Famous investor and publisher of the "Gloom Boom & Doom Report" newsletter Marc Faber was on CNBC Thursday to share his views on stocks in U.S., Europe and emerging markets.
Blue Chip Will Make More Money
"In Europe, we have the low interest rates in 25 percent of the countries, and [in] the 90 percent countries of the world, we have near zero interest rates," Faber said. "Do I want to buy European sovereign bonds after negative yield where I am sure to lose some money? Not a lot of money, but some money? Or, do I want to be in some blue chip stock? If I take a 10 year view, I think I will make more money in blue chip stocks."Bullish On Emerging Markets
He continued, "As you know, emerging markets and their currencies have by and large grossly underperformed the U.S. over the last few years since say 2010, 2011, in some cases 2006. "Now I do want to be in the U.S.; that is an expensive market. Or, do I want to be in Europe that is reasonably priced; it's not cheap exactly, but reasonably priced and has also this liquidity injection or in emerging markets. For the longer term, I like emerging economies, not all of them, but I think that I will make more money in the emerging economies than in the U.S. in the next 10 years."Losing Less Money
Faber also remarked that "I am even more bearish than I was at the time, but I can see that if disaster strikes […] I think in blue chip stocks, you will lose less money than in sovereign bonds."© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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