Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Marc Faber: Downgrades Were Already Discounted In Europe

As the European markets open high after France and Australia and seven other Eurozone nations downgraded by S&P on Friday, Marc Faber, the legendary investor and the publisher of “Gloom, Boom & Doom Report”, talked with Fox Business about the European downgraded event on telephone.

“In general I would say the downgrades were already discounted by the bond market in Europe. When the news came out, it has no impact. It’s like when a war breaks out. It’s prior to the war that the market has already discounted the war and went down strongly.” said Faber, “On the war news, the market shows up.”

In term of investment strategy, Faber explained that eventually investors want to be positioned more in equities than in government bonds, and own some precious metal as well.  “I like it (gold), but I think the correction is not over yet.” said Faber, “I think we have a big correction from the peak on September 6 when gold is $1,921. We went down $1,522 at the end of December. Now we rebounded over $1,600. I think we can have another lag down.”

Faber also suggested investors to invest in every government bond a little bit, but not at the same time.

DOWNLOAD FREE REPORT: Warren Buffett's Best Stock Picks

Let Warren Buffett, George Soros, Steve Cohen, and Daniel Loeb WORK FOR YOU.

If you want to beat the low cost index funds by 19 percentage points per year, look no further than our monthly newsletter.In this free report you can find an in-depth analysis of the performance of Warren Buffett's entire historical stock picks. We uncovered Warren Buffett's Best Stock Picks and a way to for Buffett to improve his returns by more than 4 percentage points per year.

Bonus Biotech Stock Pick: You can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12 months.
Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading...