| There’s still a 100 percent chance the world heads into recession, Marc Faber, publisher of “The Gloom, Boom & Doom Report,” told CNBC’s “Closing Bell” on Thursday, echoing a call he made in May. When you look at the major economies, Europe, the U.S., China and the emerging markets that are dependent on China for growth, Faber, aka Dr. Doom, only sees weakness. “Europe is already in recession,” he said. “Germany is still growing very, very slightly, but is likely to go into recession soon.” Growth in the U.S. is also falling off. “The U.S. economy has decelerated and I don’t see much growth in the next six to 12 months,” Faber said. There’s also little the Federal Reserve and other policy makers can do to turn the U.S. economy around. “I think that if you look at the injection of liquidity and the intervention by the Federal Reserve and the Treasury with fiscal measures, it has already impoverished the U.S. economy,” he said. It would take “massive easing, a huge balance sheet expansion,” to boost economic activity in the U.S., according to Faber. Faber also doesn’t expect much change in the U.S.’s finances regardless of who wins the election in November. “The deficit is $1.3 trillion and, in my view, will go up,” he cautioned. http://finance.yahoo.com/news/marc-faber-odds-global-recession-200854469.html |
Marc Faber (born February 28, 1946) is a Swiss investor based in Thailand. Faber is publisher of the Gloom Boom & Doom Report newsletter and is the director of Marc Faber Ltd, which acts as an investment advisor and fund manager. Faber also serves as director, advisor, and shareholder of a number of investment funds that focus on emerging and frontier markets, including Leopard Capital’s Leopard Cambodia Fund and Asia Frontier Capital Ltd.'s AFC Asia Frontier Fund.
Tags:
