The Reason Why The Stock Market Is Going Down

The reality is the market is going down because it is a bear market, that is why it is going down. The market is going down because the U.S. Economy is in a recession and there is nothing the Federal Reserve can do about it unless it wants to lose its credibility or acknowledge that the economy is much weaker than they thought. (Select Sector Financial Select Sector SPDR ETF (XLF), Energy Select Sector SPDR ETF (XLE), SPDR S&P 500 Index ETF (SPY))

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

National Debt: There Is Going To Be A Crisis Along The Way

Barack Obama might have already doubled the national debt since he was sworn in. We doubled the debt, doubled it! We added as much debt under Obama as we did from George Washington to George W. Bush. And of course if this continues, the next president is going to double the 19 trillion to what? 40 trillion, that is impossible right? So there has to be crisis somewhere along the way. There is no way we can continue on this tranjectory.

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: A Cyclical Recession Is Already Under Way

None of this is going to keep the U.S. Economy out of recession. The fact that the Japanese lowered their interest rates, the fact that the Europeans lowered their interest rates, that is not going to change anything on Main Street USA. And the fact of the matter is corporate profits are under pressure, retail sales are under pressure, and the layoffs are going to come. It is not going to matter what the global monetary policy is, this cyclical U.S. recession is already under way.

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