That guy really loves himself....a lot.
Posted on 06/25/2017 6:11:36 PM PDT by SkyPilot
If the man often hailed as the original "Dr. Doom" is right, the stock market could see another "lurch" higher — at which point investors may want to cash out quickly and run for cover.
Marc Faber, the editor of "The Gloom, Boom & Doom Report' and a perennial bear, isn't backing down from his latest dire prediction that would send stocks plummeting by 40 percent or more.
A drop of that size could take the S&P 500 Index down from Friday's closing price of 2,438 to 1,463.
He used the meteoric rise of FANG stocks, which reflects Facebook, Apple, Netflix and Google (Alphabet), as a glaring bearish signal.
"We've had more than eight years of a bull market. The Nasdaq is being driven by very few stocks," said Faber on Friday's "Trading Nation." That rally "is not a particularly healthy sign from a technical point of view, and valuations are very high," the investor added.
Faber's comments come exactly two weeks after the Nasdaq set its latest intraday record high of 6,341.70.
"You know we have a lot of volatility, and when things will start to go down, they'll go down a lot," he said.
Faber is deeply concerned that wealth has flowed to big corporations and affluent people. He believes the imbalance could eventually disrupt the markets as we know it.
"Either people with money will be taxed heavily ... or we'll have a massive deflation in asset prices — I repeat: massive," he warned. "Eventually the system will break."
Faber is known for correction calls over the years which have never materialized. But he's sticking by his latest call, acknowledging critics have "questioned my sanity."
"We could print enough money that the Dow goes to 100,000. All I'm saying is it will end very badly, extremely badly,"
(Excerpt) Read more at cnbc.com ...
The only thing keeping it up is there isn't anyplace else to put your money.
He has predicted 23 of the last 2 recessions.
Aha! Finally, someone admits that the stock market is being propped up by government spending.
Funny they didn't acknowledge this during Barky's regime.
Could ... Or could not ... eventually ...
Il wait till tomorrow to see what Cramer says
The international bankers regularly pull the plug to drop the market so they can stampede the proles that buy high into selling low. It’s the only way to maximize their profits.
If you don’t buy on margin and don’t need the liquidity, you just wait them out and ride the next wave back up.
If someone does anticipate needing the liquidity within 24 months, it is always a good idea to migrate some of your gains into less volatile storage even in a strong up market.
And while diversity might be bad in the workplace, it is a good thing in the market.
True but if you look at banks and their interest rates, the major banks are saying that most people who could are not putting their money in the market. The crash when it comes will not be that severe because too many people are sitting on the sidelines already.
He has predicted 23 of the last 2 recessions.
Been hearing this horse crap for three hears. BUY GOLD BUY SILVER.
Crash coming.
Right now, index funds are buying about $800 billion worth of stock a year. This money comes from regular 401K deductions and other auto-pilot type savings. This has a tendency to prop up the stock market, since the people with these payroll deductions do not watch stock prices very carefully, and are saving for the long term.
Of course, it is true something bad will happen eventually....but no one can say when or how. It’s kind of like predicting the end of the world.
-—”We could print enough money that the Dow goes to 100,000.-—
And therein lies the problem. Equities should have had at least one major downturn a long time ago, but the Central Banks would have none of it.
It could keep on going for years on end, or they could pull the rug out from under us tomorrow. No rhyme or reason, just on a whim.
Just about every year there will be a 1 or 2 percent drop in the markets during the dog days of summer. Read Bastille Day July 14 to Labor Day. Some times it is just a computer mal-function for about 2 hours and then the markets bounce right back. Any how, if you sell on July 5th and tell the computer to buy at 5 percent lower you may get a good lower price...at around August 3rd or thereabouts. Or maybe not. Just have some cash on hand and look for a lower price. Sell in May and go away. Get back in after Labor Day. This year the Trump Bump has got the market going strongly during June.
Rapture Ready’s Todd Strandberg has this gem in his latest post:
“It is very likely that the Antichrist will be the king of socialists. He will have a global population worshipping at his feet because he will be handing out spoils like no other world leader. His first task may be to plunder all the bank accounts of all the missing Christians.”
I bet that is exactly what he will do with all the Trillions of dollars in the accounts of missing Christians.
That guy really loves himself....a lot.
How often has he been correct?
Where have I heard that before?
In 2012, Faber predicted that the S&P 500 index would fall at least 20% within 6–9 months following the re-election of Barack Obama. As it turned out the stock market went up 235% under Obama's eight years.
Never use politics as a guide to invest in the stock market. I also thought the market would tank under Obama but nevertheless followed my plan and remained invested throughout the Obama years and was rewarded for it.
Having said that some event or events could trigger a crash of 50% in the market at any time. One has to be prepared for it. If one cannot stomach that they should not invest because there is always risk ... and reward.
We’re in a mild bull market, but bull markets don’t end after a slow steady run-up.
They crash after a frenzied soaring buy-up.
That is coming soon.
Here’s a better prediction. The Dow will go down 42.29 points or more from one day to the next, before 2018.
It goes up, it goes down, it goes up.
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