Gold & Silver Mining Stocks The Only Sector still attractive in The US Market

ET Now: US markets have been hitting record highs. Do you think that there is still some more steam left in US equities and if yes, which sectors do you like in US equities?

Marc Faber : In my view, there is only one sector that is particularly attractive and that is the mining sector. Gold and silver mining stocks are very depressed relative to the rates of the market and in absolute terms, in terms of valuations. So that sector is quite attractive.

I also think that coal shares have been oversold and they are now at a reasonably good value, but other than that, I do not see any particular value from a long-term perspective.

Now if you tell me that the market can go up another 10%, that may be the case, but it does not make for good value. Therefore if I look at the total return that I can expect from US shares over the next 5 to 10 years, it will be very disappointing. I would rather buy emerging market shares, which in terms of valuations are reasonably priced.

In the case of India, profit margins are at a historic low. So if there is an improvement in the economy and in the macroeconomic environment, corporate profit margins could expand.

Interest rates in India have a chance to come down at some point, which would be beneficial for corporate profits. So in general, I would rather invest in emerging economies than in the US from a long-term perspective. Now, as I said, if you tell me that the US market can go up another 10%, possibly it can then also drop 30%. - in ET Now July 2014

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.

Marc Faber Prefers Physical Gold & Silver to Bitcoin

Marc Faber told Bloomberg TV in an interview that, "I prefer physical gold and silver, platinum to bitcoin. How do you value a bitcoin? I can value gold to some extent and compare say gold to the quantity of money that is floating around the world, to the wealth increase, and to the monetary base increase, to the credit increase, and so forth and so on, and to the production costs. So I have an idea of where gold should be.”

- in Bloomberg TV : Click here to watch the full interview >>> 

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.

Marc Faber : Gold or Silver

Marc Faber :.."...They move in the same direction, and silver is more volatile. Each individual has to decide himself what he prefers - a more volatile commodity or a more steady commodity. I prefer gold for a variety of reasons, but I can see that may be silver will outperform gold in a bull market. ..."
in ET Now

Marc Faber : Silver could go over $20 an ounce but Gold is better for investors

Quotation from Marc Faber's Monthly Market Report: "A break out above $20 could lead to a powerful upside move " In the very short term silver could have more upside (if it breaks $20) but Marc Faber likes gold better because it is more of a monetary metal. Investors need to have a large amount of gold in their portfolio for proper diversification.

Marc Faber on Silver Gold precious Metals and China

Marc Faber on CNBC Squawk Box 21 April 2010

Marc Faber : well I have maintained the same view regarding Gold and other precious metals for essentially the last ten years and this is to gradually accumulate physical gold and silver and if you want to have a riskier exposure to buy some gold exploration companies from time to time when they become cheap as a year ago , or some of them are still reasonably good value at the present time ...so this is say a long term strategy because in an environment where government will print money , and I am convinced they're going to bail out Greece which means you transfer essentially bad assets onto the balance sheets of the government and when that happens the purchasing power of paper money goes down , it is not that precious metals go up , it is the paper money that goes down relative to precious metals so in that environment I think you and also Bernie should all accumulate some gold , I told Bernie since gold was at $300 the day the Swiss national bank sold gold I said to Bernie now you should buy it because that was a buy signal ..

Marc Faber : That's true I do not trust anyone and I do not even trust myself a hundred percent , so here you have it ..how you can trust yourself , we are all humans we make mistakes ...
regarding China Marc Faber says : well I want to tell exactly what I think about China and also about the world , I think the growth such as we have at the present time in China is completely unsustainable in the long run , now can they sustain it for another half a year , can the property price increase go on for while ? yes ...I thought that Japan was overvalued in 1988 and it took another two years until it collapsed , i thought the NASDAQ bubble was very mature already in a998 it took until march 2000 until it broke down , but the longer you postpone crisis and this is what I object to the current government intervention i so called solving the crisis , they have not solved anything they just postponed it , and the ultimate Armageddon will be much worse than had they taken the recession already ..in 98 when LTCN went bust instead of bailing it out they should have lt it go bust that we should have given the signal to the market that the government and its agent the federal reserve does not bail out institutions all the time , in year 2000 we could have taken a minor recession it would not have been a disaster , but in year 2008 it was much worse and next time around the government will go bust and we will be all doomed because before they'll go bust they'll print money and they'll go to war ...



Dr Marc Faber was born in Zurich, Switzerland. He went to school in Geneva and Zurich and finished high school with the Matura. He studied Economics at the University of Zurich and, at the age of 24, obtained a PhD in Economics magna cum laude.
Between 1970 and 1978, Dr Faber worked for White Weld & Company Limited in New York, Zurich and Hong Kong.
Since 1973, he has lived in Hong Kong. From 1978 to February 1990, he was the Managing Director of Drexel Burnham Lambert (HK) Ltd. In June 1990, he set up his own business, MARC FABER LIMITED which acts as an investment advisor and fund manager.
Dr Faber publishes a widely read monthly investment newsletter "The Gloom Boom & Doom Report" report which highlights unusual investment opportunities, and is the author of several books including “ TOMORROW'S GOLD – Asia's Age of Discovery” which was first published in 2002 and highlights future investment opportunities around the world. “ TOMORROW'S GOLD ” was for several weeks on Amazon's best seller list and is being translated into Japanese, Chinese, Korean, Thai and German. Dr. Faber is also a regular contributor to several leading financial publications around the world.
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 ,and the author of "Tomorrows Gold" . 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.
In 1987 he warned his clients to cash out before Black Monday on Wall Street. He made them handsome profits by forecasting the burst in the Japanese Bubble in 1990. He correctly predicted the collapse in US gaming stocks in 1993; and he foresaw the Asia-Pacific financial crisis of 1997/98 and the resulting global volatility. Dr Doom motto is "Follow the course opposite to custom and you will almost be right"
Mr. Faber is also the author of several books, including Tomorrow’s Gold – Asia’s Age of Discovery, and is a director of Ivanhoe Mines Ltd. , a mining firm focused on the Asia Pacific region. He is also an adviser to a number of private investment funds.