30 March, 2012

I Think That We Are At The Beginning Of A More Meaningful Correction

Right now, investor sentiment if anything is rather bullish, the market is overbought, insider selling is very high and the technicals have deteriorated in the sense that in the latest rally,the number of new highs has diminished significantly and so, I rather think that we are at the beginning of a more meaningful correction. - in Bloomberg Radio

Related, SPDR S&P 500 Index ETF (SPY), iShares MSCI Emerging Markets Index ETF (EEM)

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

29 March, 2012

Gold Is Not A Bubble

No, gold is not in a bubble. It wasn’t in a bubble in 1973, either, but it still corrected by 40% then. I don’t believe gold is anywhere near a bubble phase. A bubble phase is characterized by the majority of market participants being involved in a market space. I saw a gold bubble in 1979–1980, when the whole world was dealing—buying and selling gold 24-hours a day, globally. - in Business Insider

Related, SPDR Gold ETF (GLD), Newmont Mining (NEM), Barrick Gold (ABX), Goldcorp (GG)

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

28 March, 2012

A Few Thoughts On Deflation

“Is deflation such a bad thing?” - in the CFA Institute Middle East Investment Conference

(During deflationary periods in the nineteenth century, real per capita income apparently increased faster than it does now)

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

27 March, 2012

The Panacea For A Mismanaged Nation

“The first panacea for a mismanaged nation is inflation of the currency; the second is war. Both bring a temporary prosperity; both bring permanent ruin.” - Dr. Faber quoting Ernest Hemingway in the CFA Institute Middle East Investment Conference

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

26 March, 2012

Every Money Printing Exercise Leads To Unintended Consequences

But every money printing exercise in the world leads to unintended consequences at a later point. And, this is the important issue to remember. We don’t know yet for sure what the unintended consequences are. - in BI

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

25 March, 2012

Thoughts On Inflation

What is inflation? Inflation can manifest itself in wages, consumer prices, in asset prices such as real estate, equities, commodities and so forth...art and collectibles.

Now the problem is that those asset prices won`t increase at the same rate, at the same time. But it`s a symptom of monetary inflation.

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

24 March, 2012

Central Banks: The Path Of Money Printing

I do not believe that the central banks around the world will ever, and I repeat ever, reduce their balance sheets.

They have gone the path of money printing and once you choose that path, you are in it and you have to print more money.

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

23 March, 2012

The Prospects For Stocks Are Not Particularly Good

We (the stock market) are fairly valued if you take current earnings. But the problem is that maybe earnings are inflated and that earnings will decline.

So maybe the prospects for stocks are not particularly good. - in The Perils of Money Printings Unintended Consequences

Related, iShares Russell 2000 Index (ETF)(NYSEARCA:IWM), PowerShares QQQ Trust, ETF (QQQ)

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

22 March, 2012

We May Have A Significant Correction In The Next 3 Months

I am not entirely out of the stock market although I think that we may have a significant correction coming up in the next 3 months. - in a recent podcast

Related, SPDR S&P 500 ETF (SPY), iShares Russell 2000 Index ETF (IWM), iShares MSCI Emerging Markets Index ETF (EEM)

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

21 March, 2012

How Do I Protect Myself Against The Black Swan Event?

As you know, we had MF Global. What did the clients get? Less than what they had at the company. And I think eventually the financial system will be an MF Global, where you don’t get your money back from the banks and the investment banks and from the mutual funds and so forth and so on.

And so I think everybody has to think to himself: how do I protect myself against the Black Swan event? - in ETF daily news

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

20 March, 2012

The Perils Of Money Printing`s Unintended Consequences


A recent podcast, "The Perils Of Money Printing`s Unintended Consequences".

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

19 March, 2012

Central Banks: These Actions Will Have Consequences

First of all, I do not believe that the central banks around the world will ever, and I repeat ever, reduce their balance sheets. They’ve gone the path of money printing and once you choose that path you’re in it, and you have to print more money.

In the short term, it has been working to some extent in the sense that equity prices are up and interest rates are down. And, so companies can issue bonds at extremely low rates. But every money printing exercise in the world leads to unintended consequences at a later point. And, this is the important issue to remember. We don’t know yet for sure what the unintended consequences are. - in Active Investor

Related, SPDR S&P 500 Index ETF (SPY), iShares MSCI Emerging Markets Index ETF (EEM)

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

16 March, 2012

Equities: I Am Very Cautious

Right now, for the next one or two months, I don't think that stocks will go up a lot. I personally think they will correct.

But long term, I still like Asia. My concern is if the Chinese economy slows down meaningfully that we could have economic weakness spreading around Asia as well, as well as in countries that supply commodities to China, like Australia, Brazil, Argentina, and so forth.

Right now, say for the next two months, I'm very cautious. - in a recent interview with oilprice.com

Related, iShares Russell 2000 Index ETF (IWM)

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

15 March, 2012

Geopolitical Risks Were High 6 Months Ago And Even Higher Now

Political risk was high six months ago and is higher now. I think sooner or later, the U.S. or Israel will strike Iran - it's almost inevitable. - in Reuters

Related, United States Oil Fund (USO), IShares Emerging Markets ETF (EEM), Crude Oil Futures

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

14 March, 2012

Oil Prices Outlook

I think there is a risk that oil prices will go much higher. At the same time, the bullish consensus on oil is now at one of the most elevated levels it's ever been. In other words, from a contrarian point of view, you shouldn't buy oil right now.

I think it may go down somewhat. In general, if trouble breaks out in the Middle East, or if there is a war, I think the price of oil could go much higher. - in Business Middle East

Related, Crude Oil Futures, United States Oil Fund ETF (USO)

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

13 March, 2012

Gold: There`s Significant Support Around 1500, But It Could Drop Lower

All I'm saying is that, in my opinion, the gold price correction is not yet entirely completed. I see significant support around the 1,500 dollars/ounce level, but it could drop lower.

We could have a big correction if global liquidity tightens or they stop printing money. - in the Middle East Investment summit, Dubai

Related, SPDR Gold ETF (GLD)

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

12 March, 2012

Markets Are Overbought, A Correction Is Coming

“Markets are overbought, technically they have deteriorated, and we have very heavy insider selling, so I think a correction is coming. ...I don’t think investors should be shooting for huge gains, but rather for preservation in capital.” - in a recent CNBC video interview

Related, SPDR S&P 500 ETF (SPY), iShares MSCI Emerging Markets Index ETF (EEM)

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

11 March, 2012

One Way To Contain China

The Americans and the western powers know very well they cannot contain China economically.... but one way to contain China is to switch on and switch off the oil tap from the Middle East.

I happen to think the Middle East will go up in flames. - in Reuters

Related, United States Oil Fund ETF (USO)

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

10 March, 2012

Learning To Live With Volatility

If you can't live with volatility, stay in bed. - in Reuters

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

09 March, 2012

Geopolitical Risks Are Rising

Political risk was high six months ago and is higher now. I think sooner or later, the U.S. or Israel will strike Iran - it's almost inevitable. - in a recent investment conference

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

08 March, 2012

Video: Asset Allocation


Latest video interview, CNBC.

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

Nikkei`s Bullish Case

In the case of Japan, I always argued that for the stock market to perform well, you need a weak yen. And this year the yen has weakened against the dollar by almost 7 percent. - in CNBC

Related, iShares MSCI Japan Index ETF (EWJ), Nikkei 225 Index

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

Middle East: Equities Outlook

If I were just an emerging markets investor I would probably have an overweight position here in the Middle East. - in Zawya

Related, iShares MSCI Emerging Markets Index ETF (EEM)

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

07 March, 2012

Yields on Bonds Are Negative After Inflation

I don’t know when bonds will cease to be a good investment but it will happen. Yields on bonds are negative after inflation. - in Arabian Money

Related, iShares Barclays 20+ Year Treasury Bond ETF (TLT), iShares Barclays 7-10 Year Treasury Bond Fund (IEF)

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

Video: How to Survive the 'Coming Correction'


Related, iShares MSCI Emerging Markets Index ETF (EEM), ProShares UltraShort S&P500 ETF (SDS), SPDR S&P 500 ETF (SPY), iShares Russell 2000 Index ETF (IWM)

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

06 March, 2012

Only Mr. Bernanke Can Finance A War, Via Money Printing

Say war breaks out in the Middle East or anywhere else, Mr. Bernanke will just print even more money—they have no option... they haven't got the money to finance a war. - in CNBC

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

Volatility & Risk Profiles

If you can't live with volatility, stay in bed. - in CNBC

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

Sooner Or Later The U.S. Or Israel Will Strike Iran

Political risk was high six months ago and is higher now. I think sooner or later, the U.S. or Israel will strike Iran—it's almost inevitable. - in CNBC

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

05 March, 2012

Markets Are Overbought, A Correction Is Coming

Markets are overbought, technically they have deteriorated, and we have very heavy insider selling, so I think a correction is coming. - in CNBC earlier today

Related, ProShares UltraShort S&P500 ETF (SDS), iShares MSCI Emerging Markets Index ETF (EEM)

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

Gold: I Don’t Think The Correction Is Entirely Over

The big rally into September 6, 2011, took the gold price to 1,922 dollars/ounce (oz) and then it dropped until the end of the year, touching 1,522 dollars/oz on December 29. It has rallied, and is now above 1,700 dollars/oz again, but I don’t think the correction is entirely over.

Corrections of 40 percent are nothing unusual in a bull market. - in The Gold Report

Related, SPDR Gold Trust ETF (GLD), Newmont Mining (NEM), Barrick Gold (ABX)

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

04 March, 2012

"(...) in general if you buy the company with the largest market capitalization in the world you’re not going to make a lot of money." - in Jutia

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

03 March, 2012

I Expect Very High Volatility In All Asset Classes In The Next Few Years

As for volatility, it increased sharply last year, but has diminished over the last three-months. I expect we’ll see increasingly very high volatility in all asset classes in the next few years. The money in an environment of negative real interest rates will flow. It might flow into fewer and fewer stocks, or into fewer and fewer assets that could go ballistic on the upside. - in Jutia

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

01 March, 2012

ECB’s Latest Loans To European Banks Will Only Calm Markets Short-Term

Marc Faber said the European Central Bank’s latest loans to European banks will only calm markets short-term, lead to inflation in the long-term and push banks’ funding problems into the future, Handelsblatt said in a preview of a story that will run tomorrow, citing the fund manager. - in Bloomberg

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.