Mohamed El-Erian : we have to take Moody warning seriously

Mohamed El-Erian : "so importantly now two distinct warnings. not one but two. the first warning is if we don't get our act together in time we will be downgraded. the second warning is even if we get our act together ahead of the debt ceiling but it doesn't involve meaningful fiscal consolidation, then we will stay on negative outlook and that second warning is a really important one and speaks to something more general. I've always hated this word transitory. because transitory comforts you into complacency. we heard japan was transitory. guess what four months later we're feeling the impact. we heard oil at 100 is transitory. we're still. we heard unemployment at 9% is transitory and we're still. this debt issue will not go away quickly enough and we have to take this warning seriously."




Jim Rogers started trading the stock market with $600 in 1968.In 1973 he formed the Quantum Fund with the legendary investor George Soros before retiring, a multi millionaire at the age of 37. Rogers and Soros helped steer the fund to a miraculous 4,200% return over the 10 year span of the fund while the S&P 500 returned just 47%.