A US trade war would cause the US Dollar to rally

President Donald Trump is attempting to change US trade policies and it is causing some tension around the world. If President Trump actually causes a Trade War, it may hurt the US more because it would cause the US inflation rate to rise.

"My view is that, actually, the Trump administration, for which, I would have voted for Mr. Trump, but he proves every day that he's a completely clueless individual. He says one thing and then does something totally different. He changes his view all the time. And I think, quite frankly, there is a trade war which maybe won't happen, but if there is one, the U.S. will be the big loser, because consumer prices in the U.S. will go up and that is not desirable at the present time, as the Fed is already tightening and interest rates have been rising, so what it will mean is, if there is a trade war, initially the dollar will actually rally. But this is precisely what the U.S. shouldn't have, a very strong dollar."


via www.moneymetals.com/podcasts/2018/04/27/can-us-be-trusted-to-hold-everyones-gold-001465

Markets could disappoint very badly

There is a saying in Wall Street that says, one should buy when there is 'Blood on the Streets'. Investor sentiments can play a big role in market turning points. Marc Faber thinks the markets have a good chance to disappoint bullish investors. 

"I have maintained that the January 26th high for the S&P up 2,872 was like a mirror image of the low on March 6th, 2009 when the S&P was at 666. At that time, everybody was bearish and leading strategy and I don't want to name who, but they were predicting for the S&P to fall to 400. And what happened is that, because sentiment was so negative, and the market was so oversold, the market turned around and actually on very poor earnings, started to go up. And now, we have, in January, a high, when everybody felt that the market would go higher and what then happened is that on good earnings, stocks didn't move up, but started to go down.

So, I think we are in a situation where it is likely, it's not yet a hundred percent sure, in order to get a clearer picture, if a major bear market has started, we would have to make a low below the February low, but that hasn't happened yet. But looking at the market and the market action and the momentum and the number of stock that are actually making new lows, I'd say there is a fair probability that the market will disappoint point very badly."


via www.moneymetals.com/podcasts/2018/04/27/can-us-be-trusted-to-hold-everyones-gold-001465

Debt levels around the world are even more burdensome than in 2007

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Marc Faber May 2018 Interview

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Topics discussed 

US Dollar - Dollar may strengthen a bit, but the strength will not last.

Stock Market - Not likely to see a crash but could still see major market declines 

Gold could go up relative to other assets..

and more discussed.....

More signs that the US markets may have peaked in January 2018

Marc Faber thinks the market may have made some kind of peak earlier this year.

"Based on the recent market action of stocks around the world and in particular in the US, I am growing increasingly confident that the January 26, 2018 high at 2,872 for the S&P 500 was a major top indeed."