Peter's Blog

A Dark Day in Economic History; Could It Happen Again?

Yesterday (April 5) was the anniversary of a dark day in US economic history. On April 5, 1933, President Franklin D. Roosevelt issued EO-6102. It was the beginning of the end for the gold standard.

Your Rising Wages May Make You Feel Better — Until You Try to Buy Stuff

Despite the biggest increase in average hourly wages for production and non-supervisory workers in 40 years, these people are actually worse off. Why? Rising prices are eating up their income gains.

Russia Is Quietly Making the Case for Owning Gold

Russia has quietly made the case for owning gold. The head of the Russian Parliament, Pavel Zavalny, made comments recently addressing the subject of economic and financial sanctions. It’s clear that gold is playing a large role in protecting Russian wealth. That role may get bigger and it could create a paradigm shift in how […]

Mortgage Rates Chart Biggest Weekly Increase in 11 Years

The Federal Reserve launched its fight against inflation earlier this month, but it wasn’t exactly shock and awe. The Fed raised interest rates by just a quarter percent.  Peter Schiff called it the most anticipated and least significant rate hike ever. Meanwhile, the central bank continued to expand its balance sheet. While the Fed’s tiny […]

As Sanctions Bite Average Russians Turn to Gold

As the ruble collapsed under the strain of economic sanctions after Russia invaded Ukraine, the Russian people turned to gold to protect their wealth. Russians went on a gold-buying spree in the first couple of weeks after the invasion.

While Talking About Fighting Inflation, the Fed Continued to Expand Its Balance Sheet

Earlier this month, the Federal Reserve launched its first salvo against inflation, raising interest rates by a quarter-percent. It was a pretty weak shot given 7.9% CPI, but Jerome Powell and other Fed presidents ratcheted up the tough rhetoric last week. Powell raised the possibility of 50 basis-point rate hikes at future meetings and San […]

Americans Are Buying A Lot — Of Inflation

Retail sales have gone up to start the year as Americans keep spending. But what are they buying? Inflation. American consumers are spending hand-over-fist in an effort to keep up with surging prices.

More Inflation Coming Down the Pike; Producer Prices Up Big Again

In another sign that the inflation train is far from running out of steam, producer prices were up big again in February. The Producer Price Index (PPI) for final demand surged 0.8% month on month. This was close to the expectation. The annual increase in producer prices came in at 10%, tying the all-time record.

Biggest Federal Budget Deficit Since July; This Is Bad News for the Fed

If you thought the federal government running a budget surplus in January was a sign that Washington D.C. was getting its fiscal house in order, you’re going to be disappointed. Uncle Sam ran the biggest deficit since last July in February.

Federal Reserve Debt Monetization: Financial Fraud on a Biblical Scale

Not too long ago, the national debt pushed above $30 trillion. Today, Uncle Sam is $30.26 trillion in the red. And he’s on the fast track toward $31 trillion. Today, most people don’t bat an eye at the national debt. But that wasn’t always the case. As David Stockman pointed out there was a great […]