Saturday, August 6, 2011

We never got out of the first recession

The United States' prized top AAA credit rating has been cut for the first time ever. S&P has dropped America's ranking to AA+. Asian investors are getting cagey on the back of what's been a tough week for America's economy. Jim Rogers says they're ditching bonds.

Jim Rogers : All Asians already know that America got problems , All Asians are already moving out of US Government bonds , everybody in Asia knows that , we never got out of the first recession , unemployment in America is still higher than it was in 2008 , the American debt has skyrocketed , and gone through the roof , America is in worse shape now than it was before , America spent a lot of money and the people who got that money are better off but the overall situation is much worse , America quadrupled its debt , America if you take into consideration the things that they guaranteed they printed huge amount of money no the world has gotten worse , world has not gotten better , we paid people back with worthless money we will inflated away we will change the rules we will put on exchange controls , eventually US will default , that's why people are moving away from US government bonds because everybody knows that the US is in serious trouble and that the debt situation is getting worse and worse not better and better

Jim Rogers is a bestselling author, financial commentator and successful international investor. Rogers was a co-founder of the Quantum Fund (considered to be the first truly international fund of its kind) and is the creator of the Rogers International Commodities Index (RICI).