The post Peter Schiff Warns of Dollar Collapse and Rising Inflation Amidst Federal Reserve’s QE Approach appeared on BitcoinEthereumNews.com.

Economist and gold advocate Peter Schiff has recently voiced strong concerns regarding the Federal Reserve’s forthcoming policy decisions. Schiff’s apprehension centers around anticipated interest rate reductions and the potential reintroduction of quantitative easing (QE). In a post on X, Schiff argued that the Fed’s actions could lead to severe economic repercussions, including higher consumer prices and increased debt burdens. Peter Schiff criticizes Fed’s Monetary Policy: Interest Rate Cuts and QE on the Horizon Peter Schiff’s Critique of Federal Reserve’s Interest Rate Strategy Peter Schiff, an economist renowned for his advocacy of gold, has taken a firm stand against the Federal Reserve’s likely decision to cut interest rates. He believes that the current rates are already too low and reducing them further won’t alleviate the fundamental issues facing the U.S. economy. Schiff remarked that such a move would merely repeat past mistakes, potentially worsening the debt situation and causing consumer prices to surge. The Potential Return to Quantitative Easing and Its Implications Schiff also foresees a return to quantitative easing as part of the Federal Reserve’s strategy. He stated that while QE might be aimed at stabilizing the markets, it could have the opposite effect by driving up inflation and devaluing the dollar. This scenario could lead to a shift in trade deficits towards asset purchases instead of treasuries, impacting the broader economy. Impact on Mortgage Rates and Borrowers Addressing the implications for borrowers, particularly in the mortgage market, Schiff suggested that the anticipated rate cuts might not translate to lower interest rates for most. In a follow-up post on X, he noted that mortgage rates might have already bottomed out and could head upwards despite the Fed’s actions. Schiff predicts a return to QE as a measure to curb the rise in rates, which he warns might severely impact the…

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Filed under: News - @ September 17, 2024 1:22 am