The US Economy weakening not strengthening

I feel the US Federal Reserve will not increase interest rates in June this year because the US economy is not strengthening but actually weakening. And what investors frequently overlook is that the US monetary expansion will be for six straight years now and the US bull market will also be more than six year old. The economy is weakening though, the job market is strengthening somewhat, but that's a lagging indicator. It is only the low-paying jobs which are essentially replacing high-paying jobs. The other economic indicators are mostly disappointing. And given the strength of a strong US dollar, I don't think the US Fed will be keen to increase interest rates. Hence, my expectation is of no interest rate increase by the US Federal Reserve for this year.




Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.Dr. Doom also trades currencies and commodity futures like Gold and Oil.