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The gold markets by the way the Dow is now down a 140 points as expected but we can't ignore gold because gold.
Is also down this morning.
Down fourteen boxes we speak that bring in Peter Schiff with Euro Pacific Capital.
-- -- down fourteen dollars in -- day when stocks are down as well your analysis for us to the gold declines got.
Well I think gold's been going now because people have the wrong assessment of the US economy and the desirability of owning gold but what's more important is look at the bond market Stewart.
Bond prices are dropping the yield on the ten year now what two and a quarter rising interest rates are the Achilles are the Achilles heel of the phony US recovery.
I don't know why nobody is worried about it this is going to be a massive tax increase.
It's much bigger than what we were looking -- we -- worried about the fiscal cliff except this tax increase also affects the US government which is the biggest -- of the mall.
I think you can see yields up at 4% on the ten year a lot quicker than anybody face in less that fed comes then it starts -- a lot more than 85 billion a month.
Worth the treasuries and mortgages.
So your analysis for the gold decline is the same as your analysis for the stock decline.
It's all about rising interest rates and the bill look we'll have to pay for that bats -- yeah it -- you so they get it no wait don't.
No goal goal is not going -- -- because long term rates are rising in fact I think long term rates are rising because inflation expectations are rising because people are losing confidence in the ability the Fed to dial back to QE they're losing confidence in the credit worthiness of the United States despite what S&P said yesterday.
So it's got nothing to do and I think gold is more.
That you have a lot of speculators that have got out of the market -- shorting the market I think you have a great buying opportunity in the gold market on the other hand the bond market is topping out you've got to bubble that is berth in the bond market and -- the bond market is just finishing or just starting its decline.
I think -- gold market is about finished with the -- we hear you Peter.
-- thanks very much indeed so.
Can we just put up about board again for a sentence.
I was gonna look at the dictatorship and a ten year treasury again is what is that exit two and a quarter percent now -- that's a benchmark that's very interesting.
I think whereas on the -- -- the real salt but to shop -- they got 2.2 5%.
That is the development which according to leadership and others is moving stalks and gold this morning.
All right now what.
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