Jim Rogers, the market guru who co-founded Soros Fund Management with George Soros, expects major asset prices to plummet and economic disaster to follow. He plans to profit on bets against stock market tops like Tesla or NVIDIA when the time comes.
“Bonds are a bubble, real estate in many countries is a bubble, stocks are preparing for a bubble,” says an experienced investor in an interview with Soar Financially.
Rogers has dumped many of his stocks and bonds, but is not yet shorting in anticipation of the end. He sees signs of an impending crash, including the behavior of some stocks that have dragged the major indexes higher this year, as well as novice investors bragging about how easily they made money trading stocks.
Jim Rogers says he’s eager to bet against the “Magnificent Seven” stocks — Apple, Alphabet, Amazon, Microsoft, Meta, Tesla and NVIDIA: “When the market comes to an end, the last tops become the best shorts.”
Rogers, 81, predicts the US economy will soon face problems due to rising debt. “I suspect things won’t be so happy next year.” He is not sure whether it will be a recession or a mild downturn, but is concerned by the fact that there has not yet been a sustained economic downturn since the 2008 financial crisis – the global debt burden has increased significantly since then.
“The next problem has to be the worst of my life because the debt is just unbelievable.”
- Rogers advised investing in precious metals, which are the most resilient during a crisis: “Everybody should have a little silver and gold under their bed.”
Inflation, which cooled significantly last year, will again accelerate to painful levels. What’s more, Rogers accused the US Federal Reserve of having no idea what it was doing, and named every central banker in the last century except for a handful of bumbling bureaucrats and academics.
However, Jim Rogers has been predicting the worst recession of his life for several years now, but the markets seem to be ignoring his warnings.
Source: Markets Insider, photo REUTERS
