May 4, 2024

News and Political Commentary

Legendary investor Jim Rogers sees an epic market bubble and looming economic disaster. He hopes to short the ‘Magnificent 7’ stocks when the time is right.

2 min read
jim rogers

Jim Rogers.REUTERS/Bobby Yip

  • Jim Rogers expects a multi-asset bubble to burst and the American economy to run into trouble.

  • George Soros’ cofounder hopes to profit by shorting the “Magnificent Seven” stocks at the right time.

  • Rogers touted gold and silver, warned the inflation threat isn’t over, and slammed the Fed.

Jim Rogers expects asset prices to plunge and economic disaster to strike — and he plans to profit by betting against stock-market darlings like Tesla and Nvidia when the time is right.

“Bonds are a bubble, property in many countries is a bubble, stocks are getting ready for a bubble,” the veteran investor and travel author told Soar Financially in a recent interview.

Rogers has dumped many of his stocks and bonds in anticipation of a painful slump, but he’s “not shorting yet because often at the end there’s a blowoff and things get really crazy,” he said.

He flagged “warning signs” of an approaching collapse, including a handful of stocks dragging the major indices higher this year, and newbie investors boasting to all of their friends about how easy it is to make money trading stocks.

The markets guru, best known for cofounding the Quantum Fund and Soros Fund Management with George Soros, said he’s itching to bet against the “Magnificent Seven” stocks — Apple, Alphabet, Amazon, Microsoft, Meta, Tesla, and Nvidia.

“When the market comes to an end, the last high flyers are the best shorts,” he said. “The stocks that have done extremely well and are very expensive — that, I hope, is where I’m smart enough to short next time around.”

Rogers, 81, also predicted the US economy would run into trouble soon as a result of its ballooning debt pile.

“I would suspect that next year things are not going to look as happy,” he said. Rogers noted he wasn’t sure if a recession or mild downturn lies ahead, but he’s “worried” that there hasn’t been a prolonged economic slump since the 2008 financial crisis, and global debt loads have ballooned since then.



2023-12-28 17:53:50

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