George S. May Business Blog

Jim Rogers makes bold prediction

Financial “experts” make predictions all the time. Heck, it’s their job. Lately, as I’m sure everyone’s noticed, most of them are negative. So, when we hear one of the talking heads come out with a grim outlook for the United States’ financial future, most of us don’t pay much attention.

But, ever since Jim Rogers, the Singapore-based investor, correctly predicted the current financial mess, we tend to pay a bit more attention. Well, he has spoken, warning there might be more financial disaster on its way, including a currency crisis. From CNBC associate web producer Antonia Oprita this morning:

The worst of the economic crisis is not over and a currency crisis can happen this year or the next year, because the problem of too much debt in the system has not been solved, legendary investor Jim Rogers told CNBC Monday.

The current recovery is just a consequence of the fact that consumption fell so dramatically in 2008 and people have to buy things they need in 2009, Rogers told “Worldwide Exchange.”

“How can the solution for debt and consumption be more debt and more consumption? How can that be the solution to our problems?,” he said.

“I would expect there to be a currency crisis or a semi-crisis this fall or next year. It’s crony capitalism, Bernanke and Greenspan have brought crony capitalism to America … but that’s not going to solve the world’s problems,” Rogers added.

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