Peter Schiff: 'Fed Has No Possibility of Withdrawing Stimulus'

[NACBA]

With oil prices having plunged to five-year lows, the energy industry is headed for bust, but that's not our biggest worry, says Peter Schiff, CEO of Euro Pacific Capital.

"Much greater and more fragile bubbles likely exist in the stock, bond and real estate markets, which have also been inflated by the easiest monetary policy in history," he writes in a commentary on his firm's website.

http://www.Newsmax.com/Finance/Schiff-Fed-QE-rates/2014/12/26/id/615019/#ixzz3NILRObe4

 

[Zippyjuan]

Fed has already withdrawn stimulus. QE ended in October.

 

[NACBA]

Fed has already withdrawn stimulus. QE ended in October.

#SchiffIsNeverWrong

 

[Zippyjuan]

He certainly thinks so. He said QE could never be ended- and it was. Schiff was calling for hyperinflation because of the Fed. Now he is saying all commodities are going to be collapsing in prices because of the Fed. Except gold which is also a commodity. But a magic one- exempt from supply and demand issues.

 

[jct74]

He certainly thinks so. He said QE could never be ended- and it was. Schiff was calling for hyperinflation because of the Fed. Now he is saying all commodities are going to be collapsing in prices because of the Fed. Except gold which is also a commodity. But a magic one- exempt from supply and demand issues.

I thought he was bullish on all commodities. Where did he say that?

 

[Zippyjuan]

double post

 

[Zippyjuan]

It is his latest theme.

http://www.cnbc.com/id/102274185#.

Oil's swift and sudden decline is just the latest Federal Reserve-induced bubble to pop, and if history is any indication, stocks and real estate could soon follow, according to Euro Pacific Capital's Peter Schiff.

"If oil prices are artificially inflated by the Fed, so are stock prices and real estate prices," he told CNBC.com's Futures Now.

Crude has lost almost half its value since its June highs, as a supply glut and a rising dollar have conspired to crush crude. The pain has hit other commodities, as well. Gold, copper and even wheat has lost a respective 13, 13 and 15 percent from their recent highs.

According to Schiff, the brutal price action across the commodity complex is simply the result of the Fed pulling back from its massive stimulus programs. By Schiff's thinking, other assets are soon to follow if the fed continues its course.

"All these bubbles are going to burst because of the same pin, which is the Fed withdrawing stimulus."

Of course, Schiff has made similar predictions many times in the past couple years, none of which have panned out well. Still, he's sticking to his guns and remains as convicted as ever.

Said Schiff: "When this market turns, it's going to turn fast and it's going to take no prisoners."

He is still promising the end of the world. Just a different ending than before (since that one isn't working out very well as he said it would).

 

[NACBA]

He is still promising the end of the world. Just a different ending than before (since that one isn't working out very well as he said it would).

Yep--why do some people here follow him like sheeple?

 

[Zippyjuan]

He says what they want to hear- that things are bad and will just get worse- eventually collapsing. They hope that then some miracle will happen (but they themselves will somehow be spared by this collapse because they listened to guys like Schiff) and that the governments and banking system will "come to their senses" and repent for hurting the average guy at the expense of the banksters and corporations, become enlightened, and construct a new system (probably backed by gold) where there will be no price inflation and jobs for everybody. And they will all live happily ever after.

 

[dannno]

Yep--why do some people here follow him like sheeple?

Because he has a really good understanding of economics?? A lot better than you and zippy, that's for sure..

The problem is that people like you who try to argue against Peter Schiff have absolutely zero understanding of what sort of time tables he is talking about when they put up quotes by him.. You have no idea of the context he is saying things in, you just cherry pick statements. If you followed him regularly and understood what he is saying on the whole you would have a better understanding. You also don't understand that these things cannot be predicted absolutely because there are always market manipulations happening and when things happen in the economy, it is either because of economic/market determinism or because of a specific market manipulation. Peter Schiff explains what market determinism will cause to happen based on what he thinks the Fed and other market players may continue to do in the future.. It isn't always an absolute prediction because Peter Schiff himself does not manipulate markets. His prediction is based on what he THINKS the market manipulators may do, and he is often right and in the long run will absolutely be correct. Does that make sense to you?

Ya, he said commodities are going to fall..IN THE SHORT TERM!! Duh... You think he is not bullish on gold anymore?? You seriously don't have a clue, do you?? So why does he think commodities will fall? Same reason as last time..Because when the market gets scared it runs to the dollar, the safe haven..the dollar gets stronger and prices drop.. Eventually the dollar won't be a safe haven. When that is, nobody knows, but if you think it isn't going to happen ever then you are in strong denial and don't understand the nature of the petro dollar.

 

[dannno]

He says what they want to hear- that things are bad and will just get worse- eventually collapsing. They hope that then some miracle will happen (but they themselves will somehow be spared by this collapse because they listened to guys like Schiff) and that the governments and banking system will "come to their senses" and repent for hurting the average guy at the expense of the banksters and corporations, become enlightened, and construct a new system (probably backed by gold) where there will be no price inflation and jobs for everybody. And they will all live happily ever after.

Wrong, he says things that people NEED to hear... The petro dollar WILL eventually collapse, and his goal is to educate people about what the market will run to when people no longer have faith in government currencies - that will be GOLD.

IF people become enlightened enough and follow free market theory, there will be no monetary inflation (forget about "price inflation", that isn't even important in a truly free market..) and there will be more production and greater prosperity.

 

[NACBA]

Because he has a really good understanding of economics?? A lot better than you and zippy, that's for sure..

I'm glad that someone else noticed what a joke Peter Schiff is

I have seen tons of YouTube videos and blog posts touting how right Peter Schiff has been and how he is an all-knowing soothsayer who saw this whole financial meltdown coming. I suppose to a certain degree he was right when he predicted the current economic storm.

However, having read his book Crash Proof when it was first published I kept asking myself what all of the fuss about Schiff is about. Throughout the book Schiff touted the theory of decoupling and the collapse of the U.S. dollar and pushed investment in commodities, gold, and foreign stocks. Ahhhhh hello? Didn't those things, other than gold, get completely hammered alongside everything else this year? Isn't the dollar much stronger and aren't foreign stock markets much lower today than they were when he advised readers to invest in them.

It doesn't matter how right Schiff was about the whole mess we are in right now if the investment advise that he dished out based upon it was terrible. Investing is all about making money, it doesn't matter how you got there. And Schiff lost money, a lot of money for his clients. Mich, who many people here on CAPS read...but I rarely do (mainly because his site used to always make my browser crash for some reason) pointed out in a recent article just how bad Schiff's investment advice has been: Peter Schiff Was Wrong . His article even contains a supposed snapshot from a portfolio that Schiff helped set up for a client (see below). Yuck.

http://caps.fool.com/Blogs/im-glad-that-someone-else/136598

 

[Madison320]

The quality of this forum has really deteriorated over time. Who would've thought that Peter Schiff, a friend and fan of Ron Paul's, and one who share's his views would become enemy number one on a Ron Paul website?

Next thing you know Paul Krugman will be worshipped around here.

 

[dannno]

I'm glad that someone else noticed what a joke Peter Schiff is

I have seen tons of YouTube videos and blog posts touting how right Peter Schiff has been and how he is an all-knowing soothsayer who saw this whole financial meltdown coming. I suppose to a certain degree he was right when he predicted the current economic storm.

However, having read his book Crash Proof when it was first published I kept asking myself what all of the fuss about Schiff is about. Throughout the book Schiff touted the theory of decoupling and the collapse of the U.S. dollar and pushed investment in commodities, gold, and foreign stocks. Ahhhhh hello? Didn't those things, other than gold, get completely hammered alongside everything else this year? Isn't the dollar much stronger and aren't foreign stock markets much lower today than they were when he advised readers to invest in them.

It doesn't matter how right Schiff was about the whole mess we are in right now if the investment advise that he dished out based upon it was terrible. Investing is all about making money, it doesn't matter how you got there. And Schiff lost money, a lot of money for his clients. Mich, who many people here on CAPS read...but I rarely do (mainly because his site used to always make my browser crash for some reason) pointed out in a recent article just how bad Schiff's investment advice has been: Peter Schiff Was Wrong . His article even contains a supposed snapshot from a portfolio that Schiff helped set up for a client (see below). Yuck.

http://caps.fool.com/Blogs/im-glad-that-someone-else/136598

Good God man, I'm not going to re-post MY ENTIRE POST which AGAIN refutes all the inaccuracies in YOUR post.

Please re-read my post in its entirety.

If you can't understand what I'm saying, that's ok, I'm mostly just posting these arguments so that other people who read this thread who have some reading comprehension can understand. I'm not going to argue with somebody who doesn't read my refutations and won't take the time to understand them.

 

[Zippyjuan]

I don't have the clip on hand right now but somebody had posted one by him recently. He was asked about his inconsistancy on gold and other commodities. He hedged that he is "less bearish" on gold relative to other commodities. That meas that he thinks gold could go down. Just a month or two before that he was saying gold could go to $5000 an ounce.

He is a salesman. He uses economic fear to sell his products. All his books are about crashes. If there is bad economic data, "here is proof things are going bad!" but when the same numbers show improvement, he switches to "the government numbers are all lies".

 

[dannno]

I don't have the clip on hand right now but somebody had posted one by him. He was asked about his inconsistancy on gold and other commodities. He hedged that he is "less bearish" on gold relative to other commodities. That meas that he thinks gold could go down. Just a month or two before that he was saying gold could go to $5000 an ounce.

He is a salesman. He uses economic fear to sell his products. All his books are about crashes. If there is bad economic data, "here is proof things are going bad!" but when the same numbers show improvement, he switches to "the government numbers are all lies".

You're doing everything I said that a bad refutation of Schiff includes..

You're not including time tables.. Schiff was mildly bearish on gold in the short term, but will NEVER be bearish on gold in the long term. If you don't understand why, then all I can say is that it is really sad considering all of the time and effort you spend here trying to attack him.

 

[dannno]

The anti-Schiff folks are in here saying, "Hey look!! The Fed withdrew the stimulus 2 months ago and the sky hasn't fallen!!"

I swear, anti-Schiff folks are just like CEOs who only look at increasing quarterly profits with absolutely no regard to the longterm of 4-8 years down the road..

Why don't you wait another 6-12 months and see whether the Fed is pressured to re-instates stimulus, QE, or does something to the same effect? Then see what they do? Listen to what Schiff is saying about it now and then and see if what he is saying makes sense rather than just posting some old youtube video?

 

[NACBA]

Well This Is Just Embarrassing For The Fed Haters

One of the most infuriating things about the Fed haters — i.e. the people who predicted massive inflation and dollar debasement as a result of quantitative easing — is that they've never really admitted they got it all wrong.

Maybe a few have, but for the most part, the people predicting doom and gloom and Weimar Germany-like outcomes continue to say the same thing, without regard for actual evidence.

This is what makes folks like Paul Krugman so infuriated and why he is so harsh toward his critics, because he regards them as intellectually dishonest.

There's more evidence of that Thursday, courtesy of a great Bloomberg piece by Caleb Melby, Laura Marcinek, and Danielle Burger in which they called up various signatories to a 2010 letter that warned former Fed chair Ben Bernanke about impending inflation.

The upshot: For the most part, they don't accept they were wrong.

Here for example is Jim Grant, editor of Grant's Interest Rate Observer and an intense critic of Fed easing:

http://finance.yahoo.com/news/well-just-embarrassing-fed-haters-150538633.html

 

[Zippyjuan]

The anti-Schiff folks are in here saying, "Hey look!! The Fed withdrew the stimulus 2 months ago and the sky hasn't fallen!!"

I swear, anti-Schiff folks are just like CEOs who only look at increasing quarterly profits with absolutely no regard to the longterm of 4-8 years down the road..

Why don't you wait another 6-12 months and see whether the Fed is pressured to re-instates stimulus, QE, or does something to the same effect? Then see what they do? Listen to what Schiff is saying about it now and then and see if what he is saying makes sense rather than just posting some old youtube video?

Schiff has been calling for another collapse since 2008. Six years. Still waiting. He has said gold could go to $5000 an ounce since 2009. Still waiting. How much longer?

 

[CaptUSA]

One of the most infuriating things about the Fed haters — i.e. the people who predicted massive inflation and dollar debasement as a result of quantitative easing — is that they've never really admitted they got it all wrong.

Probably because they haven't. The only thing keeping inflation down is historically low velocity. Lower than it's ever been (since it's been recorded). The inflation is here, it's just not being felt in prices... Yet. You are confusing monetary inflation and price inflation. Normally, there is a correlation, but velocity has never been this low. That will change.