The Dow Jones Industrials which was down about 200 points on Thursday, was up 183 points on Friday. The Nasdaq was down 80-85 points and recouped 64 points, so a real schizophrenic type market. I think the players are still ignoring reality and still clinging to the fantasy of a recovering U.S. Economy.
Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.
May 4, 2015
May 1, 2015
U.S. Economy: An Alarming Ratio
The inventories to sales ratio right now is the highest since the Great Recession of 2008-2009. What does that mean going forward? It means that businesses are already loaded up with inventory, they have excess inventory, they can`t sell it. They are not going to buy any more.
Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.
Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.
Apr 30, 2015
U.S. Economy: GDP Report Is Even Weaker Than It Seems
If you look beneath the surface of this rather meager GDP number, it gets worse.
Here is number 1: The Deflator. The government always deflates the nominal GDP by the inflation rate because they want to take the inflation out of the numbers to see what is really going on. That is the real GDP. So normally nominal GDP has to be subtracted, you subtract the deflator from your nominal GDP to arrive at your real GDP. Not this time. Because the government assumed inflation was a negative 0.1%. Negative! Meaning that prices dropped. So instead of taking the nominal number and deflating it, they took the nominal number and inflated 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.
Here is number 1: The Deflator. The government always deflates the nominal GDP by the inflation rate because they want to take the inflation out of the numbers to see what is really going on. That is the real GDP. So normally nominal GDP has to be subtracted, you subtract the deflator from your nominal GDP to arrive at your real GDP. Not this time. Because the government assumed inflation was a negative 0.1%. Negative! Meaning that prices dropped. So instead of taking the nominal number and deflating it, they took the nominal number and inflated 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.
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