March 22, 2012
March 18, 2012 -Schiff Report
Peter Schiff, CEO of Euro Pacific Capital, discusses the myth of the economic recovery being lauded by the Obama administration and the mainstream media.
" ... alot of people have begun to talk about the U.S. recovery as if it is really firmly taking hold, that the much anticipated recovery is finally here, the stimulus is kicking in - of course all of this is complete fiction."
Peter argued that some of the positive talk by the media was partly sparked by the recent jump in the jobs data, yet although there were more jobs reported, those jobs are not making Americans richer, but poorer instead.
The same day that the positive jobs data was reported, what was under-reported was the worse than expected trade deficit numbers.
"The deficit for January swelled to $52.4 billion. That was the highest monthly trade deficit, I believe since July or August of 2008, just before the financial crisis, so if the jobs that we were adding were productive jobs the trade deficit would be smaller, but it's not. It's getting bigger..."Peter stated that the last bubbles were in the housing and stock markets, but he believes the next collapse will be in the bond market and the U.S. dollar.
"I think before too long, people are going to start to appreciate that this is a phony recovery, .. that the rally in the stock market is simply a reflection of inflation, not economic growth..."