"There is nothing safe anymore, because the money-printing distorts
all asset prices," is the uncomfortable response Marc Faber gives to
Thai TV during this interview when asked for investment ideas. Faber explains
how we got here "massive money-printing and ZIRP creates a huge pool of
liquidity that does not flow evenly," as it washes from Nasdaq stocks to real
estate to emerging markets and so on. Each time, "the bubble inflates and then
is deflated as the capital (liquidity) floods out." The Fed, based on the
doubling of interest rates since they began QE3 "has lost control of the bond
market," Faber warns; adding that while he expects some "cosmetic tapering," the
Fed members and other neo-Keynesian clowns will react to a "weakening US
and global economy," and we will be a $150 billion QE by the end of next
year, as the world is held hostage to US monetary policy.
The interview is interspersed with Thai translation but is well worth the
time (starting at 1:25):
(Click link below to read more)
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About Me
- Judy Chaffee
- This site is the inspiration of a former reporter/photographer for one of New England's largest daily newspapers and for various magazines. The intent is to direct readers to interesting political articles, and we urge you to visit the source sites. Any comments may be noted on site or directed to KarisChaf at gmail.
Monday, September 23, 2013
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