Marc Faber on Bloomberg TV Nov 10, 2008 (16min)

[LargoWinch]

"We should give $50B to Toyota or Honda to take over GM and relieve the taxpayers" - Faber

Now that is brilliant! Who should we give AIG to?

Noteworthy is the fact that Faber is bullish on the Corporate Bond market, but bearish on Government Bonds (Hint: Faber's latest GDB report recommends to short US treasuries; just like EJ I believe).

Enjoy!



Part 1 (8:13 min.)


Part 2 (8:16 min.)

[phirang]

Re: Marc Faber on Bloomberg TV Nov 10, 2008 (16min)

Isn't it a lot less risky to just buy gold rather than fight the Fed on its turf?

[LargoWinch]

Re: Marc Faber on Bloomberg TV Nov 10, 2008 (16min)

phirang, I think gold is also on the Fed's turf unfortunately.

I am thinking about the "commies" on the COMEX...

[Aussie]

Re: Marc Faber on Bloomberg TV Nov 10, 2008 (16min)

What's with that stubby ponytail he's sporting . . ? Very 1980's . . .

[phirang]

Re: Marc Faber on Bloomberg TV Nov 10, 2008 (16min)

phirang, I think gold is also on the Fed's turf unfortunately.

I am thinking about the "commies" on the COMEX...

Sinclair has declared jihad against the COMEX: we'll see who's smouldering this december!

[jtabeb]

Re: Marc Faber on Bloomberg TV Nov 10, 2008 (16min)

Sinclair has declared jihad against the COMEX: we'll see who's smouldering this december!

Didn't know he converted to Islam, Good for him, Al-hamdulila.

[phirang]

Re: Marc Faber on Bloomberg TV Nov 10, 2008 (16min)

Didn't know he converted to Islam, Good for him, Al-hamdulila.

Unfortunately, we're in the midst of massive deflation.

"reflation" is impossible to achieve without a risk-free returns environment.

this is why stimulus is important: it provides those returns, risk free.

until then, wallllllllllaaaah! :eek:

[friendly_jacek]

Re: Marc Faber on Bloomberg TV Nov 10, 2008 (16min)

I just listened to this interview and I realized that Marc made a big change in his stand on future inflation.

He has been saying for a while how the fed's money printing would assure hyperinflation in the future (similar to EJ's claims).

Now, he admits that the stimulus money is very tiny compared to the asset deflation that happened all over (funny, that phirang and I were talking about it for weeks on itulip and no one would listen).

Now, he sees supply destruction in commodities as a source for future inflation in commodities.

Please let he know if I misunderstood him, and possibly I did, as English is not my native tongue.

[phirang]

Re: Marc Faber on Bloomberg TV Nov 10, 2008 (16min)

Faber understand exactment qu'est qui c'est passe.

THe real issue here is the following: there are two tiers of money. Faber, having a PhD in econ, understands this.

There's the shit tier, the tier morons like Schiff and rogers look at and get killed on: commercial money.

There's the uber tier, the master tier, the God tier: central bank money.

Commercial money is created by fat bastards in suv's buying crap they don't need.

That's been going on for, oh, 20 years or so.

So there you go, there's your inflation. They're done. They're dead, and they will eventually reach apocolyptic default rates and literally start dying off.

Now, you have say a 20T debt default and "monetize" 5T of it to "save" the economy (aka prop up prices). The money to "save" the economy is intermediated through the lenders, i.e. ITS COMMERCIAL MONEY AGAIN, with a financing conduit through the treasury market.

Now THIS IS WHY the treasury market is showing strain: the US gov is taking the credit risk of fat retards, aka 70% of our people.

the only risk to the dollar is if the treasury market fails. However, there is a conundrum: if the treasury market fails, then the US stops consuming and you have GLOBAL DEPRESSION WITH NO END IN SIGHT. WORSE than anything you can imagine.

A good hedge? Buy a farm. Can't afford one? Keep a gun with one bullet to kill yourself with if it gets that bad...

[FRED]

Re: Marc Faber on Bloomberg TV Nov 10, 2008 (16min)

Faber understand exactment qu'est qui c'est passe.

THe real issue here is the following: there are two tiers of money. Faber, having a PhD in econ, understands this.

There's the shit tier, the tier morons like Schiff and rogers look at and get killed on: commercial money.

There's the uber tier, the master tier, the God tier: central bank money.

Commercial money is created by fat bastards in suv's buying crap they don't need.

That's been going on for, oh, 20 years or so.

So there you go, there's your inflation. They're done. They're dead, and they will eventually reach apocolyptic default rates and literally start dying off.

Now, you have say a 20T debt default and "monetize" 5T of it to "save" the economy (aka prop up prices). The money to "save" the economy is intermediated through the lenders, i.e. ITS COMMERCIAL MONEY AGAIN, with a financing conduit through the treasury market.

Now THIS IS WHY the treasury market is showing strain: the US gov is taking the credit risk of fat retards, aka 70% of our people.

the only risk to the dollar is if the treasury market fails. However, there is a conundrum: if the treasury market fails, then the US stops consuming and you have GLOBAL DEPRESSION WITH NO END IN SIGHT. WORSE than anything you can imagine.

A good hedge? Buy a farm. Can't afford one? Keep a gun with one bullet to kill yourself with if it gets that bad...

We appreciate your thoughts but this is not how we express ourselves here. This is the iTulip Bar and Grille not the TickerForum Strip Club. Contemptuousness for our fellow Americans and disrespect for your fellow members, and that goes for EJ, is not how we do it here. Your posts are now being moderated.

[*T*]

Re: Marc Faber on Bloomberg TV Nov 10, 2008 (16min)

We appreciate your thoughts but this is not how we express ourselves here. This is the iTulip Bar and Grille not the TickerForum Strip Club. Contemptuousness for our fellow Americans and disrespect for your fellow members, and that goes for EJ, is not how we do it here. Your posts are now being moderated.

Ironically enough I thought this was one of the more lucid posts...

[gobears]

Re: Marc Faber on Bloomberg TV Nov 10, 2008 (16min)

I won't take any position on the moderation and trust FRED/EJ''s judgement, but I would like to try to understand what arguement Phirang is trying to make. History may not unfold like past crises, and the FED may not react like we think. My concern is, the FED has all kinds of tricks up its sleeve, and we ought to brainstorm with an open mind what they might do differently than expected. So, can anyone explain what Phirang was getting at or put it to rest?