Mark Mobius Warns Market Correction of 30-40% Could Be Coming Soon

cnbc.com  ( Original )
MAY 2, 2018

Mark Mobius: There could be a 'substantial correction' in the markets from CNBC.

  

A 30 to 40 percent adjustment is "not unreasonable," he said, speaking on developed as well as emerging markets. "I'm not predicting that, I'm just saying we've got to be ready for that," he added. Mobius cited the long U.S. bull market, since 2009, as the reason for the correction.

"The catalyst I believe will come from continuing increases in interest rates. The (Federal Reserve) is definitely moving in that direction," he said. "When the Fed moves, everybody else has got to move in that direction."

Mobius also cited the potential impact of political changes on markets. "Any event could also be a trigger," he explained.