{"id":13985,"date":"2011-10-27T15:35:00","date_gmt":"2011-10-27T15:35:00","guid":{"rendered":"https:\/\/www2.thestockmarketwatch.com\/stock-market-news\/cnbcs-hobbs-ambushes-marc-faber\/13917\/"},"modified":"2011-10-27T15:35:00","modified_gmt":"2011-10-27T15:35:00","slug":"cnbcs-hobbs-ambushes-marc-faber","status":"publish","type":"post","link":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/cnbcs-hobbs-ambushes-marc-faber\/13985\/","title":{"rendered":"CNBC&#8217;s Hobbs Ambushes Marc Faber"},"content":{"rendered":"<p><script type=\"text\/javascript\"><!--\ngoogle_ad_client = \"ca-pub-1408583772585547\";\n\/* SMW - News Links *\/\ngoogle_ad_slot = \"3490797620\";\ngoogle_ad_width = 468;\ngoogle_ad_height = 15;\n\/\/-->\n<\/script><br \/>\n<script type=\"text\/javascript\" src=\"http:\/\/pagead2.googlesyndication.com\/pagead\/show_ads.js\">\n<\/script><\/p>\n<p><!--Ad Injection mfunc mode ad include code--><br \/>\n<!--mfunc include_once('\/mnt\/Target01\/327806\/www.thestockmarketwatch.com\/web\/content\/stock-market-news\/wp-content\/plugins\/ad-injection\/adshow.php') --><br \/>\n<!--\/mfunc--><\/p>\n<p><span style=\"font-family: Verdana,sans-serif;\"><em>By Dominique de Kevelioc de Bailleul<\/em><\/span><\/p>\n<p><span style=\"font-family: Verdana,sans-serif;\">In a more sober manner from his appearances in Montreal and London, speaking from Zurich, a few hours prior to a formal announcement to the conclusion of the latest and endless emergency EU summits, Marc Faber told <a href=\"http:\/\/www.youtube.com\/watch?v=ybFuOxDPNns\" target=\"_blank\" rel=\"noopener\">CNBC<\/a> Thusday he expects the ECB and the Fed to make inflation a permanent feature of monetary policy in response to the global financial crisis.<\/span><\/p>\n<p>\u201c<span style=\"font-family: Verdana,sans-serif;\">. . . What I think will happen eventually . . . the same will happen as in the United States, the ECB will print money one way or the other,\u201d he told CNBC&#8217;s Carl Quintanilla. \u201cAnd, the debts that should be essentially written down to realistic value will continue to be carried on the books of banks at unrealistic values.\u201d<\/span><\/p>\n<p><!--mfunc adshow_display_ad_file_v2(array('ad_random_1.txt'), array(100), array('align' => 'float right', 'clear' => '', 'margin_top' => '', 'margin_bottom' => '', 'padding_top' => '', 'padding_bottom' => ''), array(), array()) --><\/p>\n<div style=\"float:right;margin-left:5px;\"><script type=\"text\/javascript\"><!--\ngoogle_ad_client = \"ca-pub-1408583772585547\";\n\/* SMW - in News 300 *\/\ngoogle_ad_slot = \"5684630733\";\ngoogle_ad_width = 300;\ngoogle_ad_height = 250;\n\/\/-->\n<\/script><br \/>\n<script type=\"text\/javascript\" src=\"http:\/\/pagead2.googlesyndication.com\/pagead\/show_ads.js\">\n<\/script><\/div>\n<p><!--\/mfunc--><\/p>\n<p>\u201c<span style=\"font-family: Verdana,sans-serif;\">So the end crisis will be postponed until the sovereigns go bankrupt,\u201d he said with Cheshire Cat smile.<\/span><\/p>\n<p><span style=\"font-family: Verdana,sans-serif;\">And, of course, Faber, was right when the matter comes to a push-and-shove. Hours later, <em>Associated Press<\/em> release the following headline: <em>EU official: Eurozone reaches deal for private creditors to take 50 pct cut on Greek <a href=\"https:\/\/thestockmarketwatch.com\/markets\/bonds\/today.aspx\">bonds<\/a><\/em><\/span><\/p>\n<p><span style=\"font-family: Verdana,sans-serif;\">When CNBC&#8217;s David Faber asked Marc Faber (no relation) to elaborate, he said, \u201cWell, before they [sovereigns] go bankrupt they&#8217;ll print money, and they can print endless money, and as long as we have Ben Bernanke and Janet Yellen at the Fed, they will also print money, and they can postpone the endgame endlessly, endlessly not, but say for another five to 10 years.\u201d<\/span><\/p>\n<p><span style=\"font-family: Verdana,sans-serif;\">And of course, money printing translates to higher food and energy costs, as the result of the EU agreement prompted monstrous moves in oil, precious metals (especially the <a href=\"https:\/\/stockmarketwatch.com\/metal\/silver-price.aspx\" data-internallinksmanager029f6b8e52c=\"5\" title=\"silver price today\">silver<\/a> price) along with stocks on all global exchanges\u2014with bank stocks soaring across the board somewhere in the five percent bracket. Oil was up more than $3 per barrel, while silver nearly rose $2.<\/span><\/p>\n<p><span style=\"font-family: Verdana,sans-serif;\">In response to David Faber, Marc Faber noted an article he just read that indicated that education costs in the US rose 8 percent this year, serving as an example of the \u201cunintended consequences\u201d of money printing at the Fed and ECB. If central banks continue layering debt onto debt, the average American household won&#8217;t be able to service the debt, he said. <\/span><\/p>\n<p><span style=\"font-family: Verdana,sans-serif;\">That&#8217;s when the \u201chour of truth\u201d approaches, Faber added, bumbling another metaphor on top of a previous misstated metaphor, \u201cthe closets are bare\u201d, a few years back in another CNBC interview. It&#8217;s all in good fun and is half the reason for catching a Faber interview. But CNBC&#8217;s Simon Hobbs was in one of his nasty moods as he reminded Faber of his &#8216;Faber Shocker&#8217; at the World <a href=\"https:\/\/thestockmarketwatch.com\/markets\/commodities\/today.aspx\">Commodities<\/a> Conference in London on Tuesday, when the Swiss money manager end his presentation with another &#8216;Faber Shocker&#8217;, as reported by the <em>Wall Street Journal<\/em>:<\/span><\/p>\n<p>\u201c<span style=\"font-family: Verdana,sans-serif;\">You should not only diversify your asset holdings, but also diversify where you hold those assets, in case they\u2019re seized by politicians as the welfare state enters its death throes. The governments, they\u2019re going to f\u2014 you all, that\u2019s for sure.\u201d <\/span><\/p>\n<p><span style=\"font-family: Verdana,sans-serif;\">Hobbs asked Faber in a his characteristic stoic posture, \u201cThat&#8217;s quite an negative view, don&#8217;t you think?\u201d Faber, still laughing from hearing his quote read back to him, said, \u201cI said it differently.\u201d How disappointing, if true.<\/span><\/p>\n<p><span style=\"font-family: Verdana,sans-serif;\">Faber went on to explain that the US and EU governments are not looking out for its constituencies, but, instead, politicians are increasingly only looking out for themselves.<\/span><\/p>\n<p><span style=\"font-family: Verdana,sans-serif;\">Hobbs then issued the zinger question to the <em>Gloom Boom Doom<\/em> publisher, turning the interview into the subject of Marc Faber. <\/span><\/p>\n<p><span style=\"font-family: Verdana,sans-serif;\">\u201cIn Steve Jobs&#8217; new autobiography, Walt Isaacson talks about a conversation he had with Rupert Murdoch, and Steve Jobs says, &#8216;For commentary and analysis today, the axis today is not liberal or conservative, the axis now is constructive versus destructive.&#8217; Which side of that line do you think you fall on?\u201d asked the steely-eyed Hobbs.<\/span><\/p>\n<p>\u201c<span style=\"font-family: Verdana,sans-serif;\">Well, I think I&#8217;m very constructive and I&#8217;m a great optimist in life, otherwise I would commit suicide in view of the kinds of governments we have now-a-days,\u201d Faber retorted. \u201cBecause, for sure, they will take wealth away from the well-to-do people one way or the other, and from the middle class, they will take it away through inflating the economy and lowering the standard of living.\u201d<\/span><\/p>\n<p><span style=\"font-family: Verdana,sans-serif;\">In that environment, Marc Faber added, \u201cI rather own equities than government <a href=\"https:\/\/thestockmarketwatch.com\/markets\/bonds\/today.aspx\">bonds<\/a> for the next 10 years,\u201d<\/span><\/p>\n<p><span style=\"font-family: Verdana,sans-serif;\">Carl Quintanilla, then, wraps up the interview by thanking Faber for his appearance. Faber responds, \u201cIt&#8217;s my pleasure. It&#8217;s my pleasure to be so <em>optimistic<\/em>,\u201d beaming for having the last word with the sourpuss Hobbs.<\/span><\/p>\n<\/p>\n<hr>\n<table style=\"border:none;margin:0;\">\n<tr>\n<td style=\"padding:5px;vertical-align:top;\" valign=\"top\">\n.<\/td>\n<td style=\"padding:5px;vertical-align:top;\" valign=\"top\">\n<div style=\"font-size:11pt;\"><b>Post Written By: Mr. Dominique de Kevelioc, de Bailleul <\/b><\/div>\n<div style=\"font-size:10pt;\">\n<\/div>\n<\/td>\n<\/tr>\n<\/table>\n<p><script type=\"text\/javascript\"><!--\ngoogle_ad_client = \"pub-1408583772585547\";\n\/* 336x280, created 7\/9\/11 *\/\ngoogle_ad_slot = \"3552319058\";\ngoogle_ad_width = 336;\ngoogle_ad_height = 280;\n\/\/-->\n<\/script><br \/>\n<script type=\"text\/javascript\" src=\"http:\/\/pagead2.googlesyndication.com\/pagead\/show_ads.js\">\n<\/script><\/p>\n<div style=\"margin:5px;margin-bottom:20px;font-size:11pt;\">&laquo; <a href=\"https:\/\/thestockmarketwatch.com\/stock-market-news\/\">Return to Stock Market News<\/a> &laquo; <\/div>\n","protected":false},"excerpt":{"rendered":"<p>By Dominique de Kevelioc de Bailleul In a more sober manner from his appearances in Montreal and London, speaking from [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":50312,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"rank_math_schema_Article":[],"rank_math_focus_keyword":[],"rank_math_description":[],"financial_data_references":[],"stock_symbols_mentioned":[],"footnotes":""},"categories":[3,94],"tags":[],"class_list":["post-13985","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-news","category-market-update"],"_links":{"self":[{"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/posts\/13985","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/comments?post=13985"}],"version-history":[{"count":0,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/posts\/13985\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/media\/50312"}],"wp:attachment":[{"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/media?parent=13985"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/categories?post=13985"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/tags?post=13985"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}