Peter Schiff: "Whatever Obama Was Calling Recovery… is OVER!"

[DamianTV]

Peter Schiff: "Whatever Obama Was Calling Recovery… is OVER!"

http://investmentwatchblog.com/peter-schiff-whatever-obama-was-calling-recovery-is-over/

Are we officially in bear market territory? Is the economy “officially” in a recession or not? These are the types of questions you hear on every financial show, including the video below with Peter, but the question I would have for anyone asking, is does it matter? Do current market conditions need a name for people to be suffering? Do the owners of the $3 TRILLION DOLLARS of American wealth that has evaporated since January 1st care what it’s called, if it doesn’t end in zeros in their account?

Nonetheless, everyone wants to label the current economic condition something, so as Peter explains, as of right now, “officially” we are in “correction territory,” which means the market is at least 10% off its highs. Even though a ton of stocks are off far more than the 20% required to be an official “bear market,” since the market as a whole is “only” down 13% since January 1st, it’s not officially a bear market yet.

I’m not sure which is worse, how badly Obama was lying when he made the comment “Anyone who says there is trouble in the economy is peddling fiction,” or what I bet he does to paper over the problem just long enough tor him to get out of office, and then watch every American get financially wiped out. If he can, I have no doubt he’ll do the latter, however I’m not so certain that’s even possible at this point.

As we’ve all learned for 7+ years, the best way stop a recession from getting worse (temporarily), or the best way to dupe Americans into thinking there is a recovery happening, is to do what Barack has done, drop interest rates to zero and print yourself roughly $7 TRILLION dollars out of thin air.

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Full article on link.

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Anyone who says the economy is just fine is peddling fiction.

*looks at Obama and waits for Zippy to reply with his / their fiction*

 

[Zippyjuan]

Even though a ton of stocks are off far more than the 20% required to be an official “bear market,” since the market as a whole is “only” down 13% since January 1st, it’s not officially a bear market yet.

As of Friday close, the DOW is down 5.5% year to date- closing at 16,466.30.

Is the economy “officially” in a recession or not?

A recession is officially two consecutive quarters of declining GDP. Are we there yet?

 

[Lucille]

 

[LibForestPaul]

Whoa.

 

[angelatc]

And we have an entire generation (the Millienials) who have never, ever lived in a good economy. They literally have no idea how bad things are because this is normal for them.

 

[oyarde]

And we have an entire generation (the Millienials) who have never, ever lived in a good economy. They literally have no idea how bad things are because this is normal for them.

It is the new future . This is what it is until the next downturn .

 

[Madison320]

And we have an entire generation (the Millienials) who have never, ever lived in a good economy. They literally have no idea how bad things are because this is normal for them.

I would argue that things are going to get much worse. We're still living way above our means. At some point we won't be able to print and borrow. I think that'll be the key moment for the US. When the dollar crashes and we CAN'T print and borrow, which way will the government turn?

 

[Lucille]

I'll just put this here.

http://jessescrossroadscafe.blogspot.com/2016/02/sp-500-and-ndx-futures-daily-charts_4.html

"The fear of a backlash against the political establishment is absolutely palpable in Washington. Whatever they may dutifully mouth in public, even the professional denizens of the nation's capital really believe that there has been a recovery. It is not difficult to believe in a recovery when your stock portfolio has been inflated by the Fed's QE. So, they are all genuinely mystified about why the common folk are restless."
--Le Cafe's Samoan Attorney in Washington DC​

[...]
I have a real gut hunch that the glitterati, money boys, and Very Serious People are walking into a serious encounter with reality due in large part to their self-inflicted insularity, the herd mentality of the privileged few, hubris beyond all doubt, and of course the credibility trap and the wonderful ability of people to rationalize anything that favors them in the short term, without regard to future risks.

Maybe they will get the wake up call as the presidential race unfolds. One of my favorite bellwethers are the TV political talk show hosts, on Sunday morning and in the evening on some of 'those channels.' And brother, they could not buy a clue for the most part, and seem to be in intense shock and denial. [...]

Its a classic. Marie Antoinette times Tsar Nicholas in an inability to read the great changes of their times. Wha' happened??
[...]
Once again the financial data sucked out loud. There is no recovery, it is a vapor, a phantom, a creation of the great spin machine of the airwaves.

 

[cocrehamster]

At some point we won't be able to print and borrow. I think that'll be the key moment for the US. When the dollar crashes and we CAN'T print and borrow, which way will the government turn?

When would you say you're confident this will occur by?

 

[cocrehamster]

I would argue that things are going to get much worse. We're still living way above our means. At some point we won't be able to print and borrow. I think that'll be the key moment for the US. When the dollar crashes and we CAN'T print and borrow, which way will the government turn?

I know you can't give specific dates, but can you provide a broad timeframe during which your predictions will come true? Or let's assume that we reach 2030 and there has been no dollar crash and treasuries are still in high demand at low rates because of the safety they provide. Would that cause you to re-examine your understanding of economics?

 

[AFTFNJ]

Lol I was going to respond. Then I remembered the 200 trillion + unfunded liabilities. The derivatives casino and how Paulson and gang blackmailed our muppets government last merry go round. Nothing to see here folks please move along.

 

[Zippyjuan]

Lol I was going to respond. Then I remembered the 200 trillion + unfunded liabilities. The derivatives casino and how Paulson and gang blackmailed our muppets government last merry go round. Nothing to see here folks please move along.

$200 trillion unfunded liablities assumes we have to pay for all of the Social Security benefits due over the next 70 years today with this year's tax revenues.