Oil: The First Of Many Bubbles To Pop?

Most of the good jobs that have been created over the past few years were created in that sector. And now these jobs are at risk. And I think this is somewhere between the dot com bubble  and the housing bubble. I think it is bigger than dot com, smaller than housing. But again there were also positive effects of falling home prices because it made cheaper for people to buy houses. But there was a lot of debt that was accumulated and a lot of layoffs in the sector, so we are looking at the same  possibilities in the oil sector burt here is a bigger equation. If it turns out that oil was just a bubble created by cheap money, well what about the stock market? What about the housing market? What about the bond market? What if they are all bubbles? What if the oil bubble is just the first of many that are going to pop?

Related exchange traded funds: Energy Select Sector SPDR ETF (XLE), SPDR S&P 500 Index ETF (SPY), Nasdaq 100 Index ETF (QQQ), SPDR Dow Jones Industrial Average ETF (DIA), iShares Dow Jones US Real Estate (ETF) (IYR)

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

Lower Oil Prices Will Push The U.S. Economy Into Recession

Long term of course, it is always a good thing. Contrary to what Central Bankers and the economist are telling us, it is always a good thing when consumer prices fall. Even Janet Yellen acknowledged the benefits of lower gas prices. Well, the same thing applies to all prices.

But here is the problem. If it turns out that we had a bubble in the energy sector, if the Federal Reserve really does raise interest rates, and I don`t really think they are going to, but if they do and the oil prices stays at these prices or goes lower, all of the activity in the oil sector for the last past several years turns out to have been a bubble and the layoffs that we are going to get in the short run and the credit losses and the Capex spending declines will be significant enough in the short run to push the U.S. Economy back into recession. I think it is a bigger impact than the bursting of the dot com bubble.

Related stocks: Exxon Mobil (XOM), Marathon oil (MRO), ConocoPhillips (COP), Chevron (CVX), Halliburton (HAL), Schlumberger (SLB)

Related exchange traded funds: Energy Select Sector SPDR ETF (XLE), United States Oil Fund LP ETF (USO)

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 Lot Of Disconnect In The Markets

There is a lot of disconnect right now in the markets. I think there is too much confidence in the legitimacy of the U.S. recovery, they are expressing that by bidding the U.S. dollar higher.

Related trading instruments: Euro Currency Futures, EURUSD forex cross;

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