Marc Faber appears to bullish on the U.S. dollar. Faber also recommended that investors go underweight equities right now.
“In a money-printing environment I’m reluctant to short. But say whereas I recommended investors to increase their positions last October, November, December, now I think that if people are overweight in equities they should reduce positions somewhat…maybe cash. The U.S. dollar is desirable at the present time.
Faber has (wrongly) been bullish on the Japanese market in the last year and he stills thinks that Japan could outperform.
“And I happen to believe that money printing will continue and I would probably buy financial shares and I believe that the Japanese market may outperform all the other markets against all expectations in 2012.”
Faber also thinks that hedge funds and most investors are loaded up with equities.
“The market is no longer oversold the way it was in December. And everybody thinks that the race is on, go along with equities, the hedge funds have positioned themselves on the long side and optimism is high. I would be very careful at this stage.”
As always, Faber continues to be bullish on gold.