Saturday, November 22, 2008

Commodities: Barack Obama Disaster for Economy

Why Barack Obama will be disaster for commodities and economy

At the World Money Show, Jim Rogers told those in attendance that if Barack Obama follows through with his two policies concerning the economy, it'll be a disaster.

The two misguided policies, according to Obama's rhetoric, are to tax capital when it is at its weakest, and secondly, he wants to protect American jobs.

According to Rogers, the only thing that will help America is if Obama is indeed just throwing around rhetoric. If he actually follows through with them, it'll make the American economy even more unhealthy.

Rogers is right when saying both of these ignorant steps are rewarding the incompetent at the expense of the competent. That's what happens when people vote in the most inexperienced candidate in history. Sarah Palin was far more experienced in running an economy than Obama is or will be.

As far as investments go, Rogers asserts the commodity decline is a temporary blip, and overall it'll extend the commodity bull market rather than end it.

Concerning the U.S. dollar, Rogers adds that the currency rally is a short-term phenomena, and U.S. debt and business failures ensure it will also end soon. Rogers says we should bet against the U.S. dollar, along with long-term U.S. bonds.

Commodities he's bullish on are sugar, cotton and gold. For oil he likes African stocks, primarily those in Angola.

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