Rising tensions between Israel and Iran will provide a favorable backdrop for gold and silver

Rising tensions between Israel and Iran will provide a favorable backdrop for gold and silver as safe haven asset classes, according to prominent market pundit Marc Faber. In comments made to reuters, Faber stated that “Political risk was high six months ago and is higher now. I think sooner or later, the U.S. or Israel will strike Iran – it’s almost inevitable.”

If “war breaks out in the Middle East or anywhere else,” Faber continued “Mr. Bernanke will just print even more money. They have no (other) option, they haven’t got the money to finance a war.” Faber – who correctly called the 1987 stock market crash and author of The Gloom Boom & Doom report – has also been one of the more noteworthy gold bulls over the past decade.

In order for investors to protect themselves from the escalating risks of war, Faber contended that “You have to be in Gold and equities…most wars and most social unrest haven’t destroyed corporations – they usually survive.”