt deadline for Greece as talks continue to fail to reach a resolution.  Last week a senior lawmaker within the Greek government said they are simply unable to pay the smallest of the payments due this Friday of just $300m.  They are now saying they can pay Friday but they still have another $1.5b to pay by the end of this month, at the same time as EU bailout package expires.  So if you are a citizen of the biggest sovereign creditor to a bankrupt state where would you be investing your money?  Maybe the next graph provides the obvious answer… gold.