Jim Rogers Bets On Silver, Waits For More Corrections To Buy Gold
Among equities, he prefers Chinese equities as he thinks they are trading at low levels, right enough to enter
By : Sangeetha G
Update: 2025-04-24 05:24 GMT
Chennai: Ace investor Jim Rogers finds silver the most attractive instrument for investment currently as the metal prices are low and it has the potential to move higher in the future. He also wants to bet on Chinese equities, while staying away from US Treasury bonds.
“Silver is much cheaper compared to gold and I will buy silver now,” he told Financial Chronicle. The gold-silver ratio is currently above 100 and indicates reversal to the mean levels of 65 to 70. This would see silver prices moving up significantly in the future.
“Silver prices have seen a record level of $50 earlier. It is currently at $33 levels. Silver will surely return to its earlier levels,” he said.
“Gold too has the potential to go up much higher from the current levels, but I will not buy it now. Gold may possibly see corrections, but it has not seen corrections enough for me to buy,” he said.
He also bets on industrial metals like copper as the tariff war has led to significant weakness in metal counters. “I would also look for some agricultural commodities that are trading at their lowest levels,” he added.
Among equities, he prefers Chinese equities as he thinks they are trading at low levels, right enough to enter. “Indian equity market has been doing well like most other markets. But I will not buy Indian equities now,” he said.
He believes that US treasury bonds will see a fall as the tariff war will jack up inflation and take the global economy towards recession. “Even the US dollar will see more weakness. But eventually it will move up,” he said.
Though several emerging economies are de-dollarizing their reserves and reducing their dependence on the greenback, Rogers believes that there is no currency that can be an alternative to the US dollar.
“The world does not have to find another currency as an alternative to the dollar. It can be anything. But, at present there is no alternative that can compete with the dollar. Many countries are increasing their gold reserves in the process of de-dollarization. But gold cannot replace the dollar,” he said.
However, he will stay clear of cryptocurrencies. “They will not last long. People understand gold and the dollar and trust in these asset classes. They do not understand cryptocurrencies and hence they will not last long,” he added. END
“Silver is much cheaper compared to gold and I will buy silver now,” he told Financial Chronicle. The gold-silver ratio is currently above 100 and indicates reversal to the mean levels of 65 to 70. This would see silver prices moving up significantly in the future.
“Silver prices have seen a record level of $50 earlier. It is currently at $33 levels. Silver will surely return to its earlier levels,” he said.
“Gold too has the potential to go up much higher from the current levels, but I will not buy it now. Gold may possibly see corrections, but it has not seen corrections enough for me to buy,” he said.
He also bets on industrial metals like copper as the tariff war has led to significant weakness in metal counters. “I would also look for some agricultural commodities that are trading at their lowest levels,” he added.
Among equities, he prefers Chinese equities as he thinks they are trading at low levels, right enough to enter. “Indian equity market has been doing well like most other markets. But I will not buy Indian equities now,” he said.
He believes that US treasury bonds will see a fall as the tariff war will jack up inflation and take the global economy towards recession. “Even the US dollar will see more weakness. But eventually it will move up,” he said.
Though several emerging economies are de-dollarizing their reserves and reducing their dependence on the greenback, Rogers believes that there is no currency that can be an alternative to the US dollar.
“The world does not have to find another currency as an alternative to the dollar. It can be anything. But, at present there is no alternative that can compete with the dollar. Many countries are increasing their gold reserves in the process of de-dollarization. But gold cannot replace the dollar,” he said.
However, he will stay clear of cryptocurrencies. “They will not last long. People understand gold and the dollar and trust in these asset classes. They do not understand cryptocurrencies and hence they will not last long,” he added. END