Schiff on Mining Network: Trump is Packing the FOMC

Peter recently joined Peter Gadsdon from the Mining Network to discuss a grab-bag of issues, from the latest showdown between the Fed and the White House to why gold is still the best hedge against a weakening dollar. He walks listeners through recent inflation readings — including the CPI for December — and ties those numbers to politics, markets, and why investors should rethink where they keep their wealth. Throughout, Peter stresses that sound money and global diversification are the right answers when central bankers and politicians push policy in opposite directions.

He frames the conflict between the Federal Reserve and the executive branch as the predictable result of decades of easy money and deficit politics, pointing to the jump in the CPI (Consumer Price Index) as evidence the Fed’s inflation experiment is over its head:

Well, you know, first of all, it’s been inevitable that eventually you might have this type of a clash between the Fed and the government, the president, because the Fed has been enabling all the deficit spending and all the profligacy of both parties for decades now. And recently their excuse was that, well, we’re below 2% inflation target, so we can print money, we can create inflation because the rate’s too low. We need to move it up to the target. But now that the rate is well above their so-called target, we got the CPI out again today for December– 2.7. We’re further above 2% than we were really ever below it.

He then turns from policy to politics, dismissing the pretense of innocence around investigations and highlighting the double standards in Washington: