Monday, July 13, 2015
Marc Faber on China : The market will move lower before it starts to move up again
Well my view was that after this 100 percent increase in Chinese stocks and huge speculation, and huge speculation on margin, margin index in China, the percent of the economy, was almost twice as large as in the U.S. So it was very large. And my view was that the market would fall from the peak by at least 40 percent. And I still maintain that — that the market will move lower before it starts to move up again. But I don’t think we’ll see a new high in China for some time. I think the economy is very weak by Chinese growth standards. And we’ve seen that also in industrial commodity prices. I think lots of sectors in China are no longer growing.
Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.Dr. Doom also trades currencies and commodity futures like Gold and Oil.
Posted by Nicole Bourbaki