Federal Reserve Chairman Ben Bernanke’s optimistic forecasts not withstanding, famed investor Jim Rogers advises protecting your portfolio with silver, rice, natural gas, and other real assets because supplies of these commodities are decreasing.
“(Bernanke) has never been right about anything,” Rogers tells CNBC’s Larry Kudlow. “He has never, ever been right about anything and he’s dead wrong this time.”
“I own commodities because commodities are the best place to be. Commodities are up 1000 better then stocks over the past decade. They continue to do well and they continue to be the best place to put your money … that or foreign currencies.”
Even if a sharp rise in oil prices causes the global economy to tank, oil is still a smart investment, according to Rogers. “They will then print more money,” says Rogers. “All Bernanke knows to do is print money,” he said.
“The dollar will continue to go own and you have to protect yourself. You protect yourself with silver, or rice, or natural gas … you’ve got to own real assets.”
And, as emerging market demand goes down, commodities are still the best place to be because supply is also going down.
Rogers is also currently short NASDAQ tech stocks, through an ETF, and short emerging markets.
Bloomberg reports that record food prices are likely to be sustained this year because of high crude oil costs and smaller crops, said the United Nations Food & Agriculture Organization.
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