Fantastic line from Marc Faber in his latest CNBC interview: “If Greece can rebound by 65%, the greatest garbage can rebound by 65%.”
He cited Thailand’s 250%+ rally off lows, and Greece’s recent rally of 65%, as reasons that beaten down stocks in China and Japan could also rally. Despite what he concedes as deteriorating economic fundamentals in China. You can watch Dr. Doom’s full interview here.
His near term outlook for US stocks is not as sanguine, as he believes a 20% pullback from the recent top is possible. He cited earnings disappointments and his belief that the US economy is actually showing close to no growth (if you applied a proper inflation number):
And how much should the US government be cut by? Say it all at once…50%!
He panned the natural gas boom in the US as being an economic silver bullet, reasoning that natural gas cannot help our stifling bureaucracy.
The BEST part of his visit gets going a bit before the 5-minute mark of this interview, as they discuss Faber’s hedged portfolio of rottweilers.
And for a more extended Faber interview, check out his recent appearance on The Disciplined Investor Podcast.