Marc, what do you think of this idea of the government taking a step in the direction of nationalization of certain banks? Is this going to give the stock market the boost it needs?
I am not sure that it is all that relevant but I would say it is probably the only solution that the government can actually implement. Either these banks are bust or they get the capital infusion and the private sector probably does not want to give capital to the banks at the present time.
So if the government steps in, that is at least a solution. I am not sure it is a good solution but at least it is a solution.
That would certainly improve the credit ratings of Citigroup and Bank of America, because they will rest on the stability of the government.
Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world. Dr. Doom also trades currencies and commodity futures like Gold and Oil.
