Thursday, February 11, 2010
Gloom, Boom, and Doomer Marc Faber talked with Bernard Lo of Bloomberg earlier today about the outlook for the Chinese economy (it will slow, maybe a lot) and how commodity prices might be affected (they will go down, maybe a lot).
He currently recommends agricultural commodities such as corn, wheat, and soybeans since they haven't rallied in quite some time. From a related report:
China’s economy will slow down “meaningfully” and may even be at risk of a “crash” because of the nation’s excess capacity and as loan growth slows...In other news from China today, the government reported that lending surged by over $200 billion January and home prices rose 1.3 percent, now up 9.5 percent from a year ago, all indicating that efforts to rein in speculative lending and a runaway housing bubble are, so far, seeing only limited success.