Jim Rogers: Gold Could Exceed $2,000, Another Wave of Recession in 2-3 Years at Most

Gold price has just made another all-time high record at $1,349 an ounce. In an interview with CNBC, Jim Rogers said that he believes gold price will continue to gain because of the failed monetary policies by the US government. Rogers views that gold could cross beyond $2,000 an ounce in the next 5 – 10 years.

Although gold is currently sought after by investors as safe haven, Rogers thinks that silver would be a better investment than gold right now. This is because silver is still way below its last all-time high at $23 an ounce. Silver reached its all-time high at $54 an ounce back in 1980 when the Hunt brothers decided to buy up almost a third-world’s deliverable supply of silver as hedge against inflation. After this surge of silver price, COMEX and the Federal Reserve intervened resulting in the collapse of the silver market.

However, gold price is still going to a lot higher in the next decade. It may slow down for a while because it has run up so dramatically in the last few weeks, but gold is going to become much higher. Therefore, he suggest not selling gold just yet.

Regarding another wave of recession by 2012 Jim Rogers says:

What I said was every 4-6 years in the history of America, we have a recession or economic slow down. It comes fairly regularly. So by 2012 we are overdue again. Whether it is comes in 2011 or 2013 I don’t know. My only point is it’s coming again. And when it comes the next time what is the government going to do? They can not quintuple that debt again. Mr. Bernanke can not print any more money. I mean the world doesn’t have enough trees to print that much money. So we’re going to have a serious problem the next time we have a slow down. Whatever it is, it is bound to be here in 2-3 years at most.

Rogers also suggest half-jokingly that we become a farmer and learn how to farm. This is because farming is still going to be a good place to be. Agriculture, according to Rogers has a wonderful future for the next 5, 10 to 15 years. This is due to the diminishing farming activity around the world.

Watch the whole interview with Jim Rogers here: