Marc Faber: Stock market in a bubble, could crash this summer in total financial collapse

Today Marc Faber, publisher of the “The Gloom, Boom & Doom Report,” gave an interview with CNBC in which he indicated that if the stock market continues to rally it is more likely for there to be an upcoming crash.  According to Faber a bull market in stocks started four years ago and is rapidly approaching its end.

And he warned that there could be another financial crisis like in 2008, but much worse this time around:

“The next crisis could lead to a deflationary bust. And a bust in governments. In other words, we may have a total collapse in confidence in the system.”

As free market economists have stated, especially those adhering to the Austrian School, the crisis is being caused by the Federal Reserve and other central banks creating another manipulated boom with their highly inflationary polices.  The new money being created has been flowing directly into the stock market and capital goods sector.  As the money makes its way into the consumer goods sector the average middle class American continues to face rising consumer prices resulting from an increase in the money supply.

It is likely that all of this “monetary stimulus” will have very bad consequences as it further distorts the capital structure of the economy and leads to much higher inflation and rising consumer prices in the future.

This is why it is so important for the middle class (and the wealthy for that matter) to buy gold and silver as a way of protecting the purchasing power of their savings.  The government can’t create precious metals out of nothing like they can with fiat currency units such as Federal Reserve Notes.

Continue to interview at

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