Jim Rogers, the former George Soros partner who foresaw the start of a commodity rally in 1999, said the boom in energy and raw material prices will endure, driving gold to a record $1,000 an ounce.
“The shortest bull market for commodities lasted 15 years, the longest 23 years,” Rogers, 63, said in an interview. So if history is any guide, “they’ve got a long way to go.”
Prices of crude oil, copper and zinc are at records as speculators and hedge funds seek investments delivering greater returns than stocks and bonds. Global supplies have been curbed by lack of investment and output disruptions, making it harder to meet demand led by China, the world’s fastest growing major economy. The Goldman Sachs index of 24 commodities reached an all-time high this week.