Here is an audio of Dr. Marc Faber's latest interview (source Marc Faber)
some excerpts...
China’s Imminent Implosion
My guess is that the economy despite all the stimulus is growing at between 0% to 3 ½%...
Bank lending went mostly into further misallocation of resource, it created another bubble in the share market and probably led to over construction in properties around major cities...
When will the Chinese economy also implode? And I think that is still a shoe to drop on the global economy. Maybe it is going to happen in 2010 and maybe they can postpone it for another year or 2 and so forth…
We have a credit bubble in the US, in China we have an investment bubble with overcapacity arising in the export industries..in the property market. When you try to kindda of support these bubbles markets with intervention through fiscal and monetary measures, you don’t solve the problem but you postpone it...
My view is that the economy globally will remain weak, maybe we have a period of recovery that last 6-9 months, because of all the stimulus packages, and then the economies weaken again, but that asset markets in some cases despite the weak economy will go up for the simple reason central banks will keep on printing money...
Bullish on Japan
In the case of Japan I would add that when the market bottomed out in March 2009, we were at the 30 year low basis, we were at the same level then we were in 1981, so if you took the S&P down to that level we would be at 120...
So we have in Japan a secular bear market, in other words we peak out in 1989 and from 89 we went down and we had several rallies of over 40% and finally bottomed out in 2009 and in my view this is a major secular low, the way we had a secular lows in the US in the 1940s in real terms and in 1982, we were we had significant increases in share prices. So on any setback, I would consider increasing my position in Japan...
Possible War Ahead
Nothing at all has been solved or improved..
Policymakers took decisions that will actually make the system less transparent and more vulnerable than before..
What kind of policy that try to create prosperity out of bubbles?...that’s the mentality of the Federal Reserve..
The entire capitalist system will totally collapse…I don’t whether it will collapse in one year’s time or in 5 years time or 10 years time…
Total collapse is ahead of us…
Before everything collapse what governments usually do is to go to war so they can distract attention for awhile, and stay in power, and then eventually everything goes sour….
Buy gold but keep it out of the US
some excerpts...
China’s Imminent Implosion
My guess is that the economy despite all the stimulus is growing at between 0% to 3 ½%...
Bank lending went mostly into further misallocation of resource, it created another bubble in the share market and probably led to over construction in properties around major cities...
When will the Chinese economy also implode? And I think that is still a shoe to drop on the global economy. Maybe it is going to happen in 2010 and maybe they can postpone it for another year or 2 and so forth…
We have a credit bubble in the US, in China we have an investment bubble with overcapacity arising in the export industries..in the property market. When you try to kindda of support these bubbles markets with intervention through fiscal and monetary measures, you don’t solve the problem but you postpone it...
My view is that the economy globally will remain weak, maybe we have a period of recovery that last 6-9 months, because of all the stimulus packages, and then the economies weaken again, but that asset markets in some cases despite the weak economy will go up for the simple reason central banks will keep on printing money...
Bullish on Japan
In the case of Japan I would add that when the market bottomed out in March 2009, we were at the 30 year low basis, we were at the same level then we were in 1981, so if you took the S&P down to that level we would be at 120...
So we have in Japan a secular bear market, in other words we peak out in 1989 and from 89 we went down and we had several rallies of over 40% and finally bottomed out in 2009 and in my view this is a major secular low, the way we had a secular lows in the US in the 1940s in real terms and in 1982, we were we had significant increases in share prices. So on any setback, I would consider increasing my position in Japan...
Possible War Ahead
Nothing at all has been solved or improved..
Policymakers took decisions that will actually make the system less transparent and more vulnerable than before..
What kind of policy that try to create prosperity out of bubbles?...that’s the mentality of the Federal Reserve..
The entire capitalist system will totally collapse…I don’t whether it will collapse in one year’s time or in 5 years time or 10 years time…
Total collapse is ahead of us…
Before everything collapse what governments usually do is to go to war so they can distract attention for awhile, and stay in power, and then eventually everything goes sour….
Buy gold but keep it out of the US
1 comment:
It was extremely interesting for me to read the blog. Thank author for it. I like such topics and everything that is connected to them. I definitely want to read a bit more soon.
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