The global economy is on steroids says Marc Faber

In an interview with ABC Australia December 30th, Marc Faber explained that the global economy was on streoids for the past 9 months :
"The global economy has been on steroids for the past nine months and on that basis it's hardly surprising that equity markets have shot away."

He says there has been "a dash for trash" by investors, but the big challenge facing the world will be what happens when stimulus spending by governments fades away.

"The big question is going to be for 2010 is what happens when we come off the drugs and we take away the steroids?"

"Are we going to be in a position to actually still see the global economy growing overall and are we going to see the equity markets sustain their levels and sustain their growth."


Dr. Marc Faber also known as Dr Doom is an investment adviser, investment analyst and fund manager author and publisher of the Gloom Boom & Doom Report . Dr Faber is known for his contrarian investment approach. Dr Marc Faber is associated with a variety of funds and is a member of the Board of Directors of numerous companies.
he became well known for advising his clients to get out of the stock market one week before the October 1987 crash. Dr Doom motto is "Follow the course opposite to custom and you will almost be right"

Marc Faber still hyper bullish on Gold

According to Bullionvault Marc Faber is still advising investors to buy gold even at the present prices Marc Faber believes that Gold is the most interesting currency people should invest in "Gold remains the best bet as a currency these days because of the fact that the yellow metal supply is extremely limited. Gold at the current price of $1110 per ounce is less expensive than when it was sold for less than $300 per ounce years back..."
He was reported as saying in his first 2010 interview
"A company's stock could be less expensive at $100 than when it was selling for $10, because earnings growth has outpaced the appreciation of the shares and therefore its price/earnings ratio has declined. So gold could be cheaper at the current price than when it was at less than $300 because of the explosion of foreign exchange reserves in the world, zero interest rates, the huge debt overhang, and the expectation of further money printing." He added