Schiff on Reality Check: Get the Government Out of Money

Peter joined Michael Simmons on Reality Check last week to explain why the recent drops in gold and silver are exactly the kind of price action investors should welcome. He connects the sell-off to forced liquidations in other markets, walks through decades of Federal Reserve (the Fed) policy mistakes, and warns that continued dollar creation to finance debt makes precious metals a prudent hedge. He also reiterates his view that sound money belongs to the private sector — and it will not be cryptocurrencies.

Peter opens by framing the current precious-metals weakness as an opportunity rather than a failure, tying it to broader margin stress across risky assets:

In fact, this recent decline in gold and particularly in silver, I think, gives you an opportunity to buy if you had missed out so far. I think what’s happening with gold and silver at the moment is they’re getting caught up in margin call liquidation related to other assets, particularly in the crypto space– Bitcoin, Ethereum, crypto related companies– and then to a lesser extent, some of the tech stocks, software, AI related names that a lot of people held on margin. And I think there’s just a lot of forced liquidation right now.

He then lays out the upside potential for gold if the U.S. keeps financing deficits by creating more dollars out of thin air — a process that accelerates inflation and erodes purchasing power: