I heard they need a new drummer.
Posted on 10/24/2007 6:35:25 PM PDT by AndyJackson
LONDON (Reuters) - The United States has entered a recession, according to highly-regarded investor Jim Rogers, who told Britain's Daily Telegraph newspaper on Wednesday he was switching out of the dollar and into yen, the yuan and the Swiss franc.
The veteran investor, who predicted the 1999 commodities rally, also said he was still bullish about surging Chinese stock markets despite worries over a bubble.
Fears are growing over the health of the U.S. economy after the fallout from the subprime mortgage market crisis and the global credit crunch it triggered.
The U.S. Federal Reserve has already slashed borrowing costs by 50 basis points to 4.75 percent to try and shore up the world's biggest economy and is widely expected to lower interest rates again next week.
"The US economy is undoubtedly in recession," Rogers told the Telegraph in Hong Kong in an article published on its Website.
"Many parts of industry are actually in a state worse than recession. If it were not for (Federal Reserve Chairman Ben) Bernanke putting huge amounts of money into the market, the stock market would probably be down much more than it is."
Rogers, who co-founded the Quantum Fund with billionaire investor George Soros in the 1970s, said it made sense to desert the dollar.
"All other things being equal during the next six months, that's the way I will go," he said. "But if the Swiss franc goes through the roof, I probably won't put money into the Swiss franc."
And he dismissed worries for now that surging Chinese equities had formed a bubble.
"It's not a bubble yet -- if it goes past 9,000 in January I'll have to sell. Bubbles always end badly," he said. "I do not want to sell Chinese stocks. I want to own them forever and I want my four year-old daughter to own them."
Adjusting for inflation, Al Capone's net worth at one point would have been comparable. Does that make him highly regarded?
if he has any sense at all he’s building a position in the dollar. it’s easier for him to do that if you’re selling it.
It’s a wonderful day in the neighborhood, Mr Rogers says the economy is not very good...lol
It did not exactly require financial genius to sell the dollar. I presume, besides central banks, that most people who can already did. Me I live here and don't have a choice.
Well no wonder the big money is not interested in Duncan Hunter. What a mess is ahead.
If he were commenting on the market for bootleg liquor, his opinion would be worth hearing, whether you chose to believe it or disbelieve it.
I’m not trying to justify the NAU currency policies; just pointing out that crime is crime.
Bravo! The best comment I have read in a while.
He’s nuts. We’re not in a recession. We will be though when Hillary takes the helm.
What crime?
I heard they need a new drummer.
Yes, right now, if you are not trying to sell a house or collect on a CMO. Otherwise you might have a slightly different opinion.
Thanks for your post. I truly believe misery loves company and if you want to tank this economy the best way to go about it is to declare the patient dead... over and over ad infinitum.
The first time I met someone who'd made a lot of money in widgits, but was dumb as a hoe handle about anything other than widgits, happened when I was 17. I mean, look at Mark Cuban. He's managed to assemble close to a billion dollars. But in the real world he is truly stupid, and dangerous.
If you think mere money makes Rogers better than that, it is your risk, but shant be mine.
John / Billybob
Grizzlies can’t make it in Michigan!
What's become of Carl Palmer?
Conversely, if he is telling other to get out it would mean that he wants in, cheaper.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.