Tuesday, July 26, 2016

Stocks are not going up in terms of real money which is Gold

I did this same panel last year, and I wasn’t bearish that the US stock market would go way down, because I believed the Federal Reserve would prevent that from happening by keeping interest rates low and by printing a lot of money, and that’s really what’s been happening.

Even though the Dow is at new high today, it’s at what? – a two- to three-year low if you price it in real money, which is gold. So stocks are not going up. The value of money is going down and gold proves that.

We still have a tremendous price that needs to be paid for the mistakes of the past. Even if we correct those mistakes in the future, we still are going to have a day of reckoning. And that day of reckoning is going to evolve a much lower US dollar and a much higher gold price.

Peter Schiff is a smart investor and author of several best selling books. He correctly predicted the economic meltdown of 2008 - 2009