Dr Marc Faber is interviewed by a Slovak Radio via phone directly from Thailand,He talked about the situation in the U.S., EU and Asia, and gave his opinion on precious metals.
Question : Yesterday (05 July) The ECB cut its base rate to a historic low and the conditions for release of collateral to banks. This will help Europe?
Marc Faber : I do not think so. I think whatever now the government will undertake may postpone the problems but it does not solve them , and the problem is too much debt. I mean I would say how long would the Germans essentially be willing to finance the excess consumption in Spain, Italy, Greece and Portugal and so forth . And I would like to add that although the situation is not ideal in these countries and these countries are close to the lows in 2007-2008 and may even fall even lower, there are decent companies in Spain Italy and Portugal that are now relatively cheap and in which Today, in my opinion is worth investing. I see real value there.