Look For Helicopter Money, Not Rate Hikes Says Marc Faber
20-May (Kitco News) – One famed economist, known for his usually “gloomy” economic outlook, says he doesn’t see the Fed’s tightening cycle continuing this year.
Marc Faber, publisher of the Gloom, Boom, & Doom report, outlined his views as markets await Wednesday’s Federal Open Market Committee minutes. Despite hawkish comments recently coming from Fed officials, the marketplace is not sure if the central bank can tighten just yet.
“My impression is that the Fed will not increase rates any further this year – my impression is that the economy is actually weaker than the statistics would suggest,” Marc Faber, publisher of the Gloom, Boom, & Doom report, told Kitco News Wednesday.
“My impression will also be that eventually there will be some type of helicopter money in the U.S, or the launch of QE4.”
The contrarian investor also chimed in on gold’s rise so far in 2016, which he expects will continue as the Fed delays tightening.
“I feel that the gold price and gold miners still have a significant upside potential,” he noted.