Marc Faber on Bloomberg June 29, 2009 discusses the economy, financial markets, his near-term outlook and long-term forecasts.
We’ve probably most likely seen a major low on March 6, 2009 when the S&P hit 666. Here in Asia most markets actually bottomed out in October/November of last year. So I think what will happen… If the S&P drops again towards 800 I’m sure there will be another stimulus package and another massive monetary injection. And if that doesn’t help then another one will come when the S&P drops toward 700. I don’t think we’ll see new lows. I also believe that the economic recovery will be relatively dissapointing with the government sector expanding.
It is basically the government that is creating jobs and the private sector is hardly creating any jobs.
Right now, for the next 4 – 6 weeks, I think the dollar could recover somewhat, I think bonds could rally somewhat, I think industrial commodities could come under pressure and gold kind of move sideways or come under pressure. That’s a near-term call.
Long-term, the situation is different. Longer term i look for essentially a weak US Dollar and for strength in commodity prices and of course also gold. And, the relative outperformance of Asian shares vis-a-vis European or US shares.
Marc Faber on the US government’s ability to save the economy:
I have zero confidence. Absolutely zero. There is no political bill to reduce the deficits and to keep money tight.
Â
Â
Watch the Bloomberg Marc Faber Interview:
Source: Watch Marc Faber Bloomberg Interview in your default video player
It Took 22 Years to Get to This Point
Iowa's governor Kim Reynolds has extended that bird flu "disaster declaration" after the virus was...
President-elect, Donald Trump has announced that he will enforce tariffs on Mexico, Canada, and...
This article was originally published by Michael Snyder at The Economic Collapse Blog under the...
The state of California has killed around 8.4 million birds in the past month during the current...
Commenting Policy:
Some comments on this web site are automatically moderated through our Spam protection systems. Please be patient if your comment isn’t immediately available. We’re not trying to censor you, the system just wants to make sure you’re not a robot posting random spam.
This website thrives because of its community. While we support lively debates and understand that people get excited, frustrated or angry at times, we ask that the conversation remain civil. Racism, to include any religious affiliation, will not be tolerated on this site, including the disparagement of people in the comments section.
Comments