The euro and related exchange traded funds (ETFs) have taken a beating, as investors remain worried about the European financial crisis. But Jim Rogers, famed investor and co-founder of the Quantum Fund, recently said that now might be a good time to buy the euro.
According to CNBC, Audrey Childe-Freeman, senior strategist for Brown Brothers Harriman, wrote to clients, “The euro is failing to rally on good news- whether of an economic or political nature. In this context, it is rather controversial to be anything but a euro bear, but this may be the time to identify a few constructive developments and to get prepared for a potential correction.”
Jim Rogers agrees, but says his decision to buy the euro would not be based on eurozone financial policies. Rather, he thinks the upswing will be a technical rally. [Europe ETFs in the Bargain Basement.]
Aside from the euro, Rogers thinks commodities will be the only other big bull market over the next decade, citing the concern for hyperinflation. He thinks that central banks will continue to print money “because that’s all they know to do.” [The Upside of a Down Euro.]
However, Rogers warns that commodity investing is a risky undertaking. “If you cannot spell commodities, I wouldn’t suggest buying commodities,” he said.