What is the ballooning trade deficit telling us about the US economy? Peter Schiff recently appeared on NTD News to talk about it. He said the US has never been worse on trade and it is a sign that we don’t have a recovering economy. In fact, we have a phony economy in danger of collapse.
Peter Schiff recently appeared on RT Boom Bust to talk about inflation, the Fed and gold. He said a lot of people still think the Fed will soon tighten monetary policy to deal with rising inflation pressure. But they’re wrong. Ultimately, the Fed is going to surrender to inflation without a fight. When the markets realize this, the dollar is going to crash through the floor and gold is going through the roof.
Do you feel stimulated? Congress got the deal done on a $1.9 trillion stimulus package this week. But the markets continue to behave as if there is no inflation threat with all this borrowing, spending and money printing. On this week’s Friday Gold Wrap, host Mike Maharrey breaks down the stimulus bill. He tells you what’s in it and who will pay for it. He also talks about rising prices the mainstream can’t seem to find.
The markets seem to think the Fed is going to fight inflation. They believe that the central bank will pivot to tighter monetary policy sooner than expected as inflation heats up, even though Jerome Powell keeps insisting inflation isn’t really a problem. In a recent podcast, Peter Schiff said that the truth is the Fed is between a rock and a hard place. It couldn’t fight inflation even if it wanted to. Doing so would kill the economy. The only other choice is to surrender to inflation.
Gold faced more selling pressure this week as the mainstream continues to labor under the misguided notion that the Federal Reserve is going to tighten monetary policy sooner than expected to deal with inflation. Friday Gold Wrap podcast host Mike Maharrey has been arguing the Fed is not going to tighten; it’s going to ramp up quantitative easing to keep rates down. This week, he shares some insights from a mainstream analyst who gets it too.
On Monday, the Reserve Bank of Australia announced plans to dramatically increase its quantitative easing program. Was this an Aussie canary in the coal mine foreshadowing what’s coming down the pike from the Federal Reserve? Peter Schiff talked about the RBA’s move in his podcast. He said, for now, the Australian central bank is doing the Fed’s dirty work.
Gold and silver continue to struggle with significant selling pressure. Last Friday, gold dropped some $40 as bond yields rose yet again. There continues to be this expectation that rising inflation and economic growth are going to force the Fed’s hand and cause it to pivot to tighter monetary policy sooner than expected. But in his podcast, Peter Schiff reminds us that inflation is not a threat to gold. And he says anybody betting against the yellow metal and on the dollar is going to lose.
Jerome Powell was on Capitol Hill this week (at least virtually) to talk to Congress. During his two days of testimony, the Fed chair insisted that there is no inflation. In fact, he claimed it will take years for the central bank to reach its 2% target. SchiffGold Friday Gold Wrap podcast host Mike Maharrey says Powell is lying. But if you listen closely and read between the lines, you can dig a bit of truth out from the lies.
Interest rates continue to rise. Gold continues to languish. The stock market bubble continues to inflate. In his podcast, Peter Schiff argues that investors are reading the tea leaves all wrong. They think rising rates are going to force the Fed to tighten monetary policy sooner than expected. But Peter says there is a reality out there that nobody wants to acknowledge.
The Federal Reserve increased the money supply at a record rate in 2020. And a move recently announced by the US Treasury Department will mean even more money flooding into the marketplace. In other words, another tidal wave of inflation.
