Jim Rogers: Gold to Eventually Rise Above $2000

Published on: December 10 2010 12:20 GMT
NEW YORK (Commodity Online): Legendary commodities investor and global investment expert Jim Rogers says people should continue to invest in commodities whether economies in the world go worse or better. Rogers said that eventually gold-the hottest commodity-would rise above $2,000 an ounce.

Speaking at the Reuters 2011 Investment Outlook Summit this week, billionaire investor Jim Rogers, who is chairman of Rogers Holdings, said that owning commodities is the best investing bet whether global economy gets better or worse because of shortages developing and the central bank printing more money.

Rogers said: "Throughout history we've had long periods when the financial centers were in charge. But we've also had long periods when people who produced real goods were in charge - the farmers and the miners. The way you build an economy, a thriving economy is you save and invest."

He said: "Whenever people have printed money, it has led to good things for silver, for rice, for natural gas, for real assets."

Rogers, who predicted the global bull market in commodities, pointed out that trading in real, tangible goods-commodities-remains the way for investing for the future.

Rogers covered a wide variety of topics during the Summit that included the rising debt of developed nations, currency debasement, investment in gold and land, commodity futures and the economic stability of major nations.

The commodities investment legend said that China is the most promising nations in the world, given its heavy emphasis on saving and infrastructure investment, its massive production base and its relatively stable currency.

Reuters reported that Rogers did agree with the assessment that China's coastal regions are in the middle of a property bubble, but believed that it would be less harmful than the United States' credit bubble.

Rogers pointed out that politicians are afraid to bite the fiscal bullet and will opt to debase their country's currency. He called the Chinese renminbi the world's safest currency and again said gold would eventually rise above $2,000 an ounce.

Comex gold futures prices were trading modestly higher in late dealings on Thursday. The market steadied and saw some bargain-hunting buying interest after two days of selling pressure that did produce some near-term technical damage. A firmer US dollar did somewhat limit buying interest in gold. February Comex gold last traded up $6.80 at $1,390.20 an ounce. Spot gold last traded up $7.90 at $1,389.50.
Source: http://www.commodityonline.com