Wall St Unspun - August/26/09

[terrablader]

lost me on 10 min intro

[TWSceptic]

@terrablader Use the slider, what are you a yt noob?

[tai006]

this is why money in general is overrated. but anyway, while i see your point on increasing savings, trying to get consumers to buy with real money not loan money, but i dont agree that deregulation is a piece of the solution. The free market is the reason for the corruption you spoke of. lets hope youre wrong bout the 2 years of fake improvement although i think you are correct.

[Kl0kw3rk]

He really rambles...

[Rustyshackleford08]

Its like a old man offering candy so he can molest them! LOL Jeeeze harsh but true! The economy is certainly moslesting my account, my purchasing power and my future.

[micollision]

buy precious metals !!

[DNATS]

"Once you lose your virginity, you can never get it back" LOL love your analogy Mr. Schiff. You have a crude senes of humor.

[Igor707]

Peter Schiff is an intelligent and reasonable man but he has one very serious problem - he constantly interrupts his listeners and very often he simply does not let them ask the question.

[af0n]

I dont really agree--often times people call in about the same shit over and over again. He gets to the philosophical root of the problem, addresses it, makes the caller realize how much of douche they are (if they are indeed a douche), and moves on. Hes got a job to do, man.

[harvey101107]

well he only has an hour..

[JPPT1974]

People that know this, indeed know what they are talking about. As I could never get Wall Street numbers nor never will I am afraid.

[Banditromania]

maybe more reading on the Great Depression and economics would change your "wiki-opinion" ...Ludwig von Mises did it for me

[PontiffMystic]

For the most part what Schiff is saying is true. The housing bubble was created artificially. The Great Depression was a result of credit expansion just like this recession, while others simply blame greed, too much profit, not enough equal distribution of wealth. Coincidently, Bush was considered "free market proponent" just like the Republican preceding the Great Depression. Supply, and demand, prices are distorted by government policy. The similarity is quite eery.

[PontiffMystic]

Peter Schiff maybe a politician, but hopefully he isn't the same typical politician that actually ruined the economy. He obviously doesn't spew the usual talking points. His views are very fresh compared to mainstream thought that you see on the media everyday.

[PontiffMystic]

Jackle, the feds lowered interest rates. Credit expansion is what caused the great depression. Not contraction of the money supply. Foreigners lost faith in the dollar because it they felt the gold standard was leaving. Of course fractional reserve can create such thinking.

[jnort122]

@jackle734

lookup "the politcally incorrect guide to the great depression" by robert p murphy.

Easy money policies and high debt levels only lengthen and deepen the depression, thats why the 'great depression' was so bad - whereas no one knows about the depression of 1920-1921. Because during 1920-21 depression they let the market self-correct and pulled in debt and inflation.

You couldn't be more wrong about the causes and cures of depressions.

[swirlcrop]

Our deepest sympathies (me and my girlfriend)to you and your girlfriend.

[pntrain5]

Did anybody hear the "cash for clunker" is taxable. Many buyers are surprised to find out they now own the IRS some extra money.

[deanclkclk]

Condolences to you and yours Peter.

[johngaltexpres]

EuroPacific Canada is going to get more taxed then EuroPacific America. But I still can't wait to become a client.

[n66178]

Why do we need a central bank again?

[FinancialTraffic]

Peter,

Sorry about your girlfriend's loss. My thoughts and prayers are with you and yours.

[wtfbroskie]

Schiff for fed chairman.

lol

[harveybirdmannequin]

Do these Wall Street Unspun videos really have to be in "HQ"?

[harveybirdmannequin]

I want to hear Peter talk more about the Treasuries market. Peter believes that the dollar collapse is inevitable and of course it will start in Treasuries. With record amounts of US gov't debt being sold, I'm sure there is plenty to talk about.

Or does Peter specialize in equities and commodities trading?

[lsa420]

I'm a client. They specialize mostly in foreign equities. If you are high net worth they will hook up commodities and other vehicles.

[bowtie728]

sick move

[christo930]

He sounds exhausted or like he had a couple of drinks.

Does anyone know if there were severe inflation if you could pay off your mortgage? Peter alluded to it during the show, but do large loans like mortgages have protection against severe currency drops? Did other govs that had hyperinflation keep people from paying off their debt with the hyper-inflated currency?

[n3rdm4n]

Not in Argentina. My dad finished paying his mortgage with the equivalent of a bus ticket, back in the 80's. Inflation is a tax on savers to bail out debtors.

[harveybirdmannequin]

"Inflation is a tax on savers to bail out debtors. "

Exactly. Which is more incentive for helicopter Ben to continue his money printing policies, for the politicians to allow record gov't debt levels (why not? US debt is in US dollars so just inflate away your debts), and for consumers to continue recklessly borrowing for things they don't need.

Everybody wins. In a nation of debtors, inflation is your best friend. The suckers are the debt holders and creditors.

[ivar197]

The thing is, the foreigners can easily get rid of the dollar, sure they lose some wealth in the process, but look at the Americans.

Americans are forced to use dollars, thats their national currency, they cant just drop it, and in fact every single person holding dollars will have their wealth confiscated, even if they only hold it for a short time like a week or even a day.

Remember, in Hungary money lost 70% of its value EVERY DAY, so getting a salary already was already a huge tax.

[christo930]

According to the gov NGS or something, I forget, we have 3 years of oil in the ground at current production(existing wells), Mexico (or 2nd biggest supplier) will no longer be able to export in about a year and the dollar is loosing it's value. There is no way we can replace the production that is going to be lost in 3 years. Money is paper and that problem can be solved, but oil can't be printed or created overnight. TWBs won't let the dollar collapse. It would impoverish the world.

[ivar197]

And the same way oil field owners dont want to pump out all their oil immediately for fast profit, they instead want to pump less of it out, so that their oil field will maintain its capital value and they get more profit over a longer period of time due to higher prices.

[christo930]

The age of easy cheap oil is over. Every new project on the table is expensive in terms of energy to produce. The price of oil is going to go well above 100 and go up from there. We are approaching 7:1 oil and less. Tarsands are really low, like 4:1. Things are getting worse and worse and we aren't even acknowledging the problem, let alone working on a solution.

[christo930]

I don't see it that way. Ever since we entered the inflationary period beginning in the early 70's it took 2 to do what 1 used to do. I am a net debtor, but only because of my mortgage which is low interest and less than 1/2 the home value when I bought it and probably 1/3 or current value. But I am also a saver with almost as much as my mortgage in cash. I need to move it out of the country before this begins.

[Chainedorlo]

Your comments are quite intelligent.

[bajoverga]

My heart goes out to you and your family.

[fluff125]

I can see why arbitrary increases in the money supply are bad because they distort the economy, but what is wrong with fractional reserve banking?

If banks had to keep 100% demand deposits at all times, how could they loan out money to businesses for capital? Wouldn't we have much less investment and therefore less development? Wouldn't this mean that people with a bank account would actually get negative interest on deposits? (fee for storage)

I will copy and paste this till someone answers

[stumbo2w]

Fractional reserve banking is OK, however we don't even have fractional reserve anymore, our currency is fiat.

[fluff125]

How come in the documentary about the fed, Lew Rockwell calls it a "fraudulent system"

[jxch58]

They could only lend money if customers LET them lend it. This implies that lenders could not immediately access 'deposited funds' immediately because someone has been lent their funds.

After abolishing fractional reserve, is that banks would have to RAISE interest rates for savings accounts and possibly charge fees for checking accounts. However, in a full-reserve system, many types of banks with different models might exist (no checking account fees if certain amount held in savings...).

[rickbar123]

If you want to fix America, NAFTA and free trade must end. The scum that sold it to the American people should be shot dead. The rest is all talk and BS.

[joshhhhhhhhhhplays]

I thought I told Peter Schiff to shut the fuck up.

[Vodkatonic11]

go lose your money - have you reviewed Peter's record of correct economic predictions? Is your head in the sand?

[Chainedorlo]

Have you paid attention to his track record?

[residentzombie]

Why does Peter have an upside down star on his Schiff for Senate logo?

[harvey101107]

why not

[residentzombie]

lol the sheeple have no idea what an upside down star can mean. Look up Illuminati symbolism sheeple.

[McRocket]

Sorry for the bad news.

You really are great at the analogies.

Great show.

[madoo15c]

Peter you are having way too much fun with this!

[cmstyz]

I just realized that I always give your videos 5 stars the second they begin - I thought that was funny because I haven't even watched them yet (and I'm never wrong!)

Thanks again Peter!

:)

[cmstyz]

Whoa...

Sorry to hear about the sad news - I appreciate that you share yourself with us. We're thinking about you and your family/friends Peter.

[ch1kusoo]

Yeah Peter!! you're opening Europac Canada in Toronto.

[Miamijunglist]

Great words of wisdom Peter. My heart goes out to you and your girlfriends families.

[walstreetpro2]

they have good marijuana lol

[PainesRight]

Mr. Schiff,

My condolences to your girlfriend and her family. Truly tragic news. You are right, life is fragile and precious and every single minute should be cherished.

Many times we do not know what we've got until it's gone... much like our fleeting liberty.

Give my best to your dad too,

Painesright

[USAFcrypto]

"once you lose your virginity..."

Good stuff, Peter! We need more politicians willing to put things that way. Our sex-crazed society can understand things like that...

[siy1414]

If Peter thinks that America is beyond repair, shouldn't we allow the nation to fail? He wants the government stop propping up bad businesses and just allow them to fail. Shouldn't he stay out of the senate and allow the bad nation to fail too?

Letting our currency die and then rebuild our nation will take a few years since we have the best talent and infrastructure. But paying off our debt and doing things the right way will take decades to fix our problem.

[john5246]

You make a very good point, and I agree with you that we can't just change things for the better that simply, if we want a vibrant economy built on a strong foundation we need to let this house of cards fall and rebuild on the foundations that were laid down by the founding fathers.

[ctrader09]

peter does not think America is beyond repair. he thinks it is beyond repair with the current political setup which is the reason he is running for senate, to get the truth out to America.

[TheMightyCult]

The best talent follows the money. If your currency dies, the best talent will go somewhere that pays more.

Americans are just as capable of economic migrancy as anyone else.

Don't expect the talent to stick around if you can't pay them the big bucks any more.

[AEVautomatic]

he was wrong i was right im up more then 100% in less then 6 months in us stocks and euro banks.

[justanotherturtle]

Schiff is up more than 100% in the last 6 months. You lose.

[AEVautomatic]

no he is not and he was wrong by what he said im not talking about what he did,.

[justanotherturtle]

I'm pretty sure he's up over 200% in the last 6 months. The fact that the dollar rose for a little while does not make him wrong in saying that it will sink. That's like saying it was wrong to say the nasdaq bubble will burst while prices were still rising.

[OntologicalQuandary]

Yea probably in your stock simulator lol. Its not hard to be up if you invested in march (which you probably did you in your stock simulator). But even if you made large gains, the dollar is going down in value which may mean higher nominal gains but lowers absolute gains.

[fox20012]

Bingo, peter understand how he works his own magic! He makes sheer simple gob smaking sense!

[Ne0mega]

That's funny, Because I do not take pain killers, and did not, even when I severely crushed my foot. I figured the pain killers would not assist in it healing correctly.

[fox20012]

Be careful Shiff! If we ever lost you I shit you not I would probably cry lulz

[kihjin]

Greenspan renominated! That's fantastic news :P

[Nexus974]

My condolences to you and yours Mr. Schiff.

[john5246]

Peter if you read this:

Will the FED losing the case to Bloomberg and now having to disclose who got the money cause the next "panic" in the market? Will this cause the financial to go sour despite the FASB rule changes...

[asierra1492]

I think bloomberg lost the case because their lawsuit depended on the institution being a public institution. But the fed of new york is private so the lawsuit failed.

[MengersDisciple]

asierra1492 -

Bloomberg did not lose the case. The Fed has until Aug 31 to disclose the details.

watch?v=wzrt7WY9nuY

[asierra1492]

Great to hear! i will be looking forward to it.

[jwinter228]

Sorry to hear about your girlfriend's (and your) loss, Peter. You're right - as important as the issues that we follow on a daily basis are, there really are more important things that we can't take for granted.

Nonetheless, thanks for taking the time out of your schedule for all the various shows, columns, and endorsements for other candidates.

Oh by the way your analogies are great to get uninformed people interested - esp. that one about nominating your kid for treasury secretary.

[john5246]

I wonder how much money the government made off of his death. If he was well off at all the "death tax" aka the Estate Tax can bring in some good revenue. Almost as sad as the guy dying at such a young age.

[odin422]

My condolences.