"Around the turn of each year forecasts are made for the following year. I find making predictions amidst so much government interventions to be particularly difficult" Marc Faber
According to him, the additional printing of money across economies for financing such stimulus packages would lead to "higher and higher fiscal imbalances". In such a scenario, Faber expects precious metals such as gold, silver and platinum to outperform assets such as equities and bonds in 2009.
"I need to confess that I have no idea where the S&P 500 will be in a year's time, but given the catastrophic economic conditions we find ourselves in, I am convinced that governments around the world will increase the intensity with which they will attempt to save the world with monetary and fiscal measures," he said.
Faber feels that geopolitical risks will be a factor impacting asset prices this year. In Marc Faber`s Blog you can track all Marc`s activity, ideas and thoughts on the markets and world economic conditions.
