Corona’s havoc: veteran investor warns, now bad times will come in stock market
The world is once again in recession due to the outbreak of Corona virus. Asian and European markets continue to decline. The economy of most countries is in poor condition. Millions of people are hanging on their way of retrenchment, in such a situation, veteran American investor Jim Rogers has warned that a worse time may come.
Significantly, after the economic downturn of 2008, the last quarter was the worst for the market. Governments around the world made large investments to strengthen the economy. Central banks reduced interest rates in a hurry.
The biggest recession will come in the next two years
The chairman of Rogers Holdings Inc. says that the stock market is still in decline, but bad times are yet to come. According to the news agency Bloomberg, Rogers said, “In the next two years, I am going to see the biggest market downturn in my life.”
Three-sided will hit the stock market
Rogers says that due to Corona virus, there will be three ways to kill on the market. First, there will be a huge loss to the economy. Secondly, the debt will increase a lot and thirdly, now the low interest rates will cause a lot of damage.
This is not the first time Rogers has predicted a downturn in the market. Rogers started the Quantum Fund in 1970 with George Soros. He had predicted a recession in the year 2018. His talks seem to be correct, because the workload due to lockdown will increase the debt burden on many companies.
Watching the stocks of these sectors
They told that they are watching the shares of some beaten sectors. He is waiting for some signs to get better. Tourism and transport, airlines and agriculture sector stocks are on China and globally on their radar.