Thursday, April 12, 2012

Jim Rogers: China Slowdown Means Opportunity - CNBC.com

While concerns about an economic slowdown in China took its toll on stocks Thursday, legendary investor Jim Rogers saw opportunity.

“I’m delighted to see it,” he said on “Fast Money.” “They need to do that. It’ll be good for China, it’ll be good for the world, and it will present opportunities for all of us. I hope that the Chinese market collapses so I can buy Chinese shares.”
Rogers said that China had been trying to slow its economy for years, as well as get its real estate bubble under control.

But it’s not just China that Rogers has his eye on.
“I certainly expect the world to have more of a slowdown in the next year or two, and that will be an opportunity for all of us,” he said.
While Rogers said he was long commodities, he also had a safety valve.
“Right now I’m short emerging market stocks as a potential hedge,” he said.
However, one emerging market play on the investor’s radar was Myanmar, formerly known as Burma.
“Fifty years ago, it was the richest country in Asia. Now, it’s the poorest because they closed off. But they’re just now opening up, just as China did 33, 34 years ago,” he said. “I find it wildly exciting.”

A ban on U.S. citizens from investing kept Rogers out of that market — for now.
“There’s nothing I can do right now,” he said.
Rogers also said he was shorting long-term U.S. government bonds, but conceded that his “timing has not been very good.”
Rogers also remained long gold and silver.
At $1,600, gold would be a buy, he said, adding that he would increase his position even more at $1,500 per ounce.
“If it got down to $1,200 or $1,300 I hope I’m smart enough to buy a lot more,” he said, noting that it was not a prediction.
“Gold is going to go much higher — and silver — over the next decade,” he said.


Jim Rogers

Warren Buffett

Nouriel Roubini