Contact us
CALL US NOW 1-888-GOLD-160
(1-888-465-3160)

Peter Schiff: The Russians Are Buying Gold to Prepare for the Impending Dollar Crisis

  by    0   0

Russia once again added to its growing gold reserves in April, buying another 15.55 tons of the yellow metal. According to a press release from the Central Bank of Russia, it now holds 2,183.46 tons of gold.

Russia has expanded its gold holdings by 71.53 tons through the first four months of 2019. Russian gold reserves increased 274.3 tons in 2018, marking the fourth consecutive year of plus-200 ton growth. Meanwhile, the Russians sold off nearly all of its US Treasury holdings. According to Bank of America analysts,  the amount of US dollars in Russian reserves fell from 46% to 22% in 2018.

In an appearance on RT, Peter Schiff said he thinks the Russians are preparing for an impending dollar crisis.

As Peter explained, the world has been on a dollar standard ever since the US led the world off the gold standard.

That was fine when the dollar was backed by gold, but now the dollar is backed by nothing. So, if you’re backing your currency with a currency that’s backed by nothing, well, then your currency is backed by nothing.”

Peter said this wasn’t a problem when people perceived value in the dollar, but he thinks that’s going to change.

I think the next recession when the Fed goes back to zero and when we launch QE4, I think the dollar’s role as a reserve currency is going to be questioned, and central banks need an alternative. And the only viable alternative to back up their own currency is real money, which is gold.”

Peter also talked about the fact that the US uses the dollar as a weapon.

Other countries don’t like this, and to the extent that they can move away from the dollar, well then they kill two birds with one stone. And one way of doing that is to increase their gold reserves now while gold is still cheap. Because when the dollar really starts to tank, the price of gold is going to soar. Russia, right now, obviously wants to buy as much gold as it can while the price is still relatively cheap. That allows it to build up a bigger hoard of gold to replace the diminished value that the dollar is going to play as a reserve currency.”

China has also been buying gold. Peter said this is one way for the Chinese to gain leverage in the trade war. They can strengthen the yuan by selling dollars and buying gold.

That would help increase the value of the yuan and that would help increase the purchasing power of their own citizens while really dealing a fatal blow to the dollar and the US economy at the same time.”

The RT anchor asked if it was really possible for other countries to actually ditch the US dollar. Peter said it’s not only possible, it’s inevitable.

Ultimately, the US won’t have any leverage at all … This [the dollar as the reserve currency] was an exorbitant privilege that the US has enjoyed for decades, but it has abused that privilege dramatically, even more so recently with the sanctions. So, I think that privilege is going to be lost and with it will go the artificially high standard of living that came along with it in the United States.”

Download SchiffGold's Gold vs GLD EFT's Guide Today

Get Peter Schiff’s most important Gold headlines once per week – click here – for a free subscription to his exclusive weekly email updates.
Interested in learning how to buy gold and buy silver?
Call 1-888-GOLD-160 and speak with a Precious Metals Specialist today!


Related Posts

Peter Schiff Wants to Go Double or Nothing on His 2006 Bet With Art Laffer (Video)

Economist Art Laffer owes Peter Schiff a penny after losing a 2006 bet. Now Peter is ready to go double or nothing. Peter won the penny on a bet he made with Laffer on Larry Kudlow’s TV show back in 2006. Peter said the economy as going to crash. Laffer said the economy was doing […]

READ MORE →

Peter Schiff: The Trade Is Get Out of the Dollar and Look at Gold (Video)

Right before the Federal Reserve raised interest rates for the last time in December 2018, Peter Schiff predicted the next move would be a rate cut. At the time, Fox Business anchor Liz Claman promised she would bring Peter back on if he was right. He was. And she did. The Fed cut rates for […]

READ MORE →

Peter Schiff: Gold Will Go Much Higher Than $5,000 (Video)

In a podcast last week, Peter Schiff said we have all the elements of a gold bull market. This week, he appeared on Kitco News and talked with Daniela Carbone about what’s going on with gold. Peter said he thinks we’re at the beginning of a breakout from the consolidation we’ve seen in the market […]

READ MORE →

Peter Schiff: If You Understood What This Means, You Would Be Buying Gold as Fast as You Can

Gold has risen to six-year highs in recent weeks as the Federal Reserve has pivoted back toward an easy-money monetary policy. Markets widely anticipate a Federal Reserve interest rate cut this week and the economy appears to be slowing. Peter Schiff recently appeared on RT Boom Bust to explain why he believes this is the […]

READ MORE →

Peter Schiff: Why Would Any Country Store Its Gold in the US? (Video)

Last week, we reported that Poland added 100 tons of gold to its reserves through the first half of the year and that it plans to move at least half of that hoard out of London to National Bank of Poland vaults in Warsaw. Although officials haven’t said so publicly, Poland’s move to repatriate part […]

READ MORE →

Comments are closed.

Call Now