Don’t be fooled by the 30 percent-plus rally over the last six weeks says wall street king Jim Rogers.
Equity prices are overvalued , he added.
“I’m not buying shares,” Rogers told CNBC yesterday . “The bottom will probably come later this year, next year, who knows when.”
And the reason why the stocks will fall is Because governments have "flooded the world with money" he explained .
"In the United States and other countries, the problem is too much consumption and too much debt", Rogers eadded. But governments and central banks are trying to solve that problem with more of the same.
This “defies belief" and won’t work, he says.
"I mean … you give me five or six trillion dollars, I'll show you a very good time, there's no question about that."
you should invest your money in commodities not stocks said Jim Rogers.
"Fundamentals for General Motors are not getting better. Fundamentals for Citibank are not getting better” he points out.
“I can think of very few industries in the world where the fundamentals are getting better. But the fundamentals of commodities are getting better, full stop."
Rogers’ favorite commodities include the agriculture sector gold and silver , although he prefers silver to gold .
I just bought 700 ounces of silver instead of a car. My wife is pissed!
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ReplyDeleteLoved everything you said so far... your favorite supporter!!!
Stay Well.
Sim
I've noticed that orders are actually up at our large company (based in the home products industry) and am wondering if some tangibles such as real estate may move along with commodities.
ReplyDeleteAt my website I am trying to educate people about the most basic parts of buying a home.
It seems to me that if inflation hits, a home is a good place to protect one's self, as the dollars that pay back the long term debt are, over the years, paid back with dollars that are easier to earn. www.homeloan101.info is an attempt to write about this at a very simple level, but is the premise wrong?