Peter Schiff: Hyperinflation Is Now The Most Probable Scenario

peter-schiff:-hyperinflation-is-now-the-most-probable-scenario

26-03-20 11:18:00,

Via SchiffGold.com,

March 23 was Peter Schiff’s birthday. It was also the day the Federal Reserve announced QE Infinity. So, Peter spent over three hours hosting a live videocast talking about the latest Fed moves, the potential impact on the economy and answering questions from viewers.

Peter said he was hoping to combat the rampant economic ignorance that is pretty much everywhere.

There’s probably one thing that is spreading right now throughout the country faster than the coronavirus and that is economic ignorance and misinformation. It’s all over the place. It’s gone completely viral … The best thing anybody can do to combat the virus of ignorance is to turn off their television sets or their computers and don’t listen to anything that is being said in conventional media, whether it’s a news-related channel or a financial channel, I can virtually assure you that every single thing that you’re hearing is wrong.”

Peter hammered on a number of central themes you won’t hear discussed in the mainstream. For one thing, the Federal Reserve and the US government are repeating the mistakes of 2008.

Peter reminds us that as the crisis unfolded in ’08, he warned that the policies of bailouts and monetary stimulus were a mistake and that they would lead to a bigger crisis in the future.

Well, welcome to the future.”

He also emphasized that this isn’t about the coronavirus. The virus pricked a bubble that was inflated long ago. The economic chaos we’re seeing today started long before the virus reared its ugly head.

Everybody wants us to go back to normal, the way things were before anybody heard the word coronavirus of COVID-19. But you know what? We weren’t normal back then. The economy was sick before the virus infected us. It was a bubble. There was nothing normal about that bubble. And the problem with bubbles is once they pop, they’re not going to reflate. You need a new bubble. You need a bigger bubble. That’s what the Fed did. They inflated the NASDAQ bubble. That popped. They inflated a bigger bubble in housing. That popped. And then they inflated a bubble in everything. Well, everything has already been in a bubble.

 » Lees verder

Peter Schiff: COVID-19 Is Exposing The Truth About The Economy

peter-schiff:-covid-19-is-exposing-the-truth-about-the-economy

25-03-20 08:34:00,

Via SchiffGold.com,

It wasn’t long ago that all of the pundits were telling us that the economy was strong. As a result, a lot of people seem to think that once the coronavirus situation is resolved, the economy will quickly go back to normal. In his podcast Friday, Peter Schiff said that’s not going to happen. The coronavirus is actually going to reveal that the “great” economy was an illusion — a big, fat, ugly bubble that has now been popped.

US stocks ended a very volatile week down again on Friday. The Dow Jones shed another 913 points and has now lost all of the gains made during the Trump presidency. On the week, the Dow dropped over 4,000 points. It was the worst week ever in terms of a drop in points. On a percentage basis, it was the worst week since the 2008 financial crisis.

In his podcast Friday, Peter Schiff said this looks an awful lot like a financial crisis even though everybody keeps saying it’s not a financial crisis.

The difference is this is a bigger financial crisis than the one we had in 2008.”

In fact, March is on track to be the worst percentage drop in the US stock market in one month since 1932.

That was the depression. And you know, it’s not a coincidence that the market is behaving today the way it behaved in a depression. Because we’re entering another one. Only this is going to be much worse. It’s going to be an inflationary depression. … This is not your great-grandfather’s depression.”

The conventional wisdom is that everything will be fine once we get through the coronavirus shutdown. Meanwhile, the government can keep us all afloat with bailouts.

This is so laughable and shows how little people understand basic economics.”

Peter raises the key question: where is the money going to come from to pay everybody? Of course, it will be created out of thin air. The Federal Reserve will once again monetize the debt. In the process, its balance sheet is going to explode. Once this is over, how can the central bank possibly shrink that balance sheet and say “it’s business as usual?” How are we going to let interest rates rise when there is all that debt?

 » Lees verder

Peter Schiff: This House of Cards Will Come Crashing Down On Consumers

peter-schiff:-this-house-of-cards-will-come-crashing-down-on-consumers

04-12-19 11:49:00,

Via SchiffGold.com,

Stocks closed out November on a high note with the hope of a trade deal fueling Wall Street. But is this warranted? And are consumers really doing as well as the mainstream would have us believe? Peter Schiff appeared on RT Boom Bust last week to talk about it. He said it’s all a house of cards and it’s going to come crashing down on American consumers.

Peter started out the interview talking about Hong Kong. The territory became a focal point in trade talks between the US and China after President Trump signed the Hong Kong Human Rights and Democracy Act supporting pro-democracy protestors. Peter said US criticism is a bit hypocritical.

If you look at the index of economic freedom that the Heritage Foundation puts out every year, Hong Kong ranks number one. Today, it’s the freest economy in the world. The United States ranks 12th on that list. So, I’m more concerned about the freedom of our own people. So, rather than worrying about the freest people in the world, how about if our leaders try to find a way to make Americans more free?”

One of the Boom Bust hosts pointed out that President Trump has said he is trying to broker a deal where America does much better than the Chinese. She asked how we can expect to get a deal done when the president doesn’t seem to be interested in a “fair” deal. Peter said pushing for an advantage is just the nature of negotiating. But he said he doesn’t really think Trump is trying to get a deal done.

Trump just wants the stock market to go up. And as long as the stock market is going up, he couldn’t care less about a deal with China. Maybe if the stock market really started to tank, then he might feel some type of pressure to actually deliver a deal. But as long as he can make the market go up by talking about the prospects of a deal, then that’s all Trump wants.”

As far as the US stock markets go, Peter said there are a  lot of things that should be causing them to go down,

 » Lees verder

Peter Schiff: “The Recession Is A Done Deal” Thanks To The Fed’s Rate-Hikes

peter-schiff-8220the-recession-is-a-done-deal8221-thanks-to-the-fed8217s-rate-hikes

22-01-19 09:24:00,

Via SchiffGold.com,

Optimism about a trade deal with China along with increasing expectations that the Federal Reserve will slow the pace of interest rate hikes buoyed the markets last week.

This has led many pundits to declare that the correction is over. Some have even declared its a new bull market. In his latest podcast, Peter Schiff said that’s not what’s happening at all. What we’re seeing is a typical bear market correction and a recession is right around the corner.

All day Friday, pundits on CNBC emphasized that the Dow has risen out of “correction” territory, meaning it is no longer 10% below its highs. Peter took issue with this analysis.

First of all, we didn’t enter a correction. We entered a bear market. Now, bear markets have corrections too. They’re called rallies. Except the people and CNBC don’t get that. They think the only correction is a move down in a bull market.”

Peter said this correction is actually helping this bear market fall a “slope of hope.”

So, what is driving this bear market correction? Just like Peter predicted – the Federal Reserve.

As I’ve been saying, I began forecasting, even before the first rate hike in December of 2015, that if the Federal Reserve ever tried to normalize interest rates, it would never succeed. It would never be able to get rates back to normal because somewhere along the way they would tip the stock market into a bear market, cause a recession, and the Fed would back off. And that’s exactly what happened. The minute the stock market went into a bear market in the fourth quarter of last year, by early this year, everybody did an about-face, and all of a sudden, there are no more rate hikes, no more autopilot. They’re just, you know, being patient.”

We’ve been reporting on the Powell Put, but the Fed chair isn’t alone in his dovishness. In fact, San Francisco Fed President Mary Daly said rate hikes are “on pause” last week, even though she sees no sign of a recession.

Peter said they if they are pausing now,

 » Lees verder

Peter Schiff: “We’re In A House Of Cards That The Fed Built”

peter-schiff-8220we8217re-in-a-house-of-cards-that-the-fed-built8221

20-12-18 09:22:00,

Authored by Mac Slavo via SHTFplan.com,

Economic analyst Peter Schiff, who accurately predicted the 2008 recession said recently that we are not in a bear market. Instead, “we’re in a house of cards that the Fed built.”

Schiff is referring to the Federal Reserve, the United States’ central bank that answers to no one, has no competition, and has been responsible for every depression and recession since its inception. Schiff, who is the chief executive of Euro Pacific Capital, a longtime gold bug and market pundit, has been putting the upcoming economic disaster squarely on the shoulders of the Fed -very much where that blame belongs.

“I’m watching the U.S. economy implode from the beach,” Schiff told MarketWatchduring a recent phone interview from a beach in Puerto Rico.

“We’re in a lot of trouble,” he said.

Schiff has often been considered “polarizing”  to Wall Street pundits because he calls the Fed out for their destruction of the economy and that’s just not something most want to hear.  The prominent investor should be worthy of investors’ attention, however, because his prescient calls ahead of the 2008 financial crisis, which earned him plaudits as one of the few able to spot a global economic crisis emanating from the housing market, were correct as  MarketWatch reported.

Schiff says that after a decade of “easy money” policies, such as money printing and low interest rates, the Fed has set up an economy unable to cope with a rise in rates.

Schiff added that the inflation that has taken hold in the lofty prices of stocks and other assets and predicts will gradually shift to higher prices for consumers, who are already feeling their wallets burn thanks to the trade war. The other big problem is that Americans are broke Any interest rate hike could push debt-laden and cash-strapped Americans to the brink forcing them to choose which bills will get paid.

Meanwhile, the most recent reading showed that the 12-month rate of inflation was flat at 2%  (as measured by Federal Reserve’s preferred PCE) or personal consumption expenditures,

 » Lees verder