I Don`t Think We Have A Huge Downside Risk

“I would look at the market to close probably a bit lower than it started the year in 2010. Equally, I don’t think we have a huge downside risk. If the Dow and the S&P dropped, say 15-20 percent, in other words the S&P towards 900, I think there would be more stimulus and more quantitative easing.”

in CLSA Japan Forum in Tokyo

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.

Oil Prices And Monetary Policy.

"Before the rate cuts in September 2007, the oil price was at 75 dollars. As you know in the second half of 2007 and early 2008 the global demand for industrial commodities including oil was diminishing already. But the oil price still went up from 77 dollars to 147 dollars. The result of this increase in oil prices was that the total outlays for oil in the US, went from 500 billion annually to an annual rate of over 1 trillion dollars. The consumer was faced essentially with an additional tax of 500 billion USD and that probably pushed consumers over the edge in terms of consumption."

in FT.com

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.

The Undesired Effects Of Artificially Low Interest Rates

We have artificially low interest rates, and again they produce some undesired effects and create bubbles somewhere, we don`t know yet exactly in what sector. But very clearly when you have artificially low interest rates you have a misallocation of capital like is happening in China.

in FT.com

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.

Paper Currencies Will Continue To Lose Their Value

"All the paper currencies will continue to lose their value, has they have over the last 100 years or so."

in Financial Times

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.

Financial Times Interview, February 2010.

Ben McLannahan (Financial Times) interviewed Dr. Marc Faber today. Here are the topics of this video interview:

Part 1: Warns of partial US debt default
Faber says irrational monetary policy means there are asset-class bubbles forming somewhere, only we don’t know exactly where yet.
Click here or on the image below the view Part 1 of the interview.

Part 2: Forecasts negative US real interest rates
Faber says stocks won’t reach new highs this year.


Part 3: On gold and China’s economic slowdown
Faber predicts Asian stocks will underperform this year because of China’s inevitable economic slowdown and suggests accumulating gold and shifting more money to India and Japan.

Part 4: On the year of “capital preservation”
Faber says global investors should make 2010 the year of “capital preservation”.
Click here to view Part 4 of the interview.

You can the video interview HERE.


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.

War, Commodities And Houses On The Countryside

"I'm a believer that the next war will be a dirty war, using strategies such as poisoned water supplies and mobile-phone sabotage. If you want to prepare for war times, you have to own physical commodities, such as precious metals, diamonds and houses in the countryside, away from dangerous urban areas."

in CBS MarketWatch

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.

Latest Bloomberg Video Interview.

Latest Bloomberg video interview, February 2010.

“I would look at the market to close probably a bit lower than it started the year in 2010. Equally, I don’t think we have a huge downside risk. If the Dow and the S&P dropped, say 15-20 percent, in other words the S&P towards 900, I think there would be more stimulus and more quantitative easing.

I would imagine it’s conceivable that the market makes another marginal new high into April, and that the second half of the year is not very rewarding.”


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.

U.S. Stocks Are Now Probably Where They Should Be, Given The Zero Interest Rates

"It is very difficult to value anything when interest rates are zero. U.S. stocks are now probably where they should be, given the zero interest rates."

In CLSA Japan Forum, Tokyo

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.

Japan Is A Neglected Market

"Here, there is an investment opportunity. Japan is a neglected market. Valuations are not terribly expensive."

Marc Faber, CLSA Japan Forum in Tokyo

(The slide presentation that accompanied his speech described Japan as "the perfect contrarian play," and simply added, "Banks!")

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.

Bloomberg Video Interview: February 22

Marc Faber, the publisher of the Gloom, Boom & Doom report, talks with Bloomberg's Mike Firn about his forecast for U.S. stocks.

Faber, speaking in Tokyo, also discusses Federal Reserve monetary policy, the price of gold, and the outlook for China, India and Japan's economies and equity markets. (Source: Bloomberg)

Video Interview Link

00:00 U.S. stocks; Fed monetary policy; gold price
03:51 China economy, bank loans, bubble risks
05:52 India economy, stocks, investment strategy
08:15 Japan stocks "attractive"; emerging economies
Running time 12:20

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.

I Would Look At The Market To Close Probably A Bit Lower Than It Started The Year

“I would look at the market to close probably a bit lower than it started the year in 2010. Equally, I don’t think we have a huge downside risk. If the Dow and the S&P dropped, say 15-20 percent, in other words the S&P towards 900, I think there would be more stimulus and more quantitative easing.”

in Bloomberg, February 22

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.

I Would Not Buy Chinese Stocks Here

"In general I would not buy chinese stocks here, and I would be careful of any assets that benefited greatly from the China boom in 2009 because it is not sustainable. And these assets are basically industrial commodities that have become now quite vulnerable."

in CNBC

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.

I Think The Issue For 2010 Is To What Extent China Will Slowdown

I think the issue for 2010 is to what extent China will slowdown. It will certainly slowdown because the loan growth we had last year, which was over 1 trillion dollars, and in January accelerated to 200 billion dollars...bank loans in January were rising at an annualized rate of something like 2.5 trillion dollars on a GDP that is slightly over 4 trillion dollars. Its not sustainable in the long run and we have a lot of excess capacities in China, in different industries and in particular in the real estate market. So credit growth will slowdown and that will obviously slowdown the economy.

in CNBC

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.

CNBC Video Interview: Stock Market And Chinese Economy

Latest video interview, CNBC, February 18. (use Internet Explorer to watch this video)

"The issue for 2010 is to what extent China will slow down, it will certainly slowdown"

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.

I Do Not Think We Will Be Making New Highs. Markets Will Correct.

"Even if the global equity markets including India continue to rebound over the next couple of weeks, I do not think we will be making new highs. It's quite possible that for the current year we have already seen the high made recently. I would be cautious about buying equity including in India. The upside is limited from these levels; the Sensex may make marginal new highs at around 18,000-19,000, but the risk has increased and the days of big moves are over. I think markets will correct."

in Business Standard

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.

"The Dip In Gold Is A Buying Opportunity"

“The dip in gold price is a correction and this should be taken as a great buying opportunity...the weakness that gold has shown recently is no reason for investors to get out of gold investments. I still believe gold should continue to be part of every investor’s wise investment portfolio.

There is no doubt the printing of money from central banks around the world is generating inflation, and it will increase going forward. That alone is a good enough reason to have gold in your investment portfolio. Gold remains the best bet as a currency these days because of the fact that the yellow metal supply is extremely limited.”

in Decoding Wall Street

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.

Industrial Commodities: Oil And Copper Outlook

When commodity prices started to go up in 2001, nobody believed that the move would be a permanent move, so there was no supply response. Towards 2006, commodity prices had gone up substancially and there was some supply response. But then came the crisis in 2008 and the financing dried out, so suddendly the supply did not increase.

Therefore at the present time in my view, we have no real supply response yet, and it takes a long time to to bring on a new oilfield...and the marginal cost of producing oil today is 70 dollars per barrel. And in the copper industry the situation is similar. The cost of production has gone up substancially. It takes at least 12 to 15 years to bring onstream a new copper mine.

But near term I would not buy industrial commodities because as I told you, I think the chinese economy will decelerate very substancially in 2010, and could even crash. If the chinese economy decelerates or crashes, what you have is of course a disaster for industrial commodities.

in Bloomberg

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.

I Think In The Next 10 Years, We Will Have A Lot Of Defaults

What you find in the world is an unnusual situation. The international reserves have grown from 1 trillion dollars in 1996 to over 8 trillion dollars at the present time. Most of it are held by emerging economies like China, India, Russia, Brazil and so forth. Over 70% of reserves of international reserves are in Asia including Japan.

So, what you have is basically in emerging economies, they have relatively low debt to GDP ratios and in most emerging economies their mortgage market has hardly developed. People buy homes for cash. There is no mortgage market.

Whereas in the developed world, what we have is an overleveraged consumer and governments that have liabilities that cannot meet in the long run. So something will break. And I think in the next 10 years, we will have a lot of defaults. now before the United States, the UK or Eurozone members default on their debt obligations, they will print money. And then we will get very high inflation rates.

in Bloomberg Asia

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.

The Exit Strategy Will Be More Money Printing, More Monetization

"The exit strategy in my view will be more money printing, more monetization. And whereas Ben Bernanke may talk about interest rates increases at some point, you could go to 10 percent interest rates or 20 percent, but if inflation is 20% and thereafter 30% you still have highly negative interest rates. In other words, interest rates inflation-adjusted are negative. And I think that is what will happen in the US. As in the seventies, interest rates will stay below the cost of living increases."

in Bloomberg

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.

You Should Be Long Wheat, Corn And Soybeans.

“Other commodities haven’t gone up yet, such as the grains. It may take time until they start to go up substantially but if you have time, you should be long wheat, corn, soybeans or own a farm, which is one way to participate in future food price increases.”

in Business Week

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.

Bloomberg Video Interview: February 2010

Latest Bloomberg video interview, February 11, 2010.

"The chinese economy has the capacity to crash"

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.

Chinese Economy: It Has The Potential To Crash

“The (chinese) economy, for sure, will slow down meaningfully this year. It has the potential to crash because of the overcapacities that have developed, and when loan growth slows down, we don’t know how the economy will react.”

in Bloomberg TV

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.

Bloomberg Video Interview Highlights: February 2010

China’s economy will slow down “meaningfully” and may even be at risk of a “crash” because of the nation’s excess capacity and as loan growth slows, investor Marc Faber said.

China’s fragile economy may undermine industrial commodities in the “near term,” the publisher of the Gloom, Boom and Doom report said. Faber added that he’s pessimistic on the euro as a possible bailout of Greece by other European countries increases deficits in the region.

Gross domestic product expanded 10.7 percent in China last quarter from a year earlier, the fastest pace since 2007. Lending in January exceeded the total for the previous three months while property prices climbed the most in 21 months, even after the central bank raised banks’ reserve requirements last month, reports released today show.

“The economy, for sure, will slow down meaningfully this year,” Faber said in an interview with Bloomberg Television in Hong Kong. “It has the potential to crash because of the overcapacities that have developed, and when loan growth slows down, we don’t know how the economy will react.”

A possible crash in China’s economy will be “disastrous” for raw materials used in industrial production, Faber said. He instead favors commodities including wheat, corn and soybeans and also said he doesn’t see a “huge downside risk” for gold.

“Other commodities haven’t gone up yet, such as the grains,” Faber said. “It may take time until they start to go up substantially but if you have time, you should be long wheat, corn, soybeans or own a farm, which is one way to participate in future food price increases.”

in Bloomberg.com

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.

Europe, US Will Default On Their Debt

"In the developed world we have huge debt to GDP, in terms of government debt to GDP and unfunded liabilities that will come due. These unfunded liabilities are so huge that eventually these governments will all have to print money before they default."

in CNBC

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.

If We Analyzed The U.S. As A Company, It Would Be A Distressed Piece Of Trash

"If you add all the unfunded liability's the US has in terms of future liability's arriving from medicare, medicaid and social security, then obviously if the US was a corporation it wouldn't be a triple A, but it would have funds that are junks rated."

in Bloomberg

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.

Bloomberg Video Interview, February 08, 2010

Bloomberg Video Interview, February 08, 2010

Dr. Marc Faber discusses the continuing problem of debt in the United States claiming the U.S. is “junk” status and the bleak outlook for China`s real estate.

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.

U.S. Would Be Rated Junk If It Were A Company

Faber Says U.S. Would Be Rated Junk if It Were a Company,

Watch the Bloomberg video interview here.

Marc Faber, publisher of the "Gloom, Boom & Doom Report," talks with Bloomberg's Margaret Brennan about U.S. government debt and the nation's top Aaa rating.

Faber also discusses Federal Reserve policy, China's economy and the real estate market. (Source: Bloomberg)


00:00 U.S. debt rating; Fed policy; credit markets
04:12 China's economy; real estate; asset prices
Running time 05:49

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.

Precious Metals: The Risk Is Not Owning Any Precious Metals At All

Faber backs precious metals like gold as amongst his most favored investments. As he advices, "The risk is really not to own any precious metals at all."

in Equity Master.com

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.

PIIGS Will Eventually Default

“Portugal, Ireland, Italy, Greece, Spain… I think, eventually, they will all default – because if one defaults, then the next would say why should we pay and will also default. The obligations of Western governments are far too high; they won’t be able to pay.”

in RT.com

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.

US Government Will Go Bankrupt But Before That We Will Have High Inflation

“Maximum within 10 years time more than 35% of tax revenues will have to be used to pay the interest on the government debt and then you are in trouble – because then there will be not enough money out of the budget to pay for other stuff. I’m convinced the US government will go bankrupt, but not tomorrow. And before they go bankrupt, they’ll print money, and then you get high inflation rates, you have a depression and eventually they’ll go to war.”

in rt.com

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.

Bloomberg Video Interview: Russia, US Stock Market And Chinese Economic Outlook

Bloomberg video interview, February 3 2010.

Marc Faber, publisher of the "Gloom, Boom & Doom Report," talks with Bloomberg's Ryan Chilcote about Russian corporate bond yields.

Speaking at the Troika Dialog Russia Forum in Moscow, Faber also discusses U.S. stocks and the outlook for the Chinese and Indian economies.

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.

Monetization And Precious Metals

“If I am right about further monetization and further government debt growth, the risk is really not to own any precious metals at all”

in FT Blog

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.

Stock Market Outlook

"In the near term, should stock markets – following a brief rebound in the first few days of February – decline into the second half of February, I would buy some stocks for a rebound. And if stocks now fail to decline and continue to rally right away I would use strength to lighten up positions."

in FT Alphaville Blog

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.

In Economics We Have To Live With The Stupidity Of Central Bankers

You have to understand that dropping dollar bills into this room is something artificial. But it has been done, and we have to live with it. I may not like it, I think it is an horrible thing to do because it will create a lot of distortions and it can create a bubble in real estate, or in commodities or in equities. And if the door is open the money will flow. So our currency in this room will go down vis-a-vis currencies out there.

But in economics we have to live with the stupidity of central bankers. This is a fundamental factor. And that is why as an economist, I think money is something far too important to give authority to a central banker that basically is hostage to politicians and special interest groups. We have to understand that. The Federal Reserve and the Treasury are working together and they are talking to Wall Street. And so they have a nice little club and they run monetary affairs.

in Praag Meeting

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.

Large Caps Will Go Down Less Than Smaller Cap Stocks

"In general, high-quality and large market capitalization stocks are reasonably priced considering you have zero interest-rates. As these markets go down, the high-quality, large-market-cap stocks will go down less than the smaller-cap stocks.”

in Business Week

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.