• Anything under a trillion dollars will dissapoint investors as they already factored in quantitative easy #2
• Investors already factored in quantitative easing round no.2
• Faber expects more weakness in the dollar and is bullish on gold, silver and industrial commodities
• Faber also expects a short correction but then expects a boom in stocks and commodities (by Christmas)
• Finally, he is negative on cash and bonds but is reasonably positive on equities due to inflation

Author and publisher Marc Faber appeared on CNBC to discuss several topics such as global equities, gold and current economic conditions in the U.S and abroad.Faber is expecting a trading range for the rest of the year with a slight dip coming in the next month or so followed by a rally to close out the volatile. According to Faber, one of the most important decisions asset allocators face is where to invest their money when interest rates are at near zero. Faber states that dividend yields will attract investors into equities and cause a possible rally.

“I think the difficulty is what to do with money when interest rates are essentially at zero on US dollar then obviously people look at their portfolios and they see stocks that have dividend yields. In Singapore, Thailand, Malaysia, you can have stocks yielding 5% on the dividend. So, the money flows essentially into these stocks.”

Marc Faber: Bloomberg Interview May 25, 2010

• The market is currently oversold in the near term, and markets could rally a bit
• “The banks are gone” but interest rates are at zero
• June-July are months in which we usually have a summer rally
• Bearish about everything
• Fiscal deficits are high and will continue to go up
• Gold might go down somewhat more, but is quite happy to hold considering what’s going on
• Government officials should resign
• Eventually sovereigns will default
• In the long term, we are doomed
• The only assets that will keep purchasing power are precious metals

Notes Marc Faber On Bloomberg Radio- May 24, 2010

• Seeing burning building in Thailand was a shock
• The entire region has become much more “China centric” and that has a concern for the long term
• Market became overbought in April
• Right now, U.S. bonds might be better option than sovereign debt
• Currently doing very little with capital because Faber believe we are in correction period and markets might decline 10-15%

Marc Faber: CNBC Interview May 7, 2010

Marc Faber On Bloomberg May 6, 2010

• The cause of the sell-off is that markets went up too much, too quickly
• The market was overbought, ahead of itself, and headed for a correction
• We will have a meaningful decline
• We made the high in April
• Sooner or later the Governments will go bankrupt
• The only way they will survive is by continuously printing money