In his first Gold Videocast of 2015, Peter Schiff looks back at gold’s performance on the global markets in 2014 and forecasts where the yellow metal is headed in the new year.
- The gold price in US dollars was basically unchanged in 2014, contrary to all bearish predictions.
- Gold had a huge year in every currency other than the dollar.
- Gold also beat almost every stock market in the world.
- Gold and gold mining stocks have risen significantly in the first week of 2015.
- Gold prices are rising despite the fact the US dollar index is hitting new highs.
- There have been major breakouts in the euro and Swiss franc gold prices.
- Gold has returned to a bull market in almost every currency except the US dollar.
- Oil prices dropped significantly in the past couple months, while gold prices did not.
- The US economic recovery was built on a foundation of zero-percent interest rates and quantitative easing, which raised asset prices throughout the economy.
- Oil prices are just the first to fall at the end of QE and a hint of rate hikes. Other markets will follow, and the economy will enter a recession.
- All the economic data since the third-quarter GDP report have been very weak and below estimates.
- The US could see a negative GDP in the first quarter of 2015, which would prevent the Fed from raising rates.
- The euro is now at a 9-year low against the dollar, but Peter believes it is going to rally as it has in the past.
- The US is more likely to start QE4 than Europe is to start even a limited QE program.
- Peter has never seen a bigger disconnect in the markets between reality and perception.
- Investors should prepare for a bigger bubble than even the dot-com or housing bubbles.
Peter Schiff talks about his 2018 Outlook including recession, gold, Trump, China, dollar, inflation, tax cuts, and interest rates on Kitco December 19th 2017.