Legendary investment guru Jim Rogers not only thinks Federal Reserve policy is incompetent, he thinks the entire institution should be abolished.
When asked recently what he’d do if he was named chairman of the central bank, Rogers said, “I would abolish the Federal Reserve, and then I would resign.”
The world has survived just fine without central banks for most of its history, he noted.
“America has had 3 central banks in its history. The first two disappeared,” Mr.Rogers said.
“This one will too, because they keep . . . leveraging up the balance sheet. They keep making mistake after mistake. They keep printing money.”
The result?
“This is going to self-destruct, unless the politicians say this thing is a mistake, let’s get rid of it,” Mr. Rogers said. “It’s more likely, though, that it will self-destruct.”
When it comes to stocks, which are trading at or near record highs, “we’re certainly going to have a crash someday — all this artificial sea of liquidity,” he said.
But while a major pullback or correction could come soon, Mr.Rogers does not see an imminent deep dive. “With all the money printing and spending in the world, this could go on for a while,” he said.
