Tuesday, March 10, 2009

Marc Faber: Rally Ahead Between Now and End of April

“Equities could rally between here and the end of April,” money manager Marc Faber said in an interview with Bloomberg Television. But, “The government’s efforts will fail to boost economic activity.”

I'm with Marc as far as some upside action in the market. But he thinks it will come from the "stimulus" package. I don't see it coming from the stimulus package, but from the huge Fed money printing. I really think it could be rocket ship like when the move starts. You need to be positioned in advance.

Curiously, he doesn't see the "stimulus" boosting the economy. I think it will in a convoluted manner. The stimulus is moving money from one pocket to another--from tax payers and lenders [and, of course, Fed printing] to those that live at the government trough. Thus, this money will be out in the economy, employing people at admittedly useless government jobs. But, those jobs will look, oh so, meaningful on BLS data sheets.

ViaLewRockwell

1 comment:

  1. BTW, I just want to make it clear that I am not disputing your predictions about short term movements in the stock market. I really don't have an opinion on that.

    But I still think unemployment is going to be higher at the end of the year than at the start, as well as the other stuff comprising our bet.

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