Published
7 months ago on
October 11, 2023
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Paul Tudor Jones, legend in investing circles, said on Tuesday that in the midst of the alarming US fiscal position he favoured having Bitcoin and gold in his portfolio.
U.S. economy in big trouble
When such a respected and successful investing giant as Paul Tudor Jones speaks his mind it is incumbent on all to listen carefully to what he has to say.
The billionaire investor was interviewed on Tuesday by CNBC Squawk Box and made his concerns known over the challenging geopolitical and economic times that are facing the U.S.
He anticipates that the stock market is likely to come up against trouble as the U.S. economy probably goes into recession. He said:
“More likely than not we’re going to go into a recession. There’s some pretty clear-cut recession trades. The easiest are: the yield curve gets really steep, term premium goes into the backends of debt markets, into 30-year and 10-year and 7-year paper. The stock market typically – right before a recession — declines about 12%”
He believes that the recession is likely to be entered in the first quarter of 2024, given that the bond market will force the Federal Reserve into more rate hikes that will herald the tipping point for the economy.
Into this kind of environment the legendary investor is bullish on both Bitcoin and gold, stating that a lot of investment is ready to be poured into the shiny metal. He stated:
"There’s probably $40 billion worth of buying that has to come into gold at some point between now and if that recession actually occurs. So, yes, I like Bitcoin and I like gold right here.”
Opinion
As Tudor Jones speaks about his liking for gold and Bitcoin, both assets have taken a hit over recent weeks, so if he is right about both then perhaps now is a good time to start building some positions.
Bitcoin does have some headwinds to face, but among all the cryptocurrencies it is the only one to not be beleaguered by the Securities and Exchange Commission, which under its Chairman Gary Gensler, has made it its crusade to stifle and crush all of crypto.
Bitcoin is freedom from monetary oppression and a lifeboat that can be entered by any and all investors who are seeking a way out of the monetary chaos caused by central banks. Listening to Paul Tudor Jones can be the first step to entering that lifeboat.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
