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Marc Faber: "The Best Thing The Fed Could Do For Markets Wold Be To Collectively Resign"

Tyler Durden's picture





 

In a Bloomberg TV interview following today's quixotic "QE3/non-QE3 announcement, which is Operation Twist 2, but not LSAP, and ushers in economic recession, even as it sends risk assets soaring, and somehow pushes the 2 Year a whopping 20 bps tighter so buy,buy, buy" and is really very much ado about nothing, the always outspoken Marc Faber had some very choice words about life, the universe and especially the residents of the Marriner Eccles building. While there still appears to be some confusions as to whether today's Fed decision to peg rates at zero for 2 years is QE3 or not, Faber believes that the decision to not enact more Large Scale Asset Purchases is "the right thing" although when it comes to the market, it "is more likely to move still lower. We are very oversold. We can have a rebound like we did today, maybe we'll have a rebound next week or so, but in general I think we will test the July lows of last year, the S&P at 1,010.  After that, probably we'll get probably a QE3 announcement."

On why Bernanke did not announce yet another asset purchasing round: "Essentially they spent their bullets. It is very difficult to follow through with QE3 right here, because you have gold prices going ballistic, and you have the dollar being very weak, and so there are unintended consequences with implementing QE3 right here." That said, the surge in markets apparently completely ignores that QE1 and 2 did nothing for the economy, although the goosing of the RUT should suffice. What is unclear is who will end up buying the $2.4 trillion in bonds coming down the tube. Faber also had some choice words about Treasurys: "I personally think the Treasury market, the long-dated, are a bubble and it will be one of the worst investments for the longer term if you buy a 10-year, a 30-year U.S. Treasury so I'm a bit puzzled that Treasuries are now yielding, are essentially near record lows." Naturally, Faber does not think gold is in a bubble, and as to what one can do with gold, his response is that "you give your girlfriend copper rings and I give them gold rings and I keep them longer." Indeed, no bubble there. 

As to how one should trade stocks, he says: "I think right now the technical picture is so horrible that I would use a rebound as a lightning up opportunity. I think [equities] will move lower... maybe after three months people will wake up and scratch their heads and say now, we know why it started to go down, because maybe there is geo political problems, maybe the Middle East blows up, maybe the economy is horrible."

Last but not least is his suggestion what the Fed should do: "The best [the Fed] could do for markets would be to collectively resign." Precisely, which is why it will never happen.

Full clip:

And full transcript:

Faber on whether he thinks the Fed did the right thing by keeping rates low:

"I think they did the right thing that they didn't allow QE3. They can watch the reaction of assets, whether they will go lower.  I think the market is more likely to move still lower. We are very oversold. We can have a rebound like we did today, maybe we'll have a rebound next week or so, but in general I think we will test the July lows of last year, the S&P at 1,010.  After that, probably we'll get probably a QE3 announcement."

On why he thinks the Fed is waiting on QE3:

"I think the Fed is underestimating the severity of the coming economic downturn.  Essentially they spent their bullets. It is very difficult to follow through with QE3 right here, because you have gold prices going ballistic, and you have the dollar being very weak, and so there are unintended consequences with implementing QE3 right here."

On what Faber thinks the Fed should do:

"The best [the Fed] could do for markets would be to collectively resign…I think sometimes the best is to do nothing. I welcome the decision, at least today, that they aren't doing anything worse than what they have already done."

On whether it makes sense to provide any kind of stimulus:

"What has QE1 and QE2 done for the labor markets? Nothing at all. It's done nothing for the housing markets.  It's lifted stocks and it created wider wealth inequality in a sense that people who own assets have done very well, and people that are the lower-income recipients groups, they are hurt by rising energy prices and food prices."

On what should be done for the U.S. economy:

"From 1981 to 2007, we have an economy that was living beyond its means. As a result of continued debt accumulation, GDP was higher than would otherwise have been the case. Now we have a period of sub-par growth that can last for quite some time now, and like in the case of Japan after 1989, people instead of being encouraged to spend, they should be encouraged to save more, and the U.S. should save more and spend less.  And then capital spending will essentially pick up."

On the manic behavior in markets:

"I personally think the Treasury market, the long-dated, are a bubble and it will be one of the worst investments for the longer term if you buy a 10-year, a 30-year U.S. Treasury so I'm a bit puzzled that Treasuries are now yielding, are essentially near record lows. I would rather sell Treasuries."

"The stock market peaked out on the 2nd of May on the S&P at 1370. So we're now around 1010. For many stocks we're down 20% or so. We're very oversold. I think a rebound is coming but you can forget about a new high. That is out of the question. Because the technical picture is horrible, horrible. "

On why investors are continuing to move to Treasuries:

"I've been in this business for 40 years and on many occasions, nothing made sense to me….I think the Treasury market is another example of a gigantic bubble. The problem with the Federal Reserve policy of essentially zero interest rates is that they are essentially throwing money at the system, but they don't control where the money will flow to.  It can flow at some point into commodity-related stocks.  It can flow into gold, oil, treasuries, but it doesn't  flow evenly into these assets.  In my opinion, the Treasury, the long-dated Treasuries are essentially the short of the century thing here."

On whether gold is a bubble:

 "I don't think it is a bubble, but I think the gold market has exploded to the upside recently and the correction is overdue. But as I have always maintained for the last 12 years, every responsible adult should gradually accumulate gold, because not owning any gold is the trouble with government. I don't understand. People of Bloomberg, I hardly know anyone who owns any gold physically. All of the Bloomberg employees are intelligent people. They listen to the news every day. They make the news every day. Hardly anyone owns any gold.”

On what you can do with gold:

"I disagree [that you can't do anything with gold.] You give your girlfriend copper rings and I give them gold rings and I keep them longer."

On how Faber would play the markets right now:

"I think right now the technical picture is so horrible that I would use a rebound as a lightning up opportunity. I think [equities] will move lower. I mean, some say you should move back into emerging economies because the fundamentals of emerging economies are far better than the fundamentals of European countries and the fundamentals of the United States.  This is something I will consider."

"The only thing I have to say, basically the market has sold off in such a rapid way and with so much momentum that I am smelling as if something really wrong happens in the next two or three months, because the market is a discounting mechanism.  Like March 2009 the market started to go up and people were baffled why it started to go up. Now it starts to go down, and maybe after three months people will wake up and scratch their heads and say now, we know why it started to go down, because maybe there is geo political problems, maybe the Middle East blows up, maybe the economy is horrible."

 


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Tue, 08/09/2011 - 19:19 | Link to Comment cossack55
cossack55's picture

The best thing the Fed could do for the markets (and mankind in general) is a circular firing squad.

Tue, 08/09/2011 - 19:33 | Link to Comment Long-John-Silver
Long-John-Silver's picture

No NO NO! We need to throw a Guillotine Party for them. Have you not checked on the costs of guns and ammo lately?

Guillotines are quiet, fast, efficient, 100% human powered, and provide outstanding entertainment value.

Tue, 08/09/2011 - 19:35 | Link to Comment fuu
fuu's picture

Shovel ready.

Tue, 08/09/2011 - 19:35 | Link to Comment Smiley
Smiley's picture

I'll volunteer for basket duty!

Tue, 08/09/2011 - 19:40 | Link to Comment WestVillageIdiot
WestVillageIdiot's picture

When we walked through Place de la Concorde I just kept thinking, "what a wonderful place".  Storm the Bastille, bitchez. 

Tue, 08/09/2011 - 22:47 | Link to Comment wisefool
wisefool's picture

snark: When we decide to do it. I am going in to get Wesley Snipes out first, and timmy too if he is in there at the time. (junk if you must)

My similar moment of granduer was getting my PhD from the esteemed institution of CNBC were the janitor has a PhD and I heard this:

non snark paraphrase:"It is kinda weird how you don't tax consumption in any meaningful way"

 -- British dude from Fitch to Bartriromo last week regarding the US credit rating.

tax code bitchez. S&P > D&R (political parties)

Tue, 08/09/2011 - 21:19 | Link to Comment 3.7.77
3.7.77's picture

Better yet.....

Tue, 08/09/2011 - 21:50 | Link to Comment Tuco Benedicto ...
Tuco Benedicto Pacifico Juan Maria Ramirez's picture

I am going to sit back.  Blood splattered popcorn makes me sick.

Tuco

Tue, 08/09/2011 - 23:37 | Link to Comment Clockwork Orange
Clockwork Orange's picture

WAIT!  WAIT!  WAIT!

Think of what we could raise on Pay-Per-Veiw.  From ZHers alone!!!!

I am ready to pay for the public gallows for everyone I ever met on my JPMorgan Chase Credit Card right now!!

Seriously.  Nothing would make me happier.  

Except maxing out then pulling the lever at the gallows, that is.

Wed, 08/10/2011 - 03:20 | Link to Comment KowPie
KowPie's picture

Naaa.... They can do pretty good FX in Hollywood these days. I want it live and in person to make sure I'm not being bamboozled yet again by the goobermint.

Tue, 08/09/2011 - 19:40 | Link to Comment John Law Lives
Tue, 08/09/2011 - 20:19 | Link to Comment Dr. Acula
Dr. Acula's picture

The Fed governors should enroll at the Ludwig von Mises Institute.

Maybe they can learn something about economics.

 

Tue, 08/09/2011 - 20:50 | Link to Comment disabledvet
disabledvet's picture

I know everyone in New York is totally absorbed in "parsing phrases" and "divining meaning from the statement" but FYI in Washington DC what made all the news was how The Bernank "made his arrival" and what he did when he got there:

http://www.youtube.com/watch?v=_NwllttiP0k&feature=player_detailpage
who knew? he really is Mr. Amazing!

Tue, 08/09/2011 - 21:21 | Link to Comment Maniac Researcher
Maniac Researcher's picture

The best thing Zerohedge could do is spellcheck the titles of its articles before posting them. Why? Because if you're going to yell fire in a crowded theatre, you'd better have your shit together.

My take is that you [collectively] don't.

You [collectively] see only disaster and apocalypse because this tactic makes it easy to avoid responsibility. Why spend time educating people and building things when you can simply claim that the whole paradigm is going to collapse at any time?

All I see is a lot of semi-affluent folks whining about taxes and the exploits of more powerful versions of themselves [ie. the selfish banksters that only care about getting rich, privatizing everything and avoiding anything resembling responsibility to society - sound familiar?]. You always have someone else to blame, don't you?

 

Better luck next time. Spellcheck, people - if you want to be taken seriously outside your own echochamber.

Tue, 08/09/2011 - 21:40 | Link to Comment Debt Rolling
Debt Rolling's picture

A voluntarist and culturalist leftist... go back to the HuffPo or the 1960s, please. Or go masturbate on your J.P. Sartre books. 

Tue, 08/09/2011 - 21:48 | Link to Comment Maniac Researcher
Maniac Researcher's picture

Right. Labeling people based on what they criticize you for is surely the best way to understand those phantom images also known as other human beings.

I'll bet you've read more Sartre then you care to admit.

Anyway, your wannabe anti-intellectual tough guy act is unconvincing. Maybe you should get off the internet and spend more time shitting yourself to get into character.

Tue, 08/09/2011 - 22:12 | Link to Comment nonclaim
nonclaim's picture

First you label:

I see is a lot of semi-affluent folks whining about taxes and the exploits blahblah

Then you complain:

Labeling people based on what they criticize blahblah

---

What a f'ing idiot...

Tue, 08/09/2011 - 22:47 | Link to Comment TruthInSunshine
TruthInSunshine's picture

The Government Sock Puppets are out in full force lately.

How many are there? 5,000? 10,000?

I know that the Sock Puppet operation gives them each 20 unique IP Addresses and characters with which to spread misinformation and run interference, so that's a big force multiplier.

Wed, 08/10/2011 - 11:18 | Link to Comment Maniac Researcher
Maniac Researcher's picture

Keep making excuses.

You've got nothing but your pettiness. You offer no solutions.

Crying out for collapse when there's plenty of work to do only makes your impotence all the more obvious - which is why my minor critiques strike a nerve here. You could simply ignore me, but instead you fall all over yourselves to defend your little hate jerk-off.

You don't even have original ideas; I criticize spelling, so you do. I expose hypocrisy, and so you try to follow suit.

It's painfully clear that you've got nothing constructive to offer. It makes it easy to poke holes in your flimsily constructed realities. A simple misspelling is just that; but in the context of blatant hypocrisy, it is a worthy subject of discussion - uncomfortable as it may be.

Your internet tough guy tactics make work on others, but I am unimpressed. Strip away that veneer and you [collectively] have little to offer beyond bitterness. Grab a shovel and do something useful and quit your whining. Outside this echochamber [I'll keep utilizing this term as one word, thanks] original ideas do exist - despite your apparent desire that these pesky realities would just go away. Holding on to hypocritical frameworks will keep you closed off to alternatives and prolong your discomfort. Cheers.

Tue, 08/09/2011 - 22:55 | Link to Comment disabledvet
disabledvet's picture

can i label you as "hot" and if so "is it true?"

Tue, 08/09/2011 - 22:47 | Link to Comment nah
nah's picture

its the economy, bitchez

Wed, 08/10/2011 - 00:51 | Link to Comment macholatte
macholatte's picture

Yo, Maniac!

 

nar·cis·sism

noun  

1. inordinate fascination with oneself; excessive self-love; vanity.

2. Psychoanalysis . erotic gratification derived from admiration of one's own physical or mental attributes, being a normal condition at the infantile level of personality development.

 

and Fuck Off!

 

Wed, 08/10/2011 - 11:21 | Link to Comment Maniac Researcher
Maniac Researcher's picture

I'm glad you've learned how to use a dictionary. Type in "straw man" next. Your final "Fuck Off!" also sounds a little desperate -- what, my minor criticism has caused you that much annoyance? Grow some backbone.

Tue, 08/09/2011 - 21:40 | Link to Comment bulldung
bulldung's picture

Haven't you seen the new phonetic spell check? Wold is exactly correct.

Tue, 08/09/2011 - 23:43 | Link to Comment Stares straight...
Stares straight ahead's picture

That's how Faber pronounces "would".

Wed, 08/10/2011 - 00:46 | Link to Comment macholatte
macholatte's picture

The letter "R" does not exist in Maine.

States Rights, Bitchez!

 

Tue, 08/09/2011 - 21:49 | Link to Comment Tuco Benedicto ...
Tuco Benedicto Pacifico Juan Maria Ramirez's picture

We welcome you even though you are obviously a very sllllllooooooow learner.

T. D. please forgive him for he knows not what he does.

Tuco

Tue, 08/09/2011 - 22:04 | Link to Comment nonclaim
nonclaim's picture

If it wasn't the typo you'd complain about Faber having a funny accent...

Tue, 08/09/2011 - 22:12 | Link to Comment The Gooch
The Gooch's picture

Echo chamber is two words. 

Tue, 08/09/2011 - 22:14 | Link to Comment The Gooch
The Gooch's picture

DAMN! ARE two words.

Tue, 08/09/2011 - 22:26 | Link to Comment tkoski6600
tkoski6600's picture

How good is that?  Thank you.

Tue, 08/09/2011 - 23:18 | Link to Comment snowball777
snowball777's picture

'Echo' AND 'chamber' are two words.

Tue, 08/09/2011 - 23:37 | Link to Comment UGrev
UGrev's picture

We kollektively grasp the math and the math spells |]00|\/|..

Wed, 08/10/2011 - 02:07 | Link to Comment StychoKiller
StychoKiller's picture

You [collectively] see only disaster and apocalypse because this tactic makes it easy to avoid responsibility. Why spend time educating people and building things when you can simply claim that the whole paradigm is going to collapse at any time?

 

Please feel free to fight all the bureaucrats standing in your way when you go to start your own business -- consider all the fees and red-tape a challenge -- you sound like you're up to it!

Also, show me all the responsible people that have been placed in cells for the Gulf oil disaster, imploding the financial system, allowing guns to wind up in the hands of the Mexican drug cartels, etc.  In short, the US Govt DESERVES TO COLLAPSE!

Pity is though, that a lot of innocent people will wind up dead or dismembered in the melee!  Check your premises, because your conclusions are 180° out of focus!

Wed, 08/10/2011 - 11:28 | Link to Comment Maniac Researcher
Maniac Researcher's picture

Since when are you the final arbiter on when and what should collapse?

Perhaps one day you'll learn to put yourself in the shoes of those who are "acceptable losses" and realize that when you imagine *yourself* as the innocent person who gets killed off - cheap words don't sound quite so lofty.

Do you dynamite your car when the check engine light comes on, too? Different people have different ideas about when it's time to give up. No matter what you say, it's never a good option - and certainly not one worth promoting. Again - this is simply a sign of laziness. Frustrated laziness, yes - but still an impotence and unwillingness to act. This is why my comments raised your ire - because they expose this reality.

Wed, 08/10/2011 - 03:26 | Link to Comment KowPie
KowPie's picture

"Better luck next time. Spellcheck, people - if you want to be taken seriously outside your own echochamber."

 

Well fucknut, since we're on spell check... "echochamber" is a phrase that is actually 2 words. Ergo "echochamber" would, properly spelled, read "echo chamber". But hey, it's just your left wing edumakashun showing. No harm, no foul.

Wed, 08/10/2011 - 11:41 | Link to Comment Maniac Researcher
Maniac Researcher's picture

I find this comment ironic since it is precisely critics like you who arguing for a *less* intellectual conversation here. Again - more hypocrisy on display.

Has my point been received loud and clear yet? Hypocritical attitudes are very unlikely to produce constructive results. All the things you complain about here [many of which are valid, by the way] are not going to get any better until a little self awareness and criticism occurs. No matter how much bile you sling my way - this will not change. Any relief you get from tearing me down is going to be limited because the problem remains the same: Your motives and ideas will be bankrupt without some form of critical analysis. This cannot occur in a system where ideas cannot be freely exchanged. Willful ignorance will continue to prevent that from occurring - and thus hypocrisy will continue to reign here. Thus, you create a situation where it is easy for individuals like me to point that out - adding to your continued annoyance. Can't say I feel bad for you, as you are helping to create the problem you are reacting against.

 

But I guess that's a pretty good definition of reactionary, is it not?

Wed, 08/10/2011 - 22:19 | Link to Comment KowPie
KowPie's picture

The irony is that you made a pointed (much like the top of your head) reference to "spell check" and hurled an insult referenced to same and when called out on it you (like most delusional hypocrits) simply ignored it to hurl more insults. Who's the hypocrite here? Who will never produce constructive results? "Continued annoyance"? Only at the fact that you breathe precious oxygen that a productive being might need to produce invigorating thought and stimulating conversation. And finally....

...yes, I agree quite wholeheartedly, your ignorance is quite willful. I apologize in advance for conducting a verbal battle of wits with you. I was alway told to never do battle with an unarmed man, and you fit that definition given your witless condition quite nicely. Troll on.

Wed, 08/10/2011 - 05:27 | Link to Comment destraht
destraht's picture

Lets not get particular on how we should kill them or how they should kill themselves just yet.  Next thing you know everyone will be arguing about it and we won't get anything done.

Tue, 08/09/2011 - 19:22 | Link to Comment caerus
caerus's picture

faber eees da sheet

Tue, 08/09/2011 - 21:46 | Link to Comment baby_BLYTHE
baby_BLYTHE's picture

Hellz ya,

Funny he seems puzzled by the treasury market even though he predicted the rally all the way back in December 2010.

Tue, 08/09/2011 - 22:26 | Link to Comment caerus
caerus's picture

he's not puzzled

Tue, 08/09/2011 - 22:57 | Link to Comment disabledvet
disabledvet's picture

he's high. i know because i packed the bowl and handed it to him.

Tue, 08/09/2011 - 19:36 | Link to Comment Bobbyrib
Bobbyrib's picture

The man knows what he is talking about.

 

His response to Matt Miller on what you can do with gold is pretty awesome.

Tue, 08/09/2011 - 20:02 | Link to Comment gdogus erectus
gdogus erectus's picture

I watched the vid before I read the article and I almost spit out my drink when Faber laughed at Miller and used the ring analogy.  Damn, that was funny.  Freakin' Miller had nothing to say after that.  Too funny.  I'm playing it back in my head - didn't the bimbo agree with that statement in the background?  I think I'll listen to it again.  Edit - yeah, she says, "I'll take the gold" at the same time Miller shakes his head and mutters "priceless".  At least he copped to being had.

Tue, 08/09/2011 - 20:32 | Link to Comment Bay of Pigs
Bay of Pigs's picture

"But you can't do anything with it" says Miller.

How do these bobbleheads get those jobs having no education on basic financial matters (sound money)?

Tue, 08/09/2011 - 20:59 | Link to Comment holdbuysell
holdbuysell's picture

Seriously...and they should get out more and read about how central banks are buying the gold.

And they should read the US Constitution that defines gold and silver as legal tender.

Tue, 08/09/2011 - 22:33 | Link to Comment Arrowflinger
Arrowflinger's picture

BoP - I have Many Arrows. Good to 'see' you here. Soon the bobbleheads will be rummaging thru garbage cans for lack of earning power.

Tue, 08/09/2011 - 22:33 | Link to Comment Bobbyrib
Bobbyrib's picture

I'm convinced they are paid to give the same opinions on every issue. One of the opinions is that gold is 'obsolete.' I have never heard one host of these shows say gold is valuable.

Tue, 08/09/2011 - 22:36 | Link to Comment Bobbyrib
Bobbyrib's picture

Yeah, I have watched Matt Miller many times on Bloomberg. He plays the "smart ass, snot nosed kid" role very well. A little too well if you ask me.

Tue, 08/09/2011 - 19:28 | Link to Comment I am a Man I am...
I am a Man I am Forty's picture

holding interest rates at nada is not QE3, additionally purchasing assets would be QE3, keeping interest rates where they are is not QE3

Tue, 08/09/2011 - 19:38 | Link to Comment WestVillageIdiot
WestVillageIdiot's picture

"So, what I'm hearing you say is that holding interest rates where they are is QE3.  Thanks.  Got it."

Gold is jumping all over the place.  I see it at $1,762.37 right now.  The spot premiums are still high, much higher than last week.  It must be the announcement of QE3 that is causing this.   

Tue, 08/09/2011 - 21:55 | Link to Comment bulldung
bulldung's picture

We just raised the debt ceiling 2T+, we will spend it through treasury auctions, fed printing and POMOs and whatever it takes. QE 3 started with the new debt ceiling. We are in phase 2 , justification.

Tue, 08/09/2011 - 19:28 | Link to Comment Diatribe
Diatribe's picture

Scumbag Krugman:  London Riots?  Jobs Created!

http://i.imgur.com/wAoMv.jpg

Tue, 08/09/2011 - 19:35 | Link to Comment magpie
magpie's picture

They just love communicating over Blackberry in order to loot the Apple stores...

Tue, 08/09/2011 - 21:45 | Link to Comment Tuco Benedicto ...
Tuco Benedicto Pacifico Juan Maria Ramirez's picture

Speaking of Apple I just heard their market value surpassed that of Exxon.  Tough question:  Which companies assets would you like to hold choosing between two over the next decade!?

Tuco

Tue, 08/09/2011 - 23:05 | Link to Comment Troll Magnet
Troll Magnet's picture

I'd take Exxon. Why? Because through good times and bad people can live without i-whatever but we can't live without oil. That said, however, I'm itching to get a new Macbook Air since my laptop is 4 years old but I just can't open up my wallet for it knowing that with that money I can get a new shiny ounce of Pamp or a Maple.

Tue, 08/09/2011 - 23:22 | Link to Comment snowball777
snowball777's picture

I just had a vision of you huffing gasoline while trying to pedal a bike fast enough to keep an old Vaio at full charge.

Tue, 08/09/2011 - 23:56 | Link to Comment Tuco Benedicto ...
Tuco Benedicto Pacifico Juan Maria Ramirez's picture

Agreed T. M.  Oil for me.  I am not much on tech though.  I just learned how to text with my T-Mobile.

Tuco

Tue, 08/09/2011 - 19:38 | Link to Comment magpie
magpie's picture

.

Tue, 08/09/2011 - 19:35 | Link to Comment Dr. Engali
Dr. Engali's picture

Krugman is a piece of shit. It grates on my nerves every time I hear "Nobel peace prize winning economist".

Tue, 08/09/2011 - 19:41 | Link to Comment WestVillageIdiot
WestVillageIdiot's picture

It grates on my nerves every time I hear, "Krugman". 

Tue, 08/09/2011 - 23:34 | Link to Comment oddjob
oddjob's picture

 An award given by a bunch of blowhard statist academics to another blowhard statist academic means shat on a stick.

Wed, 08/10/2011 - 03:34 | Link to Comment KowPie
KowPie's picture

"for his extraordinary efforts to strengthen international diplomacy and cooperation between peoples"

 

Bingo on that. Irony abounds. Kind of like Odumbo getting one. Bet they didn't see the extracurricular military events coming when they voted on that one.

Tue, 08/09/2011 - 19:29 | Link to Comment chump666
chump666's picture

Faber is 100% correct. The Fed have pretty much exhausted all options. When they do a QE3 it will have to be huge, biggest yet. The markets are totally fractured and busted, so to get them completely supported, the Fed will have to go trillions large. Major bulltraps on the s&P and Dow have been set, the volatility last session was just nutso, even the melt-up has no legs.

Every trader in the world listnes to Faber, funny and smart guy

 

Tue, 08/09/2011 - 19:32 | Link to Comment margaris
margaris's picture

Hey Tyler, there are some error in the transcript.

e.g. Faber doesnt say: "because not owning any gold is the trouble with government"

but "because not owning any gold is to trust the government"

Tue, 08/09/2011 - 19:34 | Link to Comment zorba THE GREEK
zorba THE GREEK's picture

That makes more sense. Thanks.

Tue, 08/09/2011 - 19:45 | Link to Comment WestVillageIdiot
WestVillageIdiot's picture

I can't get the people around me to understand that owning gold is the same as saying, "I hate the system".  All they can say is "but it is so expensive".  That is the price of peace of mind. 

Tue, 08/09/2011 - 19:57 | Link to Comment b-rad-is-rad
b-rad-is-rad's picture

Error in the title too.

Wold=Would.

Now wouldddd you stop bitching.

Kidding.

Tue, 08/09/2011 - 20:04 | Link to Comment margaris
margaris's picture

Now orthographical errors I can live with,

but semantical errors (those that turn the meaning around) I like to report!

 

Tue, 08/09/2011 - 19:32 | Link to Comment Dr. Engali
Dr. Engali's picture

It won't be long and the fed will self destruct. They won't need to resign.

Tue, 08/09/2011 - 19:47 | Link to Comment WestVillageIdiot
WestVillageIdiot's picture

I don't think so.  They can always take another form.  Don't assume they are just going to go away. 

Tue, 08/09/2011 - 20:44 | Link to Comment Dr. Engali
Dr. Engali's picture

Hopefully we don't let something like the IMF take it's place.

Tue, 08/09/2011 - 21:41 | Link to Comment Tuco Benedicto ...
Tuco Benedicto Pacifico Juan Maria Ramirez's picture

They are one in the same.  Demons all.

Tuco

Tue, 08/09/2011 - 21:39 | Link to Comment Tuco Benedicto ...
Tuco Benedicto Pacifico Juan Maria Ramirez's picture

There is a book I read a long time ago called "Psycho-cybernetics".  One of the tenants of the book is that when one fears something irrationally their actions ruled by the subconscious actually lead them to that which they fear the most.  So, what does Bernanke and the fed fear the most.  "Deflation", of course.  Hence deflation is what we will get.  Remember we have 1500 trilliion in worldwide derivatives that must be unwound before true inflation, perhaps hyperinflation sets in.  Initially, believe it or not, they will not be able to print money fast enough to overcome the deflationary spiral that ensues.

Tuco Benedicto Pacifico Juan Maria Ramirez

Tue, 08/09/2011 - 23:01 | Link to Comment disabledvet
disabledvet's picture

Is that book you once read kinda like "hooked on phonics?" And is their an Espanol version? This is important because i'm trying to become expert at talking points which just as you say mean the exact opposite of what is intended...but don't give that appearance for some reason.

Tue, 08/09/2011 - 23:52 | Link to Comment Tuco Benedicto ...
Tuco Benedicto Pacifico Juan Maria Ramirez's picture

Hell, I am still trying to figure out why "phonics" is not spelled fonetically:)

Tuco

Wed, 08/10/2011 - 03:37 | Link to Comment KowPie
KowPie's picture

How ironik iz that?

Tue, 08/09/2011 - 19:32 | Link to Comment zorba THE GREEK
zorba THE GREEK's picture

It matters not what they should do, it only matters what they will do, and as Faber said, they will do QE3.

This is a financial site, not Government Ethics 101 class. Use what you know about them and how they will act to

position yourself to profit from it. 

Tue, 08/09/2011 - 19:33 | Link to Comment Buck Johnson
Buck Johnson's picture

Spot on, spot on.  Who is going to buy that 2.4 trillion in debt, oh yea us.  When this game implodes, it will destroy this nation.

Tue, 08/09/2011 - 19:49 | Link to Comment WestVillageIdiot
WestVillageIdiot's picture

Anybody else think we would have all been better off if the South had won? 

Tue, 08/09/2011 - 20:10 | Link to Comment zorba THE GREEK
zorba THE GREEK's picture

Or better yet, if the North just allowed them to secede. I think there are many states that would like to secede now, including Texas.

Tue, 08/09/2011 - 23:10 | Link to Comment Troll Magnet
Troll Magnet's picture

i wouldnt mind if my state of california secedes from the union.

Tue, 08/09/2011 - 23:10 | Link to Comment tsx500
tsx500's picture

i absolutely could see one or (many?)more states seceding as this clusterfuck evolves

Tue, 08/09/2011 - 20:12 | Link to Comment Temporalist
Temporalist's picture

China buys U.S. debt to keep the Yuan low.

Tue, 08/09/2011 - 19:34 | Link to Comment caerus
caerus's picture

I welcome the decision, at least today, that they aren't doing anything worse than what they have already done...

classic

Tue, 08/09/2011 - 19:37 | Link to Comment Cult_of_Reason
Cult_of_Reason's picture

This announcement does the same as QE3, only without printing money.

The Fed wants trillions of parked in treasuries dollars to go into risky assets (stocks and commodities).

Also, they left the door open to QE3 if the economy deteriorates (as it most likely will, so QE3 is coming).

Don't fight the Fed dude (at least not at these ridiculously depressed stock prices).

In Europe, Trichet is retiring within a month or so. The Italian dude replacing him will cut rates and start European QE as soon as Trichet out the door.

Tue, 08/09/2011 - 19:51 | Link to Comment WestVillageIdiot
WestVillageIdiot's picture

Which stocks have ridiculously depressed prices?  Seriously.  Even with a 10% budget deficit we are still back in a recession (not that we ever left).  Why would you think stocks are cheap?

Hell, just look at how many companies get revenues solely from advertising.  How muchy advertising money is out there? 

Tue, 08/09/2011 - 23:34 | Link to Comment Cult_of_Reason
Cult_of_Reason's picture

Just buy any stock you like and frontrun the investing community -- a lot of funds have capitulated (or were forced to liquidate) and a lot of shorts are trapped.

Either the economy is going to get better by itself in the next few months... What assets are going to do well? Stocks are going to do well; bonds won't do so well, gold won't do as well. Or the economy is not going to pick up in the next few months and the Fed is going to come in with QE3. Then what's going to do well? Everything. Everything will go up.

Tue, 08/09/2011 - 19:37 | Link to Comment lynnybee
lynnybee's picture

luv Dr. Faber, he's the best. the video clip made my day .

Tue, 08/09/2011 - 19:39 | Link to Comment Smiley
Smiley's picture

Dollar Index down -09.957 to 73.914 today and the DOW jumps up 430pts.; the FED can go and fuck itself. 

Anybody who thinks any government regulation can help at this point is delusional at best.

Tue, 08/09/2011 - 19:42 | Link to Comment John Law Lives
John Law Lives's picture

The Fed is f'ing Joe Sixpack in the Arse.

Tue, 08/09/2011 - 19:53 | Link to Comment WestVillageIdiot
WestVillageIdiot's picture

More shitty regulation by the fuckhead regulators that couldn't fucking regulate a ham sandwich.  No thank you.  I don't think anybody here believes that would help. 

Tue, 08/09/2011 - 19:39 | Link to Comment Scalaris
Scalaris's picture

Seriously Mark, you are my Oprah.. But QE3 is coming, I know it, you know it, everyone over the rock knows it, and that's because "..It's lifted stocks and it created wider wealth inequality.." - And they want more stocks with upward trajectory & wealth inequality.

Wed, 08/10/2011 - 04:41 | Link to Comment Zero Govt
Zero Govt's picture

"The best [the Fed] could do for markets would be to collectively resign."

Perfect statement as is ..Benny, do you ever listen to wiser men than you?

Tue, 08/09/2011 - 19:41 | Link to Comment Croesus
Tue, 08/09/2011 - 19:41 | Link to Comment disabledvet
disabledvet's picture

I think they should at least try a stand up comedy routine before they dance themselves off the stage myself. I'mthinking Smuthers Bros meet Dom Delouise meet Hannibal Lector. I fear it "might bring the House down" of course..,

Tue, 08/09/2011 - 19:44 | Link to Comment chump666
chump666's picture

damn she is sexy ( bloomberg reporter)

Tue, 08/09/2011 - 19:49 | Link to Comment 10044
10044's picture

hotter chix on fox

Tue, 08/09/2011 - 19:58 | Link to Comment chump666
chump666's picture

yeah but she is nerdy hot. 

 

Tue, 08/09/2011 - 20:13 | Link to Comment caerus
caerus's picture

mmmm...nerdy hot....

Wed, 08/10/2011 - 00:58 | Link to Comment snowball777
snowball777's picture

She's not bad...if you're into Ewoks.

Tue, 08/09/2011 - 19:44 | Link to Comment glock19
glock19's picture

Nothing like a good 'ol bank run to make the Fed rethink it's ZIRP policy.  I vote for Bank of America.

Tue, 08/09/2011 - 21:30 | Link to Comment Tuco Benedicto ...
Tuco Benedicto Pacifico Juan Maria Ramirez's picture

It happened in Argentina the day after the politicians said the citizens money was safe in the banks.  Keep green cash in case of deflation, cash was king in Argentina at the beginning of the crisis and PMs for the eventual inflation.  Gold has gone too far too fast.  Takedown straight ahead and bottom in late August is my guess?

Tuco

Tue, 08/09/2011 - 19:48 | Link to Comment Dr. Engali
Dr. Engali's picture

Marc Faber is one if the few I trust to speak the truth out there

Tue, 08/09/2011 - 19:49 | Link to Comment Temporalist
Temporalist's picture

Gold $1764 again...

Tue, 08/09/2011 - 19:51 | Link to Comment israhole
israhole's picture

Marc Faber kicks ass!

Tue, 08/09/2011 - 19:53 | Link to Comment disabledvet
disabledvet's picture

I smoked pot in Chiang Mai. In fact i think i smoked pot in Chiang Mai with Marc Faber. You haven't lived until you've 'passed the bong' to Marc Faber in Chiang Mai. I here Bill Gross and the gang r headed over to do just that as i speak actually.

Tue, 08/09/2011 - 23:16 | Link to Comment tsx500
tsx500's picture

pleez tell us more...u gotta have at least one Faber funny to share ?

Tue, 08/09/2011 - 19:53 | Link to Comment Captain Benny
Captain Benny's picture

Marc is right about the Bloomberg employees not owning gold.  Of the 20+ Bloomberg people I work closely with, only two own physical gold and silver.  I'm sure the number is far smaller than 10% when you look across all of Bloomberg... and Faber is right, most people at BB are pretty stinking bright.

Tue, 08/09/2011 - 20:09 | Link to Comment ReactionToClose...
ReactionToClosedMinds's picture

 .... but .... as Faber implies .... politely ... they are decoupled from 'reality'.   maybe because of the 'name' and 'where they work' and what they self-importantly 'think they do' .... not trashing them ... but that is a 'media' thing it seems ...  

Tue, 08/09/2011 - 20:30 | Link to Comment Captain Benny
Captain Benny's picture

In general they are disconnected from that is going on in the world.  They follow the New York island thought process... thinking that "its not that bad here" so "it must not really be that bad elsewhere."

I don't work with people in the media area and have no idea about what their thought processes are, but from what I've seen with the people I'm in contact with -- I don't think many of them realize how bad the job market really is in the rest of the USA or world for that matter.

Tue, 08/09/2011 - 20:16 | Link to Comment Temporalist
Temporalist's picture

They are bright but are they critical thinkers?  Do they follow as rote their indoctrinations?

Tue, 08/09/2011 - 20:28 | Link to Comment Captain Benny
Captain Benny's picture

Good question.  I'd say its a 40/60 mix of critical thinkers to average thinker...  Not one person is below average.

Tue, 08/09/2011 - 23:15 | Link to Comment Troll Magnet
Troll Magnet's picture

maybe they're just not telling you or anyone else. i know i wouldn't.

Tue, 08/09/2011 - 19:54 | Link to Comment jekyll island
jekyll island's picture

Fed resign?  Are U kidding me?  They have made their masters rich beyond all belief this year.  All the CDS premiums, which are unregulated, holy shit!  Just image the money coming in because they could front run the Fed.  Sure I will  a buy a CDS for insurance if the 1 year note goes over 1%.  Oh Snap!  I just bought this derivative and then the Fed decides to hold the rate until 2013.  Damn.  I wonder if they will give me my money back.  Do that for a couple trillion dollars, it starts to add up.  Damn they are good.  Take your money and you thank them for doing it.  

 

 

Tue, 08/09/2011 - 19:57 | Link to Comment chump666
chump666's picture

hahaha he disses bloomberg reporters (nicely)

 

women love gold...

he is a legend!

Tue, 08/09/2011 - 19:56 | Link to Comment tahoebumsmith
tahoebumsmith's picture

On whether it makes sense to provide any kind of stimulus:

WORTH REPEATING

"What has QE1 and QE2 done for the labor markets? Nothing at all. It's done nothing for the housing markets.  It's lifted stocks and it created wider wealth inequality in a sense that people who own assets have done very well, and people that are the lower-income recipients groups, they are hurt by rising energy prices and food prices."

What the hell have we done with the 15.8 TRILLION?  Absolutely nothing but line the pockets of the CRONIES we were forced to bailout. Just imagine if we had just let the chips fall where they may? How many new companies would have been created to pick up the pieces? Imagine how many jobs would have been created if we had to start from scratch? Imagine if Main St. once ruled America again instead of Wall St.? Now we have created a bigger monster and this next time around like Faber stated, we have shot all our bullets and haven't even faced the enemy yet.

Tue, 08/09/2011 - 19:56 | Link to Comment medicalstudent
medicalstudent's picture

notice that faber said he would keep 'your' girlfriend.

 

muahaha.

Tue, 08/09/2011 - 22:27 | Link to Comment caerus
caerus's picture

lol

Tue, 08/09/2011 - 20:07 | Link to Comment Manthong
Manthong's picture

 

“I am smelling as if something really wrong happens in the next two or three months.. the market is a discounting mechanism"
-Dr. Faber
“The reason people hold gold is protection against tail risk, really, really, bad outcomes”
-Dr. Bernanke

It seems that both the equities and gold markets are in congruence.

Now if we could only shake the crooks loose from the silver market, it would discount the coming events as well.

Tue, 08/09/2011 - 20:01 | Link to Comment Smiddywesson
Smiddywesson's picture

"Essentially they spent their bullets. It is very difficult to follow through with QE3 right here, because you have gold prices going ballistic, and you have the dollar being very weak, and so there are unintended consequences with implementing QE3 right here." 

The big revelation today folks is they spent their bullets trying to suppress gold prices, and failed.  If this were May, all holders of PMs would be cowering under the kitchen table with their thumbs in their mouths and a spilled glass on Jack Daniels on the floor, trying to forget their losses.  Next stop on Blaine the Mono ride through the Wastelands is the unfettering of silver prices.  You know it's coming.  You know you want it.  

 

Did Saddam resign? Did Hitler resign?  How about the other failed dictators, Mao, FDR?  No they don't resign when they fail, they just rewrite history if they prevail.  The Fed and the USG will prevail and strip you of all your worth through the new gold standard (unless you hold PMs) and then claim victory for the red, white and blue.

Tue, 08/09/2011 - 20:04 | Link to Comment Smiddywesson
Smiddywesson's picture

"Essentially they spent their bullets. It is very difficult to follow through with QE3 right here, because you have gold prices going ballistic, and you have the dollar being very weak, and so there are unintended consequences with implementing QE3 right here." 

The big revelation today folks is they spent their bullets trying to suppress gold prices, and failed.  If this were May, all holders of PMs would be cowering under the kitchen table with their thumbs in their mouths and a spilled glass on Jack Daniels on the floor, trying to forget their losses.  Next stop on Blaine the Mono ride through the Wastelands is the unfettering of silver prices.  You know it's coming.  You know you want it.  

 

Did Saddam resign? Did Hitler resign?  How about the other failed dictators, Mao, FDR?  No they don't resign when they fail, they just rewrite history if they prevail.  The Fed and the USG will prevail and strip you of all your worth through the new gold standard (unless you hold PMs) and then claim victory for the red, white and blue.

Tue, 08/09/2011 - 20:06 | Link to Comment hadriansnightmare
hadriansnightmare's picture

Question-

How does the Fed keep rates at 0 without QE3?  As the dollar continues to devalue they have to keep open market operations going (buying bonds) to keep rates at near 0.  Right?  Or- If they do nothing with the present state of velocity will rates stay at 0?

Tue, 08/09/2011 - 22:46 | Link to Comment Captain Benny
Captain Benny's picture

Bingo.  Thats a $2 trillion dollar question!

Tue, 08/09/2011 - 20:13 | Link to Comment Smiddywesson
Smiddywesson's picture

OK, Fed bashing bitchez, here goes:

The Fed isn't confused about anything.  The old game was to get you addicted to fiat and slowly tax you through inflation.

The new game makes all their actions completely logical.  I won't go in detail, you can Google my previous posts, but in general:

We are moving toward a gold standard.  Central banks are slowly acquiring gold, selling gold to suppress prices and buying when prices are low.  This is classic Distribution in reverse.

When the game runs out and gold prices go vertical, we will be switched to a gold standard.  Then they will ramp the price of gold, which is held primarily, by them.

When a currency is debased under a fiat system, you get your wealth confiscated through inflation

When a civilization moves back to a gold based system, everyone gets their wealth confiscated by the holders of gold, provided that gold is manipulated to a level that is favorable to the government(s) and the central banks.  

It is that simple my fellow excrement throwing simians, they will own us lock, stock and jock when we move to gold because the public has no gold.  The value of your home and your savings will rise or fall at the whim of those who control the price of gold.  

Tue, 08/09/2011 - 20:23 | Link to Comment tip e. canoe
tip e. canoe's picture

thank you for putting written word to my suspicions all along...all hail the Annunaki.

Tue, 08/09/2011 - 20:25 | Link to Comment Kat
Kat's picture

I beg to differ. 

The Fed cannot engineer a desirable economy by manipulationg its monopoly on currency.  It cannot fix complex problems, the solutions to which emerge over time, with simplistic solutions from its bag of blunt instruments and its collection of even more dense members. 

The Fed thinks it can.  Thus, the Fed is deeply confused.

I doubt very much that we are going to a gold standard.  And, a gold standard does not prevent inflation becaust the central banks can simply print money anyway.  Each new dollar will simply represent less gold. And they have every incentive to do so.

The only way to maintain the value of a currency is to have competing currencies. The incentive to print large quantities disappears as that reduces the competitiveness of the currency.  Get rid of the Fed's currency monopoly and allow competing currencies (which will happen anyway as the dollar is devalued).

Tue, 08/09/2011 - 20:54 | Link to Comment disabledvet
disabledvet's picture

by all means...beg. a little more. a little more. a little more. THATTTTT'S better. Was it good for you? Now do not differ again.

Tue, 08/09/2011 - 21:38 | Link to Comment Smiddywesson
Smiddywesson's picture

 Each new dollar will simply represent less gold. And they have every incentive to do so.

When we move to a "gold standard" whatever that means, they will be solvent and once again in charge of the situation.  It is overly simplistic that the intnernational cabal that rules us will fade away if the system changes.  They always win.

Don't get mad, I hear you.  The Fed can't fix everything.  The hole in that argument is they don't care to fix everything.  This is about survival.  Getting everyone on a new system that is favorable to them is the central theme of what they are doing.

Tue, 08/09/2011 - 23:36 | Link to Comment tsx500
tsx500's picture

so, how does joe sixpack make out during this new 'gold standard' ... what kind of real value does his 1-oz. gold eagles and canadian maples  have ? or has he been forced to sell them to the feds at a deeeeep discount ?  

Tue, 08/09/2011 - 20:46 | Link to Comment Smiddywesson
Smiddywesson's picture

In other words my fellow simians, when we switch to a gold standard, you won't initially feel any different, but as Marc Farber predicted, someday someone will walk up to your girlfirend who is wearing your copper ring, and offer her a golden ring.

End game, you (and I lose).

Tue, 08/09/2011 - 21:18 | Link to Comment Tuco Benedicto ...
Tuco Benedicto Pacifico Juan Maria Ramirez's picture

Yes, lock & stock but sorry about the barrell and the projectiles therein.

Tuco

Tue, 08/09/2011 - 20:17 | Link to Comment Kat
Kat's picture

Obama should resign.  The Fed should resign.

Good thing Herr Obama is on the campaign trail or he might trot out his teleprompter to "calm the markets" again tomorrow and cause a 25% drop in the SPUs.

Tue, 08/09/2011 - 20:23 | Link to Comment Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Marc is right; the consumer is irrational.

Tue, 08/09/2011 - 20:56 | Link to Comment disabledvet
disabledvet's picture

clearly the market can stay solvent longer than you and i can stay irrational.

Tue, 08/09/2011 - 20:52 | Link to Comment ReactionToClose...
ReactionToClosedMinds's picture

about 1/3 of way in his entire thread that almost all gov't's deludedly becoming Keynesian was not in the transcript ... that is a mighty big exclusion ... like an entire paragraph or two of Faber's comments were cut

 

also, he is confounded also why emerging markets are getting thrown over the side when their fundamentals are better than developed economies.  He clearly states this yet the trasnscript clearly portray him saying he will look at merging markets again .... he did not say that.

Now I know ... never fully trust a 'transcript'.   Am sure it is honest error but 2 important differences come up when you listen versus what you 'read'.

 

 

Tue, 08/09/2011 - 21:49 | Link to Comment Smiddywesson
Smiddywesson's picture

You sir, are the man.  ReactiontoClose observed that TPTB want you to forget that the emerging markets led us down in 2007. and 2011 and are likely to lead us out of the hole sometime in the future.  International stocks will come out of this recession earlier than all other stocks.

Tue, 08/09/2011 - 20:30 | Link to Comment gwar5
gwar5's picture

 

I think Clause #30 is the relevant clause for disbanding the Fed by congress. No?

All of the chaos unfolding is more proof rolling in that government and economic central planning by banks is a stupid idea. Not stupid and unwise choices that can be corrected, but fundamentally stupid to have central planners in the first place who can infect the whole planet with one bad idea. And they have had many.

And the notion that some angels from heavan can ever possibly rule objectively without looting is laughable.  Those Bitchez really want diversity? Then get rid of central planning and the Fed. 

Tue, 08/09/2011 - 20:33 | Link to Comment slewie the pi-rat
slewie the pi-rat's picture

i took notes:

recession w/be deeper than people think

yep.  that one

Tue, 08/09/2011 - 20:35 | Link to Comment Slap That Taco
Slap That Taco's picture

Good interview.

As I write this, CNBC is having a special program and everyone is kissing Bernanke's ass.

 

Tue, 08/09/2011 - 20:36 | Link to Comment RobotTrader
RobotTrader's picture

By the way:

The S & P 500 was overextended without a meaningful correction since the summer of 2010.

In one fell swoop, the S & P 500 dropped all the way down to the 38.2% retracement level, rather than grind out a long correction lasting many months.

5 consecutive TICK readings over -1400 were recorded, a new NYSE record.

9 out of the last 12 trading days have seen TICKs at -1200, another record.

http://stockcharts.com/h-sc/ui?s=$TICK&p=D&yr=0&mn=6&dy=0&id=p37322057532

The market swamped all the overmargined longs with a huge push below the 200-day on the weekly and closed above it.

http://www.capitalstool.com/forums/uploads/post-404-13129202400695.png

Too early to tell if this is all the damage or more retesting in the fall is necessary.

Gold stocks exploded off the lows even when GLD and SLV were getting pushed back.

Tue, 08/09/2011 - 21:06 | Link to Comment slewie the pi-rat
slewie the pi-rat's picture

hey RT
you are the tick-hound
right in the middle of earnings and people start to see we're already in a recession
hahaha
the FED has already done it's thing
if things go BK, they will be liquidated
maybe the congress will wake up before prez0 BKs the country
prob not

they might not have heard that they should be paying closer attention to the nation's accounts, yet

billionaires on the council.for.rel are constructing new ways to steal from the people to give to the mil/corp uber elite

never a dull moment, eh?

Tue, 08/09/2011 - 23:09 | Link to Comment d00daa
d00daa's picture

just stop.  please show me examples in market history where of all the major indexes getting donkey punched 20-25% in two weeks and the markets immediately rally to new highs without a subsequent sell-off or two.  the majors are completely and totally broken.  sell the rallies through the fall at the very least.

Wed, 08/10/2011 - 03:16 | Link to Comment tahoebumsmith
tahoebumsmith's picture

robo, the Dow was at 11,499 back in Oct 1999 for christ sakes. Tell me something new fucking pleeeeeeeeeeeeze...

Tue, 08/09/2011 - 20:47 | Link to Comment WhoMe
Tue, 08/09/2011 - 21:11 | Link to Comment Tuco Benedicto ...
Tuco Benedicto Pacifico Juan Maria Ramirez's picture

Great interview with Mr. Faber.  Thank you.

I can vouch for the fact that otherwise "seemingly" intelligent people do not own any gold such as the male moderator in this interview.  What you can do with it!? Well, "what you can do with it" you dumb ass is survive an inflationalry spiral with your asset values in tact.  How fucking dumb are these people!?  I even know people who work for a coin dealer who don't own an ounce of gold or silver.  The day will come when they will see the error of their ways and unfortunately, it looks like it is just around the corner!

Tuco Benedicto Pacifico Juan Maria Ramirez

Tue, 08/09/2011 - 23:05 | Link to Comment disabledvet
disabledvet's picture

Faber es muy feo, no?

Tue, 08/09/2011 - 23:36 | Link to Comment Troll Magnet
Troll Magnet's picture

i don't know much about the male interviewer but i think he did a good job by asking him questions that you're criticizing him for. he played the contrarian (to dr. faber) and asked the question in a way that most sheeple will understand and relate to while giving dr. faber an opportunity to debunk him. for all i know the guy could be a dumbass like you say he is but that was pretty good journalism if you ask me.

Tue, 08/09/2011 - 23:48 | Link to Comment Tuco Benedicto ...
Tuco Benedicto Pacifico Juan Maria Ramirez's picture

Point well taken T.M.

Tuco

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