Jim Rogers Warns on Silver Rising Too Fast Except If Dollar Collapses

Jim Rogers: “all parabolic bubbles have popped in the end. There’s never one in history that hasn’t popped. ”

FSR: Silver in particular has been of great interest to my family. It looks like $50 silver is going to happen very soon. But Jim, will we see a triple-digit silver price in 2011?

JR: If it does, we’ll all have to sell, because then you’ve got a bubble, a parabolic move and all parabolic moves end badly. I certainly hope it doesn’t happen because I own silver and want to buy more. My hope is, silver and gold and all commodities will continue to go up in an orderly way for another ten years or so, and eventually the prices will be very, very high. Yes, we’ll have triple-digit silver, but if it happens this year, Jay, I would probably start to think about selling.

FSR: But what we’ve seen so far, you wouldn’t consider parabolic?

JR: No, not yet. But I’m worried about silver. If silver continues to go up like it has been over the past 2 or 3 weeks, yes, then it would get to triple digits this year. And then we’ll have to worry. It’s not parabolic yet. I hope something stops it going up in the foreseeable future and we have a correction. You never know what might cause that correction. But if they turn into parabolic bubbles in 2011, all parabolic bubbles have popped in the end. There’s never one in history that hasn’t popped.

Now, maybe the US dollar is going to become confetti in 2011, and if that’s the case and silver goes to $150, then obviously I wouldn’t sell my silver. It would be the US dollar which is collapsing. But if silver goes up the way you’re talking about without currency collapse, I would be very worried.

Short URL: http://www.americanpendulum.com/?p=2175