Financial guru Marc Faber gives grim news

Hi all,

a really interesting article re advice to investment professionals from Hong Kong-based investment adviser and fund manager Marc Faber:
Heartburn all round as financial guru gives diners grim news to digest | The Australian

Mark.

 

Thank god for Michael Yardney. He is the only person who is able to yet maintain a positive outlook on our economy.

I have read so much negative news today ... it's terrible !

 

What did they expect him to say?
That he has no idea and he has to make something up?

The question he should be asking is this.
What are the reasons for property prices increasing in this country?
Is it demand outstripping supply or is it just speculation?
If it is speculation then one day the trend will reverse but this won't happen overnight, it will be a gradual thing.

In the meantime we already had some small price corrections and this could continue for a while.
On the positive side, rents and wages are increasing, there is shortage of rentals and we are not building enough properties to house our increasing population.

So are we going to have a colossal collapse as he calls it?
I don't think so.
IMHO

Cheers

 

Yes BV, I tend to agree, esp on your comments re Australian property fundamentals.
ML