Marc Faber Interview with Bloomberg

You can find a Bloomberg video interview with Marc Faber here (approx 32 min). Marc Faber for those not familiar is a superbear who is famous for his generally bearish views.

I don't see anything new in the interview (compared to his prior views), with Marc warning about the US$ and still being bullish on commodities (although he says there will be corrections, like the 50% drop in nickel in the last few months). Most of the interview is about Marc's negative view of central banks. I don't necessarily share his views of central bank interventions. Marc Faber also thinks the bubbles in China and India may collapse between now and the Olympics in China next year. However, he makes it clear that the Chinese markets can go up 2x from here even though they are in a bubble.

He recommends cash and says people should hold some gold. He retains his contrarian bullishness for the US$, although he thinks it will weaken compared to gold.

The bigger, longer-term, theory of his is that inflation is going to be an issue as we move forward. He says there was price inflation in goods in the 70's then inflation shifted to assets in the 80's and 90's, and now it is going to move back into goods prices.

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