"There is no means of avoiding a final collapse of a boom brought about by credit expansion. The alternative is only whether the crisis should come sooner as a result of a voluntary abandonment of further credit expansion or later as a final and total catastrophe of the currency system involved."
- Ludwig von Mises

Wednesday, January 19, 2011

Marc Faber Believes US and Europe Will Outperform Emerging Markets in 2011

This is not because of fundamentals, mind you.  Faber's forecast is based on inflation caused by Western countries printing money.  This western, mostly US inflation is being exported to the East, or emerging countries, affecting the weakest population segments of their economies.

To me, this looks like an East versus West full blown currency war.  Faber also discusses the US Military presence in the East, and how it is viewed there, particularly by China.  He is also bullish on oil for various scenarios that could play out.

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