NEWS BULLETIN 14 OCT ‘08
Are Facing an 'Inflation Holocaust”: Jim
The current rescue
plans, which will force governments to issue more debt,
print money and flood the markets with liquidity, will flare
up inflation after the crisis is over and will create worse
problems, Rogers warned.
Markets do not trust the governments' plans to keep struggling
banks alive and investors will only calm down when the companies
with bad assets are allowed to go bankrupt, legendary investor
Jim Rogers, CEO of Rogers Holdings, told CNBC on Friday.
"The way to solve this problem is to let people go
bankrupt," Rogers said.
"What they (G7 leaders) need to do is go down the bar
and leave the rest of us alone," Rogers said on Friday.
Unfortunately we now know that they did NOT do that, and
instead nations are guaranteeing bank deposits and nationalising
Jim Rogers warned that:
"We're setting the stage for when we come out of this
of a massive inflation holocaust"
And the plans are unlikely to fend off a severe economic
downturn, as the crisis starts affecting all walks of life.
"Many people bought 4-5 houses with no money down and
no job… you think we'll just say well, that's too
bad, we'll start over and nobody loses their job? Be realistic."
it be time to stock up on GOLD?