Marc Faber and Peter Schiff - We are in a Bond Bubble

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Marc Faber and Peter Schiff appeared on CNBC in August 2010. Peter Schiff and Marc Faber have met many times, and they agree on the state of treasuries and bonds. We are in the worst bond market in history. When people begin to realize that we can't service the debt, the United States government will no longer be able to roll it over into short term treasuries.

People are still interested in bonds because they are so adverse to risk. Unfortunately, there probably isn't any riskier a move than to lend money to the United States. 10 years ago, everyone was piling into the stock market. Since then, we have had a terrible ten years in the stock market. If you really are risk adverse, then you don't want to own bonds. You want to own gold.

Marc Faber agrees that there isn't much upside potential in treasuries other than the short term. If you are looking ten years ahead, treasuries are the last place that you want your money. The fiscal deficits will remain very high among governments, and one day the interest payments on the debt will become unbearable.

In 1999 and 2000, foreigners wanted to buy the NASDAQ. Now, they want to buy United States bonds. You shouldn't look at what foreigners are doing to determine where you should put your money. Agricultural commodities and gold are something that should be in any portfolio.

There is no question that people are making mistakes here. People have begun to save more, but unfortunately they are loaning their money to the government rather than to private enterprises. The money isn't being invested productively, and so all the savings aren't doing anything to help the economy.

Category:

News & Politics

Tags:

• Marc Faber
• Investing
• Treasuries
• Government Bankrupt
• Financial Collapse
• Economic Collapse
• Financial Crisis
• Economic Crisis
• Gold
• Silver
• Dollar
• Federal Reserve
• ron paul
• john stossel
• judge napolitano
• inflation
• hyperinflation
• interest rates
• capitalism
• free markets
• tom woods
• austrian economics

[WhereDidItAllGo7]

Obama supporters seem to encourage stock market and bond investing at the same time mocking gold investing. go figure.

[dgl1962]

The dingbat in pink is the reason why our founders forbid women to vote.

[kylextown24]

Friends don't let friends buy silver (or any precious metal) at retail! That's my motto! If you're interested in buying silver at wholesale price, send me a message. No minimums or maximums!

[mikevalentine100]

HEY SUE,

YOU ARE A TOTAL IDIOT!!!!!!!

[450984]

Things are getting worse, these "stock pushers" can't believe it! Our money is worthless paper, no jobs, no manufacturing,et.,etc.Like the boys said, buy foreign, or gold and silver. It's just common sense, read a couple of economy books, and make up your own mind.

[slickbtk]

These dumb cnbc cunts are funny. Their argument against something happening is literally for them to say that it hasnt happened yet lol. How insane is that? I notice that the cnbc crowd has been doing this for a while. They use the fact that a prediction hasnt occurred yet as some kind of proof that it cant happen. Its very odd behavior. Its like if I say that tomorrow is not going to occur because it didnt happen yet lol

[damoz89]

Did peter get a spray tan? :D