The 83-year-old American investor Mark Mobius, the founder of Mobius Capital, known as the “investment guru” in international markets, stated that Bitcoin can play the role of a leading indicator for the stock markets, “Because people’s belief in cryptocurrencies has it has similarities with the belief. ” said.
Mobius spoke at the 11th Bosphorus Summit organized by the International Cooperation Platform (UIP).
Stating that it was in one of the best periods of human history due to technology, Mobius said, “Technology has made many things cheaper and better. That’s why we are going through a deflationary period. Prices change but the quality also changes.” used the expressions.
Arguing that traditional inflation measurement indicators such as the Consumer Price Index (CPI) cannot be used anymore, indicators such as these are no longer accurate, Mobius said that the product groups from one period to the next are constantly changing. “That’s why the product line in 1950 is quite different from today’s product line. So in short, you compare apple and pear.” said.
Stating that it is sad that the central banks make decisions based on the wrong indicators, Mobius made the following evaluations:
“When we compare incomes with the prices of goods and services, people’s incomes are rising faster, or at least the same pace around the world. So I think it’s nice that people experience deflation. That means goods and services are cheaper when compared to incomes. Well this is it. What does it mean? That means that policy decisions should be made in terms of happiness, not inflation figures. We need to find an indicator that can measure how happy people are. “
“The relationship between interest rates and stock markets is very weak”
Mark Mobius stated that the stock markets, which displayed a strong performance in 2020, gave signals that they will be good this year as well, and that they expect a significant growth in GDP in the world from an economic perspective.
Noting that technology and internet shares have risen considerably last year, Mobius said, “Companies such as Tencent, Alibaba, Microsoft and Apple have risen quite a lot, but there is a downward trend in recent days. This raises many doubts in investors. Many people look at interest rates, but interest rates are stocks. When we look at the relationship with the market, it will be seen that the relationship between these two is very weak. ” He spoke in the form.
Mobius said that one of the factors that played an important role in bringing the stocks to this level is the expectations about what might happen to these stocks in the future.
Stating that although many of them like Tesla lost money, these shares have risen considerably, “But now they are coming back quickly. I suggest you look at the crypto money markets to understand this.” said.
“We must carefully monitor the changes in the crypto money markets”
“Investment guru” Mobius continued his evaluations as follows:
“The change in the prices of these assets, especially Bitcoin, can play the role of leading indicators for stock markets. Because people’s belief in cryptocurrencies is similar to that of companies that lose money in the stock markets. People think these companies will generate large amounts of revenue in the future. So crypto.” We should watch the changes in the money markets carefully. Speak to any young person at the moment and you will see that many of them attach great importance to these currencies. If this belief declines or disappears then a significant selling trend can occur. But we still have a good gain in the stock markets in the medium and long term we continue to see the opportunity. “
Turkey, Taiwan, indicating that they continue to invest in countries such as Brazil and India, Mobius brings significant of these investments are already adding that they have achieved.
Who is Mark Mobius?
Joseph Bernhard Mark Mobius is an American-born German emerging markets fund manager and founder of Mobius Capital Partners LLP. Mark Mobius, an important entrepreneur and investor, made important points with his statements about the new period. The 84-year-old American executive expresses that the new era will be surprising.