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Marc Faber: "Everything Is Going Up. Only At The Federal Reserve Is There No Inflation"
Marc Faber was on CNBC earlier, once again discussing things so patently obvious only the Fed can not grasp them. Namely that as long as cheap money floods the system hard assets will continue rising in value, and gold will continue surging. Which is merely part of the bigger picture: nominal prices continue rising as real prices, denominated in paper and linen, continue to decline. But have no fear: Bernanke can fix everything in 15 minutes. Only that's total BS: "One day they will increase it by a quarter percent. But what does it mean when commodity prices are going through the roof, energy prices are going up, health care costs are going up, insurance premiums are going up?" Somehow, Bernanke believes, a hike will immediately undo months and years of downstream costs progressing through the system. And surely subprime is contained... As for the proverbial gold bubble: "If it were a bubble a lot of people would have gold. The whole world would be trading gold 24 hours a day. But I don't think it's really a bubble. I think gold is maybe cheaper today than it was in 1999, when it was $252." Oddly enough nobody mentions that gold is the only market that is now not part of the Fed's central planning "wealth effect" mandate (and the price suppression mandate is failing by the day): surging gold prices are an indication of one thing only: the market's desire to impose its own gold standard at a mark to market price equivalent for dollar destruction. It is this aspect of the metal: to correlate with Fed stupidity, that makes it such an attractive investment. And since Fed stupidity is endless, does it mean gold's fair value is infinite?
Also very enjoyable is the discussion of entitlement benefits beginning at the 7 minute mark.
Must watch.
Full clip (link).
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"It's not "hard" work because there is no barrier to entry" -
What an IGNORANT comment.
There has NEVER been a BARRIER to Americans working as migrant farm worker i.e. field harvesters... it is BRUTAL, BRUTAL work, the spinach cutters move an average of 5(?) miles a day in the insect, pesticide, and herbicide infested fields...on their knees the entire time!
You are hiding behind the definition of "hard", but in similar vein, Marc Faber seems IGNORANT of the fact that it was "ILLITERATE" Black (African) slaves who BUILT the WEALTH of the ENTIRE ante-bellum south, (INCLUDING all those famous PRESIDENTIAL MANSIONS, like Mr. Vernon & Monticello, and the Hermitage).
Harvesting cotton fields that stretched for (literally) AS FAR AS THE EYE CAN see, dragging hundred pound bags of cotton that are filled a few ounces at a time in brutal, back-breaking, hand-numbing labor.. was the WEALTH CREATION that made the plantation owners filthy rich.
For those that like Marc, here's my favorite from the Mises Institute
http://www.youtube.com/watch?v=H0sS6a9RW2E
Yes Muir that was a great one...it was posted on ZH I believe too.
This link is golden, worth recommending to everyone.
Thank you.
I like Faber, and listening to him over the years is one of the reasons I bought gold and silver. But at the end of the clip he is simply babbling. Is gold in a bubble? A more coherent answer would be to simply say, "No. The dollar was in a bubble for decades, and that bubble is now deflating. At the end of the deflation process, the dollar will have no value and no amount of Federal Reserve notes will purchase an ounce of gold. Think of the dollar as the commodity and gold as real money, and you will understand the concept."
Past the frigging tipping point. Now we just watch the events unfold before 2020. I'll still be relatively young at that time. Bring it on.
CNBC= See, Nobody Behind the Curtain or "These aren't the Droids you were looking for"
Faber is THE MAN!
Poor Mark, if he only had a real education, he could speak with authority about the reality at had and he would not suffer the indignation of Becky's lack of ''Quick Whit'' conspiracy bullshit ...by just using one word in responce to her pathetic media whore script. That word, in responce to ''conspiracy theory'', is of course ''corruption''.
Labor, represented by the Constitution of the United States, was to be free and independent and secured by the law(s) through a commerce only tax system. The Republic (the individual, freedom, liberty) was captured by Mr Jeckyll Island, owner of the delusional media morons ("Quick'' nitwit script aproval) whore(s) and Chairsatan's BTFD Cup of fornication) pimp'd out along with the legislative body that has screw'd the whole of labor on the planet. The market beast has become global, to the point within the masonic (''not so secret circle'') new world order of mad morons goal, which is a single global voice of contempt prostrated upon the fallen WTC power tower that sent out the Great Wal Mart of China High Frequncy that shifted the global market tectonic plate default line and created the tsunami wave of Mc Manson Mansions built upon sand that is pooring out of the clock with each passing day. It ain't no theory, it's is a conspiracy. The Becky ''Quickening'' ding a ling ain't playing with silver bells http://www.youtube.com/watch?v=_MLBfwblps8 she has taken sin-sational journalMSNBC to a whole new level and is to stupid to realize she is ringing the market close of Hell's Bells. http://www.youtube.com/watch?v=ZrCw8po7JKo
Nobody can escape the new world order mark of the beast by; buying selling or trading. What is now in the BTFD Cup of fornication ...is; the suffering masses, the wine of wrath. Marky ''Mark to myth'' is a Giant Man on the silver mountain http://www.youtube.com/watch?v=p9nfVrusSMg (Mount Hermon) to be sure but, he does not have the education to realize ''that pot of gold'', on the other side of these latter rainbow ''gains'', is the rainbow end in the dark volcano pool filled with Chairsatan's hot lava. http://www.youtube.com/watch?v=5_6kdIzPino When Mark realizes his gains have erupted inside the womb of Chairsatan bitch'ez ...he will cry to be delivered but, at that point he will be inside the circle of boom doom and gloom shadow (of that phalic point) Every uneducated Mark of the beast moron, sealed within the black hole, shall perish. http://www.youtube.com/watch?v=wxBk8tW2jaw
Rose Mary's Baby http://www.youtube.com/watch?v=p7bHkH779qg is about to rise in 2012. ''Mark'' Faber's words but, he is just a market Priest that has not received revelation.
Stand fast, do no harm, ETFF bitchez ...or perish.
what does it say about silver when silver beat gold in 'gold's decade'?
wtf will it do in its own decade?
the technicals seem to suggest that it will go extinct.
2020 the holders of gods money will do the ruling, period.
Well, I've read maybe 50 posts on this subject and not one discussed the very end of the show - the fact that there is an ongoing economic class war - undeclared and little discussed, but it has HUGE ramifications. To paraphrase Faber - while the less-productive members of society vote, often for those who they perceiver would best provide government services, the well-to-do actively support actions that cause inflation as it increases their bottom lines. This puts a huge squeeze on the middle class, working stiffs who are more harmed than helped by inflation, don't make much use of government services, yet pay the most taxes. Is anyone listening? Hello ZH-ers, hello?
OK, I'll spell it out for you - inflation, as created by the Fed's largesse, does not hurt the rich. It may hurt the poor as their federal benefit checks buy less, but that is generally temporary as COLAs attempt to make up the diff. But inflation clobbers the middle class workers as they must buy gas, food, clothes, etc. from their own income and they must bear the lion's share of the taxes needed to help the poor. Help!
that makes alot of sense, although the poor are more harmed by inflation than the middle class, since at least people in the middle class can not voluntarily subjugate themselves to the slave masters by not paying taxes.
there is control, there is ownership, and the first is more important than the second.
keep control, and you keep power.
keep ownership, your ego thanks you while your body withers away.
I keep replaying Beckie's awkward silence moments after his answers, priceless.
it would be great if the CNBSers could be edited out of the clip -- but for now this is at least a no CNBS frills (except for the ad) link to the video
http://bit.ly/h0uQjU
Am I the only one here who is amazed that CNBC and Bloomberg still allow Faber and Rogers a platform to reveal what is really going on?Perhaps TPTB think the people are that stupid they won't understand,or even if they do,there is nothing they can do about it anyway?.
Becky was reacting to the political incorrectness of Faber's comments, discussing how poor folks milk the system and raise uneducated children. Such commentary is unacceptable on American TV, where the illusion of equality is paramount. I wonder if Faber will be invited back.
Faber is great. But it concerns me that he's watching too much CNBC.
Marc Faber touches on a important but easily misunderstood factor in what he rightly calls "the WAR of the rich vs the poor."
To put it more simply, "BAILOUTS" and now "Quantitative Easing(s)" are SUBSIDIES - taxpayer extorted Big Government SOCIALISM FOR THE RICH. The "EMERGENCY!" TARP "bailouts" in Sept. 2008 were SOLD to Congress, as "preventing an economic meltdown", i.e. keeping people employed, and keeping their PENSIONS intact.
But the notion that the elite give a damn about pension funds is a HOOT, they LOVE NOTHING BETTER than to GUT pension funds, as "greed is good" Gordon Gecko tried to use an airline company's "OVERFUNDED PENSION PLAN" to exert a HOSTILE LBO, which would have HACKED the company apart - KILLING FUTURE INPUTS into the pension plan, which would soon go insolvent - in the Oliver Stone's 1987 movie "Wall Street."
Fact is stranger than fiction, and the elites have been GUNNING FOR pension plans for 2 dozen years now, first "DEREGULTING" the Savings & Loans in the 1980s, then DEREGULATING the commercial banks, and making them into Wall St. casino gambling houses, in the late 1990s.
I will say this again.. I will be junked.. but no matter..
In America! You need to have $100 Million Dollars! to understand what Being Broke is!
for those that do not or more likely choose Not to review the Statement from a Logical Perspective it will not make sense..
Just becuase I mention it or shine a Light on this Fact does not mean I Like it. To often people do not like the facts, thusly do not like the options.. so then just act like a three year old and choose nothing and do nothing.
If you can't get junked on this site, you're doing it wrong. Junks are handed out like candy here.
rising asset prices are not "inflation" per cee, ballooning supply of incremental money + credit is. Rising asset prices (from stocks and obscure debts to copper to wheat ...) is simply expression of the pervasive bullishness of the herd (the herd includes all market participats to more or less extend). Inflation fears is mere rationalisation for buying into overbought markets. For those experts, who proclaims inflation outcome, just one question: how rising prices of nearly everything in 2007-2008 predicted inflation? I well remeber all that inflation rants in the first half of 2008. Incremental supply of money + credit is non-existent, period. The herd ALWAYS got it wrong at extreme, unfortunately... Herd was waiting for never-ending deflation and decrease in asset prices at previous extreme - in early 2009, right in front of greatest (but temporary) reflationary episode in human hisory
You are correct, of course, that rising individual asset prices are not in and of themselves "inflation", which is an increase in the money supply. However, when commodities and assets are rising across the board, as they are today (aside from the former bubbled asset of housing), then it IS a sign that inflation is in play.
Under a fiat currency regime, only inflation is the long-term trend --- fiat currency deflation is nothing but a pipedream. Or has that 97% depreciation of the US dollar since 1930 just been a figment of our collective imaginations?
That woman interviewer displays a level of cluelessness - unbelievable!
She has really taken hook, line and sinker of the everyday propaganda.
people can't afford to pay for anything anymore, straight up. cutting spending is the only option...
www.forecastfortomorrow.com