Marc Faber : China has a Credit Bubble

Marc Faber : It’s very difficult to know exactly what is happening in China. However, because I think China has a credit bubble, I am leaning towards a meaningful slowdown. They have a lot of bad loans that will have to be written off. There is a glut of property. And the Chinese economy is essentially a capital-spending-driven economy, which has, of course, a much larger cyclicality than a consumption-driven economy. And so we could have a more meaningful slowdown. I am not so interested in Chinese stocks, because I think there is a lot of fraud among Chinese companies. I don’t have the time or the analysts at my disposal to analyze these Chinese companies thoroughly. - in Seeking Alpha