Experts have been saying that 2013
is the year to worry about, not 2012. Jim Rogers agrees. The commodities
guru was on CNBC's The
Kudlow Report last night saying again that 2012 will see money pumped into
global markets because it is a year choc-a-bloc with elections.
Rogers said "This year's fine. Worry about 2013. Be panicked about 2014.
This year, a lot of good news is coming out." Speaking of the U.S. economy
specifically, he said the Federal Reserve's balance sheet is bloated referencing
M2, a measure of money supply. He also added that President Obama is spending a
huge amount of money ahead of the elections:
"Let's go back to the federal reserve. Larry, get
out their balance sheet. You will see first of all, that unadjusted M-2 has been
going through the roof, but more important, look at the balance sheet. All sort
of things have suddenly appeared on the balance sheet in the last year. The
tooth fairy didn't put that in the balance sheet. The federal reserve bought
that stuff.
...I would tell you that Obama is going to win. I don't
want him to win. It's not good for America. But Larry, it's hard to
defeat a sitting president and he's spending a lot of money. Things will feel
good this year just because he's throwing money into the market and into the
economy."
Rogers said he is still staying away from stocks despite the rally, instead
he is investing in real assets.
Watch the entire interview at
CNBC:
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