Central Bankers: "We Need More Inflation!"

I have never seen a situation where politicians and bankers would publicly admit how much they want to create inflation. See, they normally want inflation but normally they are not honest about it. They lie about it, they don`t even like to use the word inflation. They say, monetary stimulus, we need a demand boost or they have some kind of code word for inflation, I mean, Quantitative Easing, that is an euphemism. The government wants inflation but they call it quantitative easing.

But this is the first time that you really see politicians and more importantly central bankers, the people who are theoretically been entrusted to safeguard the purchasing power of our money, these guys are now saying that we need more inflation.

Related ETFs: iShares Silver ETF (SLV), 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.

Consumer Spending: Biggest Decline In 5 Years

One fact that I did not point out about the drop in consumer spending in April is that drop from March to April was the biggest monthly decline since 2009. That was the depth of the great recession.

Related ETFs: 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.

U.S. Economy: Where Is The Bounce Back?

So, what do we got? We got the consumer not earning as much as we thought, spending dropping, inflation picking up...

How is this going to lead to this big surge in the second quarter GDP?

Seventy percent of the GDP number is consumer spending and consumers spent less in the first month of spring than they did in the last month of winter? Where is the bounce 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.