Denmark based Saxo Bank predicts Ron Paul presidency in 2008. According to Pravda.Ru, the bank predicts Paul will be the next president and that the U.S. economy will plunge into a depression prior to the election.

Saxo Bank says the U.S. economy will shrink by 25% and the Chinese economy will decrease by 40%. The economic downturn will come about as a result of the housing crash.

Ron Paul has been critical of the Federal Reserve and has blamed the Federal Reserve for causing the real estate bubble and crash. Paul has said that the loose monetary policy of the Fed had artificially inflated real estate prices which lead to the collapse.

Paul supports ‘Sound Money’ and opposes the Federal Reserve’s ‘Inflation Tax’ and says that he wants to prevent a dollar collapse. On December 16th grass roots activists organized an online protest of the ‘Inflation Tax’ and donated a record 6 million dollars to Paul’s campaign in one day.

Paul now leads all Republicans in fundraising and is best positioned to win the GOP nomination. His campaign is already financed through Feb 5th when 22 states hold primaries.

Paul also advocates the elimination of federal income taxes and a non interventionist foreign policy and is an advocate of protecting the Bill of Rights and the U.S. Constitution. Paul has maintained that U.S. foreign policy was bankrupting the country.

Saxo Bank also predicts $175 a barrel for oil and the price of grain will double. Some have predicted that oil will climb to $250 a barrel if the U.S. attacks Iran. The bank also predicts that 30% of large building companies will go bankrupt