Jim Rogers started trading the stock market with $600 in 1968.In 1973 he formed the Quantum Fund with the legendary investor George Soros before retiring, a multi millionaire at the age of 37. Rogers and Soros helped steer the fund to a miraculous 4,200% return over the 10 year span of the fund while the S&P 500 returned just 47%.

Monday, September 21, 2009

Asian stocks retreated from 13 month highs while commodity prices dipped

Market Report - Asian Stocks Retreat


Market Report Asian stocks retreated from 13-month highs while commodity prices dipped. It came after U.S. data gave a conflicting picture of the strength of recovery from the global recession.

Japanese shares declined slightly ahead of a 5-day holiday, as investors took profits after a recent run up and sold shares of yen-exposed exporters. Currency-watchers say a brief respite in U.S. dollar weakness likely would not be sustained, and the yen could fall below 90 per dollar.

Japanese financial stocks fell after a Japanese consumer finance firm asked for its debt repayments to be rescheduled. It came after the nation's new banking minister said he would like to introduce a moratorium on some loan repayments by small firms.

Commodity-linked stocks like mining giant BHP Billiton declined after a mild dip in metals prices, while oil also edged lower.

Gainers included Taiwan's share benchmark, which rose to a near 15-month closing high, and Seoul's KOSPI, which will have FTSE developed market status starting Monday.

U.S. bond market bubble will burst

Jim Rogers thinks that both the U.S. bond market bubble and the crisis are growing. He could not tell when and how the bubble will burst, but he thinks lending money to creditors for 30 years and only takes 3% to 4% annual interest rate is a very unreasonable. In the short term, because there are more people to buy U.S. Treasury bonds, interest rates will be cut for a short time, but on the long run interest rates will surely rise. Therefore, China should further expand the U.S. Treasury holdings, or else China will suffer losses.

By People's Daily Online
Jim Rogers "the 19th century was the century of the UK , the 20th century was the century of the US , the 21 st century is going to be the century of China "
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