U.S. stocks may be touching new highs, but Marc Faber, publisher of the Gloom, Boom & Doom Report, questioned the rally during an interview on the FOX Business Network’s Cavuto: Coast to Coast.
“In 2000, we had the NASDAQ bubbling.[In]2007, we had the housing bubble and the stock market bubble, but not all stocks were very expensive. But now, we have high real estate prices. We have high stock prices in the U.S., not necessarily elsewhere in the world, and we have, by historical standards, the most expensive funds markets in the world in 5,000 years of history with negative interest rates on more than $12 trillion worth of bonds… So you tell me, something is not fixed, something is not very unusual? I don’t understand the world anymore,” he told the FOX Business Network’s Connell McShane.
The Swiss investor, who is known for his pessimistic tone, also discussed where to invest.
“We’re all on the Titanic… I think we need to diversify. We need [a] life-saving boat—which is precious metals, gold, silver, platinum, physical stored in a safe-place, not necessarily in ETFs. And we need some equities well diversified also by consortiums and by geographical areas. We need some fixed interest securities and we need some real estate again geographically diversified,” he said.