Renowned 75-year-old investor Jim Rogers recently made a startling statement, claiming that the next bear market in stocks will be more devastating than any market crash he has ever experienced!
Rogers stated that he holds this view because, since the financial crisis, the global economy has accumulated too much debt, particularly in the United States. While Rogers does not mean that the stock market is about to enter a bear market right now, nor did he indicate when it might happen, he was not surprised that the U.S. stock market crashed again yesterday (the 8th), and he expects such volatility to continue.
Rogers remarked: "When the bear market comes again—and it will—it will be the worst in our lifetime. There is debt everywhere, and it has now risen to far too high a level."
Rogers anticipates that the stock market will experience multiple fluctuations before the U.S. Federal Reserve (Fed) raises interest rates. He believes that will be the point when the stock market rebounds; he intends to purchase agricultural indices and reiterated his view that prices for such commodities have been suppressed for some time.
Rogers said: "I am not very good at timing the market, but I think the stock market will likely remain weak until the interest rate hike in March, at which point the market should rise."
