Recession in China could be a technical recession

Marc Faber : ..recession in China could be a technical recession , if you go and slow down from a growth rate of say ten percent to a growth rate of three percent then there is a recession , also I do not believe in the growth rate that China publishes , because if you had adjusted nominal GDP for the true rate of inflation then real growth is of course much slower , you know I want to tell you something that disturbs me in all emerging economies and in many other developed economies , from my taste in front of luxury hotels there are far too many Ferraries and Maseraties and Bentleys and this is not a good sign , you should see depression when conditions are depressed . I see a boom everywhere except for the working class and except for the lower middle class , but among the well-to-do people the wealth that is floating around and the prices you pay for high end properties is incredible and I think that will come to an end and a lot of people will lose a lot of money and so I am ultra careful at the present time ....." Marc Faber interviewed by Bloomberg TV May 25 2011


Related ETFs: SPDR GOld ETF (GLD), Powershares DB SPDR Gold ETF (GLD), Newmont Mining (NEM), Barrick Gold (ABX), GoldCorp (GG) Agriculture Fund (DBA), ProShares UltraShort 20+ Year Trea (ETF) (NYSE:TBT), iShares Barclays 20+ Yr Treas.Bond (ETF) (NYSE:TLT) United States Oil Fund (USO), SPDR Gold ETF (GLD), Powershares DB Agriculture ETF (DBA) SPDR S&P 500 ETF (NYSE:SPY), SPDR Dow Jones Industrial Average ETF (NYSE:DIA), iShares Russell 2000 Index (ETF) (NYSE:IWM), PowerShares QQQ Trust, Series 1 (ETF) (NASDAQ:QQQ)
Contrarian Investor Dr.Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

The Inflation in the US is ten percent

Marc Faber : "...we had a huge run in asset prices , from the lows in March 2009 until recently , I do not think they will continue to go up a lot , I rather think that QE2 will come to an end that we will have a correction and then we will have more money printing but it may not help the economy at all "

"...I think what will happen is that these deficits will stay very high and that they will lead to very high inflation rates most likely hyperinflation not tomorrow but over time , all I can say is I travel a lot and I am surprised that the US can publish a consumer price index of two percent when everything I see is up significantly in price not a little bit , significantly and so I think here the rate of inflation has to be closer between 5 and 10 percent ,in my opinion closer to ten percent than five percent ,and elsewhere I also see prices going up substantially and so the potential for high inflation is actually there ....."
in an interview with Bloomberg TV 25 May 2011



Related ETFs: SPDR GOld ETF (GLD), Powershares DB SPDR Gold ETF (GLD), Newmont Mining (NEM), Barrick Gold (ABX), GoldCorp (GG) Agriculture Fund (DBA), ProShares UltraShort 20+ Year Trea (ETF) (NYSE:TBT), iShares Barclays 20+ Yr Treas.Bond (ETF) (NYSE:TLT) United States Oil Fund (USO), SPDR Gold ETF (GLD), Powershares DB Agriculture ETF (DBA) SPDR S&P 500 ETF (NYSE:SPY), SPDR Dow Jones Industrial Average ETF (NYSE:DIA), iShares Russell 2000 Index (ETF) (NYSE:IWM), PowerShares QQQ Trust, Series 1 (ETF) (NASDAQ:QQQ)
Contrarian Investor Dr.Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

We will have significant geopolitical problems in the world

Marc Faber : "...well I think we had huge move (in equities) from march 2009 lows and then we made an intermediate peak in April 2010 and then we had a big correction in July first 2010 and since then the S&P rose from 1010 to a peak of 1370 the other day and so basically we had from the low in last July a rise of 35 percent and I think we need a correction period for these markets and we need a shake out both for commodities and for equities , and I think , people always ask why is the market is going up and why is the market going down and frequently you will know later on , I happen to think that the global economy is slowing down meaningfully at the present time and that earnings estimates are by in large too optimistic and that we will also have significant geopolitical problems in the world "


Related ETFs: SPDR GOld ETF (GLD), Powershares DB SPDR Gold ETF (GLD), Newmont Mining (NEM), Barrick Gold (ABX), GoldCorp (GG) Agriculture Fund (DBA), ProShares UltraShort 20+ Year Trea (ETF) (NYSE:TBT), iShares Barclays 20+ Yr Treas.Bond (ETF) (NYSE:TLT) United States Oil Fund (USO), SPDR Gold ETF (GLD), Powershares DB Agriculture ETF (DBA) SPDR S&P 500 ETF (NYSE:SPY), SPDR Dow Jones Industrial Average ETF (NYSE:DIA), iShares Russell 2000 Index (ETF) (NYSE:IWM), PowerShares QQQ Trust, Series 1 (ETF) (NASDAQ:QQQ)
Contrarian Investor Dr.Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.