Chamath Palihapitiya speaking at the 2017 Delivering Alpha conference in New York on September 12, 2017.
David A. Grogan | CNBC
Consumers have been sitting at home for months and months and without the typical things to spend money on, bank account assets are growing. And that’s a positive sign for the shares, according to Social Capital CEO Chamath Palihapitiya.
He said the combination of consumer savings and cash market money going to an all-time high will act as “rocket fuel” for the assets.
“If it’s housing markets, or if it’s capital purchases like cars or vacations, or stocks in that case, if we’re still closed, those things will only go to the moon for a while,” he said Thursday. on CNBC’s “Half-Hour Report.”
“You just have to be long. I think anyone trying to understand why you shouldn’t be long will regret it for at least the next 18 to 24 months.”
His comments came as major averages soared to new all-time highs on Thursday, after also advancing on Wednesday, despite turmoil in Washington. Investors expect a Democratic-controlled Congress to lead to more stimulus payments for consumers.
Palihapitiya said that with the shares at record highs, investors should not just dump the names that have worked. His comments were specifically related to his position at Tesla.
Despite the 750% gain in shares over the past year, Palihapitiya said he believes the shares could double or even triple.
“I don’t understand why people are so focused on selling things that work,” he said. “When things work out, you get paid to stay with people who know what they’re doing. That’s a guy [Elon Musk] who has consistently been one of the most important entrepreneurs in the world. And why bet on him, ”he said.
Palihapitiya also influenced the bitcoin record, as the cryptocurrency surpassed $ 40,000 for the first time on Thursday.
“It will probably reach $ 100,000, then $ 150,000 and $ 200,000,” Palihapitiya told CNBC. “In what period? I don’t know. [Maybe] five or ten years, but there you go. “
On Thursday, online finance start-up SoFi announced it would go public by merging with a blank check company run by Palihapitiya.
– Fred Imbert of CNBC contributed the information.
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