If you only look on how the stock market has risen quite impressively, you may be misled into thinking that the US economy is actually recovering. Many of my friends who have lost money during the stock crash in 2008 are now optimistic as they see a fast and steady rise in today’s market. But not so fast…

Investor and author Jim Rogers once stated,

Any market that goes up this much, this fast, this steadily without a correction – is not normal. When that sort of thing happens, the market could be setting itself up for a 15-20% correction.

In the video below, Rogers explains that the reason stock market is rising is not because it has gained in value but because the Federal Reserve has been pumping trillions of dollars into the economy and all the money now is flooding the market.

As prices are already going up you can tell that the inflation is already here. If Bernanke doesn’t stop printing money out of nothing, Rogers fears that in the next 1-2 years the world will be experiencing turmoil in the currency markets. The US dollar is already flawed. He predicts that a much worse recession is to come soon.

While Jim Rogers said that the great recession may have just ended, Gerald Celente of Trends Reseach said that,

A jobless recovery is like being ‘almost pregnant’. There is no such thing.

However, both Jim Rogers and Gerald Celente agrees that the next recession is going to come soon and it will be even much worse.

Video source: Bullsource.com

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