
For the latest Peter Schiff, go to PeterSchiffBlog.com - Bernie Madoff said that the US government is running a Ponzi scheme. Madoff is someone who knows a Ponzi scheme when he sees one, so he has a lot of credibility on this issue. Central banks around the world are raising interest rates, while the Federal Reserve is keeping them low in the US This means that rather than exporting their inflation around the world, Americans will finally have to begin to eat it themselves. As interest rates rise, there is going to be a lot of pressure on the States in the union. They are ultimately going to have to turn to the Federal Reserve to bail them out. A record 71% of the bonds in the last ten-year auction were bought by foreigners. That will soon change. If you want the evidence of inflation, stop looking at the bonds that are being manipulated by central banks. Look at the record highs of silver and gold. There isn't a lot of downside in the stock market, at least measured in terms of the dollar. In terms of gold, there is still a lot of downside. Look for the Dow to be priced at 1 ounce of gold in the future. The time frame, however, is impossible to know. It might be one year, two years, or even three years. The phony economy is coming to an end, because these policies are causing tremendous damage around the world, and they are getting tired of it.
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