Long-term government debt, which has provided some of the best market returns for decades, now poses the greatest threat to portfolios, investor Wilbur H. Ross told CNBC.
Some quotes:
“I think the greatest bubble that is about to burst is the 10-year and longer Treasury, because the idea that inflation is gone forever and for all time, and therefore these artificially low rates can last, is silly.”
“I’d rather be in equities than in 10-year Treasurys.”
On why he likes exco and the natural gas industry:
“We like very much to invest in companies during time-limited problems, because eventually you get through that cycle and then the fundamentals come back out,” Ross said. “The fundamentals are the U.S. is going to end up being a net exporter of natural gas. That’s going to be wonderful to help our balance of payments, reduce our dependence on a lot of countries that aren’t so crazy about us, and change many, many parts of what goes on here.”
Video below: