Author and publisher of the Gloom, Boom & Doom Report, was recently interviewed by Bloomberg on Fed. Chairman Ben Bernanke's decision to do another round of quantitative easing. This round is estimated to be at 600 Billion. In the interview, Dr. Faber states that anything less than $1 trillion From Bernanke could disappoint investors and might prompt a correction in U.S. stocks. Among the the few sectors he believes will do well are mining and agriculture.Marc Faber is currently recommending agriculture commodities, and the accumulation of precious metals although he does no roll out some correction before the end of the year before the prices shoot up in 2011.
Other highlights:
Investors already factored in quantitative easing round no.2
Faber expects more weakness in the dollar and is bullish on gold, silver and industrial commodities
Faber also expects a short correction but then expects a boom in stocks and commodities (by Christmas)
Finally, he is negative on cash and bonds but is reasonably positive on equities due to inflation
About the author:
Alex Garcia is owner of http://www.magicformulapro.com, a Magic Formula Investing blog covering Joel Greenblatt's magic formula, which identifies potential value stocks. In addition, he covers value investors such as Seth Klarman, Li Lu, Bruce Berkowitz and Walter Schloss.
Track Gurus’ Stock Purchases Daily – Real Time Guru Picks
GuruFocus "Real Time Picks" reports the stock purchases and sales that Gurus have made within the prior 2 weeks. The report time lag can be as short as 3 days after the date of the transaction. This is just one of the features provided with GuruFocus Premium Membership.
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More) Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names
Feedback
European Shorting
My Portfolios
Browse Gurus
Print
Email
Subscribe RSS
RSS