Tuesday, April 19, 2016

China should collect commodities instead of US Dollars

I have advised the Chinese with their staggering foreign currency reserves, to say listen you’ve got all those government bonds, why don’t you just stockpile oil or copper or dozens of other things which you will have a use for and cannot be debased. If you have huge stockpiles of cotton some day you may need them, whereas if you have a stockpile of US dollars or bonds some day you may be desperate to get rid of them. It would make sense to me for them to stockpile.

Tuesday, April 12, 2016

I still own China stocks and believe in China long term

I own China and I haven't sold any Chinese shares at all. I will probably buy more, given the right opportunities and the right circumstances.

Other things I recently bought are short-term ruble-denominated Russian government bonds. I am also taking a look at shares in Russia, Kazakhstan, Nigeria, Angola and Iran.

But for the most part, I may not buy much of anything these days, because I'm pessimistic about the world. There's going to be serious financial market problems sometime in the next couple of years.

Everybody's going to be affected, including China. When you have Europe and America and Japan and other places with problems, everybody's affected.

Tuesday, April 5, 2016

Mistake to think that Governments can outsmart the markets

Just leave the markets and the economy alone. It is very difficult to invest in India, especially for foreigners. It is very difficult for foreigners to buy and sell stocks in India. 

Likewise for currencies, bonds and commodities. That apart, it is very difficult for anyone to buy and sell anything related to agriculture in India, as there are massive regulations/restraints/controls. Most of these make things worse for India. The government needs to get out of the way. There are plenty of smart Indians in the country but the government thinks they’re smarter than everybody. They even think they are smarter than the markets but they’re not.

Jim Rogers

Warren Buffett

Nouriel Roubini