Christmas Sales: The Worst Since 2009

Look at the Christmas sales. They have been the worst since 2009. I think a lot of the retailers made a mistake. They believed the hype, just like the investors and the economists. They loaded up on inventories coming into the Christmas season. That is why we got a 4 handle on the third quarter GDP. But I think they are finding out that a lot of Americans just don`t have any money to buy stuff. They are spending too much energy and food, they have lots of debt and lousy jobs. So, I think we are going to see some record sales following Christmas in the New Year. Not sales in selling, but declines in prices for sale.

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

China`s Currency Is Likely To Appreciate in 2014

I think China is very likely to see an appreciation of their currency in 2014. That is going to a good thing for chinese wage earners, for chinese consumers who are going to make a better deal on the things they need to buy. Its not going to play out so well over here because as the chinese currency becomes more valuable, their goods become more expensive and americans already have a hard time buying stuff. Look at the Christmas sales. they have been the worst since 2009.

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 Big Story Will Be China`s Tapering

The big story is going to be the tapering out of the emerging economies, the tapering out of China. I think China really wants to back down on its U.S. Treasuries purchases, maybe even start unwinding, actually shrinking its balance sheet. And if emerging markets are selling Treasuries  if investors are selling, who is left to buy? The only one left is the Federal Reserve.

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

U.S. Economy: The Highest Rate We Can Afford Is Zero

Without the support of the Federal Reserve, long term interest rates are headed a lot higher and our economy is too broke to afford it. The highest rate we can really afford is zero at this point and the markets haven`t figured this out yet.

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 Federal Reserve Eased Monetary Policy When They Announced The Taper

First of all, they haven`t even tapered yet. All they have done is to announce an intention to taper in the future and maybe they will actually get started but I actually think they eased monetary policy when they announced the taper because they put so much sugar to coat that bad tasting medicine that we have an easier monetary policy now.

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

Video: The Highest Interest Rate We Can Afford Is Zero

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

Bitcoin: It Will Not Work As A Currency

What are they worth? They are worth what the last person is willing to pay. I do not think it is going to work as a currency. Theoretically, there is a limit to the supply but what if there is no demand? And there will be a lot of other digital currencies.

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

Simple Economics On Wal-Mart (WMT)

They are entry level jobs. You have to have your first job before you can get your second job. Those type of jobs don`t require many skills, so you can`t really be paid very much. All the people that are advocating that Wal-Mart (WMT) just raise wages for all their unskilled workers to 15 dollars an hour, they forget about all the Wal-Mart customers, many of whom also earn less than 15 dollars an hour. The only reason they are shopping there is because they want low prices and in order to keep prices low, Wal-Mart (WMT) has to keep their costs low, and of course that includes their labor costs.

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

Video: The Response From The Left

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

Bitcoin: The High Is Probably In

I do not think if you are buying bitcoins today that you are getting in anywhere near the bottom. You may be getting in near the top but maybe there is another rally coming. It looks very suspicious that the high is in and that pretty soon the greed is going to be replaced by fear.

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 is Taper-Light, At Best

This is taper light, at best. But its not even that. Because the Fed was so worried about the effect that would have on the market simply by announcing a decision to taper in the future that the Fed decided to sugarcoat that bad tasting medicine. How did they do it? The Fed changed its language with respect to its commitment to keep interest rates at zero. They have been at zero for years and the Fed has said, as long as unemployment is above 6.50%, interest rates will stay at zero. Now,the Fed has changed that language, it has rewritten it. It now reads, the Fed is going to leave interest rates at zero well past the point in time where the unemployment rate goes below 6.50 percent. So they haven`t just moved the goal posts, they have destroyed the goal posts.  

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 Fed Is In A Box

At some point the market is going to figure out the box the Fed is in and it will not want to hold the dollar. It will realize that it is QE infinity and when the dollar really starts to come under pressure, if it loses 10, 20 percent of its value against a basket of currencies, that is when the Fed is going to have to make a choice. A very difficult choice that is has been avoiding for years, which is going to be to dramatically increase interest rates even if the unemployment rate is rising, even though it is going to force many banks into failure, even though it might force the government to default on its debt, even though its going to bring out a very severe recession, the Fed is going to have to raise rates anyway and start selling Treasuries not buying them. Or if it does not have the integrity, or the courage to do that, then its going to print even more money and the dollar is going to crash.

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

How An Economy Grows And Why it Crashes: Simplifying Economics

There are teachers who use this book around the world to help educate students in the classroom. Today the Keynesian economists really overcomplicate what really is a very simple subject of economics. And I think why the book does so well is, we break down the complexities of our modern day economy in which these economic principles seem to be lost, we break it down and we focus on a simple island with three individuals, struggling to survive and then its in that context that we introduce all these economic principles and then we demonstrate how the principles do not change as the economy grows and becomes more complex. The book is very humorous, you can read the entire thing in three to four hours.  

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

Investing In The Big Picture

There is a lot of politics when I talk about the markets, a lot of economics involved in it because I am generally investing in the big picture. So I don`t spend a lot of time getting into the particular details of a particular company, the balance sheet of a company or what I think it is going to happen to earnings. Lots of people talk about that. There is nothing really unique about having an outlook on a particular company.

So what I think is more unique is my perspective on the global economy, in particular the U.S. economy and a lot of it relates to politics because a lot of what is wrong with our economy can only be fixed politically.

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

America`s Level Of Taxation

Americans are paying levels of taxation that would be unthinkable around the time of the American Revolution.

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

Alternative Media: The Best Source Of Information

I think the best source of information right now in the media is the alternative media. There is a lot of good stuff on the internet, you just have to look for it. Unfortunately, most people don`t know where to look and so they never come across it. I started doing my radio show partly for that reason.

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

Fiat Currencies, Gold & Bitcoins

What we have now, fiat currencies instead of real money, does not work. So, we need to go back to real money. Now, do I think bitcoin is real money? No, I don`t. It does not satisfy to me the definition of money, what money needs to be. It does not have any intrinsic value on its own. You can`t do anything with a bitcoin. You can do something with gold, gold has a value unique to itself.

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

It`s Hard To Convince People To Vote For Less Government

There are a lot of solutions, the problems are easy to identify, and the solutions are simple. The problem is in a democracy, getting the solutions adopted. Because everybody wants something for free and everybody thinks the government can provide prosperity, the government can provide wealth. It can`t.  They can destroy that, but they can`t provide it. Yes, they can steal from one person and give it to somebody else but in the process of doing that they make everybody poor.

It`s hard to convince people to vote for freedom, to vote for less government. It`s much easier to convince them to vote for more. When it becomes difficult is when the government is so big and is destroying the economy so completely that the people finally wakes up to it. So I think the catalyst for change is extreme collapse, extreme despair and disaster when that message can no longer sell.

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 Whole U.S. Economy Is Based On Debt

Our whole economy in the U.S. is based on debt. Its based on borrowing to consume, borrowing to speculate. The government is financing itself based on debt, all these checks they are mailing out are based on debt.

The rates need to be practically zero in order for anybody to afford servicing the debt. That is how enormous the debt is and when the FED eventually lets interest rates rise, everything comes crashing back down, much worse than 2008.

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 Fundamentals Of The U.S. Economy

The fundamentals of the U.S. economy are much worse than they were when the FED began QE1. And you still have this idea that the FED can remove these supports and that the economy can somehow continue expanding on its own. It can`t. It is all a function of all that cheap money and artificially low interest rates that come with it.

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 Potential Growth In Asian Capital Markets

I do think that Asia, so Hong Kong, Shanghai, I think those center are going to grow in influence over time as more and more wealth is created in Asia, as more savings are accumulated that need to be invested. I think, the capital markets will grow in those regions. Right now, a lot of it is outsourced to places like London and New York but I think over time they will do more of that in-house.

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

Video: Economics, Politics & Monetary Policy

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 Federal Government Is Now Monetizing 150 Percent Of The Annual Budget Deficit

The federal government is now monetizing 150 percent of the annual budget deficit, when you look at what they are buying in mortgage backed securities and treasuries. This is the highest ever.

So the government is more addicted and more dependent on QE than it ever was. And not only they cannot take it away, they will have to increase it.

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 Dollar Has Not Collapsed Yet, But It Will

The dollar has not collapsed yet, but I think it is going to collapse under the weight of all the inflation that has already been created. The government does not want to let interest rates rise. When they talked about tapering and then interest rates went up, they backed off.

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

Gold Is Going To Resume Its Ascent

Gold has gone down one year out of the last 12 or 13 years. So, I think this is not going to be a new trend. Gold is going to resume its ascent.

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

What Will Happen When Foreign Central Banks Stop Buying Dollars

Even though there are some deflationary pressures in the U.S., they will be overwhelmed by a tsunami of inflation when foreign central banks stop buying dollars and let our currency sink. And then the U.S.  government has to kick the printing presses into high gear in order to monetize all the debt and keep all the bubbles inflated.

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

Emerging Markets Inflation Explained

The inflation that is being experienced in the emerging markets is imported from us. I think that their economies that are productive and are producing goods, that would keep prices down, but the problem is that the goods they are producing are being sent to America and we are sending them the paper that we print. And that is really what is driving prices in the emerging world. They are sending us their stuff, and we are sending them our paper. And so they have all this money chasing a diminished supply of goods.

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

Bitcoin: Money Or Speculative Asset?

I don`t know with any degree of certainty what gold is going to be worth next year. I can`t know that, but I do believe it will be valuable. I don`t believe it will be worthless. But with Bitcoin, the unknowns are so great, that it can`t be money right now, you can only view it as a speculative asset. Maybe it will be money in the future. Right now it is a highly speculative asset.

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

If The Fed Stops, We Will Have A Complete Collapse

The Federal Reserve is not going to back off. The market is going to push it off. The Federal Reserve is going to do this until it cannot do it anymore. Because if it stops then we have a complete financial collapse.

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

Digital Currencies Backed By Gold?

I am already starting to hear about digital currencies that would be backed by gold, which would make them a more legitimate currency, more of a replica of the original paper currencies that were backed by gold.

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

Bitcoins: Don`t Have Any Value Absent Being A Medium Of Exchange

The main problem when you try to look at bitcoins versus gold, because people are saying, well, its just a new version of gold. For hundreds of years, maybe more, before gold was used as money it was already used, it was an acceptable highly coveted, valued commodity that people wanted. It eventually became used as money because it was a more manageable commodity than other commodities that were used as money in addition to gold. So gold just was the commodity that was best suited to also be money but it was first and foremost a commodity, a luxury good that was in demand all around the world.

The thing with bitcoin is nobody wanted bitcoin until it was invented for commerce. The sole purpose of bitcoin is to be used as money. But it does not have any value absent being a medium of exchange.

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

There Is A Bubble In The Stock Market

Deja vu, all over again. Alan Greenspan actually came out today and proclaimed that there was no bubble in the stock market. He ought to know right because he is 0 for 2 in terms of spotting bubbles. I think its 3 strikes and he is out. Because not only there is a bubble in the stock market, the Federal Reserve has managed to inflate bubbles in the stock market, in the bond market and in the real estate market simultaneously!

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

Video: U.S. Stocks Are Expensive

Video Summary: 2014 Outlook for U.S. Stocks.

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

Bitcoins: Tulipmania 2.0

It`s not the gold standard 2.0, it`s the tulipmania 2.0. You are going to have a collapse in prices in bitcoins. I don`t know where the top is. Is it the top now? It might be, it might not be. We know it`s not the bottom. Clearly if you are buying bitcoins today, you are not getting in at the bottom, you maybe are getting in at the top.

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

China Announced The Mother Of All Tapering

Here is the biggest bombshell of the week, maybe of the year. Everybody was focusing their attention on what the Federal Reserve did not even say, they were pretending that the Fed said they were going to taper, even though they did not. So while everyone was focusing on stuff the Federal Reserve did not say, nobody paid attention to what China actually did say.

Because China announced the mother of all tapering. China finally came out and admitted that a further expansion of their foreign currency reserves is no longer in China`s interest. Now, expanding their foreign reserve currency reserves has not been in China`s interest for a long time, it is just that now they finally came out and publicly admitted it. Now, what does it mean?

If China isn`t going to expand its balance sheet anymore because its not in their interest, it means it has to stop buying Treasuries. It has to stop buying mortgage backed securities, the same securities the Federal Reserve is buying and is threatening to taper off.

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

Will Bitcoins Be Worth Zero? They Might.

Today of course, we do not have a legitimate currency. We have fiat currency. There is nothing behind the dollar, which is why people think, well, what is wrong with bitcoin? Because there is nothing behind the dollar and there is nothing behind bitcoins, there fore its the same.

Well, there is a significant difference. The dollar is legal tender in America. Other currencies are legal tender some place else. And even though I do not want dollars, the government only accepts dollars in payment of taxes, therefore if I don`t want to go to jail and I value not going to jail (that does have a value), the only way I can stay out of jail is to have enough dollars to pay my taxes. So, there is a legitimate use for dollars even though they do not have any intrinsic value, the way gold does.

But bitcoins, do not have any intrinsic value whatsoever. So here is the problem. People are advocating the use of bitcoins as if its a form of money. But it can`t be. Because bitcoins do not represent a store of value. You don`t know how much bitcoins will be worth next week, next year, in 5 or 10 years. Nobody knows. Will bitcoins be worth zero? They might because they don not have any intrinsic value.

Somebody may come up with an alternative digital currency maybe more attractive than bitcoins and people will use that one. Somebody might come up with a legitimate digital currency that is actually backed by gold. That is not hard to do.

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 Original Currencies

The original currencies were issued by private banks, in fact if you go back to the beginning, the first currency was issued by a goldsmith. Somebody took their gold to a goldsmith and he gave him a warehouse receipt for that gold. Now, the person who owned a warehouse receipt from a reputable goldsmith instead of going back and taking his gold, he might be able to take that receipt and exchange it with with somebody else who had goods and services that he desired. The other person might accept it because they recognize the receipt, they know its a reputable mint, they know there`s gold there and so that warehouse receipt can circulate as currency. That`s what banks did. Before the Federal Reserve in 1930, private banks all around the United States issued their own note currency. The currency was backed by gold that the banks had in their vaults.

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 Only Reason Anybody Wants Bitcoins

The only reason that anybody wants Bitcoins is because they believe somebody else wants them.

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

An Economy That Lives By QE, Dies By QE

The fact is, it is impossible to create a viable, self sustaining recovery with QE. I keep saying it, but if an economy lives by QE, it dies by QE. But no one seems to be able to figure this out.

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

Federal Reserve: They Have No Intention Of Tapering

The fact of the matter is, they have no intention of tapering. The markets still haven`t figured that out, despite the fact that today, Dennis Lockhart, who is the President of the Federal Reserve Bank of Atlanta, was on CNBC and this is what he said: "We will not taper our bond buying until the economy is ready."

We will not taper our bond buying until the economy is ready, what kind of commitment is that? I think he knows the economy will never be ready. I mean ready is always subjective, when will it be ready? It`s like a drug addict saying, "Yes, I will stop taking drugs when i no longer need the drugs to stay high. Well, you always need the drugs to stay high. We are high on monetary stimulus, we are high on QE.

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

Tapering & Tight Financial Conditions

If the markets continue to believe, if they continue to take the Fed taper bate and feel that a taper is imminent, interest rates on long term government bonds are going to rise even further. Now, if they continue to rise by the time the March meeting comes around financial conditions will be a lot tighter than they were back in September.

If the Federal Reserve could not taper in September because financial conditions were too tight, how are they going to taper in March or even sooner if financial conditions are even tighter?

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 Only Thing The Federal Reserve Fears More Than Tapering

The Fed(eral Reserve) can talk about taper but the only thing they fear more than tapering is admitting that they can`t do it because if they taper the recovery will fail.

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

Bitcoin Is The Wrong Vehicle

I want to spend a few moments talking about Bitcoins. And while I have a lot of sympathy with what the bitcoin community is trying to achieve, I just think they have the wrong vehicle.

Now, I think the idea behind bitcoin was to digitally replicate gold. A kind of a gold standard for the internet. Gold 2.0 has some people have alleged. And you know, if you look at bitcoins, the way they come into existence is just that they are mined just as actual gold. You mine them into exixtence. And just like mining gold, when you mine for bitcoins you actually expend real resources, real energy. There is a cost associated with creating a bitcoin. Just like there is with gold, in contrast to central banks that create pretty limitless amounts of currency for nothing, out of thin air at virtually no cost.

And also like gold, there is a limit there is a scarcity in that there there only 21 million bitcoins that can be mined into existence. I think right now there are probably around 12 million. So there is still more that can be created but again that is going to cost money to do so. And also like gold, bitcoins are divisible. You can take one bitcoin and make 100 million fractional bitcoins that collectively would have the value of a whole coin. But the idea is that you can break your bitcoin up into smaller increments for transaction, just like gold. You can have an ounce of gold, then you can have half an ounce, one tenth of an ounce. You can make smaller quantities that are more ideal for transactions. But unlike gold, you can instantaneously send your bitcoin over the internet. You can`t do that with gold. You can`t transport gold, because gold actually has substance. Bitcoins exist in the cyberspace.

When you have gold, you have to protect it. It can be stolen, you have to guard it and it may even cost you money to store it. It does not cost you any money to store bitcoins in your digital wallet. So bitcoins  really replicate all the properties of gold, even improving on some of them. But here is the problem. They replicate all the properties except the single most important. You see without that property, gold never would have been money. I am talking about value, intrinsic value, the metal itself. Bitcoins does not have any.

The reason gold became money, first it was valued as a commodity. It was a luxury good, known through out the world, everybody wanted gold. And so you knew that if you needed something you could always buy it gold because even if the person who accepted your gold did not want it, he knew somebody else who did.

Gold was uniquely suited to be money over a lot of other commodities. It basically won the free market competition for money because it had a lot of other characteristics. These are the characteristics that bitcoin is replicating, but they are not replicating the intrinsic value. That made gold desirable in the first place.  

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 Simple Truth On The U.S. Debt: Repayment Is Impossible

The thing about Ponzi schemes is that they have to keep on growing and if they don`t grow, they implode because you need a bigger supply of new investors to cash out the old investors.

Look at the U.S. Treasury Bond market. We have a 17 trillion dollar national debt (although that is just a tip of the iceberg, we actually have 100 trillion plus in total debt. 17 trillion is just where there are U.S. treasuries outstanding but the U.S. government has lots of obligations beyond the treasury debt).

But if you just focus on that, where does the U.S. government get the money to retire all the maturing bonds every year, trillions of dollars worth of Treasuries mature. The government does not have that money. It relies on new buyers to cash out the old buyers. And in many cases its the same holders, people that hold the debt, just roll it over, so we never have to pay it back.

But nobody wants to acknowledge the simple truth that repayment is impossible. All we can do is borrow more money to pay out the maturing debt but the debt stock keeps getting bigger and bigger because of the compounding interest and because the government borrows more more money every single year.

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

We Are Going Get More And More QE Until We Overdose

The problem is we are not going to grow the economy, we are not going to create jobs by creating inflation, by debasing our money. It might make the stock market go up, it might make the real estate market go up and so we can delude ourselves into thinking that we are actually growing the economy but we are just blowing the bubbles and growing the debt. And because the economy will never recover, because the Fed won`t allow it to restructure, then the unemployment picture will continue to get worse, which means that we are going get more and more QE and they are going to keep on increasing the dosage until we overdose.

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

Federal Reserve: No Impetus To Change Course

We will need to have a complete monetary disaster before there is any impetus to change course. Because as long as the Federal Reserve can take the easy way, that is what they are going to do. As long as they keep subsidizing the growth of government and prop up the real estate market and the stock market they are going to keep doing it. It`s going to be pressures that are brought externally that will finally force us to do something different and the sooner that happens, the better, the sooner we have this crisis the sooner we can begin to deal with the underlying problems. The more we succeed in postponing the day of reckoning, the more we will have to reckon with, the more difficult it will be to solve the problem.

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

Bitcoin: People Will Lose A Lot Of Money

I do not think it is going to end up being a source of commerce for the world. I think right now it is a source of gambling and I think people will lose a lot of money. But again, I don`t know where the top is. I never know where the top is but I think I got a pretty good vision when it comes to seeing bubbles and I certainly see one in bitcoins.

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

Yellen, Dollar Crisis & The End Of This Madness

She actually believes the Federal Reserve can create prosperity, can create jobs and economic growth by creating inflation, by printing more money and that is what she is going to do.

And because it`s not going to work, because it`s going to make the economy worse, not better, she is going to do more and more of it until ultimately there is a currency crisis and the dollar collapses bringing an end to the madness.

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

Yellen Will Compound The Mistakes

She has not learned from the mistakes at all. She is going to compound the mistakes. She is going to take the QE program and expand it.

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

Yellen: A Blind Leading The Blind

I think its going to be case of a blind leading the blind once she is confirmed as the next Fed Chairman, our Chairwoman.

I would like to see the truth come out of these confirmation hearings to discuss how completely clueless Janet Yellen was during the housing bubble. Because, the left has tried to redefine her and rewrite history and cast her as some kind of Nostradamus who was warning about the housing bubble and the financial crisis, she was just Cassandra there at the Fed and nobody listened to her. This is all nonsense. She was just as blind as everyone else. In fact she was dismissing the warnings about the housing bubble, that people like me were actually making at the time.

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

Bitcoins Are No Alternative To Gold

You can play the game if you want but I don`t see bitcoins as an alternative to gold. It is not a modern day gold standard. If anything, they are modern day alchimists. But you cannot make gold digitally. It`s no better than a fiat currency.

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

Bitcoins: A Modern Day Tulip Mania

To me it looks like a modern day tulip mania, the fact that there are people in the hard money community that have embraced bitcoin.

A bubble is a bubble. The dotcom or the real estate bubble, there is a bubble in bitcoin. I think the reason people are buying bitcoins is because the think they are going to make money. They think the price is going to go up. It will keep going up until it implodes. And a lot of people are going to lose a lot of money in bitcoins. A small amount of people will make a lot of money but it will be paid for by a much greater amount of people who lose because they come at the end of the pyramid scheme. Wether we are at the end now, or wether it is going to keep going higher for months or years, I do not know.

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 Minute They Remove The QE, We Are Back In Recession

The Fed wants to pretend that they can take away the QE yet the economy can keep recovering, it can`t. The minute they remove the QE, we are back in recession. That is why they are never going to remove it. But they have to pretend they are planning on removing it, they can`t acknowledge that is here forever because that will accelerate a dollar crisis, which is coming eventually anyway.

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

Video: Discussing Gold & Currencies With Dennis Gartman

Video Summary: discussing gold and yen markets with Dennis Gartman

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

Euphoria: The Short Term Effect Of The Monetary Stimulus

What we are seeing in the United States is not economic growth. Is the euphoria that is the short term effect of the monetary stimulus.

But when that wears off, just like any other drug, you have the hell of a hangover and the U.S. is heading right back into recession. In fact we are headed for a worse economic crisis than the one we had in 2008.  

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

We Are Not Getting Better Economic Data

I don`t think we are getting better economic data in the United States. We are spending more borrowed money but that`s not good economic data and I think the Fed is not going to taper, in fact I think the ECB just helped them out because now they are going to be able to use this as an excuse not only not to taper but to increase the monthly dosage of QE.

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 Fastest Growing Industries Are Where Prices Are Coming Down

The fastest growing industries are where prices are coming down, not where prices are going up. Look what is happening with cell phones, computers, prices come down every year and consumers buy more because they have more purchasing power.

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 Natural Consequence Of A Growing And Vibrant Economy

The natural consequence of a growing, vibrant economy is that prices come down because economies find more efficient ways to produce things, and the price of goods come down. That`s what happened in America from 1870 to 1930, prices were falling rather sharply every year and we had tremendous economic growth.  

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

What Europe Needs

The idea that the problem in Europe is an absence of inflation is ridiculous. If you are going to define inflation as rising consumer prices, the slower they rise, the better. If fact, if consumer prices were to fall that would be better still. So, Europe is not going to solve any economic problems by creating inflation. You will exacerbate them. What Europe needs, the same that America needs, is less government, fewer regulations, less government spending, less government debt, less social welfare programs and more free market capitalism. That is what is going to solve the problems.

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

Video: Federal Reserve, Cheap Money & Asset Bubbles

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 Federal Reserve Is Getting Ready To Increase QE

If you go back to that Fed statement, the Fed does not mention taper, it says adjust monetary policy. Adjustment does not imply a direction. I think what the Fed is getting ready to do is increase the amount of QE, not diminish it.

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

QE Is Like A Drug

It is like a drug, QE keeps us high but if we lose the drug, we go through withdraw. We are never to have a genuine recovery until the Fed lets us have a real recession.

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

QE Is Preventing The Economy From Fundamentally Recovering

It will never get better fundamentally until they will stop QE. QE is preventing the economy from fundamentally recovering from the damage.

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 Problem For The Market

The problem for the market is, the more the Fed succeeds in pushing up the market now with QE, the further it`s going to fall once QE stops. Because it has to end eventually, otherwise the dollar is going to collapse.

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 Whole Rally In Stocks Is Based On QE

If the Fed begins to taper, which I do not think it`s going to do, we will be back in recession. It`s not going to be good for stocks. The whole rally is based on QE.

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

Video: Discussing Monetary Policy With Ron Insana

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

Eugene Fama Should Return The Nobel Prize

Theoretically you get the prize for excellence in economics. So if you say something that`s so bad, you theoretically should have to give it back. The Committee should be on the phone demanding that Nobel Prize right now and the returning of the money.

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

Video: Economic Incompetence Is A Prerequisite For A Nobel Prize

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

Eugene Fama`s Neutral Events

Neutral events. So, Rick Santelli asks what is going to happen when we have to unwind this massive balance sheet and his response is, it does not matter, it`s a neutral event. How can it be neutral? The Fed goes from the biggest buyer of Treasuries and mortgage backed securities to the biggest sellers. And that`s a neutral event? - from a recent exchange between Rick Santelli and recent Nobel laureate Eugene Fama 

Related trading instruments: SPDR S&P 500 Index ETF (SPY), U.S. 10-Year Treasuries

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

Video: Yellen`s Nomination

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

We Need To Glorify Profits

We need to glorify profits. Profit is the most important thing in the free market economy. We need profits. The more the better. Profits mean you are doing something right. Profits mean you are satisfying  the desires, the needs of your customers.

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

Alan Greenspan: U.S. Housing Bubble & The Berlin Wall

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

U.S. Economy: We Don`t Really Know How To Survive Right Now

Hyperinflation is going to be worse than default and restructuring, a legitimate deflationary collapse. The problem for the United States is that if we destroy the dollar`s value, and it is no longer the reserve currency, americans all of a sudden are in this shock therapy where we have to live within our means, we can only consume to the extend that we produce. Our productive capacity has been so diminished over the years, we don`t really know how to survive right now. We don`t have the factories, they are gone. we don`t have the skilled and trained workforce.

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

An Economy That Lives By QE, Dies by QE

The Federal Reserve is saying that is only going to take away the punch bowl if the party keeps going. But the party is going to stop if it takes away the punch bowl. That is the predicament that is in. An economy that lives by QE, dies by QE.

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 Federal Reserve Can` t Remove The QE

It can`t remove the QE without removing the recovery and putting the economy back into a worse recession than before the Fed begun this experiment.

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 Federal Reserve Will Up The Dosage

The Federal Reserve is going to do the opposite of tapering. They are going to up the dosage.

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

Video: The Federal Reserve Will Do The Opposite Of Tapering

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

It`s Not The Debt Ceiling, It`s The Lending Ceiling

As long as the world is lending we are going to keep borrowing. So it`s not the debt ceiling, we will always raise that. It`s the lending ceiling, the eventual collapse is going to be imposed upon us from abroad. When the world does not want to buy our bonds anymore, then the dollar is going to crash. We are going to have a dollar crisis, we are going to have a sovereign debt crisis and the party will come to an end.

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

U.S. Politicians Will Never Do The Right Thing Until They Are Forced To

I believe that is going to have to come from abroad. It`s going to have to be the pressure brought about by our creditors. U.S. politicians will never do the right thing until they are forced to. Why should they ever cut government spending if the world is willing to continue to buy our bonds?

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 World Is Sustaining America`s Artificial Lifestyle

We trade the world their valuable goods for the money that the Federal Reserve prints. And the only way we can continue to sustain this artificial lifestyle is as long as the world is willing to support it. The world has to be willing to loan us money but never expect to get paid back.

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

Yellen Was The Worst Choice

The reason I was so confident that the President would choose Yellen was because I believed of all the candidates in serious consideration, Yellen was by far the worst  choice. And I was very confident that President Obama would make the worst choice.

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

Video: Yellen, The Truth Behind The Myth

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

America Imports Valuable Consumer Goods And Exports Debt

We don`t have a balanced trading relationship. America imports all sorts of goods, valuable consumer goods and resources and we export debt, we export paper, inflation.

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 U.S. Economy Has Lost Ability To Produce

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 Federal Reserve Has No Exit Strategy

A) the Fed has no exit strategy and is more likely to expand its QE program than diminish it,
B) the U.S. economy is stuck in below-trend growth and possibly headed for another recession
C) America's refusal to deal with its fiscal problems will undermine international faith in the dollar;

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

As Long As The World Keeps Loaning Us Money, We Won’t Default

When creditors decide to not play the game, how do we pay back bond holders? Where do we get money to pay them back? We’re saying to the world, “As long as the world keeps loaning us money, we won’t default.”

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

Obama Does Not Believe In Free Market Principles

President Obama is just as clueless. He is a marxist, basically. He does not even believe in free market principles even though he is supposedly the leader of a market based economy.

Schiff On Devil`s Advocate

Related topics: Barack Obama, George Bush, U.S. Economy, 2008 Crash, Housing Bubble

We Are In A Major Historical Gold Bull Market

When Goldman came out with that bogus call saying gold will head down after a deal, I criticized it immediately because the crisis for gold was not that they would raise the debt ceiling, but that they would not. What is bullish for gold is raising the debt ceiling because that means we get more government, we get more debt, and we get more inflation. That's bullish for gold.

U.S. Debt: As Long As The World Keeps Loaning Us Money, We Will Not Default

When creditors decide to not play the game, how do we pay back bond holders? Where do we get money to pay them back? We’re saying to the world, “As long as the world keeps loaning us money, we won’t default.”

Gold Is Used In Industry As Well

Gold is used in industry as well, just not as much as silver. Gold is used in a number of cellphones, albeit a tiny amount, as well as dentistry and also gold is used as jewelry. While jewelry is not money, people still adorn themselves with gold, and they will continue to do that even if gold is $5,000 an ounce.

Long Term Thinking Is Very Difficult For Politicians To Consider

So even though a reduction in government borrowing and spending does help the economy, it won't feel very helpful tomorrow. The more we borrow and spend today, the more we will suffer tomorrow when the bills come due. Ironically, cutting government spending now helps the economy by allowing the economic adjustment to happen sooner rather than later. But this type of long-term thinking is very difficult for politicians to consider.

Gold & Silver Are Heading To New Highs

Despite any efforts by Wall Street or the government to suppress these prices, if that were the case, the market will ultimately win as it always does. As a result, I believe gold and silver are heading to new highs - not only nominal highs, but I believe new highs adjusted for government measures of inflation.

The Federal Reserve Does Not Want Gold To Go Up

I certainly think the central bankers would prefer not to see silver and gold go up because it really is a thumbs down to their monetary policy, calling into question what they are doing. So there are certainly a lot of reasons for the Federal Reserve and Wall Street to want the price of gold and silver to go down.

The Debt Has Been Growing 4 Times Higher Than The Growth

U.S. GDP is measured at roughly $15 trillion per year. 2% growth means that each year the GDP is approximately $300 billion larger than the prior year. But in the less than five years since Obama took office, the federal government has added, on average, about $1.3 trillion per year in new debt, a pace that is four times higher than the growth.

Video: The Schiff Report (Gold, Yellen, Debt Ceiling)

Topics discussed: debt ceiling, Janet Yellen, gold market outlook;