Mind Over Market

Melissa Lee of CNBC inveterviews Marc Faber February 21, 2013 Rough transcript highlights of interview: stocks having their biggest two-day decline. should investors be prepared for a correction or even worse? joining us now on the fast line is marc faber. marc, good to have you with us. you're going to be pretty doomy and gloomy tonight, i'm guessing, but in terms of a pull-back, you've said in the past, a 1987-like correction. is that what -- is this the beginning of that? i don't think that's yet there. but i think we have made the top and it could be a longer term top. i don't think the market is overbought as it was in '87, so, i don't expect a crash. but i think, for the time being, the market has peaked out. and i think that in the meantime, bonds, which are extremely oversold, could rebound. so, let me get this straight, marc, just to be clear for the viewers out there. you don't necessarily think at this point in time, thi...

Marc Faber, publisher of the Gloom, Boom & Doom report, talks about the potential impact of President Barack Obama's reelection on the U.S. economy and financial markets. He speaks with Trish Regan and Adam Johnson on Bloomberg Television's "Street Smart." (Source: Bloomberg) As a result of the reelection of Obama, there will be more regulatio and a disincentive for business men to hire people and higher taxes. You still have Ben Bernanke and because of money printing, you have very high corporate earnings. The global economic slowdown will affect markets negatively. At a minimum the market will drop at least 20 percent over the next few months. Faber thinks there will be a year-end rally and a cosmetic deal with the fiscal cliff. He believes we are already in recession.