“2012 Won’t Look so Bad,” But U.S. Recession by 2014

Legendary investor Jim Rogers predicted more challenging times ahead for the U.S. economy, although he does not seem them occurring this year.

Rogers discussed his latest outlook for the financial markets and economy. “The overall situation is getting much worse because the debt is going through the roof for all of us,” he contended. “You should be worried about 2013, 2014 but overall 2012 won’t look so bad.”
Rogers also noted that “Profitability for American companies is at an all time high if you measure return on equity. Some people anticipate that profits cannot get much better but even if they do they can’t last much longer.”

With regard to where he’s investing currently, Rogers stated that “I personally invest in real assets. If the economy improves I’ll make money because the demand for those assets will increase. On the other side, when governments get in trouble they print more money and when they do that you can protect yourself by owning real assets.”