Investment analyst and entrepreneur Marc Faber spoke with FOX Business Network’s (FBN) Liz Claman about the health of the global economy saying “over the last few months, the market has acted very badly” and predicted this indicative of “the beginning of a downward trend.” He went on to say that “the global economy has actually deteriorated” and while it has “optically improved because of huge government spending” we are actually in “a worse position today than we were in 2008 and 2009.”
Excerpts from the interview are below:
On the health of the global economy:
“Over the last few months, the market has acted very badly. There are less new hires, the volume has dried out, insider sales have picked up, and this is the beginning of a downward trend. We may easily have a correction of 10-20% here. Most stocks are already down 10% from their highs. Markets have more than doubled from the lows in 2009. The global economy has actually deteriorated. It has optically improved because of huge government spending but in principle we are in a worse position today than we were in 2008 and 2009. There will be more money printing and if your are hyper bearish, maybe you are better off in equities than you are in government bonds and cash. I also advocate to own some gold.”
