"There isn't anything the matter with the global economy", says Biggs who adds that today's stock market pullback is "one more of the periodic panics that we've had over the last five, six months.
"The popping of the junk mortgage debt bubble is really a positive development because it restores some kind of sanity to the debt markets."
Biggs says the present round of selling will be similar to the pull back the market experienced in late February and early March. "It's going to scare the heck out of everybody and it's going to look terrible and there will be same pattern like in February" with a rebound either Friday morning, or early next week and then a bull market resumption.
Biggs remains a bull saying the market is setting up for a "big cap and really a macro-cap melt up".