Commodities and Money Printing

Marc Faber : The problem is this: Mr. Bernanke decided to print money, and the Federal Reserve has done that for the last 30 years. When you print money, what the central banks can't decide is where the money will flow to. So it flows into Nasdaq from 1997 to 2000. Then it flows into real estate—until the collapse. In 2008 it flows into commodities. And now again it flows into oil and food. As these prices go up, it hurts the majority of the population.

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

Marc Faber - The Fed Will Print Until the System Comes Down

The Fed will continue to monetize. They will never let up. They will continue to print and print until the entire system comes down. They are very bad forecasters with regards to the economy. This includes Bernanke. The Federal Reserve, with their policies, will continue to try quantitative easing.

Everybody in the world has concerns about the ultimate value of the United States Dollar. As long as deficits remain where they are, there is no doubt that a crisis will appear. Maybe not in the next 3 years, but at some point it is inevitable. Equities at this point is much better than bonds.

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

Marc Faber - Inflation and Dollar Collapse

Within a decade, the Dollar will collapse because of money printing and other issues.


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

Marc Faber and Peter Schiff - We are in a Bond Bubble

Marc Faber and Peter Schiff appeared on CNBC in August 2010. Peter Schiff and Marc Faber have met many times, and they agree on the state of treasuries and bonds. We are in the worst bond market in history. When people begin to realize that we can't service the debt, the United States government will no longer be able to roll it over into short term treasuries.

People are still interested in bonds because they are so adverse to risk. Unfortunately, there probably isn't any riskier a move than to lend money to the United States. 10 years ago, everyone was piling into the stock market. Since then, we have had a terrible ten years in the stock market. If you really are risk adverse, then you don't want to own bonds. You want to own gold.

Marc Faber agrees that there isn't much upside potential in treasuries other than the short term. If you are looking ten years ahead, treasuries are the last place that you want your money. The fiscal deficits will remain very high among governments, and one day the interest payments on the debt will become unbearable.

In 1999 and 2000, foreigners wanted to buy the NASDAQ. Now, they want to buy United States bonds. You shouldn't look at what foreigners are doing to determine where you should put your money. Agricultural commodities and gold are something that should be in any portfolio.

There is no question that people are making mistakes here. People have begun to save more, but unfortunately they are loaning their money to the government rather than to private enterprises. The money isn't being invested productively, and so all the savings aren't doing anything to help the economy.


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