Asset markets will continue to drift lower for the next 3 months or so

Marc Faber : No further stimulus. We have to qualify that statement. I think they will end QE2 and not tighten monetary conditions, but there could be a relative tightening the way we had it after the end of QE1 until QE2 was announced last August. So for the next three months or so, asset markets will continue to drift lower. Traditionally the month of May is very weak.Also June and then from June on, we have some seasonal strength developing until the end of July, early August and then we have weak September-October months, seasonally speaking. The markets are oversold at the present time. We could re-bounce somewhat from herein to the end of July and then have another ground draft in October-November, but my forecast is very simple. If the S&P were to drop from here by, say, another 10-20%, for sure, for sure you will get QE3. There is no doubt about this.

Asset markets move up and down

"Asset markets move up and down and they go from a rising phase into boom phase. Then to a collapse and the people are gloomy and there is gloom and doom around and then the markets poke them out and then the whole process starts again," Marc Faber in a recent interview (11 Apr) with CNBC TV 18

Marc Faber :I think Asset markets have begun a correction

Marc Faber : “I think asset markets have begun a correction. We peaked out on the S&P on February 18th at 1344 and usually in April we have seasonal strength but I think it’s likely that the S&P will not be able to make a new high and then we will have a more significant setback in May, June. I think the Euro, contrary to expectations has rallied. I think what we could see in the next few months a rebound of the U.S. Dollar, weakness in asset markets, correction in commodities, and maybe a rebound in U.S. bonds. We live in very volatile times; a correction could be 10%, 20%. I would on any weakness accumulate gold.”
in Fox Business News