Jim Rogers: Dow’s crash has nothing to do with coronavirus
(Kitco News) - Despite equities markets falling the most in a week since the 2008 financial crisis, now is actually a good time to be buying on the dip, this according to Jim Rogers, chairman of Rogers Holdings.
“[Investors] probably should be buying. I know [the selloff] is attributed to the virus, but remember, the virus has been around for three months now and the virus has been spreading around a lot of places. If you ask me what’s going on, the market got overbought and now we’re having a selloff,” Rogers told Kitco News.
He added that the media has assigned a reason to this selling, and that reason happened to be the coronavirus outbreak.
Rogers’ comments come as the Dow Jones Industrial Average dropped 900 points, or more than 3%, and traded below 25,000. The S&P 500 slid 2.6% and gold futures were in freefall heading into the weekend, down close to 3.5% on the day, last trading at $1,583.90 an ounce.
“The markets fluctuate all the time,” he said. “We’ve had many fluctuations. This one is a severe one but the run up was a severe one as well.”
On the coronavirus, he noted that panic has been widely overreacted.
“There is such panic here in the West. Everybody’s scared,” he said. “So far, this year in America, something like 20,000 to 30,000 people have died of the flu. I don’t see anybody panicking, running around, because of the flu.”