Crude Oil Will Put Pressure On The U.S. Economy

This is going to add additional downward pressure to the US Economy while putting upward pressure on the measured rates of inflation and maybe putting more pressure on the Federal Reserve to raise interest rates which is the last thing Donald Trump wants the Federal Reserve to do.

Crude Oil: We Can See $80-100 This Year

I've been talking about oil prices going up on this podcast. This is the highest oil has closed over two years and if we get above 62.75 which is less than a dollar away that would be the highest closed in oil since December of 2014. But it was all between July of 2014 in December that oil prices collapsed from above $100 a barrel to down below 40 and so I think once we get above 63 for example, I think we got clear sailing up to 80 to $100 oil and I think we can do that this year!

The Implications of the US Dollar Weakness

On a recent tweet, Peter Schiff highlights the recent moves in crude oil and gold and the implications of the US Dollar weakness going forward: 

"Gold closed above $1,300 an ounce for the 1st time in 5 years, oil closed above $60 per barrel for the 1st time in 4 years, and the U.S. dollar fell the most in 14 years. Interesting that no one is worried about what this implies for inflation or interest rates in 2018!"

Related: SPDR Gold Trust ETF (GLD), United States Oil Fund LP ETF (USO), Nymex Crude Oil Futures

Oil Prices Are Moving Higher

Oil prices got above $58 a barrel for the first time in over two years, a very strong oil market and if you look at the chart if we get above 60 dollars, I mean that's kind of a long -term moving average on a monthly chart, 60 to 75 was a key high from about two and a half years ago, if we take that out we can have a quick move up .

Remember the move down, oil fell from a hundred down to under 30 in about six months and then it's been recovering slowly ever since but if we can break through decisively that sixty to seventy-five we're gonna move up.

U.S. Economy, Crude Oil Prices and Interest Rates

We are dangerously close to an economic recession in America. Gasoline demand is down and the is why oil prices are going lower. The interest rate hike is going to make the problem worse. (Energy Select Sector SPDR ETF (XLE), Select Sector Financial Select Sector SPDR ETF (XLF), SPDR Dow Jones Industrial Average ETF (DIA), SPDR S&P 500 Index ETF (SPY), United States Oil Fund LP ETF (USO), Nymex Crude Oil Futures)

Crude Oil Prices Close Above 50 Dollars A Barrel

Oil prices closed above 50 dollars a barrel for the first time in a year, since last summer, June or July. This is not good news for the American consumer but its not just gasoline prices that are going higher, a lot of prices are going up.

Related ETFs: Energy Select Sector SPDR ETF (XLE), United States Oil Fund LP ETF (USO), Nymex Crude Oil Futures

Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.

Crude Oil & Stock Market: Decoupling

The markets are really acting as they are figuring out what is going on. I mean the markets have stagflation written all over them. First of all, oil. Oil had a big up day today, better than 2 dollars a barrel. This is the highest price of the year yet despite this big jump in oil prices the Dow Jones Industrials Index was barely up and the Nasdaq Composite was down. Decoupling. (Nymex Crude Oil Futures, United States Oil Fund LP ETF (USO), iShares Russell 2000 Index ETF (IWM), SPDR S&P 500 Index ETF (SPY), Nasdaq 100 Index ETF (QQQ))

Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.

This Commodity Move Is Real, We Are In A New Bull Market

The commodity currencies that have been rising are going to continue to rise against the U.S. Dollar. You are going to continue to see strength in latin America currencies, you are going to continue to see strength in Asian currencies and this means this commodity move is real, we are in a new bull market. (United States Oil Fund LP ETF (USO), Market Vectors Gold Miners ETF (GDX), SPDR Gold Trust ETF (GLD), Energy Select Sector SPDR ETF (XLE), Nymex Copper Futures, Nymex Crude Oil Futures)

Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.

Commodities: The Supply And Demand Dynamics Are Beginning To Shift

As the Dollar comes down, it increases demand for commodities because they are priced in dollars and so when the U.S. Dollar goes down it brings down the price of commodities and demand is very sensitive to price, the lower the price the bigger the demand.

The supply and demand dynamics are beginning to shift and I think we are going to see much much higher prices as the year progresses and in the following several years. (United States Oil Fund LP ETF (USO), Nymex Crude Oil Futures, SPDR Gold Trust ETF (GLD), Market Vectors Gold Miners ETF (GDX))

Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.

Commodities Are Going Higher

It is the Dollar going down and also supply. The price is a function of supply and demand and there is a lot of reduction in exploration and production so that is also causing prices to go higher. But the Dollar has also been weakening, the Dollar is at a 7 month low against the Australian Dollar (AUD). The U.S. Dollar has been weakening considerably in recent months, weeks. (United States Oil Fund LP ETF (USO), Nymex Crude Oil Futures, SPDR Gold Trust ETF (GLD), Market Vectors Gold Miners ETF (GDX))

Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.

Commodities Are Turning

Commodities are turning, the U.S. Dollar is turning, gold is turning and this is just going to compound the problem for the Federal Reserve. Because now they are not going to be able to hide behind the fact that there is not enough inflation. We are going to get more inflation but it is going to be stagflation.

(SPDR Gold Trust ETF (GLD), Market Vectors Gold Miners ETF (GDX), Nymex Crude Oil Futures)

Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.

Oil Crash May Be A Sign Of Things To Come

Topics: The drop in oil prices may be a sign of things to come;

Related trading instruments: United States Oil Fund LP ETF (USO), Nymex Crude Oil Futures, Energy Select Sector SPDR ETF (XLE)

Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.

Oil Prices Were Propped Up By The Federal Reserve

Oil prices were propped up by the Federal Reserve, so were home prices, so were stock prices. And if the Federal Reserve is not going to be there anymore, all the prices that were influenced by QE are going to come down. And since the U.S. recovery is a function of inflated asset prices, as the asset prices deflate, then the recession is going to return.

Related trading instruments: Energy Select Sector SPDR ETF (XLE), SPDR S&P 500 Index ETF (SPY), United States Oil Fund LP ETF (USO), Nymex Crude Oil Futures;

Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.

The Yellen`s Paradox

Topics: Janet Yellen`s view on falling gas and oil prices;

Related trading instruments: United States Oil Fund LP ETF (USO), Nymex Crude Oil Futures

Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.

Crude Oil Collapsing Like In 2009

I think the U.S. Economy is far weaker than the general consensus. I think we are headed into recession too, and that is why you see oil prices collapsing the way they did back in 2009.

But another factor that is exerting more downside pressure on oil is the widespread belief that the Federal Reserve is going to be tightening monetary policy which would even exacerbate the problem in the global economy, and of course the rising dollar that is resulting from the anticipation of higher interest rates, is also forcing oil prices lower.

Related trading instruments: United States Oil Fund LP ETF (USO), Energy Select Sector SPDR ETF (XLE), Nymex Crude Oil Futures

Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.

The Weakness In Crude Oil Is Temporary

I think the weakness in oil is temporary because it is based on, (A) on the global slowdown but (B) on the strength of the dollar which is predicated on the false belief that we have a legitimate U.S. recovery and as such the Federal Reserve can stop doing QE and raise rates, needer of these assumptions is true.

Related trading instruments: United States Oil Fund LP ETF (USO), Energy Select Sector SPDR ETF (XLE), ConocoPhillips (COP), Exxon Mobil (XOM), Marathon Oil (MRO), Nymex Crude Oil Futures, Halliburton (HAL), Schlumberger (SLB);

Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.

A Game Changer In The Oil Market

Everybody is looking for rate hikes and they not going to get them. So this will be a game changer in the oil market.

Related trading instruments: Energy Select Sector SPDR ETF (XLE), Nymex Crude Oil Futures, Exxon Mobil (XOM), Marathon Oil (MRO), ConocoPhipllips (COP)

Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.