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Marc Faber: "Believing In Bernanke Is Like Believing In Santa Claus"

Tyler Durden's picture




 

"If you believe that [Bernanke] means what he says," explains Gloom, Boom, and Doom's Marc Faber to a spell-bound Trish Regan on Bloomberg TV, "then you believe in Father Christmas." Simply out, Faber adds, "we are going to see QE99," and while he notes that equities, bonds, and gold are "very oversold," he would "rather buy bonds and gold than equities." From his views on Laszlo Birinyi to inflation, the 'taper', US housing, and China, Faber calmly warns that "the S&P could drop 20-30% from the recent highs - easily."

"The only thing that I know is that I want to own some physical gold because I don't want all of my assets in financial assets."

 

Faber on whether problems will continue for the equity markets:

"Well, right now equities, bonds and gold are very oversold. They can easily rally on the S&P. We could rally 43, 50 points, but I don't expect a new high. Just in case a new high would be achieved in the next two months or so, it would not be confirmed by the majority of shares. In other words, very few stocks would lead the advance. In terms of bonds, they are also incredibly oversold. Where the sentiment about equities is actually still rather positive and all of these super bulls still predicting the market to continue to rise into 2014, 2015. In bonds and gold, sentiment is by historical standards incredibly negative. As a contrarian, I would rather buy bonds and gold than equities."

On whether yields will be higher if Bernanke meant what he said on starting to taper sooner rather than later:

"If you say that if he means what he says, then you believe in Father Christmas. He said if the economy does not meet the expectations of the fed in one years' time, they will consider additional measures. In other words, if the economy has not fully recovered by mid-2014, more QE will be forthcoming. As I said already three years ago, we are going to go with the Fed to QE99."

On whether he's investing with a backdrop of no inflation:

"Well, I think investors have a misconception about what inflation is because it is essentially an increase in the quantity of money and credit. We have wage deflation in the world in real terms, for sure. In other words, real wages are going down and the cost of living everywhere are going up. That is why you have social unrest in North Africa, in the Middle East, in Turkey, in Brazil, and it will spread because the average person on the street hasn't participated in the huge asset inflation that has been going on in high-end properties, Mayfair properties, Fifth Avenue, Madison Avenue, the Hamptons and in equities and until recently in bonds and commodities."

On Laszlo Birinyi saying that gold is his biggest short:

"To that I respond there are many people out there, they never owned an ounce of gold in their lives. They were bearish about gold at $300, bearish about gold at $700, bearish about the stock market in 2009 when the S&P was at 666. Now, they are bullish about stocks and they are still bearish about gold. The commercial hedgers - these are professional miners, mining companies and people involved in gold trading. They have the lowest short exposure, since 2001 when gold was at $300. Similarly, in the silver market, the commercial hedgers, again, the professionals have the lowest short exposure since 2001. I would rather bet on the commercial miners, the commercial hedgers than on some forecaster who knows about the future of prices as little as I know. The only thing that I know is that I want to own some physical gold because I don't want all of my assets in financial assets."

On US equity performance in light of the global economy:

"First of all, I believe that today we are talking about the global economy. The U.S. stock market has just about outperformed any other market around the world in the last 6 to 12 months. We have big trouble coming into emerging economies. The emerging economies are not performing well, There is no growth at the present time. The Chinese economy, maximum is growing at four percent per annum. We have multinationals in the S&P. Their growth and global growth came from the last four years from  the recovery in the emerging world. If the emerging world does not grow, the global economy will not perform well and corporate profits, as we just saw today from Oracle, will disappoint and stocks won't be the best investment in the world...  I think the market is on the high side, corporate profits are inflated and we could easily, from the recent high, May 22 at 1687 on the S&P, drop by 20% to 30%, easily."

On where gold is heading by year end:

"Well, I think we will be higher by year end but I am not worried where we are. I have said that I buy gold regularly. I just bought today at $1300 and I will buy more at $1200 and I will buy more at $1100."

On whether gold will go down before going back up:

"I don't know, I am not a prophet, I don't know exactly where the price will be on a month by month basis, but I want to have some wealth, some of my assets in physical gold.

 

I can see a lot of problems coming into the world including expropriation through taxation or through regulation or even through revolution and social strife."

On where 10 year yield is going:

"I am tempted to buy a 10 year treasury at a yield of 2.5%. I think we will rebound in the treasury market. Yields will go down first, and if they go up further, it will kill the economy including the housing market."

 

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Fri, 06/21/2013 - 20:53 | 3681137 The Shootist
The Shootist's picture

Love it when Faber does his evil laugh at the schmucks.

Fri, 06/21/2013 - 21:04 | 3681168 DaddyO
DaddyO's picture

Bernanke is Santa Claus, right?

DaddyO

Fri, 06/21/2013 - 21:15 | 3681184 WayBehind
WayBehind's picture

Wh cares about the future price of gold or the stock market. Soon enough you will be lucky to find a piece of bread to feed your family.

Fri, 06/21/2013 - 21:28 | 3681209 King_of_simpletons
King_of_simpletons's picture

Believe in Santa Claus or not, but he does bring a lot of gifts year after year. So it is not all bad, if one doesn't lose sight of the whole fiat concept.

Fri, 06/21/2013 - 21:39 | 3681235 AlaricBalth
AlaricBalth's picture

Bernanke is the high priest of an archaic, dying religion.

Fri, 06/21/2013 - 22:11 | 3681276 ZerOhead
ZerOhead's picture

It's almost time to change the Fed motto on it's notes from:

"In God We Trust" to "To The Gods We Pray"... personally however I think I'll stick to "In Gold I trust"...

Sat, 06/22/2013 - 16:01 | 3682305 SafelyGraze
SafelyGraze's picture

at 5:30, 'blah blah buy *play in america blah blah  *blue chip or *good quality stocks and hold them blah blah *dividends blah blah *consensus play  .. what's wrong with that"

faber treats it as a serious questions

didn't even question the premise

faber = thoughtful and considerate interviewee

* emotive/affective/propaganda words for audience consumption

Sat, 06/22/2013 - 17:48 | 3682465 AldousHuxley
AldousHuxley's picture

That' why joos are good with money. They don't believe in Santa Claus and skip the Christmas thing altogether and go to work on wall st. on Christmas.

 

But American joos are getting sucked into consumerism too.

Hanukkah cards and candles half off after hanukkah at walmart.

 

 

Fri, 06/21/2013 - 22:13 | 3681295 chubbyjjfong
chubbyjjfong's picture

Funny how the hosts just laughed Faber off at the end of the piece.. "go have some fun, you crazy whacky funsta Marc, hadehaha chuckle chuckle" 

It was Marc though who had the last laugh.

Sat, 06/22/2013 - 06:48 | 3681618 RideTheWalrus
RideTheWalrus's picture

The presstitutes will keep that nervous chuckle going until the pitch on the deck of the titanic gets too step and they end up hitting a smoke stack as they plummet towards the icey ocean of collapse.

In some regards you have to respect them for continuing to do their job in the face of certain destruction, even thou it's crazy to keep up illusions at this point.

 

 

Sat, 06/22/2013 - 12:59 | 3682034 TheMerryPrankster
TheMerryPrankster's picture

teleprompter said "laugh knowingly and cut to commercial" so they did. they are talking heads. the puppets dancing, someone else fills them with words and tells them where to look and when to stop.

They are pets of the rich who own the broadcasters

They are noise in the signal, reject them.

Sat, 06/22/2013 - 17:42 | 3682457 AldousHuxley
AldousHuxley's picture

Michael Bloomberg wants to offload bonds and stock up on equities so he brings Faber on air to do his thing.

 

Equities Up & Bonds down = INFLATION people

 

DEFLATION would be Bonds down & Equities WAY down

 

don't judge bonds by prices alone so take yields into account. Econ 101....bond price is inverse of yield which is what we have.

 

 

Sat, 06/22/2013 - 08:16 | 3681676 kito
kito's picture

Which is why he is preaching bonds??? And oversold equties?? Really???

Sat, 06/22/2013 - 08:10 | 3681670 spentCartridge
spentCartridge's picture

Santa clause ...

 

Is a big red dude that instills in the minds of our children the notions of material greed, and, his name just happens to be an anagram of Satan ...

 

'Go figure' is, I believe, the turn of phrase that you Yanks like to prefer?

Fri, 06/21/2013 - 20:53 | 3681140 Cabreado
Cabreado's picture

Thank you Mr. Faber, but at this point, not even Bernanke believes in Bernanke.

Sat, 06/22/2013 - 17:53 | 3682475 AldousHuxley
AldousHuxley's picture

that's why he is on his way out.

the elites know it is not about what bernanke does but how much you can front run him. That's all there is to making money. Place the right bets before the game. Everyone else is just another pawn for the game to be played out.

Fri, 06/21/2013 - 20:55 | 3681141 buzzsaw99
buzzsaw99's picture

Don't believe that 2.5% on the 10y can last either. Not saying it is a screaming buy, only that the us gubbermint (and housing) cannot sustain anything like that over the long haul. My call for 1% on the 10y still stands.

Fri, 06/21/2013 - 21:53 | 3681263 ZerOhead
ZerOhead's picture

Things would have to be absolutely suicidally abysmal (yet curiously still intact) for that to happen... but hey... you seem to be pretty much always right...

Sat, 06/22/2013 - 08:12 | 3681674 Beam Me Up Scotty
Beam Me Up Scotty's picture

I agree with you Buzzsaw.  The pendulum will swing.  If the stawk market tanks 30, 40, 50% because rates are headed higher, people will "try" and rotate out of stawks into bonds.  Personally, I'd rather rotate to cash then give my money to .gov for 10 years, but lots of sheeps would be happy to get 1% on their money rather than lose 30,40,50% or more.

Fri, 06/21/2013 - 21:53 | 3681265 mofreedom
mofreedom's picture

hello, fundamental transformation and cloward and piven calling obama...hello...oh, there you are, yes, you really are lazy...now, get to work and finish off destroying the u.s. of a....get those rates raised and bring it all down.

Fri, 06/21/2013 - 21:04 | 3681166 kchrisc
kchrisc's picture

Mr. Farber should drive very carefully and check his motor-mounts.

Fri, 06/21/2013 - 21:06 | 3681170 lolmao500
lolmao500's picture

Is it me or he speaks slowly??

Yeah the 10 years will reverse. The FED will reverse... they will double down on their QE, just like Japan. If I'm right, I make money, if I'm wrong... it won't matter...

Fri, 06/21/2013 - 21:06 | 3681174 stock trout
stock trout's picture

Thanks for the recap ZH. I was watching the interview live but all I could focus on was Trish Regan.

Fri, 06/21/2013 - 21:24 | 3681202 WmMcK
WmMcK's picture

I still miss Lauren Lyster.

Sat, 06/22/2013 - 04:34 | 3681570 e-recep
e-recep's picture

you miss her legs.

Sat, 06/22/2013 - 09:19 | 3681731 WmMcK
WmMcK's picture

And the Capital Account camera angles.

Fri, 06/21/2013 - 21:33 | 3681220 Moe Howard
Moe Howard's picture

Does the chasis match the grille?

Sun, 06/23/2013 - 04:19 | 3683182 papaclop
papaclop's picture

She is pretty hot.

Sun, 06/23/2013 - 04:18 | 3683183 papaclop
papaclop's picture

She is pretty hot.

Sun, 06/23/2013 - 04:19 | 3683184 papaclop
papaclop's picture

She is pretty hot.

Sun, 06/23/2013 - 04:18 | 3683185 papaclop
papaclop's picture

She is pretty hot.

Fri, 06/21/2013 - 21:09 | 3681178 Hedgetard55
Hedgetard55's picture

Faber: "Go long Thai hookers, bitchez!"

Fri, 06/21/2013 - 21:23 | 3681199 Unprepared
Unprepared's picture

At least you will die happy.

Fri, 06/21/2013 - 21:35 | 3681226 lolmao500
lolmao500's picture

If you're into shemales, yeah.

Fri, 06/21/2013 - 21:26 | 3681207 DollarMenu
DollarMenu's picture

Thanks for the Mark Faber, always a treat to hear him speak.

BTW,

Who was that pink-shirt bow-tie asshole?

Can it be that he has no idea what a cartoon he is?

 

 

 

Fri, 06/21/2013 - 21:54 | 3681267 The Shootist
The Shootist's picture

He and Neil Cavuto, both on radio, have voices for newspaper op-eds. Can't stand them.

Fri, 06/21/2013 - 21:59 | 3681277 mofreedom
mofreedom's picture

he's in singapore with our friend mr snowden, hopefully sharing a picture of  singapore sling.

Sat, 06/22/2013 - 02:46 | 3681524 Lore
Lore's picture

Re: "Who was that pink-shirt bow-tie asshole?  Can it be that he has no idea what a cartoon he is?"

My thought as well. Some aging dorks seem to be under the impression that it connotes scholarliness or something similarly absurd. It actually screams lack of sophistication and social exclusion: "If you wear a bow-tie, you will never be taken seriously and no-one will trust you with important business.” - John T. Molloy, Dress For Success

Sat, 06/22/2013 - 11:00 | 3681869 Bendromeda Strain
Bendromeda Strain's picture

Jim Grant pulls it off just fine imo. I think he would make an awesome Treasury Secretary (no Fed in existence) bow tie and all.

Sat, 06/22/2013 - 13:14 | 3682051 Lore
Lore's picture

You're right. Grant is a rare exception -- a dork of sufficient brilliance and personal power that the message becomes one of willful nonconformity. Jim Rogers, on the other hand, is merely quaint, but it complements his grandfatherly style. Choice of tie can also indicate membership in certain groups.

Fri, 06/21/2013 - 21:29 | 3681211 GOSPLAN HERO
GOSPLAN HERO's picture

Would Trish be a fun date?

Sat, 06/22/2013 - 00:15 | 3681452 r3phl0x
r3phl0x's picture

Probably, but not as fun as Faber.

Fri, 06/21/2013 - 21:32 | 3681218 game theory
game theory's picture

QE99 would mean you should own *any* asset other than dollars. Come to think of it, you should likely also own a large parcel of arable land with easily defended borders and a large group of trustworthy allies to help you defend those borders. And lots of ammo.

 

Fri, 06/21/2013 - 21:33 | 3681222 Bansters-in-my-...
Bansters-in-my- feces's picture

Hi Mom.

 

Ps ...

Fuck YOU bernanke.

Fri, 06/21/2013 - 21:35 | 3681229 GOSPLAN HERO
GOSPLAN HERO's picture

Would Trish be a fun date?

Fri, 06/21/2013 - 21:42 | 3681242 Sun and Moon
Sun and Moon's picture

I always like listening to Faber.

Bernanke's unoffical press secretary, Hilsenrath, has already made it clear that any talk of tapering was just talk. So Faber is spot on there.

There will be no tapering and QE will probably be expanded if things go badly in China, Europe, or Japan and threaten to take down the US "recovery".

Fri, 06/21/2013 - 22:19 | 3681302 surf0766
surf0766's picture

"If" things go badly. The world is on fire. QE can never end. There are to many takes in the U.S from the corrupt politicians to the greedy bankers and baby boomers to the lifetime welfare peeps.

 

Fri, 06/21/2013 - 21:51 | 3681247 Lore
Lore's picture

The most important statement in the entire interview -- just BEGGING for elaboration ("I can see a lot of problems coming into the world including expropriation through taxation or through regulation or even through revolution and social strife") -- AND THE TALKING HEAD CUTS HIM OFF.

They go to the trouble of contacting Faber all the way over in Zurich in order to request his opinion, and then they proceed to drown him out and interrupt with their own pablum. This is why I despise financial television. The talking heads never know when to SHUT THE HELL UP AND LET A CREDIBLE GUEST FINISH WHAT S/HE IS TRYING TO SAY.

It's even worse during political discussion -- like a children's day care, everybody shouting past each other. Thank goodness for alternative resources online!

Fri, 06/21/2013 - 22:08 | 3681285 ZerOhead
ZerOhead's picture

To top it off they laughed him out at the very end for being a "brave man" to be buying gold as it was falling....

THAT is going to come back and bite them hard in the ass if they still have jobs or even a network to work for in the not-to-distant future.

Sat, 06/22/2013 - 01:49 | 3681503 thestarl
thestarl's picture

YEP,the people of Cyprus understand the definition of expropriation,bit late for them now.

Fri, 06/21/2013 - 21:51 | 3681259 Nue
Nue's picture

I believe Ben Berneke is a little like Santa Clause except this version dumps piles of cash on all the bad boys and girls and dumps giangantic piles of shit on all the good ones.

Fri, 06/21/2013 - 22:07 | 3681288 BullyBearish
BullyBearish's picture

Tom Keene had to get a serious anti-gold dig in at the end..."the prophet, profiting from dollar cost averaging of gold ON THE WAY DOWN?"  What do you expect?

Fri, 06/21/2013 - 22:09 | 3681290 syntaxterror
syntaxterror's picture

Don't fight the FED OR Santa Claus!

Fri, 06/21/2013 - 22:21 | 3681306 ebworthen
ebworthen's picture

"We're going to see QE99!"

ROFLMAO!

Yes, and higher rates WILL kill the bubble housing markets!

And yes, keep buying tangible assets like physical Gold - all the way down.

FED Money = fake money.

Equities = Bubble.

Fri, 06/21/2013 - 22:38 | 3681326 Duc888
Duc888's picture

I believe Thebernanke "lost" $9,000,000,000,000

woooopsie!

http://www.youtube.com/watch?feature=player_embedded&v=cFdnUUxxigs

 

 

Fri, 06/21/2013 - 22:38 | 3681327 Handful of Dust
Handful of Dust's picture

Housing market is already dead where I live. No one is touching anything. I drove over to the 'affordable houses' and even the $180k ones can only draw a hint of interest if they're dropped to $125k. Forget the high dollar stuff....frozen in time and space. Flippers are Freaking out.

Fri, 06/21/2013 - 23:21 | 3681387 lolmao500
lolmao500's picture

Fuck flippers. I hope they all go bankrupt.

Sat, 06/22/2013 - 01:26 | 3681492 CrashisOptimistic
CrashisOptimistic's picture

These comments are very useful.  Thanks.

I sometimes think the only MSM stories told about real estate come from a 1 county radius in California that has foreclosures sold for price rise, and every other state is not sampled.

Sat, 06/22/2013 - 03:09 | 3681533 fijisailor
fijisailor's picture

I live in S Florida and even a huge dinosaur down the street just sold.  Lots of foreclosures around but they are selling.  Also, incredibly, several large new developments.  This all just started very recently.  It's like a flood of funny money just hit the area after a drought.

Sat, 06/22/2013 - 10:15 | 3681810 Kinskian
Kinskian's picture

Yeah, and we all know what sophisticated real estate investors you have in South Florida.

Sat, 06/22/2013 - 12:19 | 3681972 kaiserhoff
kaiserhoff's picture

The drug money always finds its way home to Miami, until the next round of cartel wars.

The high schools down there must look like minimum security prisons.

Sat, 06/22/2013 - 16:33 | 3682349 Winston Churchill
Winston Churchill's picture

I'm doing a lot of biz on Palm Beach, refurbs, those houses are moving briskly at

silly prices.Same with Jupiter Island.

Just down the road from me, Bert Reynolds has still got his large house on the

market after 18 months. No takers after several reductions.Wrong side off the

tracks(Intracoastal waterway).He looks like hell.

Fri, 06/21/2013 - 22:47 | 3681338 Monedas
Monedas's picture

Trish Regan .... not bad .... but a touch of the Miss Piggy look ?

Fri, 06/21/2013 - 23:24 | 3681392 Atomizer
Atomizer's picture

Bernanke QE3 sleigh gets pulled over.

 

Santa gets arrested | Another peg removed in a satirical way.

Fri, 06/21/2013 - 23:36 | 3681407 lasvegaspersona
lasvegaspersona's picture

Street Smart Chick hears Biriyni say he is short gold MINERS and tells Faber that the guy was short GOLD...what morons...

Fri, 06/21/2013 - 23:37 | 3681410 nomorebuyins
nomorebuyins's picture

Marc Faber is part of the fucking problem, when there's a downtick he juices the shorts to reload or add to their shorts and everybody gets burned with the ridicoulas upturn. That fucker works for them, believe what you want, but the charts speak a diffrent story.

Sat, 06/22/2013 - 02:22 | 3681518 Lore
Lore's picture

You make a mistake if you are trying to construe Faber's comments as daytrading advice. Faber is a longer term investor with big pockets. Play the vid back again and listen more carefully. 

Sat, 06/22/2013 - 08:12 | 3681672 e-recep
e-recep's picture

can't you see how they cut him off and laugh at him? he never gets offended and laughs back at those cocksuckers.

Fri, 06/21/2013 - 23:55 | 3681434 TheMonetaryRed
TheMonetaryRed's picture

Let's see - who's made more money on gold this year - Birinyi or Faber? 

 

Seriously, there is a lot of great spirit on this blog but it's wasted on this notion that buying gold is somehow a revolutionary act! 

 

Wall Street and The CIty own the gold market - literally. HFT runs the gold market. Banksters aren't afraid of gold, THEY RUN GOLD! 

 

Why do you think it is that the same AM radio hucksters who sold endless refis are now selling endless "opportunity" and "value" in gold? 

 

Does it not cross your minds THAT THESE ARE THE SAME PEOPLE????

Sat, 06/22/2013 - 00:49 | 3681473 IridiumRebel
IridiumRebel's picture

Stuff goes up and down. Buy it or don't.

Sat, 06/22/2013 - 13:53 | 3682097 Bay of Pigs
Bay of Pigs's picture

This is the guy who has been here almost 3 years yet just started to post (the day after the gold smackdown April 16th).

These gold trolls aren't very clever and are actually pretty easy to spot. 

 

Sat, 06/22/2013 - 01:05 | 3681481 newengland
newengland's picture

The problem with Faber is that he is a money changer. Makes nothing. Cares for nothing, but his own account. A typical nazionist who should have no influence on world affairs, and least of all the Republic of the USA.

He's a coward, a shill, a money changer, grifting off the world which is gracious enough to tolerate his sort.

Buy physical gold, silver, land and stay close to genuine community.

People like Faber will always burn themselves, for their rootless cosmopolitan ways.  He's a salesman, nothing more.

Sat, 06/22/2013 - 01:29 | 3681496 TheMonetaryRed
TheMonetaryRed's picture

Um, the Money Changers of the Bible traded in gold and silver. You do know that, right? 

 

So what's your point: Be a money changer, but don't be a money changer? 

Sat, 06/22/2013 - 01:38 | 3681499 newengland
newengland's picture

You are very confused.

The moneychangers were thrown out of the temple of humanity because they were money grubbing hateful sorts.

Gold and silver is best for the Republic, not sleazy rootless cosmopolitans who would sell their own children, yet defend no one.

You are clever, not intelligent, apparently.

Sat, 06/22/2013 - 12:57 | 3682027 aka Gil
aka Gil's picture

Why pick on Faber? Isn't money-changing endemic to Western culture? At least Faber isn't a lying liar like nearly all of the money-changers in the West today. Do you despise him because he is a wealthy man? FYI being wealthy is not a sin.

Sat, 06/22/2013 - 07:49 | 3681657 GMadScientist
GMadScientist's picture

Let's be clear; they had zero problem with the moneychanging...it was their location and the fact that it was being required for admittance to the temple that set that nice jewish boy off.

http://www.youtube.com/watch?v=k225_q1L9l4

Sat, 06/22/2013 - 01:14 | 3681487 dark pools of soros
dark pools of soros's picture

Faber screwed up defining inflation.... :(

Sat, 06/22/2013 - 07:46 | 3681655 GMadScientist
GMadScientist's picture

Dunno why anyone takes the guy for a sophisticate; great one-liners, but clueless beyond the obvious.

Sat, 06/22/2013 - 02:55 | 3681526 zebrasquid
zebrasquid's picture

Edit

Sat, 06/22/2013 - 02:53 | 3681527 zebrasquid
zebrasquid's picture

Tapering talk by Bernanke is just declaring victory on his way out... He knows the reality but he's sure not going to admit that QE was anything but a success. The sap he hands the keys to can take the blame. Kind of like Clinton's "surplus"...

Sat, 06/22/2013 - 03:48 | 3681553 Morla
Morla's picture

We buy 40B of your MBS monthly.. cos it's a pile of fraud.. and u belong in prison.. but whatever..

Sat, 06/22/2013 - 04:02 | 3681556 Zero Govt
Zero Govt's picture

"... if the economy does not meet the expectations of the fed in one years' time, they will consider additional measures..."

So from Bernanke's words we deduct:

1. Bernanke thinks he's God and can control the economy. Ah the Delusiuons of Granduer of Govt office, what a total twat and soft-in-the-head Diva seduced by the pedastal of Govt office

2. Bernanke thinks he can control the economy. What a total moron. He's a claimed "student of the Depression". Is there nothing in his notes clearly demonstrating all efforts by the elite had zero effect on the tanking economy, and that it recovered in its own time of its own free will? The King Canute Virus is strong in this Fed muppet/puppet, his words display the utter delusion of clowns wearing Govt crowns

3. Bernanke therefore thinks he knows best where the entire economy should head and what size and shape it should be. Given the Fed is Chief regulator of the banking sector and couldn't see it's uncontrolled gambling, debt leverage and pumped housing market was dynamite ready to explode, and he denied all 3 were going to explode pre-2007, what expertise does this dribbling ignorant academic think he's got on predicting and controlling the future in other sectors outside its core responsibilities (which the Fed has managed totally irresponsibly and completely incompetently) in Govt and banking??!!  

I hear Bernanke is retiring in January.... better wheel poison dwarf straight to the funny farm, he's completely fucking delusional

Sat, 06/22/2013 - 07:50 | 3681659 lakecity55
lakecity55's picture

Bennie is a student of the GD, Like another guy we know was a "Constitutional Law" Professor in Shy Town.

Fellows, we have reached the Peak of the Peter Effect in Gubbermint.

Sat, 06/22/2013 - 07:40 | 3681650 GMadScientist
GMadScientist's picture

You decry this Jolly Red fellow, yet I've received presents from him every year since my youth; who am I to believe, Mr. Faber? ;)

Sat, 06/22/2013 - 07:45 | 3681653 world_debt_slave
world_debt_slave's picture

This is a perfect example of counterfeiting money, those (gov., banks, corps, friends of pols) that get their hands on the counterfeit money first make out like bandits, but the majority of us get the raw end of the counterfeit, inflation.

Sat, 06/22/2013 - 09:14 | 3681726 The Contrarian ...
The Contrarian Investor's picture

QE99 + Revolution - Always great to listen to you Marc!

Sat, 06/22/2013 - 09:53 | 3681776 Lumberjack
Lumberjack's picture

Flashback: Bernanke paper on oil price shocks.

http://dailybail.com/home/bernanke-on-oil-price-shocks.html

 

More recently...

Wall Street Journal: Traders Try to Manipulate Prices in Multi-Trillion Dollar Oil Market

http://www.imackgroup.com/mathematics/1914822-wall-street-journal-traders-try-to-game-prices-in-multi-trillion-dollar-oil-market/

[snip]

LONDON—The European Union says it is searching for evidence that oil traders manipulate prices. If oil trader Halis Bektas is correct, it shouldn't be hard to find.

Mr. Bektas describes one strategy he has used himself: Offer to sell a small amount at a loss to drive down published oil prices, then snap up shiploads at the lower price.

The European Union is investigating whether oil traders manipulate the benchmarks posted daily by oil index publisher Platts in order to affect energy prices. WSJ's Jenny Gross reports...

...The European Union is investigating manipulation of benchmarks as part of a probe into whether energy traders skew prices of oil and other fuels for their own financial benefit. EU investigators in May conducted unannounced inspections of oil giants BP BP.LN +0.48%PLC, Royal Dutch Shell RDSB.LN +0.60%PLC and Statoil SA, STL.OS +0.08%as well as Platts, looking for evidence of benchmark manipulation going back as far as 2002. The companies have said they are cooperating with the investigations.

The probe comes as regulatory concern grows around the world about important market benchmarks set by unregulated entities in opaque fashion. A scandal involving the manipulation of the London interbank offered rate, or Libor, an important interest-rate benchmark, has ensnared at least three banks. Regulators in the U.S. also are investigating the way benchmarks are set for a form of derivatives called interest-rate swaps.

 

 

 

Sat, 06/22/2013 - 11:04 | 3681871 Dewey Cheatum Howe
Dewey Cheatum Howe's picture

And believing in the British press is like believing in Santa Claus if you listen to them since everything is sunshine and lolipops when it comes to Islamists over there. As bad as the Amerikan Pravada MSM is the British are just as bad when it comes to political correctness and 'national security'. Whose fucking side is the government on at the end of the day the natural born citizens or the Islamists who aren't even citizens?

http://blogs.cbn.com/hurdontheweb/archive/2013/06/19/coverup-a-second-mu...

A 20-year-old British man has been arraigned in the murder and decapitation June 4th of an 18-year old Sheffield, England woman named Reema Ramazan.

Haven't heard of it? Up until a few days ago, Ramzan was "just" a stabbing fatality.  Now we learn that Aras Hussein cut off her head. It was the second beheading involving a British Muslim in a little over two weeks, after the murder and decapitation of British soldier Lee Rigby, May 22.

This apparent cover up is an example of what has been a massive, orchestrated disinformation campaign by British authorities and their allies in the media to blackout or minimize, and in many cases refuse to prosecute, Muslim crimes. I've come to northern England to investigate how authorities covered up the Muslim sex grooming gang epidemic, in which white British girls are made the sex slaves of what the authorities euphemistically call "Asian" gangs (they're Muslim). Astonishingly, police are still not tackling the problem head-on, and still more girls will have their lives ruined because of it.

The media is also failing to report the depth and breadth of the public fury here over the Rigby murder. If those demonstrations were about some loony left-wing cause, you'd see them splashed across every TV screen.

Some argue that the British police are in chains to their politically correct bosses in government. No doubt. I think they also fear civil war. But trying to cover up an Islamic crime wave and the anger that is now seething among the native English doesn't prevent civil war; it brings it. Just sayin'.

 

Sat, 06/22/2013 - 12:46 | 3682010 aka Gil
aka Gil's picture

Tom Keene is not a douche bag, he is the fucking essence of douche. He asks Faber a stupid question about Birinyi's huge short position in gold and mining stocks and then cuts him off because he doesn't want people to hear his very well thought out, rational and articulate response. I can't think of too many people more deserving of a swift kick in the nuts right now than Tom Fucking Keene.

BTW, I pray that the composition of the metals markets have indeed shifted and that Birinyi and the other short-of-gold hedgies end up with their nut sacks in a vise.

Sat, 06/22/2013 - 18:00 | 3682488 SAT 800
SAT 800's picture

I already went long the Long Bond Contract yesterday afternoon; I prefer to trade the synthetic 30 yr. on the CME, rather than the 10 year; as it charts better. My thesis was the same as his; over sold, needs to go up. In 1987 during black monday; I found out the great and wise had sold all their stock positions but also sold Bonds; I bought Bond Options, so I could do a lot of them, otherwise I don't recommend options; when their brains start functioning again, the great and wise will realize that they have to put the money somewhere. I sold the options thursday afternoon that week, and went to Mexico for the Winter on the proceeds. Bonds are more likely to rally significantly than the stock market; although, of course, as he points out, either is possible. This is a very significant silver price; for those who have been waiting to buy. It's probably a bottom.

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