There has been a lot of liquidity flowing through the Chinese stock market, and it is up by 47% in the past year. However, now probably isn’t the right time to invest there. There just aren’t enough good Jim Rogers stock picks right now because everything is so overheated. You don’t want to jump on a train that is going full speed. You want it to slow down a bit before you jump on. From a long term perspective, China is going to be the secular leader in the world economy. If you are buying stocks for your children, Chinese stocks are what you want to buy.
China sees the same thing that Jim does. They see the supply of hard commodities declining, so they are buying them up. They know that they will need them in the future, and they would much rather own those than United States dollars or debt. That why most of the top Jim Rogers stock picks are in China. It is like getting the opportunity to invest in the American stock market 100 years ago.
