저자: Leon Richardson · 외국인
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financial argument. Follow us on YouTube. I like some of the other guests we have on. I'd say they're about 90% accurate. Uh like Mr. Dent, but we've been the last year or so saying who would be right about this? Who would be right and say that oil prices would start going back up? Who would be right to say gold prices in the aggregate this year would start going back up?
Who, you know, who would be correct about all that? And I would say overall, I'm not poo pooing anybody. I would say that Peter Schiff has been more more accurate than anybody else we've interviewed. And we only have folks on that are about 90% accurate or more. So it's sound like it's bad to not be as accurate.
But it is a big debate though about are we going to have inflation or deflation. I'm not a rocket scientist, but when they're printing more money and issuing more garbage and more derivatives than any time in history, worse than 2008, tells me down the road paper's going to have a problem. But now talking about holding your money, so liquid, whatever is what you want in my little, you know, brain.
Uh, but who knows? Peter Schiff of Euro Pacific Capital joins us. civilians under management and of course son of the famous patriot uh fighting the IRS and the corrupt government Irwin Schiff who passed recently. Uh he joins us uh to discuss all this europac.com. So there's your little intro. Uh you've been dead on.
Let's just revisit your predictions where we're at currently and your next flotilla of predictions. Uh Peter, but congratulations on being accurate though. It's kind of like congratulations. You know, you're predicting the Titanic just hit an iceberg. We're going to sink. So what do we do? Well, you know, I still think it's early even to congratulate me and I'm not going to, you know, take credit prematurely, but it sure does seem like things are proceeding according to the playbook that I laid out.
You know, even though people still believe that the Fed is going to be raising interest rates at some point and that we we have a legitimate recovery, the dollar is still falling. More importantly, gold is rising. Gold stocks again, pretty much all the gold stocks hit new 52- week highs yesterday. And here we have today with the Dow down about 150, the Nasdaq's down over 70 points.
Gold is up yet again. Uh it was up a little higher earlier this morning, but the trend is still there. And you know, you talk about all these people who believe that there's no uh consequences from the last uh eight years or seven years of 0% interest rates and three rounds of quantitative easing. How can anybody believe that there is not a bill that's coming due for all that?
Because if you look at what Allan Greenspan did, we had interest rates at 1% for not even two years and then we gradually raised them back up above 5% over a couple years. No quantitative easing programs at all. So what uh Allan Greenspan did was very mild compared to what uh Bernaki and Yellen have done.
Yet the consequences, the payback for that monetary policy was the worst financial crisis since the Great Depression. Sure. And even numbers are saying 1.8% economy. I mean, I mean, what's the real economy? Negative -2%. Who knows how negative it is? Because the the numbers aren't real because the inflation rate is is being uh artificially suppressed.
But my point is, if we had such a bad uh consequence of the reckless policies under Greenspan, just imagine what's in store for us now. I mean, this is not just going to be the worst financial crisis since the Great Depression. This is going to be the worst crisis, including the Great Depression, because what we're about to enter into, and I think we've already entered into uh, you know, the the beginning of it, but I think it's going to get a lot worse as it progresses, uh, but this is going to be greater than the Great Depression.
Meanwhile, you've got President Obama and all sorts of Democratic, uh, you know, uh, talking heads out there talking about how great this economy is. and Bernie Sanders running around like an idiot. Oh yeah, look, you know, we we had this awful jobs report last Friday. Not only was it way below estimates, they downgra they they revised down the prior month, we had another mass exodus of workers out of the labor force to get the labor force participation rate back down to the lowest it's been since the early 1970s before women entered the workforce.
So if you look at the labor force participation rate for men, it's the lowest it's been in the history of the republic. And so this has been a disaster. And all of these uh so-called economists who are Democrats who are trying to say that, you know, the Republicans are wrong for criticizing the economy.
If a Republican had been president for the last seven years and everything was exactly the same. Can you imagine what they'd be saying about the rise in income inequality, the rise in poverty, uh the the the collapse in real wages, the collapse in home ownership, the mass exodus out of the labor force.
I mean, this is statistically the worst economy really in our lifetimes. Yet, because there's a Democrat president, nobody wants to criticize him from the left. Well, the show isn't about who's right and who's wrong. It's about knowing the future and getting prepared, obviously, and we'll talk to him about that.
But, I mean, you did say you thought oil would start going back up. Oh, yeah. I mean, you did predict that they would uh, you know, basically start talking about going back, you know, to, you know, QE unlimited. Uh, you predicted how they would go up when they went up. Uh but you've also been predicting that, you know, gold would go back up.
I know they're trying to artificially suppress it, but you know, worldwide the demands going back up and and they admit in elite publications that uh indeed the quote elite are hoarding cash, gold, you name it, building armored bunkers at record levels. I mean, what have these people done? Well, you know, yeah, I mean, the price of oil has almost doubled from its low.
Uh it got back above. In fact, I saw it as high as about 5160. It's since pulled back below 50 uh back in the 49s, but the trend now I think is up and and it's going to be even bigger once the dollar really starts to cave in. I mean, the dollar index still hasn't broken down. It's going down, but I think again people are still holding out hope that Sure.
What's the time frame? I know you don't want to go out on a limb, but just you're you're one of the most accurate guys out there. What's the time frame? What do you really think when you sit around the coffee table talking to your wife? Well, you know, it doesn't matter. I think it's happening right now when it's going to accelerate, you know, from a from a from a march to a stampede.
I think people have to protect themselves now. I mean, look at our strategies. Look at how much gold stocks it up or silver stocks. Talk about gold and silver. I mean, you're talking about stocks that have tripled, quadrupled so far this year, and Wall Street still doesn't own them. So, this I think is still early in the scheme of things.
So, what your listeners to do if they didn't follow my advice, you know, three months ago and six months ago, uh to get on this train, it's you haven't missed it. I mean, you still got to get on. You've got you got to get out of US dollars, get out of US stocks. You should be talking to my representatives at Europacific Capital, set up an account, take your depreciating dollars before they really collapse and diversify abroad, get some money into Switzerland and Singapore and New Zealand.
And by the way, Peter Schiff is not a sponsor. Ought to call him, give him to me one of them. I think the guy's a great guy. But I but I do agree people should be diversifying. But uh I mean look let me ask you this question then Peter looking at the time frame historically here I understand it's already here most of the world it's already here in the US at a at a trot and you're talking about a gallop a stampede.
What's the time frame though? I mean, I know you don't I mean, speculatively, you know, I think the election could be a callous because I think one of the reasons that Janet Yellen is reluctant to admit how weak the economy is is because she doesn't want to interrupt uh the Hillary Clinton narrative.
I mean, the whole idea that Obama saved us, everything is great, and now we should turn over the reigns to Hillary. So, we're in till the election ends. Yeah. I mean, but thing is things are getting so bad. Can the Fed hold out and still pretend everything is good until the election. But certainly by the time the election is over, there's no long there's no reason to put up the pretense.
So I think by the end of the year, the Fed's going to have to come to the rescue, at least the way what it thinks to the rescue. They're going to cut rates. They're going to try to have some kind of QE program. But again, this is pouring gasoline on a fire. None of this is going to help solve our problems.
This is why we have a problem. The Federal Reserve has created this problem and they make it worse. ask a politically selfish question, but the audience wants to know. I'm worried Trump's going to get in and then they're going to hold the collapse back till then and then blame it on him. Well, look, I don't think they'll be able to blame it on Trump if it happens, you know, right when he walks into into into the office.
Uh so, but I think the crisis is going to happen regardless of who we elect. I do think that Trump has a better chance of doing the right thing than Hillary. Hillary has no chance of doing the right thing. Trump might see it all depends on, you know, he does a good job of identifying the problems. His solutions are all wrong.
Now, maybe he knows they're wrong. Maybe he's just playing politics. Sure. Because he he wants low interest rates. Real solution. He wants low interest rates because he's a builder. Uh we'll be right back. We've got our guest here, Peter Schiff, joining us. Europacific Capital.com. Uh he's been dead on so far.
So, we're going to come back and I'm going to ask him what's front and center on his radar, not just my question. Stay with us. Peter Schiff of Europacific Capital, instead of me asking the questions here in the five minutes we have left, you've got the floor. What's front and center for you? Well, as far as I'm concerned, it's when are people going to wake up?
You know, I was on this uh I was at CNBC uh a couple days ago and and still they acknowledge that, okay, things seem to be slowing down. They're not as as good as we thought they were, but they still don't understand the gravity of this situation. They still have no clue how much damage has been done to the US economy these last seven years.
They still have confidence, have faith in the Federal Reserve, have faith in the dollar, believe everything is going to be okay, and they just think, well, we're at a little bump in the road. They don't realize that we've run out of road or the road has now come to the end and we're going over a cliff.
That is actually what's going on. And to me, this is more obvious than the problems that I was warning about in 2007 that that came to a head in 2008. Yet, all the people who were oblivious back then are equally clueless now. And to me, this should be even more obvious, especially since we just have that example of what happened in 2008 fresh in everybody's mind.
Even though it's still what, eight years ago, it's all the same people. They were here. They lived through it. It's not like they had to learn about it in a history book. This isn't like the Great Depression where it's very easy for a revisionist textbook uh to to you know you learn the wrong thing.
We experienced this ourselves yet we're still not prepared for what's about to happen which again is going to be much worse than the '08 financial crisis and it's going to be a dollar crisis. It's going to ultimately be a sovereign uh debt crisis and it's going to bring this whole bubble economy uh to its knees and Americans are not going to be able to get away with this anymore.
We can't just keep pretending we have a real economy. We just can't keep running trade deficits and borrowing money to pay for imported products. Meanwhile, we have a bunch of people who are pretending to work. 100 million people that don't work. Peter Schiff. Okay. Everything you said is totally true.
Typical equals four. You've been absolutely right. Here's the rest of the story. As Paul Harvey would say, they're not going to follow common sense like you just said and and stop pretending. I I think they'll get even worse. Nationalize things, start wars. I mean, historically, they'll make the wrong decisions to stay in power.
So, what do you expect them to do? I mean, look what they did in 2008. Make it worse. Give themselves trillions. I expect them to make the wrong decisions until they can't do it anymore. I mean, eventually the market won't give them any more rope. We will have hung ourselves on the rope we already had.
So, at some point, we're going to do the right thing. But my portfolio, what I'm doing with my clients, I'm betting that they keep doing the wrong thing because there's no indication they're going to do the right thing. So, what are they going to do? They're just going to print more money. They're going to take interest rates down.
These clowns are probably even going to try negative interest rates even though they're not working in Europe and they're not working in Japan. They're dumb enough to do it because when it comes to central bankers, if one of your friends jumps off a bridge, well, you jump off the same bridge because everybody is doing it.
So, it must be the right thing to do. Lemmings. Wow. And and and and look, what you're doing with your bet is risky, but it's not. I mean, it's risky in that short term. It looks scary, but we know historically. There's no way they can extend this forever, no matter no matter how much voodoo they've got.
I don't even think it looks scary in the short run because it's already unfolding. Yeah, right. The dollar is already going down. Gold is already going. You're right. The Fed has said they're out of bullets. The Fed has admitted it isn't working. Yeah. Well, I mean, but the thing is their bullets never worked, but they're not out.
They have a machine gun. They can print as much money as they want. If they actually think money printing works, there's no limit to how much they can. But they admit it's not working. So how do they have the cake and eat it too? You've seen the statements. They go, "No, this isn't working. We're out of bullets." So what does that mean?
No, no, they've never admitted that. They still believe their policies were a success. That's how clueless they are. They still believe that their policies I've seen a few statements where they've admitted it's not working. I mean, I've seen some statements, but no, I mean, you're right. Then they kind of like out of one side, they go, "This isn't working." But then out of the bullhorn, they say it is.
No, they they don't accept responsibility for their role in inflating the housing bubble. They don't accept their blame for the financial crisis. They still believe that all their policies were correct. And so the next time the economy turns down, they're going to do it all over again. See, they're still pretending we have a recovery.
All right, Peter, you've been dead on. Thank you so much. Europac.com. and have a great weekend.
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