Marc Faber, author of the report Gloom, Boom, & Doom Report, in another interview with CNBC expressed his thoughts about the alleged plans of action and Feda - Materials AMarkets.
Faber believes that if the market will fall further, the Fed is required to launch a new round of "easing", regardless of market expectations. In other words - the next round of QE for the regulator is not a problem. Faber believes that the debt market and its state at the current situation, in general, do not play a role for the Feda. If QE4 will be launched - the market trezheris undoubtedly suffer.
First of all - bonds with low quality - junk bonds. Bonds, classified as "bonds with low quality" in the oil sector are now trading at $ 0.60 - $ 0.70 or lower. The expected size of Faber QE4 - it's about $ 1 trillion. If a new round of stimulus will be launched, S & P could stretch until 2050 at the earliest.