Jim Rogers: Another stock market rout imminent
The equity markets are not out of the woods yet and another rout looks imminent, veteran investor Jim Rogers said, according to Bloomberg.
The Federal Reserve and the US government announced massive monetary and fiscal lifelines last week to contain the fallout from the virus outbreak, helping stall the sell-off in the equity markets. The relief, however, could be temporary, according to Rogers. It also means the path of least resistance for safe havens like gold, yen and Swiss franc is to the higher side.
I expect in the next couple of years we’re going to have the worst bear market in my lifetime,
The impact of the coronavirus on economies will not be over quickly because there’s been a lot of damage. A gigantic amount of debt has been added.
“The Chinese economy is opening again, people are going back to work. Factories, restaurants are opening again. I am looking at life, and life is not such that we are all going to take the bus and take boats again.
Rogers is currently holding a lot of cash in US dollars and some Chinese and Russian stocks and is considering investing in Japanese equities.