Dr. Doom Marc Faber thinks that the asset markets have topped out and the only investment bargains around are in precious metals.
“We simply have highly inflated asset markets. Real estate is high, stocks are high, bonds are high, art prices are high, and interest rates and short-term deposits are basically zero,” Faber told a conference in London this week.
“The only sector that I think is very inexpensive is precious metals, and in particularly precious-metals stocks.”
Considering gold and silver’s rough performance 2014, it’s hard to argue that they’ll have to rise in 2015. But how much?
“I’m positive gold will go up substantially — say 30%,” Faber told the audience at Société Générale’s global strategy presentation.
“My belief is that the big surprise this year is that investor confidence in central banks collapses. And when that happens — I can’t short central banks, although I’d really like to, and the only way to short them is to go long gold, silver and platinum,” he said.
“That’s the only way. That’s something I will do…”
