Stock Traders Blog

A video of Peter Schiff in Daily Show with Jon Stewart showed that people was having a good laugh at him when he predict he housing bubble a couple years ago. I originally have this video embedded here but it is no longer available.

I came across an article that was about Peter Schiff and his prediction of the housing bubble a couple years ago. He is now predicting the hyperinflation. Given the time frame of his prediction I would guess hyperinflation is going to come after two years. I am not trying to spread the bearish sentiment here. He could be wrong but I would like to keep this in mind.

Here is the article that is questioning the United States’ ability to pay back its national debt, “Can they pay it back”. The following is a quote from it which is originally from Peter Schiff.

The current recession, is only the beginning of a larger economic restructuring. The American economy has been destroyed by years of reckless spending and borrowing. And now, the U.S. government is so deeply in debt that at some point in the very near future, its lenders—namely China—are going to come to their senses and cut America off. “We can’t have one country that just borrows and one country that just consumes that’s supported by the rest of the world. It doesn’t work.” When this system collapses—and it inevitably must—inflation will run wild as the U.S. prints money to support its spending habit. Interest rates will jump and everyone will suffer. The real day of reckoning is still to come.

If I don’t remember wrong this is the third collection in my “Bear Thoughts” category. I don’t know why I don’t find any “Bull Thoughts” so far. Maybe subconsciously I am very bearish and I was very sensitive to bearish message. If you find any good article of bullish thoughts. Please let me know.

Related posts:

1. Bearish on Independent Refinery Business
2. The First Collection of the Big Bears’ Thought