Peter Schiff on Bloomberg TV Great Interview 2/2

[Airmanf7]

Dang, Peter scared the pants off everyone there.

[DexterHaven49]

To be fair, Peter has been dead wrong about Treasury bonds thus far. They returned 23% in 2008, the best class to be in. They have done well in 2011 too, best asset class. Who has been right on bonds? A. Gary Shilling. Props to Gary. People who sold bonds on Peter's advice lost.

[lilbromarky1]

LOL last word.  Schiff always was a big kid :)

[wunderbeast]

when these guys are spewing their bs, you can hear peter wanting to jump in with his quiet yeahs. he can't wait to smack them down.

[wojtek0000]

5:57 (bitch you didn't see that i had the floor. now show's over...im gonna drink your blood).

[wojtek0000]

3:15 (eh, bitch i think i have the floor)...

[radicals88]

Without a doubt Schiff knows whats going on and is very good at explaining it. The other guys do not give me confidence in what their saying. I notice they also like listening to what Schiff has to say.

[steelfright1212]

peter gets mad because he is logical and he is frustrated trying to convince stupid people.

[xmei88]

we are living in a very dangerous world !

[jonojojojonojojo]

i like when pete gets angry

he should do it more often

[killatop]

your lack of knowledge on the Federal Reserve System is shocking...

[marky1333]

Even Max Keiser has conceded that we are in for unprecedented deflation. now that the $1.2 Quadrillion derivative market has started to unravel and unwind no amount of printed money is going to turn that around, it's just one big black hole of deflation. When Treasuries slam into reverse and send U.S interest rates up to 30-40% do you think that will be inflationary?.

[killatop]

fiat money is fiat money, who says there isn't enough printed money to cover 1.2 Quadrillioin, IT'S NOT REAL MONEY!!!! They can print as much of it as there are trees, they don't even really need trees, it's all done on a computer now anyways...

[marky1333]

First the Fed DO NOT set interest rates they HAVE TO follow treasury rates.

I could have told you the FED where going to cut interest rates to 0-0.25% weeks ago because thats what Treasuries where paying. This notion that Alan Greenspan and Ben Bernanke are some kind of mystical financial gurus is farcical. They have no say in it they just follow Treasury rates thats it.The T-Bond market set U.S interest rates NOT the Fed!

[marky1333]

Once you understand this you understand that the Fed CANNOT print as much money as they like.If they print too much money and erode their balance sheet too much they will collapse The T-Bond market because this devalues the dollar denominated treasuries the foreign investor hold and they lose money. Investors will stop buying treasuries and start selling them enmasse the more people sell the higher the yield on them will go, they will go 2,4,8,15,20,40,50% and so on .

[marky1333]

The Fed HAS TO follow this with interest rates.That is why the amount of money the fed can print is LIMITED.

But they are dangerously close to doing this and if the T-bond market does collapses you will see interest rates at 20-30%

[jellybeansinc]

97% of wealth is digital :)

[crb4059]

True inflation is commensurate with an overheating economy where significant demand forces prices up naturally, this is anything but. The price increases will be commensurate with a receding economy or stagflation. The price increases will solely a function of too much money in circulation. The seeds are sown. The disaster is coming. The amount of staflation will be UNPRECEDENTED and easily rivaling that of the late 70's and early 80's.

[OutlawTomFantastic]

Last word: "Nobody's too big to fail."

[robert4you]

Good comment!

[robert4you]

Sorry, I forgot the signature. Anyway, good comment by "OutlawTomFantastic"

[marky1333]

Percentage falls are deceptive because prices can never fall more than 100%, so you need to reverse it to get the real picture.

Paper was £50 a tonne four weeks ago today it's 85 pence!! the percentage fall is 98.3%

If you reverse it, the percentage gain needed to take 85 pence to £50 is 5800%

So a tonne of paper has really fell 5800% in the last four weeks.

If you apply that to all commodities the percentage falls are much larger than they appear

That looks like hyper deflation too me.

[marky1333]

Schiff is great but i think he is wrong about the hyper inflation.

i think we are going to have hyper deflation

[killatop]

cause we all know printing and printing and printing money leads to deflation and hyper deflation.... wtf??

[marky1333]

Worldwide bailout $7 Trillion, Worldwide credit deflation $60 Trillion($60 tril vaporized) So $7 tril funny money in $60 tril funny money out.

So net credit inflation is MINUS $53 trillion

If you put $7 tril in your bank account and someone takes $60 tril out are you gonna go on a inflationary spending spree or are you going to go broke?

The DEflationary freight train has left the station and is picking up speed it's gonna flatten anyone in its way.

Its going to catch alot of people out!!!

[killatop]

you act as if the 7 trillion is the only money the govt is printing... they have 60 trillion + in liablities ... money they don't have and money they can't tax the people b/c they are spent...how else do you get it???? you have to use the inflation tax

[marky1333]

When the dollar collapses that will be inflationary for Americans yes but consider this Dollar collapse will be inflationary for 350 million Americans but deflationary for 6.5 Billion people in the rest of the world that deflation will swamp back on America. The Whole world is in massive deflation. printed money is no substitute for mutiplyed credit creation willing lent and willingly taken up by the people . Whichever way you cut it it's massive deflation.

[killatop]

i guess the part you are losing me at is, if we inflate our currency to the collapse of the dollar, thus deflating other currencies as you say...how does the deflation of the other currencies, get back to the dollar? You just said the inflation of the reserve currency is what will cause deflation, but you don't say how that will come back to deflate the dollar, other than saying the fed will put interest rates to 30-40% which bernanke has had ZERO interest in doing...

[marky1333]

A dollar collapse will cause inflation in the U.S but this will be temporary because if inflation went say 30% because of the devaluation it would stay at 30% once the devaluation was over. so 12 months later inflation will be 0% again.

Factor in the 20-30% interest rates causing massive credit deflation (which equals price deflation) plus factor in the price deflation from goods around the world (because they can now buy more stuff for the same money because of dollar devaluation)

[marky1333]

plus add in the massive credit deflation that is going on in the rest of the world that is how deflation will return to the U.S after some inital dollar collapse inflation.

[Fronte999]

it's a runawy train now.... if we were to follow Peter's advice it is the rational way to go... but he's not really talking about a recession but something where it's really serious. not just economic.

[arbide2]

I feel sorry for all the low income and middle class people in the US that do not even realize what is going to happen to the dollar and their savings if they have any.

[ultrakool]

Get ready for the WSA. The Weimar States of America. Anybody got a wheelbarrow I can borrow? I need to take these dollars to the store to buy a loaf of bread.

[carlfinkle]

Too big to fail, another way of saying unsinkable and we all know how that ended.

[gboy1441]

peter is brilliant as always against other jokers

[at1212b]

and so called 'Experts'!

[PAYNE227]

Old Jack is cautious and seems to be afraid to say anything with Peter on the show.He is afraid the tape will come back to get him later. This crisis needs to be investigated and someone needs to go to jail for fraud. With this much money being taken off the top for these hedge funds and stock brokers there has to be fraud somewhere. They knew this was coming and did nothing but continue to give good news about stocks and take our money. These guys are worse than used car salesmen except Peter.

[PAYNE227]

Hussien needs to listen Peter to get the country back on track. If economic problems continue we will be speaking Chinese. The dollar is ripe for falling to "0". The Federal Reserve Bank needs to be abolished. Peter you are the Man.

[ndnspongebob]

"nobody is too big to fail"

that is what truth sounds like

[kalidyne]

Word

[mreisma]

"we need a printing press", someone kill this fucker. people need to listen to peter.

[P51ride]

comment cont'd) new machines that had PLASTIC FRAMES instead of metal. The new machines as I mentioned were and are GARBAGE and made by or for SINGER. This is just one of many problems that losing manufacturing jobs causes. Buying all of the GARBAGE products coming from China helps to fund their military and then they sell weapons to the Islamo-fascist terrorists. Sadly the Republicrats ( Republicans and Democrats) ARE TOO STUPID to see the disaster that we are seeing the effects of. My $.04

[P51ride]

Schiff hits the nail on the head. The United States has given away its manufacturing jobs for so long that we are totally dependent on China and other countries that are hostile to LIBERTY and FREEDOM. I worked in independent retail and have seen the effects of this job shift. A company once known worldwide as the best sewing machine manufacturer producing a durable product now produces GARBAGE !!!!!!!!!!. I know because I did service their older machines and ended up junking their ( Cont'd)

[Melville10]

I can't help but notice lately that there have been a ton of big name bank commercials on all the major tv networks soliciting their investing services (e.g. Schwab, Bank of America). I wonder why : )

[carlfinkle]

Its the same in Australia, they went quiet for a while now they are after deposits. Hmm I wonder why?

[jeffcaldwell2]

i love how peter got the last words after she said that dude had the last words... nobody's too big to fail. BAM! let me smile because nobody agrees and i am right and you are wrong and you will see.

[ronpauljimrogers]

The USGovt is bankrupt... haven't you heard? [David Walker, Lyndsey Wlms, GAO doc's, logic]

USGovt will go under in 6 - 12 mos. Prepare my brethren. Morons and criminals rule the world. Bush Cheney Obamination central banks Rothschilds queen (Shell Oil) Rckfllr and his hired henchman Kissinger Icke Clinton Blair Bilderbergs.

Humans have compassion intelligence love imagination, reptiles have 2-dimensional existence of greed power only.

Prepare to make your decision.

[jeffcaldwell2]

i made that statement because i LOVE peter schiff and i was trying to convey my interpretation of how he felt. i already know the guv'mint is bankrupt. look at our debt. its close to 60 trillion dollars. you should check this out... go to google and type in building a north american community and click on the first link. it is 50 pages of how rockefeller is going to create a north american union. its 50 pages of information from his group known as the council on foreign relations.

[USAFcrypto]

Well put, Mr. Caldwell.

[jeffcaldwell2]

thank you my friend.

[ManufacturedThoughts]

Just remember Obama is just another elected Puppet for the US Federal Reserve Bank.

[ronpaulrevolution]

Damn right nobody is to big to fail! How about too small to fail? I think Obama should bail out my internet business!

[odDymarkow]

Nobody is too big to fail.

[browncoatnola]

zing.

[nyrangerfan1]

here's the thing though... although schiff is right about needing to manufacture more, he seems to ignore the fact that the types of plans the obama administration has to get people working, infrastructure projects, will do just that... sure it's deficit spending, but it's deficit spending to get people manufacturing jobs... that should be a plus for schiff, no?

[devourage]

No. Schiff is of the Austrian School of economics. The government shouldn't put people to work, because the gov decides which industries they fund to get people working. This causes problems in the marketplace because a monopolistic force like the government shouldn't be deciding what we produce. Putting people to work under government spending will just lead to more tariffs and more controls, to protect out government funded industries.

[nyrangerfan1]

i understand that schiff wants government non-interference, but in reality it seems that these are differing means to the same end... getting people working in the manufacturing sector... if anything, the type of manufacture that comes out from infrastructure projects is better long term than manufacturing based on consumer choice... they wanted big cars, big houses and look where that's gotten us...

[devourage]

Not true. Schiff is for a free market. In a free market, what customers demand is supplied to them. Customers these days demand cars that are fuel efficient, and also want to move towards alternative energy. What we have in this country is tariffs, regulations and subsidies that keep this from happening. Government control would only compound the problem, due to the monopoly of the State. Also, more regulations are inevitable because the State will protect it's investment.

[devourage]

A perfect example is corn ethanol, which the US gov subsidizes. Hundreds of thousand if not millions of jobs depend on corn ethanol. The problem is corn ethanol is extremely inefficient. Sugar ethanol on the other hand is extremely efficient. Brazil produces tons of wonderfully efficient sugar can ethanol. However, in order to protect our inefficient, subsidized industries, the government imposes tariffs. Government involvement always screws people.

[jeffcaldwell2]

hemp ethanol is great. hemp seed oil can be used for diesel gas. hemp produces that most biomass of any plant per acre.

[dorbei]

Schiff comes across a li'l smug in this interview.

[aconnecte]

he has been right for the last few years...I feel the same frustration over the blindedness of these so called experts.

[jeffcaldwell2]

he's been right since the mid nineties... get got into the computer boom and then sold them all in 98/99 and said it was going to go bankrupt. look at what happened.

[jeffcaldwell2]

whoever gave me a negative thumb is just jealous.

[jeffcaldwell2]

if u were right and everyone didnt believe you or said you are a fool and laughed at you all the time. would you be smug when you are always right?

[prmd142]

peter's opponents have humbled down.... for some reason i don't like it... i want them to be laughing & yelling at him! I want more spice in the arguements.

[raguv2000]

no, they should bow down like minions

[HighIncidentBandit]

They should offer Peter a blowjob.

[tianya1389]

Actually his last word is not wrong in a sense. Government is behind Citi. So it may fail if government fails.

[feeknocks]

wtf is up with that old dude haha.

[chingon711]

soon the chinese will knock on your door with a gun in hand demanding their money back.

[Epic878787]

Nothing will "instill confidence" better than a good deal but none in sight.

[user197a]

Peter, stop it, you're killing them!

[olamapsa]

Run away!

watch?v=-xP_aIvp56A

.

[snarej]

The Real tragedy in all of this is the lost opportunities for innovation, growth and increasing standards of living. The western world is going to stall, or even fall behind a decade or more in basic economic and social progress that creates a better world for the next generation. China, for all of it's economic progress, is still barbaric and unenlightened as far as personal liberty goes. Peter's right, the world is entering another prolonged period of hardship ex. the 1930's or the 1970's.

[roddiero]

Well, it is. We built shopping centers, condos and homes instead of robot factories, flying cars or who knows what else, that we could use now to sell elsewhere or build stuff. This is the definition of a bubble: spend frantically on irrational projects. It's like a coke binge. And now, we're broke with nothing but a pocket full of pesos and an STD.

[sianghan]

How ironic that the "barbaric" country hasn't fought a war for the past 30 years, and the protectors of human rights are involved in 2 right now (not to mention Vietnam, Yugoslavia, Iraq part 1). Anymore dumb comments?

[malakai0]

The other guys discuss market trends going back maybe 2-3 years.

Peter follows them back to the 50's and 60's and even before. He pretty much had them speechless when he took his analysis back that far!

[kkalayaan]

lol

[jortizz]

The guy from Barclays looked like he wanted to strangle Peter. LOL. In a few years he'll be calling Peter for investment advice.

[benq100182]

well.. right after the show he'll be calling PS! LOL