Pro­vid­ing his tra­di­tional dose of snark, tragedy and real­ism, the Gloom, Boom and Doom report author spoke to Bloomberg TV, and when asked what his out­look for the euro is, dis­pensed the fol­low­ing pearl: "I have a very spe­cial stock tip for you. The sym­bol is g-o-l-d. That is what I pre­fer to hold. Both the euro and the dol­lar are long-term unde­sir­able cur­ren­cies, espe­cially given zero inter­est rates in the U.S. Equi­ties to some extent become like cash because they become a store of value com­pared to cash at a zero interest-rates. Paint­ings become a store of value, stamps become a store of value." Need­less to say, this is the kind of response that will get him banned from CNBC for life when Bar­tiromo breath­lessly asks him, "ok, you think the world is end­ing, so what five stocks would you buy." As for his lat­est report, "It's actu­ally quite gloomy but if you're very gloomy what do you invest in: Trea­suries, Ital­ian bonds or com­modi­ties or equi­ties?  I hap­pen to think U.S. equi­ties are not ter­ri­bly expen­sive, so rel­a­tively speak­ing to other assets, they may for a while actu­ally do quite well." Con­sid­er­ing the ridicu­lous­ness of the mar­ket over the past two weeks when it has gone up on noth­ing but lies, Faber just may have a point.

Some other high­lights from Faber:

On the mar­ket now:

"Right now, the mar­ket is in neu­tral ter­ri­tory. It was very over­sold on Octo­ber 4th when the S&P dropped to 1,074. Now around 1260, the upside in my opin­ion will be between 1,280 and 1,350 because there's a lot of sup­ply around that area. But if there is some good news com­ing out of Europe, and good news would sim­ply mean post­pon­ing the prob­lems for another few years with some kind of money print­ing oper­a­tion, either by that ECB or IMF or EFSF, [that] lift stock prices higher."

"[Post­pon­ing prob­lems] is not good news, but it is bet­ter news than if the whole euro­zone falls apart. It gives some time to maybe find bet­ter solu­tions. I doubt they will be found, but with money print­ing you can hide a lot of things and you can post­pone prob­lems as we have seen in the U.S."

On whether he'd rather own euros or dollars:

"I have a very spe­cial stock tip for you. The sym­bol is g-o-l-d. That is what I pre­fer to hold. Both the euro and the dol­lar are long-term unde­sir­able cur­ren­cies, espe­cially given zero inter­est rates in the U.S. Equi­ties to some extent become like cash because they become a store of value com­pared to cash at a zero interest-rates. Paint­ings become a store of value, stamps become a store of value."

On emerg­ing markets:

"There is close cor­re­la­tion between all mar­kets in the world. This year, the U.S. has grossly out­per­formed the emerg­ing mar­kets   In Asia, we're down between 15% and 25% in mar­kets. In East­ern Europe, even more. The U.S. this year is a won­der­ful mar­ket rel­a­tive to the rest of the world. "

"I think this out­per­for­mance may go on for a while. Some emerg­ing mar­kets could rebound more strongly than the U.S. because they are more over­sold. Like India, the cur­rency is down 18% since July and the mar­ket is down 22%.  Cur­rency adjusted, the mar­ket has been extremely weak and is over­sold. It could rebound some­what here, but for­get about new highs. It's not going to hap­pen any­time soon."

On China:

"The rea­son I'm not very keen on China at the present time [is because] we had a credit bub­ble, we still have arti­fi­cially low inter­est rates and a huge fis­cal deficit in orders words arti­fi­cial stim­u­lus. That's com­ing to an end. Yes, the gov­ern­ment can fur­ther stim­u­late and slash interest-rates again and reduce reserve require­ments, but it will just post­pone the prob­lem and aggra­vate the prob­lem in my opinion."

"When you have an econ­omy like China that becomes so big so quickly, you can have a more mean­ing­ful set­back. If the U.S. econ­omy grows at 3% or con­tracts that 3%, it has no impact on the price of cop­per to speak of….In the case of China, whether the econ­omy grows at 10% or 5% as a huge impact on the demand for iron ore and cop­per and alu­minum, steel and coal. The Chi­nese econ­omy today has a much larger impact on the rest of the world than is gen­er­ally per­ceived eco­nom­i­cally speaking."

Read more from the author/contributor here.

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