Marc Faber loves the odds of a ‘big-time’ market crash



The world’s central bankers will end up behind the market equivalent of the woodshed after flooding the world with cheap money, veteran investor Marc Faber told CNBC on Thursday.

“When you print money, the money doesn’t flow evenly into an economy. It flows to some people or to sectors first, and in this case, it flowed into equities, and until about five months ago, bonds,” Faber said. “I believe that markets will punish central banks at some stage through an accident.”

The bond market could collapse, Faber said, adding that bonds have been weak considering the scope of the U.S. Federal Reserve’s quantitative easing program. The other possibility is that stocks could end up in a bubble.

Faber, known for his “contrarian” investment approach and often bearish views on the market, told CNBC he’s gearing up for a market crash that will provide plenty of opportunity for bargain hunting.

“For the first time in four years, since the lows in March 2009, I love this market because the higher it goes the more likely we will have a nice crash, a big time crash,” he said.

Faber had told CNBC in November that he expected U.S. stocks to tumble due to disappointing corporate profits and expectations the global economy would barely grow or possibly even contract in 2013.

At the time, he said he expected the S&P 500 to fall at least 20% from its September high of 1,470. The index settled Wednesday at 1,501.96.

–William L. Watts – January 31, 2013,
Follow on Twitter: @wlwatts



About Mission Mining

US Gold and Silver Mining - Our Nevada & California mining properties are anticipated to hold extremely large precious metals resources. The Company has posted over $400 Million in Assets in its OTC Filings. Come join us!
This entry was posted in Uncategorized and tagged , , , , , , , , , , , , , , , . Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s