Dollar Lost Every Penny It Gained From the War — The Crack Is Starting

Summary

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The Peter Schiff Show Podcast

"Dollar Lost Every Penny It Gained From the War — The Crack Is Starting"

Host: Peter Schiff
Date: May 1, 2026

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Episode Overview

In this episode, Peter Schiff delivers his Friday weekly market wrap, offering an incisive critique of current U.S. monetary policy, the performance of precious metals, and recent economic events. Schiff highlights how the U.S. dollar has shed all its gains since the onset of the war with Iran, warning of an impending crack in the currency's value. In his familiar direct style, Schiff discusses the consequences of central bank actions and government policies, contending that inflationary pressures will intensify and urging listeners to consider gold and silver as safe-haven assets amid growing economic volatility.

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Key Discussion Points & Insights

Precious Metals & Market Performance ([03:22]-[09:50])

• Gold & Silver Price Action:

  • Gold slipped 1.8% for the week, settling at $4,612/oz; silver eked out a small gain at $75.33/oz.
  • Mining stocks showed notable weakness: GDX fell 6.25%, GDXJ down 5.4%.
  • Schiff’s Take: “Interest in the metals is fading... which as far as I’m concerned is actually better because I liked it better when everything was quiet and nobody was paying attention to the gold rally so my clients could keep buying more and more gold.” ([05:00])

• Stock Market vs. Precious Metals:

  • Major U.S. indexes (S&P, NASDAQ, small caps) hit new highs, except the Dow, driving risk appetite and dampening interest in defensive assets like gold.
  • Market optimism stems from hope that the war will end soon, bringing down oil and bond yields—a belief Schiff dismisses as “more hope than reality.” ([07:12])

• Commodities & Bonds:

  • Oil prices continued to climb (WTI $102.50), contrary to public optimism.
  • Bond yields continued rising (30Y: 4.97%; 10Y: above 4.4%).

Central Banking, Inflation, and Powell’s Legacy ([11:50]-[24:04])

• Federal Reserve Criticism:

  • Schiff recaps the Fed's decision to hold rates steady, referencing Jerome Powell's final press conference as Chair.
  • Powell’s claim that the Fed “did a great job controlling inflation up till the pandemic” is rebuffed by Schiff as “BS.” ([15:17])

• Historical Money Supply & Inflation:

  • M2 money supply grew from $1.5 trillion (1980) to $22 trillion (2026), averaging 6% annual growth.
  • “Imagine how much cheaper everything would be today if the money supply hadn’t increased tenfold, tenfold in 40 years. That is not a track record to brag about. That is a disaster.” ([16:20])

• CPI Manipulation:

  • Methodology changes in the late 90s (Boskin Commission) allowed government to underreport true inflation.

• Debt & Trade Deficits:

  • National debt ballooned from under $1T to nearly $40T since 1980; U.S. shifted from creditor to largest debtor nation.
  • “The Fed is the reason…because the Fed enabled it.” ([22:36])

• Policy Continuity:

  • Incoming Chair Kevin Warsh is expected to pursue more of the same; “They can shuffle around the players, but it’s all money printing, quantitative easing, artificially low interest rates.” ([24:17])

Trade Policy & Economic Consequences ([24:04]-[29:51])

• Tariffs & Protectionism:

  • Trump announced 25% tariffs on European car imports.
  • Schiff criticizes tariffs as protectionist, inflationary, and damaging to U.S. consumers: “Americans are paying a lot more for a lot less because we don’t even let these Chinese cars into our country.” ([26:46])

• American Consumer Impact:

  • U.S. consumers lose out on high-quality, affordable products due to political barriers and tariffs.
  • “These tariffs are not going to work. They’re just going to weaken an already weak U.S. economy. That is the reality.” ([27:16])

Cryptocurrency, Speculation & Bubbles ([27:16]-[33:13])

• Market Distractions:

  • Schiff observes market participants being diverted by speculative bubbles (e.g., bitcoin, strategy products), which he describes as Ponzi-like:
    • “The yield can be paid so long as the Ponzi scheme can be perpetuated. But at some point you run out of fools that are dumb enough to buy this stuff.” ([28:26])
  • The attention on such speculative plays creates opportunities for gold buyers: “Be glad you have so many fools being distracted by these bubbles…” ([29:47])

• Crypto Conference Takeaways:

  • The latest crypto trends (e.g., ‘digital credit’) are even riskier than subprime lending, according to Schiff:
    • “This is worse than subprime. This whole thing is just a con. And more people are going to lose more money in this than to Bankman Fried and his scam.” ([33:16])

The Cracking Dollar, Central Bank Flows & Inflation Outlook ([29:51]-[35:57])

• Dollar Index Reversal:

  • The U.S. dollar has lost all its war-era gains; the muted “safe haven” bounce is a red flag.
    • “This was, you know, nothing. And the dollar has already lost the entire gain. And the next thing that’s gonna happen is the dollar is gonna start to crack because it couldn’t rally on the war. And all the fundamentals are negative for the dollar.” ([30:52]–[31:03])

• Inflation & Real Interest Rates:

  • Real (after-inflation) rates are falling, boosting gold’s appeal.
    • “Traders are still fixated on nominal rates. When they’re not seeing the forest for the trees. They need to be paying attention to real rates because that’s what matters.” ([23:16])

• Asset Allocation Shifting to Gold:

  • Increasing calls for traditional “60/40” portfolios to shift towards gold, especially as bonds lose appeal. ([31:33])

• Inflationary Future:

  • Schiff warns that “As bad as it was during those 40 years...it’s about to get worse. We’re about to go off the charts when it comes to money supply growth and inflation.” ([35:43])
  • “Rather than break the glass, we’re gonna break the presses. Cause that’s the only thing we can do, is print money.” ([35:56])

• AI Not a Lifeline:

  • Technology won’t bail out the currency: “AI is not gonna happen fast enough to give us a get out of jail free card.” ([36:11])

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Notable Quotes & Memorable Moments

• On Market Sentiment:
  “Everything that is happening is bullish for gold. In fact, everything that’s happened since gold started this correction is bullish for gold. The fundamentals for gold today in early May...are much better than they were in January or February.” ([06:12])

• On Federal Reserve History:
  “That is not a track record to brag about. That is a disaster. The country did much better under a gold standard when our money held its value.” ([16:20])

• On Policy Establishment:
  “The game doesn’t change. They can shuffle around the players, but it’s all money printing, quantitative easing, artificially low interest rates. Nobody is gonna do what needs to be done to avert this crisis.” ([24:12])

• On Trade Tariffs:
  “These tariffs are not going to work. They’re just going to weaken an already weak US Economy. That is the reality.” ([27:16])

• On Crypto Mania:
  “This is worse than subprime. This whole thing is just a con. And more people are going to lose more money in this than to Bankman Fried and his scam.” ([33:16])

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Important Timestamps for Key Segments

• [03:22] Precious metals market data, mining stocks, and Schiff’s outlook
• [07:12] Stock market optimism and disconnect with commodity realities
• [11:50] Federal Reserve and Powell’s press conference, policy critiques
• [16:20] Money supply expansion and its consequences
• [24:04] Warsh as new Fed chair, why nothing will change
• [25:47] Trump tariffs and consumer consequences
• [27:16] Crypto, speculation, and shifts in investor psychology
• [29:51] The dollar’s slide; all war gains wiped out
• [31:33] Shift in institutional asset allocations (“60/40” to “60/20/20”)
• [35:43] Inflation’s next phase and why Schiff remains bullish on gold and silver

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Conclusion and Recommendations

Peter Schiff ends the episode urging listeners to act before the broader market catches on to the risks in the system. He contends that gold and silver will benefit from continued inflation, policy missteps, and asset bubbles bursting elsewhere. “Don’t wait for the masses to get interested. Be glad that they’re not. And that just means lower prices for us.” ([37:43])

Schiff’s core message remains: the U.S. monetary and fiscal situation is unsustainable; gold and silver are the best insurance against what comes next.

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Transcript

[Peter Schiff]

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[Peter Schiff]

Hi everybody, this is Peter Schiff and welcome to the Schiff Gold Friday weekly market wrap. And if you are not a subscriber to this YouTube channel, before I get started, make sure and subscribe. Hit that button. Whatever it is to subscribe, like the video, leave a comment. A lot of times I forget to say that now I got it out of the way, right out of the box. Anyway, it was a relatively quiet week in the precious metals. Although gold did slip 1.8% on the week, silver managed to eke out a small 0.2% gain. So last I checked, gold settled the week at $4,612 an ounce and silver was 75, 33. You know, intra week silver did get down to about 71. Didn't stay there long. Silver seems to have a lot of support, around $70. So I think it's not likely that we're gonna get back into the 60s. Too many buyers trying to get in around that level, the low 70s. The mining stocks though were very weak. The GDX was down six and a quarter percent. That's a big move down, especially with silver. Positive, yes, gold was down, but you know, it really wasn't down, you know, much considering where it's been trading. The GDXJ was down a little bit less at 5.4%. So it was the bigger stocks that got hit a little bit more. Although the GDXJ doesn't have the smallest stocks. The real juniors are not there. Where you get exposure to those is with my gold fund, the Euro Pacific Gold fund. I think it's a great time to be buying that again. The symbol on My gold fund, managed by Adrian Day, is Epgix. And you can get information and prospectus on that on my [e-mail] or you can get it at any discount broker. But you know, I think that interest in the metals is fading. They're not talking about them anymore the way they were back in February when we were going straight up, when gold was up over 5,500. There was a lot of discussion of gold, a lot of interest in gold and silver. All that seems to have disappeared. Which as far as I'm concerned is actually better because I liked it better when everything was quiet and nobody was paying attention to the gold rally so my clients could keep buying more and more gold. All of a sudden a lot of other people got interested and the prices started to spike. But I think that we're going to resume this rally without the fanfare and I think that'll be a perfect backdrop for a big increase because everything that is happening is bullish for gold. In fact, everything that's happened since gold started, this correction is bullish for gold. So the fundamentals for gold today in early May, this is the first day of May, they're much better than they were in January or February when gold and silver prices were soaring. The fundamentals have really improved. And the fact that the stocks, the mining stocks were so weak, that really is reflective of a loss of interest. And part of the reason that investors are losing interest in gold and mining stocks is because the stock market's making new highs this week. All the major indexes save the Dow Jones hit new highs. The S and P up 1% on the week, but made a new high. The NASDAQ up 1.4%. New All Time record high. Small caps are doing are making highs up 0.6. I mean, the Dow was up, but not a new high. We're still on the south side of 50,000, but investors are looking for risk.

[Peter Schiff (Alternate Voice or Co-host)]

They're buying these stocks because they are optimistic. And when there's a lot of optimism, generally you lose some interest in precious metals, which are defensive safe havens. Now why are they optimistic? Well, I guess people assume that this war is gonna be over soon and oil prices are gonna come crashing down. That's what Donald Trump says. He says they're gonna drop like a

[Peter Schiff]

rock as soon as we finish this

[Peter Schiff (Alternate Voice or Co-host)]

war and that bond yields are going to come down. But that's more hope than reality. Oil prices keep rising and so do bond yields. In fact, oil was up pretty much on the week, although it was down today. But Last I checked, it was about $102.50 on West Texas and that's up from about $95 where it finished last week. So oil prices are not coming down, they're going up. Earlier in the war, back in early March, the stock market reacted negatively to rising oil prices. Now it's just shrugging it off cuz it assumes that the prices are gonna come down. Same thing with bond yields. We actually touched 4.5% yield this week. On a 30 year treasury we closed at about 4.97, but that's still up nicely on the week. And the 10 year treasury at 4.38 we got to just above 4.4. But these are the levels around where the bonds were trading when Trump had to call off the reciprocal tariffs following Liberation Day because the bond market got yippee. Well, it's getting yippee again. In fact, it's going to be getting yippy yappy. And these are negatives. The stock market investors are shrugging it off. But I think when the stock market investors throw in the towel on all this hope and the market gives in, I think you're gonna see a decoupling. I think you're gonna see gold and silver rise. When the market's correct. Initially they all went down together. The stock market went down and gold went down in tandem. Everything was kind of opposite of oil. That's kind of broken now. Oil keeps going up, but the stock market's going up and gold's been drifting lower. I think the next move is gonna be that the stock market goes down and gold goes up and gold stocks go up. Because again, war is bullish for gold, inflation is bullish for gold. And the way you pay for wars is by creating more inflation. You expand the money supply, you run bigger deficits. That's what's happening. It's all bullish for gold.

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[Peter Schiff (Alternate Voice or Co-host)]

In fact, I'm not going to get

[Peter Schiff]

completely into it because I discussed it on my main podcast on Wednesday, which

[Peter Schiff (Alternate Voice or Co-host)]

was the day that the Fed had

[Peter Schiff]

its press conference following its decision to leave interest rates unchanged, a decision that, you know, surprise nobody. But I talked a lot about it, so I'm not gonna say everything relevant to that conference on today's podcast. What I will tell you to do is if you want some more information and get more of my thoughts, go and watch my main podcast. If you haven't already done that, you go to the Peter Schiff show on Schiff radio or my YouTube channel, Peter Schiff, and watch the most recent podcast. I think the title has to do with with the President's bailout of Spirit Airline or potential bailout. I mean, it's actually a very small part of that podcast, but that happened to be the title we went with.

[Peter Schiff (Alternate Voice or Co-host)]

But so look at that.

[Peter Schiff]

Because I talk a lot about the press conference. But one thing I wanna repeat because

[Peter Schiff (Alternate Voice or Co-host)]

I think it bears repeating and I'm gonna expand on it. So I'm gonna talk and say some

[Peter Schiff]

things that I didn't say on my last podcast. It was Powell's, of course, his last conference. He's no longer gonna be Fed Chair. He's gonna be an FOMC member, which is pissing off a lot of people who want him out. But he's Sticking around.

[Peter Schiff (Alternate Voice or Co-host)]

But he's not gonna be the chair,

[Peter Schiff]

so he's not gonna be doing the press conference.

[Peter Schiff (Alternate Voice or Co-host)]

So that was his farewell.

[Peter Schiff]

Kevin Warsh is going to be the next one to take the podium and answer the softball questions that are thrown at him by basically a bunch of economic ignoramuses that are in there. I joked on the last podcast that these are coveted positions to be in that room and ask those questions. And in order to, to be a Fed correspondent and be in that room and question the fomc, you gotta take a test on economics. They give everybody a test on basic economics and only the people who fail the test get to go to those conferences and ask questions. Right. Cause they don't want anybody there asking the tough questions at these conferences. In fact, I saw on X a guy, I don't remember who it was, but posted that he's given over 60 press conferences, Powell, during his tenure.

[Peter Schiff (Alternate Voice or Co-host)]

And he mentioned that not one person

[Peter Schiff]

during any of those press conferences asked him about the money supply. Right. I mean, probably one of the most

[Peter Schiff (Alternate Voice or Co-host)]

important things you could talk about is the money supply.

[Peter Schiff]

If you're concerned about inflation, because the

[Peter Schiff (Alternate Voice or Co-host)]

definition of inflation is an expansion of the money supply.

[Peter Schiff]

And Powell, and this is what I'm

[Peter Schiff (Alternate Voice or Co-host)]

going to repeat, Powell bragged, bragged about what a great job the Fed did in controlling inflation up until the pandemic. And like the only reason that we have an inflation problem now is because the pandemic caused a supply shock. And that was kind of like out of left field. And so the Fed wasn't able to deal with it. So but for that everything was great. And I called BS on that.

[Peter Schiff]

Of course, nobody in that room understands

[Peter Schiff (Alternate Voice or Co-host)]

that it's BS because they don't know anything about economic history or economics for that matter.

[Peter Schiff]

But the 40 years prior to Powell

[Peter Schiff (Alternate Voice or Co-host)]

I think was a disastrous track record for the Fed.

[Peter Schiff]

Look at this stuff that happened particularly

[Peter Schiff (Alternate Voice or Co-host)]

with the dot com bubble and the housing bubble and then the financial crisis and the Great Recession. But if you look at the history of the Fed during that time period, first of all, money supply, total money supply in 1980 was 1 1/2 trillion M2. Today it's 22 trillion. That is a huge increase over the time. Now it's like 46 years, but going back from 1980 till today, that's a

[Peter Schiff]

6% per year rise in the money supply. That is a lot of inflation. 6%. Imagine how much cheaper everything would be today if the money supply hadn't increased tenfold, tenfold in 40 years. That is Not a track record to brag about. That is a disaster. The country did much better under a gold standard when our money held its value. If you want to know why the price of gold is up so much, it's because the quantity of money is up so much. We have a lot more money chasing a smaller supply of gold and of everything. That's why everything is so expensive. You know, when Powell keeps blaming the recession on Covid and the supply shock, nobody asks them, well, what about the demand shock? What about all the money that you printed in 2001 and 2002? You know, the money supply increased about 50% during Powell's tenure, but almost all the increase happened in 2020. 2021. That's why we had all the inflation. It's not because of the supply shock. It was because of the shock of all the supply of money that stoked all that demand. Now, you couple that with the harebrained policies coming out of Congress and the President, who at the time was Donald Trump, who signed off on all these BS paycheck protection and stimulus plans, but the government did that. You can't just blame that on the pandemic. And first of all, most of the pandemic, it was all a government overreaction. So it wasn't the pandemic that was the problem. It was the idiotic way we dealt with it. Right? Countries like Sweden, right one of the few countries that wasn't an idiot. But you can't blame the virus for the way we were dumb enough to react to it. But then the policies, the combination of fiscal and monetary policy. But all those fiscal policy mistakes wouldn't have been made without the Fed's cooperation. In fact, before Congress and the President made those mistakes, Jerome Powell basically said, hey, stimulate the economy, run big deficits, I got your back. We're going to crank up the presses. We're going to buy all the bonds that you guys want to sell. So the Fed created all of that inflation. But again, going back to the 40 year period that Powell says is such a great example of the Fed keeping inflation under control. During the 1980s, the average annual rate of inflation as measured by the CPI was five and a half percent per year, 5.5%. I mean, is that a success? Doesn't sound like it. There was only one year out of the whole decade where prices rose by 2% or less. So 10% of the time the Fed was 2%. 90% of the time they were way above. Now, they didn't officially have this 2% target back then. But obviously, if the Fed is saying inflation was under control, they must be thinking that it was around 2%. Well, clearly five and a half is out of control. The 1990s was a little better, 3%. Only one year where it was 2% or lower. But what happened was in the late 90s, that's when the Boskin Commission changed the methodology for computing the cpi. So the main reason that inflation was lower in the 90s, especially the later 90s, than in the early 80s than in the 80s, was because we cheated. We rigged the system, we changed the way we measure it. Prices still went up, we just didn't report it. And that's why the 2000s were even

[Peter Schiff (Alternate Voice or Co-host)]

lower than the 1990s, because that decade

[Peter Schiff]

got all of the benefit of the Boston Commission rigging. But even that decade, inflation averaged 2.6% a year. So still not 2%.

[Podcast Advertiser 1]

And in fact, there were only two

[Peter Schiff]

years during the 2000s that inflation was 2% or lower. So an improvement over the 80s and the 90s, but barely, you know, 20% instead of 10%. There was only one decade where the Fed could claim that inflation was contained, and that was the 2010 through 2020 when the average was 1.8%. So just below 2%, right near their target. And in fact, they hit 2% or below 6 out of 10 years. So 60% of the time below 2%, 40% of the time above 2%. That was the only decade. But why? Why did the Fed succeed in that decade? Because the decade began in the aftermath

[Peter Schiff (Alternate Voice or Co-host)]

of the 2008 financial crisis and the Great Recession.

[Peter Schiff]

That's it. Those things should have lowered prices. We should have seen a reduction in

[Peter Schiff (Alternate Voice or Co-host)]

prices, but we didn't because the Fed created so much inflation. In fact, they created so much inflation

[Peter Schiff]

over that time period, Americans were robbed of the benefit of falling prices.

[Peter Schiff (Alternate Voice or Co-host)]

But now we're off to the races as far as I'm concerned, on inflation. And by the way, the average inflation rate for the three decades before 2010s was 3.7%. And even if you average in that decade the 40 years average from where Powell said that inflation was contained, and the Fed did a great job, the average rate was 3.2%. So now they're saying they're committed to 2%, although it's not much of a commitment because we've been way above it for six years and these guys are still talking about cutting rates. They should have hiked rates. They shouldn't have left them where they are. They should hike them. The fact that the Fed is Not hiking rates. But that inflation is rising means real rates are falling, which is why gold needs to go up. Traders are still fixated on nominal rates. When they're not seeing the forest for the trees. They need to be paying attention to real rates because that's what matters. Not the nominal rates, but other things that happen during the 40 year period where Powell thinks we did such a great job. So the national debt rose from under a trillion to almost 40 trillion. A 40 fold increase in the national debt that wouldn't have happened without the Fed. The Fed is responsible for that. The Fed is the reason. Because the Fed enabled it. Look, in 1980, America was the world's richest creditor nation. Now we're the biggest debtor nation. In 1980s we ran huge trade surpluses. Now we run massive trade deficits. The Fed is partially responsible for that too. So it has a lousy track record. It doesn't have this great history of serving the public the way Powell thinks and the way Walsh thinks. You know one of the things that Walsh said when during his hearing he was praising the Fed. Oh, you know how much he admires and respects the institution.

[Peter Schiff]

Right.

[Peter Schiff (Alternate Voice or Co-host)]

I mean that's where he lost all my support the minute he said that. But you know, people are hopeful, oh, things are gonna be better under Walsh. No they won't. They'll be exactly the same as under Powell, under Yellen, under Biden. It's all the same thing. You know, the game doesn't change. They can shuffle around the players, but it's all money printing, quantitative easing, artificially low interest rates. Nobody is gonna do what needs to be done to avert this crisis. Hank Paulson is right. We're gonna have a crisis. He just thinks we should have an emergency plan to deal with it. Cuz he knows it's impossible to have a plan to stop it. So all we could do is figure out what we're gonna do afterwards. Well, the problem is there's nothing we could do afterwards. This is gonna be such a massive problem with his debt that a break the glass emergency plan is too little too late. And it's gonna be so bad that they don't even wanna try to prevent it, because even that will be horrific. Just trying to stop the crisis is a crisis. That's how bad this crisis is gonna be. And that's why no one's gonna stop it, least of all Donald Trump. I mentioned too the trade deficits. And Donald Trump's solution to the trade deficits is tariffs, which of course don't work. But he announced today. And he didn't just announce it, he is pleased to announce it. He is going to raise tariffs on Americans who want to buy European cars next week to 25%. I think they're 10% now. I think that's the rate from Europe.

[Peter Schiff]

So they're going up to 25%. So good news, right? Any, all European cars are now going to be more expensive. But it's not just the European cars. See, if the European cars are 25% more expensive or whatever, that means that competitors might be able to raise their prices. And so when you have less competition, you have higher prices. So even Americans buying Japanese cars will probably pay a little bit more because the not as much as the European cars. Unless Trump slaps a tariffs on Americans for buying those. You know, when I was in Panama

[Peter Schiff (Alternate Voice or Co-host)]

City

[Peter Schiff]

a couple of weeks ago, I took a lot of Ubers and pretty much every Uber was a Chinese made car by a brand I'd never heard of.

[Podcast Advertiser 1]

There were probably two or three different

[Peter Schiff]

brands, maybe more, and I never heard

[Peter Schiff (Alternate Voice or Co-host)]

of any of these.

[Peter Schiff]

But I talked to a lot of these Uber drivers about these cars and they're very nice cars. I mean, in sitting in the back of them, I mean, the leather felt really nice. They were very high tech. You know, I was, you know, getting the Uber blacks, you know, which is, you know, a little bit nicer of the Ubers. But they were nice cars. You know, they were luxury cars and they were like barely, I don't even think they were 20 grand to buy them. Americans are paying a lot more for a lot less because we don't even let these Chinese cars into our country. Because you figure, why do we, why don't we have these cars? There's gotta be tariffs, there's gotta be stuff that is preventing us from getting these cars that they're all over Panama. So who's lost? Is it right Americans who are having to drive around in more expensive, you know, lower quality cars, not luxury cars. They could be buying these, these Chinese cars. But these tariffs are not going to work. They're just going to weaken an already weak US Economy. That is the reality. We have a weak US Economy, we have rising prices, we have stagflation that is going to get worse. The markets are just ignoring all this focusing on nonsense. In fact, I've been talking about the biggest nonsense, right? Going on with microstrategy and stretch and bitcoin managed to eke out a gain on the week. It was up maybe close to 1%. But there's a big move in strategy. Up four and a quarter percent on the week, all of those gains today, up 7% on the day. And I think people are excited because of so much how much Stretch strategy is able to sell because they're paying an 11.5% yield, you know, a too good to be true yield. And that's true. It is too good to be true. Cuz it's not. I mean, it's a lie. The yield can be paid so long as the Ponzi scheme can be perpetuated. But at some point you run out of fools that are dumb enough to buy this stuff. But in the meantime, strategy is selling a lot of this stuff. And so maybe the stock market investors are excited about this popular new product. But of course, if they keep paying the yield, it's gonna destroy the value of strategy. And if they stop paying the yield, it's, well, it's still gonna destroy the value cause stretch is going to zero and that's gonna collapse strategy and it's gonna collapse bitcoin. This whole thing is a giant house of cards. But I think that again, the fact that there's interest in this nonsense, that is what is distracting attention again from gold and silver, creating the buying opportunity for shift gold customers who don't have enough gold and silver to buy some more. Be glad to that. You have so many fools that are being distracted by these bubbles because they're not competing with you to buy gold.

[Peter Schiff (Alternate Voice or Co-host)]

And you know, one of the things

[Peter Schiff]

that I think is also a positive for gold was the weakness in the dollar. Now the dollar index did reverse today, but intraday it got down to about 97.7, closed about 98.2, which was still down a little over half a percent on the week. But when we got to 97.7, we

[Peter Schiff (Alternate Voice or Co-host)]

wiped out all of the gains from

[Peter Schiff]

the in the dollar since we started

[Peter Schiff (Alternate Voice or Co-host)]

the war with Iran, all of it. And the rally that we had at the war was a very muted rally. It was not much of a bounce for a supposed safe haven. I mean, if you go back to

[Peter Schiff]

wars that we might have started, you

[Peter Schiff (Alternate Voice or Co-host)]

know, 20 years ago, 30 years ago, the bounce in the dollar was quite a bit bigger than that.

[Peter Schiff]

This was, you know, nothing.

[Peter Schiff (Alternate Voice or Co-host)]

And the dollar has already lost the entire gain. And the next thing that's gonna happen

[Peter Schiff]

is the dollar is gonna start to

[Peter Schiff (Alternate Voice or Co-host)]

crack because it couldn't rally on the war. And all the fundamentals are negative for the dollar. Yes, people talk about, oh, bond yields

[Peter Schiff]

are rising, higher yields should support the dollar.

[Peter Schiff (Alternate Voice or Co-host)]

No, it's the Short yields, and they're not rising. All they're doing is not falling because the Fed won't cut. But the one thing we know they're not gonna do is hike. Meanwhile, inflation is gonna keep going up. So real yields are going down and

[Podcast Advertiser 1]

bonds are gonna get crushed.

[Peter Schiff (Alternate Voice or Co-host)]

And when bonds are getting crushed, you buy gold. Does it matter that the yields are rising? The yields are only rising because no one wants to buy the bonds, because they know they're getting screwed on the real rate of interest. And if no one wants to buy bonds, what are they gonna buy instead? Well, the most logical choice is gold. And that's what the central banks are buying, right? They don't want Treasuries, they don't care about that yield. It's not high enough to offset the purchasing power that they lose. And investors are gonna be making the same conclusions. They are gonna be moving out of their dollars, out of their bonds, into gold. I mean, you remember, no one's talking about it. I think, was it Morgan Stanley or some firm that started to recommend that the 6040 portfolio be 60, 2020 where you cut your bond exposure in half and buy gold? Right. That's kind of on the back burner now because, you know, gold's had a correction and scared some people out. But I think they're gonna move that stuff to the front of the stove when gold makes new highs. And that's probably when you're gonna start

[Peter Schiff]

to see more talk.

[Peter Schiff (Alternate Voice or Co-host)]

Gold will be able to quietly creep up back to new highs. Maybe silver too, although 120 is a bit high, but certainly over 100 by the time gold makes a new high.

[Peter Schiff]

But who knows?

[Peter Schiff (Alternate Voice or Co-host)]

I mean, maybe silver will rip again and beat gold in new highs. But I think once gold makes a new high, or maybe has to get over 6,000, you're gonna start to see a lot more money being focused retail investors. Especially if, you know, we get a crack in the stock market, a crack

[Peter Schiff]

in the crypto market.

[Peter Schiff (Alternate Voice or Co-host)]

Another thing that happened in bitcoin this

[Peter Schiff]

week is they had the big conference in Las Vegas that I did not go to. I went to it a year ago. It happened in mid May last year. This time it happened at the end of April. But when I went there a year ago, what was all the rage were bitcoin treasury companies. You had all these companies that were copycats of microstrategy and now strategy. The big one they all talked about was Nakamoto. And that Stock's down over 99%. Cuz if you bought it at the last Bitcoin conference. You've lost 99% of your money between conferences. Well, the big talk this time was digital credit. And that's gonna blow up. This is worse than subprime. This whole thing is just a con. And more people are gonna lose more money in this than to Bankman Fried and his scam. This is the biggest scam, but nobody wants to call it out because it's being run by the messiah of crypto, Michael Saylor. But I think that during the second half of this year, we could see a big pullback in stocks, a collapse in crypto. And that's an environment where investors are going to return to gold, the ultimate safe haven, the ultimate store of value. And I would continue to encourage the shift Gold customers to keep buying gold, to keep buying silver. Buy over this weekend. You know, the new app is out, the Shift Gold app. You can download it at the App Store. So now you can buy online. You don't even have to go to the web and use the website. You can go right from your phone. In fact, do it this weekend and.

[Peter Schiff (Alternate Voice or Co-host)]

And

[Peter Schiff]

buy some gold. Buy some silver using the app. It's not as functional yet. For T Gold that's coming. You can still buy T Gold there. In fact, maybe it's easier to buy it on the website. We haven't automated it all yet. We're working on that. All these things are coming to make it a lot easier for you to buy gold and silver, but more importantly, ultimately, to make it easier to use it as a medium of exchange. That's the key, because the inflation rate is going to accelerate. As bad as it was during those 40 years that I just talked about, it's about to get worse. We're about to go off the charts when it comes to money supply growth and inflation. Because the debt crisis that Hank Paulson is worried about is probably gonna hit sooner than he thinks. And rather than break the glass, we're gonna break the presses. Cause that's the only thing we can

[Peter Schiff (Alternate Voice or Co-host)]

do, is print money.

[Peter Schiff]

Fed comes in, buys all the bonds everybody else wants to get rid of, and we're awash in dollars. Money supply soars, purchasing power crashes. And AI is not gonna happen fast enough to give us a get out of jail free card. So you gotta get yourself out of jail by buying gold and silver now. And you could do that at Shift Gold. Anyway, again, that's it for this week's Friday market wrap. Maybe I'll be back again next Friday to do it again. It's hit or miss. I haven't made the commitment to do it every Friday, but I've done a lot of them. And if I don't do it officially on Friday, chances are I'm talking about gold and silver on my main podcast, on my main YouTube channel or at SHIFT Radio. So if you don't see a Friday Gold market wrap, then make sure and check out my other YouTube channel and subscribe to both, because if you're subscribing to both, you're gonna know. And I'm always talking about the metals on X. In fact, between the last time I did this podcast, I went over 1.4 million subscribers on X. So the number of people that are following me continues to grow. Although I got a long way to catch Michael saylor. He's at 5 million now, so he's about three times as many followers as me. But you know, maybe when gold has a bigger correction, it'll be when I have more followers than Saylor, right? Maybe that might be when gold finally gets a little bit really stretched, when I get so many people following me because gold's so high that I've surpassed the followers of strategy and of Michael Saylor.

[Peter Schiff (Alternate Voice or Co-host)]

And I'm confident that one day I

[Peter Schiff]

will pass it and people are gonna lose interest in all that crap, and more and more people are gonna start to be interested in gold and silver. But before that happens, don't wait for the masses to get interested. Be glad that they're not. And that just means lower prices for us. Bye for now and have a great weekend.

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