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Marc Faber Fears "A Vicious Circle To The Downside" Is Just Beginning
"It's not just tapering that is putting pressure on markets," Marc Faber warns in thie brief clip. "Emerging economies have practically no growth and we have a slowdown in China that is more meaningful than strategists are willing to believe," he adds and this is "causing a vicious circle to the downside" in inflated asset markets as most of the growth in the world over the last five years has come from emerging markets. Faber suggests Treasuries as a safe haven in the short-term; but is nervous of their value in the long-term as "debt is becoming burdensome on the system."
"A lot of economic growth was driven by soaring asset prices"
On Treasuries:
"For the next three to six months probably they are a better place to be than equities,"
"I don't like [10-year Treasurys] for the long-term because the maximum you can earn is something like 2.65 percent per annum for the next 10 years, but Treasurys are expected to rally because of economic weakness and a stock market decline. In the last few years at least there was a flight into quality – that is, a flight into Treasurys."
On China and shadow banking defaults:
"China can handle it by printing money but it will again have unintended negative consequences... but the
problem is real... but it's not just in China..."
Faber warned of the risks of the present global credit bubble and said another slowdown could follow on the back of rising consumer debt levels – which had previously helped to create growth.
"Total credit as a percent of the global economy is now 30 percent higher than it was at the start of the economic crisis in 2007, we have had rapidly escalating household debt especially in emerging economies and resource economies like Canada and Australia and we have come to a point where household debt has become burdensome on the system—that is, where an economic slowdown follows."
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American liberty has fallen under the onslaught of evolutionary socialism. The mechanism by which socialiam has advanced in America is democracy.
The downfall of the American Republic began with the purposeful destruction of her practical defense of liberty, a defense that lay in the separation of powers that restrained and limited her government. The sellers of democracy in the late nineteenth and twentieth century opted, instead, for a popular or representative government that would reflect only the prevailing mood of the populace – usually against the minority, the producers - and heavily controlled by the media.
Thus, in the place of liberty and a restrained government, America now has democratic socialism, a "compelled conformity" bordering on totalitarianism. It has culminated in a U.S. president elected by mobocracy, particularly evident in the voting records of recent arrivals from the Third World who, according to Patrick J.Buchanan, “believe in government action and government programs that provide their families with free education, health care, housing, food, and income subsidies.”
Clarence B. Carson sounded the warning in 1978 - 13 years after the 1965 Immigration Act dramatically changed the ethnic and political balance of America:
Democracy Is Mob Rule
“The champions of democracy ignored the fundamental nature of democracy, a wealth of historical experience with it, and a two thousand-year-old reasoned argument against it. They made it an unquestioned good and a thing to be desired above all else.
“Whatever the merits of representative government, they do not extend to a thoroughgoing democracy. It is an ancient insight that democracy is mob rule. True, the mob-rule feature is moderated so long as the populace acts through representatives; but representation is an inhibition on democracy, not a part of its essential character. It was Greek democracy which sentenced Socrates to exile or death. It was the mob which shouted to Pontius Pilate that Christ should be crucified. It was the Roman mobs who turned their fickle support from one conquering general to another that aided and abetted the horrors of the Roman Empire. "Democratic" New England was the most intolerant locale in the American colonies.
“Democratic socialism has attempted to legitimize a modified mob rule. It has done so by attributing to democracy virtues it does not possess and ignoring its implicit vices. If democracy were not modified by representation and rules which hold it in check it would be tyrannical. As it is, it is a compelled conformity, a conformity which takes away individual liberty and intrudes upon private property.
“It is ironic that so many intellectuals should have championed social democracy (or democratic socialism or collectivized democracy, whatever describes it best). Modern intellectuals developed an early distaste for social conformity. Ralph Waldo Emerson said that society is at war with every one of its members. His meaning was that society is trying to settle us into a groove—make us conform—that is contrary to what each of us as an individual would wish to be. Society became and remains the villain for many intellectuals. It operates upon the basis of tradition and bids those within its ranks, so to speak, to conform or suffer rebuke, ostracism, or whatever punishments are within its power. And conformity has been the bete noire of intellectuals.”
Are you sure you have your -isms correct? I don't believe the fusion of corporate/military industrial complex/state is socialism.
NAZISM - corporate/military industrial complex/state is socialism.
NATIONAL-SOCIALISM -> From Henry Ford that man who brought you the 'USA Capitalism' you love and know...
aka NAZISM
No, it's called Fascism: the merger of corporation & government (and military IS government):
What is Fascism - John T Flynn - Von Mises - youtube
http://youtu.be/4Ml7-aDXrgQ
"American liberty has fallen under the onslaught of evolutionary socialism"
Pretty sure there's no such thing.
"mobocracy" pretty sure Obama & Bush were equally elected by rigged elections.
It's not who votes that matters, it's who counts the votes. And who is permitted to run IN the election. By ensuring all candidates are for the same team by funding, no matter what flag or colors they float, they are all the same puppets of the ONE master.
You seem to still be slumbering so by all means, enjoy your Ambien.
Much shorter kevin: "I'm full of pseudo-intellectual bullshit."
For Christ's sake! The Oligarchs are economically kicking the shit out of us and you are rambling on about "walks of patience" and other assorted transcendentalism bullshit.
Stop being part of the problem.
they may be kicking the sh- out of you...and, relative to you, I am the problem.
Don't tell me; you are part of the middle class expecting the oligarchs to be something they are not...
Trickle Down Circle Jerks
“The investments came first from Britain’s great families but increasingly from parvenu merchants and bankers aping the manners and lifestyles of the landed class.”
Have you ever seen a P&G test for employment? Have you ever seen on of their slave programs in operation?
“[T]he First Five Years Fund, a non-profit group that advocates early education programs, found that 60 percent of registered Republicans and 84 percent of Democrats supported a proposal to expand public preschool by raising the federal tobacco tax.”
“ ‘ Preschool is, generally, a crowd pleaser,’ said Chester E. Finn Jr., president of the Thomas B. Fordham education policy group.”
Law Enforcement, P&G, blah, blah, blah, compliance, compliance, compliance
“ ‘In a way, there is something about hitting bottom,’ said Mr. Gilbert (Quicken Loans)”
And German reinsurance…
What bottom?
Take away the bottle.
STUPID SHIT TODAY YES
RE price inflation is not wealth.
[ almost all human fortunes were made in real-estate, in all history, why in the fuck do you think that 90% of all of FABERS wealth is in real estate? Funny he never talks about why he's rich, its sure as hell not his newletter, or the stock market.]
Tourism is not an economy.
[ tell that to florence, italy 80 years of tourism post WWII, and its still #1 biz in TUSCANY ]
Public Works is not a business.
[ In some places gubmint jobs are the only job, even the MAFIA see's their racket as a biz, the gubmint mafia, is still the mafia. ]
Healthcare does not deliver health.
[ Too stupid to reply to ]
Public schools do not educate.
[ private schools edoooocate my ass,.... its not the school its the parent providing curiosity and direction ]
The State does not own natural resources.
[ Tell that to the USA/US-MIL (AIPAC/ISRAEL), they own 51% of world ]
control, control, control
wire around the controller
there is absolutely nothing new going on here
when the middle class starts coming off the morphine drip, that it is administering to each other, paid for by the oligarchs with middle class participation...
let's see; denial, anger...
gotta go
try to stay away from the vortex if you don't want to spend some time learning about the elevator.
property, income and jobs are never in short supply, for the issuer; that's why they call it supply-side economics.
if you work for a public, private or non-profit corporation, the majority, you get paid to ignore the problem.
You're not from Canada. Healthcare definitely DOES deliver health in Canada.
I have first-hand experience, I know it.
"The empire simply cannot beat a community of nuclear families, men and women positioned to grow the local economy"
Every OTHER empire in history had no problem ruling for centuries over such a situation. Your premise is near-sighted.
"Tourism is not an economy"
Depends on what you have showing off. If you're talking about Tahiti it very much is an economy.
"becoming burdensome"????????
"causing a vicious circle to the downside" u mean like a toilet????????
Look, anyway you cut it, it's just fun listening to Faber's thick German accent as he delivers his doom and gloom to the masses.
He is Swiss
Isn't that German except the cheese has holes?
NY Fed was probably pissed off that treasury yields fell so much and their retarded primary dealers were losing money on their intereste rate swaps - so, quite naturally, we had $105 BILLION in reverse repo operations today.
As Bill Dudley would say, this is just an "exercise in preparedness", doesn't mean anything, bla bla bla.
$105 BILLION.
What a bunch of shysters.
People have lived under the banker dictated "growth paradigm" for so long that they do not know any other possiibility. Take a step back and consider: Does the averag person need financial growth as it is potrayed by the bankers? Does the world really need financial growth? No, not at all. The ONLY entities that are absolutely dependent on "growth" are the banks. Why? because the banks charge interest and without growth ... or its destructive substitute "inflation" it is mathematically impossible to pay back loans and the fiat money control system would collapse.
What good are loans if they cannot be paid back and if the the bankers could not profit through lending fiat money created out of thin air? Without growth or inflation the bankers would lose all of their power over people and governments ... 100% of it.
So get out there and grow you fools so that you can be good little slaves to the bankers.
The big banks do not need you to pay back loans. The essential bargain we have struck is that they give us money printed out of thin air on (secured) loan, and when we default, they seize our tangible assets.
Thus, the essential bargain is that they receive tangible assets, the fruits of our hard labor, and natural resources in exchange for printed money. We hold up our end of the "deal" when we default. And default is inevitable -- they just have to wait long enough.
This too. I love ZH.
Only if you a) consent or b) do not guard your goods from theft, like banks selling homes they foreclose on while actual owners didn't even have a mortgage so no debt was owed (fraud).
For those who avoid being targets of such thievery and who also are only using unsecured credit like a Visa card you can actually borrow a lot with zero risk of losing property. They can at best sue for cash & can't sue for more than the unpaid bill+interest minus anything blocked by bankruptcy - and most will send to collections with NO ATTEMPT to sue.
I nominate this for best comment of the week.
Not quite correct.
The interest can be paid back over time without growth, but it's a complete round trip. If there were was a $1 note before the $99 loan is created, then by the time all the principal and interest is paid, you have gone from an economy with $1 to an economy with $100 and all the way back down again to $1. The entire principal is consumed paying the interest. It's an all downwards process after the credit is created.
In perspective, this would mean everything; wages, houses, cars, stocks dropping in price to around 3-5% of their current valuations.
This is pretty much politically unacceptable in the west, even in Japan they preferred to move the debt to the government rather than allow price levels to shrink all the way back down.
As the money shrinks, it becomes harder to find obviously and ultimately you get defaults because products, people and businesses are not scalable both up and downwards. Are you really going to buy a new car when you're struggling to find the money to eat and pay rent? So the more "complex" businesses fail and then they default on their debts. Now. in a credit system, when you default it is actually inflationary someone else has been ranting about this regularly here but it is true. If you write off the principal and interest on a loan created from nothing, the credit which was created by the loan remains circulating. THIS is why markets rebound BTW from downturns. The debts are being extinguished but the credit is not, and this is why the "economic recovery" is so slow now. No defaults... No unencumbered credit.
You are otherwise correct. With a credit based monetary system you are a slave to the money lenders, and allowing them to create credit which is not 100% backed by currency is both fraudulent and hugely risky.
Save the world... Default!
"Are you really going to buy a new car when you're struggling to find the money to eat and pay rent? "
Some would but I don't. There is a reason: so long as the future (and soon) return of increased food & rent payments from work from use of the car is less than the difficulty of purchasing the car (perhaps with a loan) it makes sense to get the car.
For me, considering all maintenance & state-sanctioned theft using fines (and fraud) and confiscation (of the car) with no recourse, it makes sense to me not to get the car unless it's nearly for free & the pay from use of it is far, far in excess of the confiscation & fine risk (it isn't).
Military. More commanders means a need for more troops to be commanded. More casualties means more need for troops.
Arthur Cutten: NYSE Margin Debt - Take It to the Limit, One More Time
Arthur reports on the latest development with the leverage in the system, as we have noted before - the NYSE margin debt tops are preceding the markets tops.Talking Heads on the Bubble Vision are still talking about the minor correction and that underlying economy is strong. We will see very soon how long Taper can go in this environment. http://sufiy.blogspot.co.uk/2014/02/arthur-cutten-nyse-margin-debt-take-...
Wow, just read some of the comments here on Faber's interview. Looks like most of the brains went home early today. I think I have seen two with some measure of critical thinking in their expression. You don't have to agree with Faber but you certainly don't have to minimize his observations through petty personal attacks. Tired of you guys thinking you know any better than Faber where we are going. Seems pretty obious he is right and nimble enough to understand the Fed reads ZH too! Gotta shift fast these days. Lotsa shills around here but I guess the weeds always grow the fastest. Get educated you little brats and say something of value for those who actually take the time to read your comments.
90% of the commenters here are adoslescent bot's, the reason for this is ABC-MEDIA is targetting the coveted '15-45 year old who lives at home and has access to pa&ma's credit cards'.
Just remember when visiting ZH, ignore the ad's and ignore the child-bot's and all is good.
*
Of course Faber is right, but it is tiring, he really does say the same over&over, but at least he simplify's the message, and avoids the PHD bullshit, and talks direct to the little people, me thinks that's why him and Jim Rogers are always brought back to the MSM, both here and TV.
*
You can't educate the little brat's, because they already are educated in the best Indians University's, their job is to antagonize and bring in more trolls, which leads to more clicks and more comments, which leads to more clicks and more ad-revenue value to this site.
When ZH post's FABER they know exactly what they're doing, its fucking predictable every fucking time.
"A Vicious Circle To The Downside"?
Misleading quote. It is impossible for a circle to not end where it begins... I believe the term he was searching for is buttfuck.
Toilet Flushed, but where will the SHIT go?
No, I can imagine he was visualizing a toilet bowl,
To the monkey with the vertical viewpoint it always appears as a circle,
To a person at a distance the TURD descends as a spiral.
Nonetheless the toilet has been flushed
*
The only question of importance is wealth preservation, and you know that answer GOLD, and real-estate in the right place ( think NO war ).
The USA ain't got gold, and no place in the USA outside of HAWAII or ALASKA will be safe from coming civil war.
Today a smart man bury's his gold far from his house, and places his ass in a country far from any UN-CIVIL-WAR.
now that my 201K is heading to a 101K it hit me Faber is channelling Dr. Kurt Richebacher
Faber, when you are done smoking that tied stick lemme know when Gold cracks $1400.00...give me a #holla....
otherwise it's back to this
http://www.youtube.com/watch?v=CWxgfTMLtc0
You dam ungrateful yid you.....
Sinkhole Economics.
Jack Bogle’s market advice: ‘Don’t do something; just stand there’ | MarketWatch
February 3, 2014--Investors should sit tight even after stocks endured a beating in January. That’s the takeaway from a Jack Bogle column published on Monday.
Vanguard’s founder and retired CEO offers a warning against trading too much due to a rocky market.
He suggests that while buying and selling certainly generates fees for brokerages, it isn’t the way to wealth for regular investors. Here’s an excerpt from the column:
“The principles of sensible savings and investing are time-tested, perhaps even eternal. The way to wealth, it turns out, is to avoid the high-cost, high-turnover, opportunistic marketing modalities that characterize today’s financial service system and rely on the magic of compounding returns.”
Bogle writes about Ben Franklin’s investing advice, saying the Founding Father had an “acute understanding of the miracle of compound interest.”
Bogle — often called St. Jack for everything he’s done for small investors — also writes that daily trading represents “speculators attempting to garner competitive advantage” but it inevitably reduces the returns earned overall by investors. Here’s another excerpt:
“While the interests of the business are served by the aphorism ‘Don’t just stand there. Do something!’ the interests of investors are served by an approach that is its diametrical opposite: ‘Don’t do something. Just stand there!’”
The full column — adapted from a speech Bogle made a few years ago – is available at CNBC.com. Bogle also has his critics, of course, with some writing that “Saint Jack’s church tolerates no complexity.”
http://blogs.marketwatch.com/thetell/2014/02/03/jack-bogles-market-advice-dont-do-something-just-stand-there/tab/print/
End QE. End ZIRP. End financial tyranny. End the Fed! Send Janet home.
The tide is turning with the taper. I'd dump everything now and wait to see what Yellen does next.
hvu will do well where the markets drop, uvxy too, both acting as 11x inverse to the market.
I only had interest in HVU so I did the math for it: hvu 1/11 x spy = 216 to 219, permitting you to calculate one price from the other.
Put in SPY (s&p500 etf) to 130 and see what pops out for HVU. HVU today hit a peak of 11.85 & not even a month ago was 6.41.
THAT'S funny. Compounding returns! Magic indeed for in the real world this requires NO drop in stocks. Once they drop you wipe out YEARS of compounding in just DAYS.
Read this Forbes Article on Emerging Markets....its translated but it makes the point
http://www.google.com/translate?hl=en&ie=UTF8&sl=es&tl=en&u=http%3A%2F%2...
What scares me is the thought of large cities becoming dysfunctional in a downturn. As for escaping to the countryside, that will prove to be largely a myth.
The big boys are going to have to write off some debt or the plebs are going to have to recommission the guillotines.
A globalised economy does not work in the face of massve trade imbalances and massive numbers of unemployed.
Hey Peter Pan,
I'm not too scared. Hard to say if escaping to the countryside is a myth, or if dysfunction can transform to coherence.
You may be right on the myth. But who knows? I have proposed some metrics...
http://ianamarchbank.blogspot.com/
....and massive world-wide printing of fiat paper "money."
Word is FEMA has been preparing for a massive de-population......
word is wrong. FEMA doesn't care about the population change. That's purely containment of dissidents.
Population BOOSTING is the goal of the elite. It's the primary driving force of making a slave-work-force and debt-slaves.
When population drops the elite lose all their slaves. Scarcity of resources is RELATIVE to a large population. Once the population drops resources aren't scarce & people aren't desperate.
I do not believe large cities would be a good place to be if a major downturn were to occur. Too many fighting for too few resources unless you are extremely well equipped to handle this scenario. Police will abandon the poorest and protect the wealthy. The street wise will do well to the detriment of the weak.
I think the country is a poor choice as well in the sense it won't be Little House on the Prairie. I am not sure how long it is sustainable until outside input is needed. A Small town with well prepped, armed members working together cohesively could hold out the longest but certainly not forever. There just is no sure way to deal with all contingencies. Make your decision and prepare to make your stand. When the guillotines are rolled out, many innocents will die as well.
Miffed;-)
It does when immigration is 100% open.
Where an imbalance of goods, production & export begins it ends with a migration of people & all is balanced again in the world.
Artificial borders, anti-freemarket rackets & pens for sheeples, should not exist & do great harm to the total world economy.
Language & physical adaptation to certain climates are enough of a restriction: adding to this with police, regulations & strong-arm deals poorly-named "free trade" deals ruins it for everyone.
Anyone can check out some simple math that predicts a 90% correction here.
http://ianamarchbank.blogspot.com/2014/01/money-enigma-iana.html
Already came to the exact same conclusion back in 2007.
I picked up my winnings, and left the casino.
I might re enter at DJ 1400, mybe not.
inverse relationship to UUP referenced in the blog: uup is from USDX aka DXY which is improperly weighted for currency-total in each of the involved currencies, and never changes to be updated. That's the math error I see.
"My first assumption says, the Dow is an accurate measure of 2 things: Inflation and value"
This is a poor assumption since just about everyone in finance knows the Dow composite index is re-shuffled to remove under-performers. This creates a bias so that bad numbers that SHOULD show do not show. Therefore the Dow is always an inaccurate measure of value.
Inflation on the other hand is worse: not only have reports OF inflation been fraudulent for decades but understanding of what inflation IS COMPRISED OF is poor. Few people understand inflation is the SIZE of the money supply & what's important is the VOLUME of goods to trade against, never the population.
Your reference to the population-size not long after what I quoted is a problem for that reason.
"With a match confirmed, I am confident concluding, the REAL measure of value is the sum of all people"
Then I will shatter this confidence with due diligence.
Doesn't matter how many people there are: those who produce nothing have no value to the economy. If one person produces like 10 others, in quality & inventory or hours of service, that 1 person acts like 10 in the economy. It's the services & goods that count, not the population size.
"This calculation adjusts for inflation"
by what methodology? Government numbers? M1,M2 & equivalents for non-USD currency?
Shadowstats?
"At first, drastic deviations in stock prices from population would seem to confound my conclusion. I maintain its validity, taking the long view, that over centuries, value and population will tend to equal each other, to a strong degree"
Well, you're wrong, and for the above-mentioned reason. Re-scale your data to what is KNOWN to be produced in services & goods by the population, plot against time, scatter-plot against inflation-adjusted prices, be mindful of how you re-adjust inflation to reality vs government fraudulent numbers, then try again.
"Over 10 year intervals, ups and downs in value show as severe, fluctuating above or below population (yet still in sync)"
This is because only a minority of the population are truly unable to produce anything but also because a majority of producers keep changing the value of what is produced and from where. Some produce in other nations & export to the US market. Some keep changing what they do because opportunities may fade as decades pass.
Again, it's the goods & services, not the population that matters.
"Today, the growth in real prices (those that are adjusted by inflation) is far greater than the growth in population"
This is a coincidence going with the rule that a small minority of the population are non-producers of any sort of service or value. The actual issue is that the number of dollars are far, far in excess of the available goods & services which can be purchased. Those dollars have no purpose but to purchase (now or later) some goods or services, and that is how you notice high prices (from inflation: the increase of the money supply including revolving credit).
"3. Inflation happens when the supply of loans grows faster than the actual demand for goods and services, diluting the value of money, leading to an out-sized increase in the price of goods and services, relative to the actual demand for goods and services."
Yup. No disagreement there.
"The natural course of action for the Fed at this time is: Unload junk to strengthen the dollar, thereby weakening prices"
No. The Fed is a crime syndicate. It isn't of nature so it has no natural course. Its directive is to do the most benefit for the fewest but richest of those controlling banks of the world & to do so it must do enough damage to everyone else without causing riots. That's the real purpose of the Fed.
By no means at all does the Fed have any intention or mandate to keep the US dollar strong. Stock prices will slam down at the hand of the Fed ONLY to transfer BENEFITS of this, shorting stock on insider trading & destroying savings of those who are not the elites, at the direction OF the elites, because the relative strength OF the elites vs the masses is re-balanced to an extreme where people are too poor to fight back. Some will become debt slaves, some will be worker-bee slaves, some will commit suicide.
THAT is the plan.
Watch "Assault on Wall Street". You'll get it.
Faber has pretty much been squawking the same thing since 2009. Sounds like a broken record...............
While those in power, the politicians, central bankers, and the infamous one percenters appear to have painted themselves into a corner they also have super powers that allow the constant creation of new exits. Pray tell you might ask. The power of the pointed finger and the placing of blame should never be underestimated for they are indeed magical. So I say to those who see this as a dangerous world, my solution is we should all try to relax and have some pie. More on the thoughts behind this relaxed attitude towards disaster in the post below,
http://brucewilds.blogspot.com/2013/12/dangerous-world-no-worry-have-som...
I agree with Faber. I will even predict the big suck, super neutron chain reaction implosion in 5,4,3,2,1 or mebbie a few more but could be up to a few more years, even decades, absolutely positvely no more than four score and seven. Most likely this year.
Read Amity Shales book ,"The Forgotten Man." The paralles between what is going on today and what FDR did in the thirties to comerce
and money should cause everyone concern.
What I cannot understand is why history hasn't rectified the error of putting his portrait on the U.S. dime and keeping it for so long.
He is the Progressive God. They don't remove thier God from the dime, for God's sake!!!
Want to make a liberal howl?
Propose to mint half the dimes with FDR and half with Reagan...
:)
They put Andrew Jackson on the 20 dollar bill. If that isn't a great big "fuck you" I don't know what is.
When the grid goes down & the nuke plants go critical, who wins again? Deflationists or Inflationists? I forget...
the .01%
I'm here to tell you that stawks are gonna crash big time. I just bought some, so I am sure.
It sure does look like the first swirl in a toilet flush.
I think he means an EDDY!
Hello Ben and Janet,
I don't understand. We raised taxes didn't we? and you are still printing as much digital currency as possible aren't you? Why didn't that cause unemployment to go down in blue states? You promised me better results! Are you sure you understood my expectations?
I'm on the golf course today but I'd like an solution executed by tomorrow.
Thanks for Everything!
Barrack
Faber exposed how dumb central banks are, with their f*cking money printing and brain-deadness. Most commentators talk about fundamentals, p/e ratios, long term investments and snot. Faber keeps it real and nasty.
Mind you he must feel a little unnerved in Thailand at the moment.
Faber Fear Thailand? NOT
I agree that 'fundamentals' & 'charts' have nothing to do with analyzing greed&fear.
It's good to hace an 'intellectual' like FABER ignore the BULLSHIT ( charts & fundementals ).
That said listen to what he say's "STAY THE FUCK OUT OF THE PAPER STOCK MARKET".
*
WRT to Thailand, remember they have had 20 COUPS since 1930, that's almost one COUP evey six years since they became a 'democracy'.
Living in Thailand for 30 years, I think Faber has seen lot's of COUPS's, ...
The most important thing is Faber is in CHIANG-MAI, which socially and distance wise is like comparing NYC to Fairbank's, ALASKA. Chiang-Mai has an entire different world, and culture.
Toss in the fact that CHIANG-MAI is a 'red city' which means POOR-PEOPLE, and BANGKOK is ruled by the 'yellow' which means RICH-PEOPLE.
There is nobody to get angry in Chiang-Mai, and if they were to get angry they would have to go to Bangkok to fight. The CIVIL-WAR will be fought in Bangkok if there were one, there will not be one. Historically these Yelllow power grabs because they can't win an election, so they have the courts or military steal the power for them. This time the Red's have said, if the MIL does have a COUP and hand power over to the YELLOW that the RED will come to Bangkok and fight. Thus IMHO I think the courts will handle this COUP. No problem the courts are controlled by YELLOW, the MIL is controlled by YELLOW.
The YELLOW have NOT won an election in 20 years, so now they want to NULLIFY elections.
The Yellow talk about Thaksin(RED) 'corruption', but everybody knows that YELLOW 'leader' SUTHEP is one of the richest men in the country, and the political boss for 40 years and owns the most rubber plantations in the south.
Also a few years ago when the RED's were burning Bangkok, this guy Suthep had snipers take out the RED leadership, ... so there is some major tit-for-tat in the future.
Ergo nothing bad can happen. Economically yes Thailand will suffer,
Faber owns chiang-mai real-estate, if anything it will go up, as people in Bangkok flee the bullshit and go far north to live in peace.
Thanks for the insight.
Thailand BKK - CM
Another item of interest the BULLSHIT BOTS here today, seem to think that FABER is in BKK, and it is somehow an hours drive from Chiang-Mai.
It takes 10-12 hours by bus to go from BKK to Chiang-Mai, and that is only when your on the bus, waiting for the bus and buying the ticket and fight traffic on both ends means its 24 hours away, and nobody has a CAR except the RICH.
My point is for the average POOR person, Chiang-Mai in another world. The bus fare BKK to CM is about 4 days salary for a poor person. Just saying.
It's not "agreement" if you're the first to pose the assertion.
Fear & greed are easily charted if you have the data & the data is out there.
Fraud is also involved so one must take care to allocate action-to-factor appropriately.
We have been in a depression with electronic soup lines since 2008 and the hole is going deeper no green shoots in sight.
TPTB are out FDRing FDR to make the US the new Soviet. The economic collapse of this jinga tower will be earth shattering in its reach.
Look out below.
Thanks for the Faber Tylers...
Um, bear in mind the collapse of the tower is going to take 40+ years. So expect a downward grind for the rest of your natural life.
I like faber but he is a bit of a broken clock with his doomsday prepping schtick.
I like Marc Faber. He hopes for the best and prepares for the worst. Investments in tangibles is wise right now, real estate and gold. But invest in treasuries? Sorry guy but I'm taking a contrarian position. Why? Be ause the politics are of total control freaks. Who would have thought a mere 20 years ago indefinite detention without legal council would be law? Or targeted assasination? Or being forced to buy a private product or be taxed? There are finally some healthy discussions coming out of DC. But words mean nothing until I see the policies in writing. Perhaps they may want to make them less than 20 pages instead of 3,000 to inspire investor confidence?
China.Hard.Landing.
Capice?
What I'm seeing develop is an "almost surreal" feeling of indifference towards reality. Companies have already ushered saving from interest paid on debt into the earning column and a major reason inflation remains low is they are sitting on a hoard of cash this has lowered the velocity of money. We must remember the artificially low FED controlled interest rates are a massive one-off or onetime tailwind that is mainly behind us.
When rates stop going lower or reverse the positive effect will ebb and become a major headwind. With massive government debt in many countries and the economy still weak this headwind has the potential to become devastating. The collision of MMT, social unrest over inequality, and other destabilizing factors have the potential to create the perfect storm. More on how and why we have become far to complacent about the economic risk we face in the post below,
http://brucewilds.blogspot.com/2014/01/have-we-been-lulled-into-complace...
We don't need fundamentals when we've got unicorn-powered balance sheets!
Tyler Durden and his retarded Zero Hedge will go down in history as one of the worst and wrongfooted publications in financial journalism. A constant contrarian indicator for market bulls.
A 6% correction suddenly means then end of days. How about the 30% gains last year?
Tyler Durden will continue to get blown out, all the way up to Dow 100,000+ which IS coming due to inflationary pressures of the Fed.
How's retirement treating you Mr. Bernake? Are you sunning yourself in Israel as Satoshi would suggest?
Is ben bernanke a dual citizen with Israel?
Yes he is. His full name is Ben Shalom Bernanke.
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"Truth is always stranger than fiction, fiction has to make sense" - Mark Twain
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Ben bernanke is a zionist just like most of the Obama regime, along with bernanke being a zionist you also have rahm emanuel and david axlerod, and Cass Sunstein, and his beautiful wife Samantha Powers ... white house members ( present & past ) who have full control of the president's mind.
Most of America's political leadership is Zionist: believing that the Jews should have political self-sovereignty and is the patriotic sentiment behind the Establishment of the State of Israel.
But if you think that the USA is sovereign, I have some bagels to sell you.oh, but didn't you know? It's much more politically correct, entirely different concept, to speak of God's chosen people, instead of saying "master race". Right? Right.
Note to the Federal Reserve:
Dear Janet; February 4th, 2014
If I may be so forward, I felt compelled to pass on a quick note from a most concerned permanent resident of the United States of America.
Purposely degrading this Nation's hard earned reserve currency status, that was so honorably delivered to you by previous generations who built this great country from the ground up through their virtuous and industrious blood, sweat and tears, only to then implement a disgracefully lamentable monetary policy which deliberately steals from future unborn generations in order to facilitate living standards beyond our means, so as to maintain an unearned, undeserved and unprincipled culture of grotesque mass over-consumption, can only be characterized as a deplorable unconscionable abomination of Biblical proportion.......
Respectfully yours,
Le Baron Bruno Camille Soucanye de Landevoisn
do you know that you misspelled your family name, Monsieur Le Baron Soucanye de Landevoisin? and this in several posts bearing the exact same message?
When Faber goes long, I'm going all-in short.
Been reading ZH for years......same old shit..........
But many times a day we're told here 'by old timers' that it used to be different before they SOLD it ...
Me thinks that it's the same-same people and the same-same schitk... and that's why your bored ...
I agree everyday I see faber, schiff, btc, bernanke, ... and then 911, or space alien, or BS about them putting something on your car,
All the while no mention of goldman-sachs, aipac, bis, or the New World Order, or IMF-SDR, ... anything useful if you know what I mean.
When system threatens with a new crisis
http://failedevolution.blogspot.gr/2014/02/when-system-threatens-with-ne...
Faber blog fall's ZH horizon,
It's a flat earth society after-all, what happend to FABER too much truthiness?
Ultimate Bitcoin Thread
You have to wonder why ZH buried this FABER story so deep,...
Duh. Economics is a cult. Not a science.