We Are In The End Game of Economic Collapse

Since the end of December 2014, US equities have traded side-ward with a few selected stocks moving up strongly while others were weak. A very mixed performance indeed. The S&P 500 is up by less than 1% for the year, the NASDAQ by 7%, but the Dow Utilities Average and the Dow Transportation Average are down by 11% and 10% respectively. In general, I believe that the risks associated with over-extended asset prices (stocks in particular) far outweigh the potential upside potential for the next few months.




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

India could see a 20 percent Correction

In terms of sectors, India’s consumption sector looks good but some valuations are high. Companies which provide services to the infrastructure sector look attractive. I am also bullish about the banking sector—both private and public. If Modi is serious about reforms, he will have to ensure that state banks operate like some private banks and fare even better.

But some Indian stock valuations are stretched by more than 50 percent. A 20 percent correction in India’s stock markets will not surprise me. But I am not going to sell; it is something I can live with.





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

Abenomics like a Ponzi Scheme

Abenomics is a failure. The real purpose is defeated. Income adjusted in dollar terms is tumbling, exports are down in dollar terms, while retail spending is low. Government debt is increasing and the Bank of Japan is keeping on buying bond. I see this like a ponzi scheme run by the government.


While the Japanese market doesn’t attract me, international investors are bullish because in dollar income terms corporate earnings are improving. You might also like:




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

I don't see the US hiking rates in 2015, says investment guru Marc Faber

Q- How would you rate the performance of Prime Minister Narendra Modi and his government, and why?
A- It's not an easy task to evaluate the performance of a government because of the system Prime Minister Modi is operating in, which is highly bureaucratic and surrounded by red tape. I think he could have done some more reforms. In my view, elimination of subsidies is good and the Rural Employment Act should altogether be scrapped. Modi is not negative for the economy but it seems he is operating under some constraint. However, so far his performance has been good.

Q- How do you see India when compared to the world given the fact that India will likely grow at 8-8.5%?
A- Forget 8-8.5 per cent, even if India grows at 6 per cent per year, it would see huge interest among investors. Most analysts are betting on a global recovery, but the global economy is still slowing down. It isn't a recession but a no-growth environment. I don't see the US hiking rates in 2015.
Coming to the equity markets, the US is an expensive market, whereas Europe is attractive in terms of valuation. Emerging markets are inexpensive, while markets like India at 17 times forward [earnings] are not necessarily expensive. But there are stocks like Nestle that are trading at 50 times, which is expensive. Therefore, India is both expensive and inexpensive. You will have to be selective in terms of sectors and stocks.
Q- Will you be an investor in India?
A- While my exposure to India is low, it's through the India Capital Fund where I am the chairman of the fund. The Indian stock market may rise higher in 2015 but not as high as 2014 - at best a 10 per cent rise from the current levels. If the flows ease in the global market then it may even impact India and it can come off. Meanwhile, we are overweight on financial stocks in India. The sector looks good despite the problems faced by banks as even today a lot of people don't have a bank account in India and, therefore, the sector has huge potential to grow.
Q- Where have you been investing?
A- As an asset allocation I have 25 per cent each in precious metals, equities, real estate, and bonds and cash. This may not be the best of allocation. But it's a disciplined approach. Today no one can tell where the world will go in the next three to five years. But with such asset allocation I am sure that in terms of purchasing parity I will be better [off].
I have been investing in precious metals. In fact, whenever there is a sell-off I had added them in my portfolio. Among equities, my investment in the US is near to nothing, though recently I have added some oil shares. My largest exposure is in Asia with investments in Vietnam, Malaysia, Singapore, Thailand and China. Six to nine months back I invested in China when valuations were really low and attractive. In 2012, I had invested in European shares. Some of my bond investments are in Latin America.
Q- Do you see the euro zone disintegrating following the Greek crisis?
A- The possibility is high, but it will not happen as the powerful US and European allies will not allow it to happen. Greece will never be able to repay and the allies will still infuse money into Greece. This is not an economic problem, it's a geopolitical issue. Hardliners in Europe know that if Greece moves out of the EU it will be more damaging for them than Greece as Russian and Chinese are more than willing to help Greece.
Q- In such a scenario what are your concerns?
A- The world economy, especially US valuations, isn't compelling. Interest rates are so low that there is no headroom for further cut. Corporate profits are disappointing as revenues aren't growing. On the other hand, for a country like India there is still scope for a cut in interest rates. I think India can cut up to 200 basis points. The concern for India is bureaucracy. A socialist attitude is not good for growth. There is huge potential in India but that potential will have to be exploited.

Q- What do you think about Japan?
A- Abenomics is a failure. The real purpose is defeated. Income adjusted in dollar terms is tumbling, exports are down in dollar terms, while retail spending is low. Government debt is increasing and the Bank of Japan is keeping on buying bond. I see this like a ponzi scheme run by the government. While the Japanese market doesn't attract me, international investors are bullish because in dollar income terms corporate earnings are improving.
Q- Do you see India benefiting from the excess money in the world?
A- India has not seen much flows as global investors are underweight towards India. This is because between 2007 and 2013 India disappointed and it saw a weak currency. The stimulus saw huge inflow going into US equities, which is why it has become expensive. Meanwhile, this year the money flow has been in select sectors like biotech and social sector.
Q-What is your view on commodities?
A- It has been a long time since commodity prices are down. I don't put precious metals under commodity. For the past three years, since 2011, precious metals are down and, in my view, they have bottomed out. Regarding oil, I do not see it going down to $20 a barrel. The people who see it going down to $20 are those who felt oil would touch $150 a barrel when it was at $100. I see oil reaching the equilibrium at current levels and see it moving in a range of $40-60 a barrel.
Some commodities have bottomed out like iron ore and copper, but industrial commodities continue to be in the bear market. For agricultural commodities, we may see a price rise in select commodities like coffee. Food prices may not see a huge spike as we saw them rising from 2013 till 2014.







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

Asset Allocation and Asian stock exposure

As an asset allocation I have 25 per cent each in precious metals, equities, real estate, and bonds and cash. This may not be the best of allocation. But it’s a disciplined approach. Today no one can tell where the world will go in the next three to five years. But with such asset allocation I am sure that in terms of purchasing parity I will be better [off].

I have been investing in precious metals. In fact, whenever there is a sell-off I had added them in my portfolio. Among equities, my investment in the US is near to nothing, though recently I have added some oil shares. My largest exposure is in Asia with investments in Vietnam, Malaysia, Singapore, Thailand and China. Six to nine months back I invested in China when valuations were really low and attractive. In 2012, I had invested in European shares. Some of my bond investments are in Latin America.






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

India's actual growth is 5 percent rather than 8

The Indian economy is doing slightly better than others. But if you analyse the indicators growth would not be 8 per cent, what the government is claiming. I think the Indian economy is growing maximum 5 per cent per annum. Look at the current economic environment, exports are not growing strongly, industrial production in the second half of last year was barely up. Hence, I don't think the economy is growing anywhere near 8 per cent. It may be growing at 5 per cent. But when I compare 5 per cent growth with 0 per cent or 1 per cent growth elsewhere in the world, this 5 per cent growth is very good.



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

Buy Oil for rebound Trade and Gold bottoming

We had a very sharp drop [in Oil prices] and markets don't go up in a straight line and don't drop in a straight line so I think we can have a rebound here. Some oil stocks are reasonably valued.
Most analysts now predict Oil can drop to $20 a barrel whereas a year ago they were all predicting it will go up to $150 a barrel. So there is a chance that oil is kind of bottoming out here. But I wouldnt bet too heavily on an a major low. But I would bet on a rebound. I think oil stocks and oil servicing stocks could rebound.

Equally Gold shares are the most attractive within the equities market. They've been hammered over the last 3 years and are showing signs of bottoming out.







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

EU and US don't want Greece to leave

The Greek problem has been postponed, it hasn't been solved and the problem is really that it has debts, the country with its economy simply cannot service or pay the debts amount which amount to something like  $250 Billion to $300 Billion and the economy is not strong enough to support that.

Second, in the discussion on Greece what is frequently overlooked for the NATO, EU and the US, an exit of Greece might open up an opening of closer relationship between Greece and Russia or Greece and China, and that the western allies want to prevent at all costs. So I think in the context of Ukraine where the West will have to make concessions that Russia controls Eastern Ukraine including the strategically important cities, at the same time a compromise will be made that Russia stays out of Greece and that more money will be forthcoming from the EU, maybe partly also paid by the US. But strategically speaking NATO, EU and US don't want Greece to leave because it is strategically very important.





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 likes Macao Gambling Stocks

Only 1% of Chinese have been to Macau. About 10% of Americans have been to Las Vegas at least once. If 10% of China’s residents go to Macau, that is huge volume. More facilities will be built. Macau is going to be a huge success. In the next six months, I would accumulate some Macau-related gambling shares.




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: Socialism vs Capitalism

The problem with communism is the whole economy was run by the government. The whole economy was 100% government.

In Singapore, we had a leader for the last 50 years and he's done a great job and it other countries also we had great leaders. But the issue really is how much governments do you want ?

How much transfer payments do you want ?

In my view small government is the best, maximum 15 to 20 percent of GDP. But now in Western world we have more transfer payments and governments close to 50 percent of GDP and in some countries more than 50 percent of GDP. So you have socialism. I'm not suggesting that the capitalistic system is the best, but probably out of all the bad systems it is the best.







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 wants to stay invested in Gold partially

I buy every month physical gold and I own gold as part of my physical allocation. I don't speculate in gold, these are my iron reserves.
I'm not concerned about the price of gold.. maybe goes down, maybe goes up. If you buy Tesla, maybe it also goes down, maybe it goes up or if you buy Apple maybe one day its worthless, and maybe one day its worth much more.... who knows. The point is simply I want to have some of my assets in Gold.



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 ECB and the Federal Reserve are one and the same

I think the US government, when gold really starts to move, will take it away. They will pay something. Say like in 1933, they paid $25 per ounce of gold that people held, and after they have collected most of the gold – of course not the gold that was held by government officials, or to precisely say “by corrupt government officials,” because
they’re all corrupt – they revalued the gold to $35. So the investor lost out. And I think what will happen, the US will eventually, under some kind of an excuse, whether it’s terrorism or whatever it is, expropriate gold. They’ll pay, say, at today’s price, $1220 an ounce, and then they’ll go to the ECB.

The ECB and the Federal Reserve are one and the same. The Bank of England also. They talk to each other every day. They’re the chief manipulators of everything. And then they say to the ECB, “Well, because we do it, you also should do it,” and the Draghi-type of – I don’t want to say what I think of him, but I say, Draghi-type of personalities, they’re saying, “Yeah. Yeah. We’ll do it also,” and then the Bank of England, of course, will do it also. Then they knock on the doors of the thrifts and say, “You thrifts, you also have to do it,” and the thrifts, they have no backbones anymore. The thrifts will say, “Okay. We’ll also do it.”

And so the threat is really for an investor, is where do you store your gold? Because if you have it in a bank or in an ETF, it may be taken away. And whereas I think that the Sprott Physical Gold are the best ones. When the US knocks on the door of Canada and says, “You have to do the same,” the Canadians will also say, “Yeah. Okay.” And so the best, probably, to store gold in Dubai, in Hong Kong, Singapore, physically.





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 predicts sanctions on Russia will ease

The Europeans will break from the U.S. and ease sanctions against Russia. A deal will be done in the next six months. Americans don’t realize that Europe has a lot of trading relationships with Russia. A lot of capital flows between them. An embargo on Russia won’t work.





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

I buy every month physical Gold

I buy every month physical gold and I own gold as part of my physical allocation. I don't speculate in gold, these are my iron reserves. I'm not concerned about the price of gold.. maybe goes down, maybe goes up. If you buy Tesla, maybe it also goes down, maybe it goes up or if you buy Apple maybe one day its worthless, and maybe one day its worth much more.... who knows. The point is simply I want to have some of my assets in Gold.



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: Socialism vs Capitalism

The problem with communism is the whole economy was run by the government. The whole economy was 100% government. 

In Singapore, we had a leader for the last 50 years and he's done a great job and it other countries also we had great leaders. But the issue really is how much governments do you want ? 

How much transfer payments do you want ? 

In my view small government is the best, maximum 15 to 20 percent of GDP. But now in Western world we have more transfer payments and governments close to 50 percent of GDP and in some countries more than 50 percent of GDP. So you have socialism. I'm not suggesting that the capitalistic system is the best, but probably out of all the bad systems it is the best.




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 quotes Will Durant on Rome Collapse

I am not agnostic to the view that society has changed because millennials prefer not to have any responsibilities and therefore opt not to get married (a view for which I have great sympathy, I should add).

Young people are more inclined than their elders to view cohabitation without marriage in a positive light. (My grandparents on both sides would have considered cohabitation without marriage a terrible sin.)

As Will Durant said, “A great civilization is not conquered from without, until it has destroyed itself from within. The essential causes of Rome’s decline lay in her people, her morals, her class struggle, her failing trade, her bureaucratic despotism, her stifling taxes, her consuming wars.”







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

Chinese Stock Market has big upside potential

I predicted in October that the Chinese economy would weaken but the stock market would go up. The Chinese stock market is in a similar position to the U.S. market in 1982. At that time, the U.S. market hadn’t done much for a while, and investors were bearish and underweight stocks. Then the market suddenly took off. There has been huge trading volume in Chinese stocks, and many people are opening investment accounts. 

The real estate market is done in China; it isn’t going to rise substantially in the near future, so speculators are moving into stocks. The market has shot up about 50% in the past three months. It will correct a bit, and then go higher. 

Bank stocks, especially, can move up from here. The sector is widely hated and has huge problems, but Chinese banks also have a big customer base.

Gaming and lodging companies tied to Macau were hit hard in the past 12 months and are also worth a look. In December, gaming revenue was down 30%, year on year. The stocks have corrected by 40% to 50%. In the next six months, there will be buying opportunities in the industry. You are paid to wait, because many of these stocks yield about 5%.








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 Problem With Communism

The problem with communism was that the whole economy was run by the government. In other words, essentially the whole economy was 100% government. That was a problem. In Singapore we had the leader, for the last, essentially, 50 years, and he’s done a great job. And in other countries also we had great leaders, but the issue really is, “How much government do you want? How much transfer payments do you want?” In my view, a small government is the best, the maximum, say 15 to 20% of GDP. But now, in the Western world, we have, through all the transfer payments, governments that are close to 50% of GDP, and in some countries, more than 50% of GDP.



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

Oil Price Weakness has Many Reasons

My view is that there are many explanations for the weakness in oil, including some theories that Saudi Arabia wanted to weaken Russia or the shale oil production in the US or Iran, and so forth. But my view is that the decline and sharp decline in oil prices signals a weakening global economy.

Now, in the last few days, I received many reports by brokerage firms and banks, and so forth. They all think that next year the economy in the world will be stronger than in 2014. This would not be my view. Reason A, the low yields on government bonds, that would seem to suggest to me that there are still some growth issues in the global economy, and the sharp fall in the industrial commodity prices would also suggest to me that the economy will be weaker than expected.

And I live in Asia. I can say that we’re not in a recession or in a deep recession, but there’s very little growth at the present time. In fact, I would argue that there’s hardly any growth at all. And as far as Russian oil stocks are concerned, and I think the oil price can rebound here short-term, but you might as well buy some oil drillers in the United States or oil servicing firms or oil companies. Why take a huge risk in Russian oil companies?




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

Stocks can rally a little bit more

I think, the S&P may make a new high sometime at the end of the month, but it would not be accompanied by the majority of stocks making new highs. Last year, there were about as many stocks down as there were stocks up, and in my view we’ll have a lot of volatility this year.
Everybody is bullish about the U.S. dollar. The bullish consensus about stocks is still very high. The bullish consensus about U.S. bonds is extremely high and the bearish consensus about the euro is extremely high and about commodities and oil and so forth.




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 could have a reversal, a trading rally in oil,

I think, the S&P may make a new high sometime at the end of the month, but it would not be accompanied by the majority of stocks making new highs. Last year, there were about as many stocks down as there were stocks up, and in my view we’ll have a lot of volatility this year.
Everybody is bullish about the U.S. dollar. The bullish consensus about stocks is still very high. The bullish consensus about U.S. bonds is extremely high and the bearish consensus about the euro is extremely high and about commodities and oil and so forth.
We could have a reversal, a trading rally in oil, a trading rally in euro and setback in U.S. bonds and a little bit of rally in U.S. stocks, but not much


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 US Dollar is Not the Ugliest Currency

If the US buys its own bonds, then because of the status of being a reserve currency, they basically buy their own currency. If foreign governments would start to ease massively, then I suppose the currencies would weaken.
Now, you may say, “Well, why did the dollar strengthen amidst the fact that the US has printed money?” Well, there are some reasons. First of all, maybe the US dollar is not the ugliest among the several sisters, and two, because of the increase in oil production in the United States, the trade deficit has narrowed, and so the dollar can be strong for a while. I don’t think it will last, but the consensus is that the dollar is the strongest currency around. And these other countries, say if Thailand or Singapore or Indonesia would start to print money, then they would weaken their currencies, or that would be the perception.




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

Value in Agricultural Companies

Faber has consistently warned since the late 1990’s that this dynamic would come to pass as the West and the U.S. in particular exported its industrial infrastructure and binged on consumer junk fuelled by easy credit while the emerging economies of east Asia used the proceeds to focus on production rather than consumption to become industrial powerhouses.

He went on to say,

“In the countries that opened up post breakdown of the socialist/communist ideology – China, Soviet Union, Eastern Europe - and India of course we have an entire generation who will earn much more and will have a better standard of living than their parents had.”

He highlighted certain factors that are leading to this lower standard of living for young western people. Banks now generally charge more to hold one’s money than the interest they pay out. He cites the yields on Swiss ten year bonds at 0.46% as an example of how people, and especially young people, are disadvantaged relative to previous generations.

“These people will not enjoy the compounding impact that I enjoyed having started to work in 1970 when bond yields were 6% and they went to 15% and so forth. So during that period of time wealth was accumulating very rapidly plus we had a huge boom in real estate and in equities and bonds between 1980 and 2007.”

“That is not going to happen again.”

Agricultural commodities including palm oil and Asian companies processing agricultural produce is where Dr. Faber currently sees value. Some of these companies in Malaysia and India, for example, pay dividends between 2% and 4%.

The young people who invest in these types of company will see their wealth steadily rise as opposed to their western counterparts who rely on the casino of rising paper asset prices.

Faber also likes the stock market in India and thinks it could see gains of 15% next year. The new government is free market and enterprise friendly and Faber believes the central bank in India is the “world’s best central bank.”

Dr. Faber is a long time proponent of owning physical gold. He has consistently urged people to act as their own central bank in acquiring bullion coins and bars as financial security and he believes that storing gold in Singapore is the safest way to own gold today.

- Source, Gold Seek




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 more Estate Taxes

“I meant that with respect to western societies and Japan where essentially the younger people – today’s generation – will earn less than their parents and they will have less wealth than their parents, inflation adjusted. This is because we will have wealth taxes, we will have more estate taxes and we have essentially declining real median incomes in the western world and Japan.”





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

Big Surprise This Year

“My belief is that the big surprise this year is that investor confidence in central banks collapses. And when that happens — I can’t short central banks, although I’d really like to, and the only way to short them is to go long gold, silver and platinum,” he said. “That’s the only way. That’s something I will do.” Marc Faber said at Société Générale’s global strategy presentation last Tuesday




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

Gold can go up big in 2015 if central banks collapse

My belief is that the big surprise this year is that investor confidence in central banks collapses. And when that happens — I can't short central banks, although I'd really like to, and the only way to short them, is to go long gold, silver and platinum. That’s the only way. That’s something I will do I'm positive gold will go up substantially [in 2015]... say 30 per cent.



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

I'd really like to short central banks

"My belief is that the big surprise this year is that investor confidence in central banks collapses. And when that happens — I can't short central banks, although I'd really like to, and the only way to short them is to go long gold, silver and platinum," Marc Faber told marketwatch recently



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 says everything will Collapse in The End Game

I happen to believe that eventually we will have a systemic crisis and everything will collapse. But the question is really between here and then. Will everything collapse with Dow Jones 20,000 or 50,000 or 10 million?




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 big surprise this year is that investor confidence in Central Banks Collapses

“I’m positive [that] gold will go up substantially [in 2015] — say 30%,” “My belief is that the big surprise this year is that investor confidence in central banks collapses. And when that happens — I can’t short central banks, although I’d really like to, and the only way to short them is to go long gold, silver and platinum,” he said. “That’s the only way. That’s something I will do.”

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

central banks today have much too much power

I believe that central banks today have much too much power. Basically central banks are run by bureaucrats, mostly academics. They have studied at nice universities and so forth, they crunch numbers. 99 percent never worked in the private sector. And to these people you give the largest authority to run the world - monetary policies. That I will never understand. - See more at: http://www.marcfabersblog.com/#sthash.wsGoEs6x.dpuf

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

Year 2015 will be marked by volatility and surprises

Year 2015 will be marked by volatility and surprises one considers Marc Faber, author of the newsletter for investors "Gloom, Boom & Doom Report" and the best option is the capital conservation diversification. In a response to Bloomberg TV Swiss investor resident in Thailand recalled that last year was a bad one for active portfolio managers, 90 fund managers reporting of underperforming the main index of the American Stock Exchange, the S & P500. In this context it is remarkable, however, that a higher yield was obtained from the average market fund "all seasons" of Bridgewater Associates built exactly on the principle of diversification between stocks and 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.

Detroit's decline was unimaginable in 1920

When I moved to Hong Kong in 1973, Mao Tse Tung was still alive, the cold war was on, the Vietnam war was on. Then starting 1978, the breakdown of socialist communist policies began.
The real opening started in 1989 - 1990. The changes in the world have been mind boggling. Nobody could have expected the lands where nothing at all 20 years ago, which is now modern cities.
Equally in the 1920's nobody could have expected where Detroit was probably one of the richest cities in the world, that the city would disintegrate as much as it has.




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

Gold could go up even if Stocks Decline

I believe that say if the stock market drops more than 20 percent, the Fed would step in. Actually I wouldnt be surprised if the Fed didnt step in after a 10 percent correction. That would be close to 200 S&P points. But on a 400 S&P point decline, for sure the Fed would again implement asset purchases, and I think at that time Gold could really take off, and because junior mining stocks and large ones use their high leveraged play on the price of Gold, I believe yes they could go up if stocks decline.


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

Yellen should immediately apologize

Marc FABER: She should immediately apologize that it took her so long to meet the president because Alan Greenspan was running to the White House repeatedly and very more often than any other Fed chairman.



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 Fed will keep Interest Rates at very low levels for a very long time

 MARC FABER : My sense is that the Fed and other central banks around the world will keep interest rates at very low levels for a very long time. The whole investment world has been distorted by essentially zero interest rates and expansionary monetary policies.

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 Predictions on Stock Market Collapse

Marc Faber, publisher of the Gloom, Boom & Doom report, talks about global stocks, the economy and gold prices. Faber speaks with Matt.




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

Oil Prices Decline is due to Global Economic Weakness

There are many explanations for the weakness in Oil including some theories that Saudi Arabia wanted to weaken Russia, or the Shale oil production in the US or Iran and so forth. But my view is the sharp decline in Oil prices signals a weakening global economy. Now in the last few days I have received from brokerage firms, banks and so forth. They all think next years economy in the world will be stronger than 2014. This would not be my view given, (a) the low yields on government bonds, that would seem to suggest to me there are still some growth issues in the global economy and the sharp fall in the industrial commodity prices would also suggest to me the economy will be weaker than expected. And I'm living in Asia, I can see we are not in a recession but there is very little growth at the present time.


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 sees value in Palm Oil

I think the Agriculture commodities collapsed by 50 percent- wheat, corn, soybeans, and so forth. And Palm Oil has very close correlation to Soybean prices and it also collapsed by 50 percent and with it the plantation companies went down.

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: Expect Volatility and Surprises in 2015

“The Gloom, Boom & Doom Report” Editor and Publisher Marc Faber discusses his outlook for 2015 with Bloomberg’s Betty Liu and Brendan Greeley on “In The Loop.” (Source: Bloomberg)










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