Bullish on Japanese Equities

‘If I had to make a bet for the next 10 years in terms of equity markets, I would seriously consider a very strong weighting in Japan…the interest payments on the government debt in Japan and the fiscal deficits will become very burdensome but that will necessitate monetisation. That will bring about a huge shift of money out of cash and bonds into equities.’ - Marc Faber



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 latest on Gold and Silver

Long-time gold bull Marc Faber provided his latest thoughts on the price of gold and silver on Tuesday at the New York Hard Assets Investment Conference. Faber, editor of The Gloom, Boom & Doom Report, reiterated his bullish outlook on gold but made cautious comments on stocks and cyclical commodities. He argued that the recent growth in Chinese money supply, which has surpassed that of the U.S., increases the prospects for further interest rate increases in China. Tighter monetary policy will in turn pressure equities and the broader commodities complex, both of which have benefitted substantially from unprecedented levels of liquidity from central banks.

www.goldalert.com





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

US vs Emerging Economies

I think the world has to learn that the US is no longer as relevant as it was 20 years ago to the global economy
. I mean the share of the US in the global economy has diminished very substantially you have higher car sales in China than in the United States and by the way car sales today in emerging economies including Indian, Latin American, China and so forth are larger than in the G-16 countries. In other words it is larger than in Western Europe to US and Japan combined so also oil consumption in emerging economies today is larger than in the developed countries. So we are dealing with the totally new world. There has been a huge shift in the balance of economic power between the rich countries, the arrogant countries of the west and the emerging economies that are coming up and that also will lead to tensions in my opinion political and geopolitical tensions - Marc Faber



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

China and Gold

”Now, just consider what the impact would be if China were to increase its gold holdings from presently less than 2 per cent of its $2.2 trillion reserves to 6 per cent or 10 per cent. Each 1 per cent increase in gold weighting would mean gold purchases of more than $20 billion, or nearly 600 tonnes,” - Marc Faber

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

solving the crisis

What I object to the current government intervention in so-called 'solving the crisis', they haven't solved anything. They've just postponed it. - Marc Faber


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

printing money like in Zimbabwe

If you print money like in Zimbabwe... the purchasing power of money goes down, and the standards of living go down, and eventually, you have a civil war - Marc Faber




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

Hyperinflation in the USA

I am 100% sure that the U.S. will go into hyperinflation. Not tomorrow, but the problem with the government debt growing so much is that when the time will come and the Fed should increase interest rates, they'll be very reluctant to do so and so inflation will start to accelerate. - Marc Faber in 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.

Deflation vs. Inflation

“Surely, it is academically interesting to discuss for hours whether we are in a ‘deflationary’ or ‘inflationary’ economic environment. The different views on this issue have become extremely polarized with the deflationists maintaining that equities and commodities will collapse and that government bonds will rally. The believers in higher future inflation rates on the other hand argue that large fiscal deficits and expansionary monetary policies will boost selected asset prices and eventually flow into rising consumer prices and lead to higher interest rates. But, as I have tried to show by comparing oil with natural gas prices, in an economic system some prices may be rising, while others decline. This process is continuous and particularly evident in the price movements of various asset classes when there are massive excess capacities, which constrain new capital investments, and zero interest rates, which force cash holders to ‘speculate’ in one, or the other, asset class.” - Marc Faber


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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 Japanese share market

“The Japanese share market will strongly outperform New York in the next five years, ... The enormous cash reserves from private households and companies, the money they keep under their mattresses, will flow into the economy.” - Marc Faber




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