I own the dollar, since I expect more turmoil to come, and when it does, people will flee to the dollar because they think it is a safe haven. It is not a safe haven.
In case of turmoil, and people flocking to the dollar, I would look to sell the currency as on a long-term basis. It does have serious problems.
I also own the renminbi and I am not selling it. I’ll buy more if it dips from the current levels. The fundamentals for the renminbi are less unsound.
I also own the Japanese yen because a lot of people are negative on it.
I do not own the rupee because India has big debt-related issues, balance of trade and inflation problems.
Jim Rogers is a smart investor who co-founded the Quantum Fund with George Soros in 1973. By 1983 the fund gained more than 4000 percent.
Showing posts with label yen. Show all posts
Showing posts with label yen. Show all posts
Monday, August 11, 2014
Tuesday, November 12, 2013
Thoughts on Currencies and the world
I own the renminbi. I also own the dollar, not because I have such confidence in the U.S., but because I've got to invest somewhere, and if turmoil comes, people will flock to the dollar. It's not a safe haven, but it's considered that way. I cannot invest the way I want the world to be; I have to invest the way the world is.
Look, the yen has declined 25% [against the dollar] in less than a year, a staggering move for one of the world's most important currencies. The euro is a fabulous concept, but its execution has been bad.
I also own the Singapore dollar because I have expenses here. Singapore has allowed its currency to appreciate as a way to attack inflation—and it's an export economy. It doesn't have cotton fields or oil or natural resources, and everything is imported.
The Chinese should learn from Singapore. There are 1.3 billion Chinese, and they would be better off if its currency went up, because the cost of living would go down. Yes, some people, like the exporters, would have to adjust. But remember, the Japanese yen has gone up a lot against the dollar over the decades, and Japan still has a trade surplus with the U.S. But China does things its own way, and I think this is one of their mistakes.
source: barrons.com
Look, the yen has declined 25% [against the dollar] in less than a year, a staggering move for one of the world's most important currencies. The euro is a fabulous concept, but its execution has been bad.
I also own the Singapore dollar because I have expenses here. Singapore has allowed its currency to appreciate as a way to attack inflation—and it's an export economy. It doesn't have cotton fields or oil or natural resources, and everything is imported.
The Chinese should learn from Singapore. There are 1.3 billion Chinese, and they would be better off if its currency went up, because the cost of living would go down. Yes, some people, like the exporters, would have to adjust. But remember, the Japanese yen has gone up a lot against the dollar over the decades, and Japan still has a trade surplus with the U.S. But China does things its own way, and I think this is one of their mistakes.
source: barrons.com
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