Gold Prices: Peter Schiff Says This Will Send Gold Totally Through the Roof
BY VOICE OF REASON
THELASTGREATSTAND.COM
FRIDAY, MARCH 11TH, 2016
iN THIS VIDEO, PETER GIVES A BRILLIANT ANALYSIS OF WHY GOLD HAS FLUCTUATED THE WAY IT HAS.
To begin, yesterday was a wild day in the financial markets to be sure, but very little of the activity was based on rational thinking. As if the world hasn’t learned it’s lesson by now, just as Peter Schiff predicted, the ECB’s bank chief Mario Draghi made the announcement that there would be further interest rate cuts, and more quantitative easing in the 19-country euro-zone. Peter referred to the the analogy of Draghi using the equivalent of a shot from a bazooka on the Eurozone, because now the ECB has actually superseded the Fed in Quantitative Easing.
Now, as you would imagine, that is going to cause rising prices and more inflation, but the big difference between the U.S. and the Eurozone is that the Eurozone can raise interest rates to combat inflation. We’ve seen the effect that raising rates less than .25% had here, so that’s not even an option for the U.S. We’re going to be stuck dealing with runaway inflation when the time comes, and there isn’t a damn thing we can do about it.
AS FOR THE PRICE OF GOLD….
Normally, when country debases their currency like that with Quantitative Easing, the result of that reckless monetary policy is for the value of a hard asset like gold to rise. The reason gold has been slow to rise, is not because it’s not a great time to buy, but simply because the Euro is so weak. By issuing more quantitative easing, the Euro goes down against the Dollar, causing the Dollar to rise. Well, since gold is priced in Dollars, with them easing in value because of the move by the ECB, gold has remained largely unchanged.
Here is what you should be thinking: If you’re more bullish for the U.S. than Europe long term, then based on that belief you’d be a fool to purchase more gold, notwithstanding that you’d have to be a total buffoon to think the U.S. is better off long term than Europe, but that’s another story, If you believe everything people like Peter Schiff, Dr. Jim WIllie, and Michael Snyder have been saying for over a year, and that the U.S. is on the verge of financial Armageddon, then don’t let the temporary weakness of the Euros affect on gold affect your decision to but more gold. Peter explains in further detail below, and then there are two subsequent articles on gold, one by Peter, one tom Activist Post.
The Rest…HERE
