With stock markets in China and the U.S. continuing to be volatile, international investor Jim Rogers says that for now, he’s just standing on the sidelines.

“Economies are slowing everywhere,” the chairman of Rogers Holdings explained to Fox Business Network.

“China’s the second largest economy in the world so it qualifies as a part of everywhere.  But you know, last year the Chinese stock market was one of the strongest in the world, so it certainly deserves to be down this year.  It was much stronger than the U.S. last year,” he said.

As far as investment options, he was very cautious.

“Well I’m not really putting my money, I’m mainly watching, I’m short the U.S. as I’ve discussed with you all before and I’m long China. I’m looking for maybe more shorts in junk bonds,” he said.

“I certainly would like to short more junk U.S. bonds and I’m looking for opportunities,” he said. “I’m not shorting Treasurys, I’m shorting junk, maybe I should be shorting everything but I’m shorting junk because the spreads got so narrow for a while that if there’s going to be problems they’re going to show up first in the junk bond market, later on we should probably short all bonds,” he said.

Rogers isn't alone about being cautious when it comes to investing in the current turbulent global environment.

Investors should just get used to such volatility for the rest of the year, Newsmax Finance Insider Mohamed El-Erian warns.

Allianz's chief economic adviser told CNBC that traders need a "stomach for volatility."

"This year is going to be all about exploiting volatility on the way up and the way down," he said.

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