It should come as no surprise that Jim Rogers, who famously moved from New York to Singapore because of his belief in China’s growth, is not a fan of American stocks.
Rogers, who co-founded the Quantum Fund with George Soros, likes stocks in Japan and Russia. Here is what Rogers said in an interview with India’s Economic Times.
“We do not yet have full-fledged bubbles, except for bonds, bonds everywhere are a full-fledged bubble. At this point, if I were to buy countries, I would buy Japan, I would buy Russia; both are still in dramatic decline, but a lot of money will be poured into both because they are cheap and also agriculture. I do not buy America, America is at an all time high. So, Japan, Russia, agriculture, “he said.
Rogers said his appreciation for Japanese equities was not a vision of the Japanese economy.
“By the way, Japan has a terrible future. I’ve written three bestsellers in Japan in the last two years, talking about the disaster before it. But if the central bank prints all this money and buys ETFs [exchange-traded funds], I do too. But no, he doesn’t have a good future, “he said. America is now doing the same thing as Japan, Rogers added.
Nikkei 225 NIK,
Monday, exceeded 30,000 for the first time in 30 years. S&P 500 SPX,
ended on Tuesday at the second highest level ever.
Russia, he says, will benefit from its exposure to both CL.1 oil,
and agriculture.
He, perhaps not surprisingly, connected Elements ETN-Rogers Agriculture RJA,
ETFs as a way to play agriculture. “The number of farmers in America has dropped by 90% in the last 100 years. Everyone has cars now, but someone has to do it. We still have human beings and maybe we will never have agricultural cycles again. We have had agricultural cycles for centuries and we will do it again because of the weather, the people, the diseases, all kinds of reasons “, he said.