Economic Crisis Is Coming, U.S Shutdown Is A Distraction, Gold Will Benefit - Peter Schiff
(Kitco News) - Economic collapse is coming and gold will trade over $5,000, maintained one CEO of a leading provider of alternative investment strategies, who is bullish on the yellow metal.
Analysts see an economic crisis approach from miles away, Euro Pacific Capital CEO Peter Schiff told Kitco’s Daniela Cambone on the sidelines of the Vancouver Resource Investment Conference (VRIC).
“Nobody can come out and say we are headed for an economic crisis and that crisis hits tomorrow. You see trends that are building, you see a problem forming well in advance,” Schiff said.
Signs that something bad is on the horizon have been here for some time, Schiff clarified.
“We are doing a lot of things that are very bad and that are making us very sick. And we will succumb to a disease. It doesn’t mean [it is going to happen] tomorrow. But, [what has] happened in a real world [doesn’t] contradicted anything that I have been saying. All of the problems that I have diagnosed have just gotten worse,” he said.
One of the most-talked-about issues of the new year is the partial U.S. government shutdown, which Schiff described as a distraction.
“It is a lot of political theatre that ends up costing taxpayers more money,” he said. “It’s the Democrats and the Republicans posturing against one another in advance of the 2020 election [and deciding] who is going to get the blame. It’s a distraction. It deflects people’s attention from what they should really be worried about,” he noted.
At the end of the day, the winner here will be gold, Schiff pointed out, explaining that is is refreshing to see more people embracing the metal lately.
“It makes sense that some people are finally looking at [gold]. More people should be looking at it. Ultimately, that is going to happen as the price of gold moves higher. More importantly though, as the problems begin to manifest themselves in a way that hurts investors and inflation starts to take a toll on a real value of people’s savings, more and more people are going to wake up to the benefits of owning gold,” he said.