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Marc Faber Estimates the S&P Breaking Down by 150 Points Sparking QE3
Widely followed strategists Marc Faber spoke to CNBC’s Fast Money and said that investors should beware of a false rally in the late summer or early fall. According to Faber, catalysts are currently in place that could trigger more market upside. However, he believes any advance will be only marginal and certainly not based on market fundamentals. At 1450-1500, Faber says the S&P will be at the top of the range. From those levels he sees bears taking the market down. “I think the market is going to break out of this range. My guess would be on the downside and not on the upside”, Faber said. “I think we are already overboard here. How low will we go? We may have seen the highs for the year. Maybe we make a marginal new high and then we drop again, but I think 2013 will be a difficult year for equities.” The author of the “Gloom Boom Doom” newsletter estimates the S&P 500 breaking down by 150 points, or 10%, sparking QE3 from the Fed. Reprinted with permission from Wall Street Pit. August 18, 2012
© 2012 Wall Street Pit Dr. Marc Faber [send him mail] lives in Chiangmai, Thailand and is the author of Tomorrow's Gold.
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