“The question is not tapering. The question is at what point will they increase the asset purchases to say $150 [billion] , $200 [billion], a trillion dollars a month,” Faber said in a ” Squawk Box ” interview.
The Fed-which is currently buying $85 billion worth of bonds every month-will hold its October meeting next week to deliberate the future of its asset purchases known as quantitative easing.
Faber has been predicting so-called “QE infinity” because “every government program that is introduced under urgency and as a temporary measure is always permanent.” He also said, “The Fed has boxed itself into a position where there is no exit strategy.”
While there may be little inflation in the U.S., Faber said there’s been incredible asset inflation. “We are the bubble. We have a colossal asset bubble in the world [and] a leverage or a debt bubble.”
Back in April 2012, Faber said the world will face “massive wealth destruction” in which “well to-do people will lose up to 50 percent of their total wealth.”
Full article: Faber: Fed could up QE to $1 trillion a month (Yahoo! Finance | CNBC)