History clearly shows that gold shines brightly when currencies fail. Peter Schiff, CEO of Euro Pacific Capital, is suggesting investors don’t fall for today’s fake news of “Dollar Strength.” And because the dollar is the premier global reserve currency, investors all around the world are quickly turning to gold for security, safety, and long term profitability. Although, Schiff believes the dollar to be in danger of collapse, due to its over-hyped and tenuous condition and therefore may call for consideration of gold in short term profitability as well. Schiff reminds us that the dollar has lost 96% of its purchasing power over the past 100 years. In addition, he points to the fact that “when central banks, inflation, and the markets feel out of control: central banks can always print more money, but they can never print gold.” Schiff responds to some of the fake news directly, below:
Claims are being made that the U.S. dollar is at a 12-year high against the euro.
“I’m surprised that it rallied this much, but it doesn’t mean that it’s permanent, because you have everybody speculating. The conventional narrative is that the Fed is going to be raising rates and the rest of the world is going to be easing, and it’s based on that that speculators have bid up the dollar.”
Based on fundamentals, the dollar should be weak right now.
“The fundamentals are weak. But the fundamentals don’t matter right now with this false narrative, and the traders are running with it like a horse with a bit in its mouth.”
Central banks are controlling inflation.
The soundest central banks around the world are deliberately creating inflation with negative interest rates, promising to debase their currency. … It’s like firemen coming to your house to set fires, not put them out.”
Schiff asks the question: What are you going to do to preserve your wealth? His answer is to stock up on physical gold and silver at today’s still lower prices. American Bullion reminds you that it’s a good idea to have physical metal at home for emergencies, like a cyber-attack that knocks out ATM’s for a while. In addition, American Bullion was a pioneer and specializes in converting an IRA, old 401k, or other qualified retirement accounts into a self-directed physical Precious Metals IRA (aka Gold IRA). As a U.S. Mint nationally listed dealer, American Bullion strives to be the best Gold IRA company in the industry and guarantee every transaction is fast, simple, and secure. The American Bullion Reviews page contains a plethora of testimonials from our many satisfied clients.
Although the information in this commentary has been obtained from sources believed to be reliable, American Bullion does not guarantee its accuracy and such information may be incomplete or condensed. The opinions expressed are subject to change without notice. American Bullion will not be liable for any errors or omissions in this information nor for the availability of this information. All content provided on this blog is for informational purposes only and should not be used to make buy or sell decisions for any type of precious metals.