Peter Schiff Tells VRIC Media the US Economy Is Heading Into Its Worst Inflation Yet

"Schiff warns that the Fed's balance sheet expanded by over $200 billion in 2025, signaling a return to quantitative easing. Schiff calls STRC a classic centralized Ponzi, warning retirees could lose principal on Strategy's 11.5% preferred stock. With 30-year Treasury yields potentially hitting 8%, Schiff sees gold, silver, and mining stocks as the primary hedge through 2026."

"Schiff pointed to the year-over-year CPI reading of 3.8%, up from 3.3% the prior month, and said the annualized April figure is running closer to 7.2%. Oil prices, he noted, were already higher than when those numbers were calculated. He does not expect upward pressure on prices to let up. The Fed, he argued, is still holding an easing bias while inflation worsens, and markets are pricing in rate cuts that will not arrive."

"Schiff also flagged the Fed's balance sheet as a direct concern. He said it has expanded by more than $200 billion so far this year and that the money supply is growing at a rate of at least 5%, which he called incompatible with a 2% inflation target. He expects the Fed to accelerate bond purchases, particularly if the 10-year yield breaks decisively above 4.5%. The result, he said, will be a much larger balance sheet and more inflation, not less."

"On the federal debt, Schiff said the official figure of roughly $39.2 trillion understates the real problem. When unfunded liabilities like Social Security, Medicare, and pension commitments are factored in, he puts the total closer to $150 trillion. He called the U.S. completely insolvent as a nation and said foreign central banks have already started drawing the same conclu"

The Fed balance sheet expanded by more than $200 billion in 2025, signaling a return to quantitative easing. Strategy’s 11.5% preferred stock is described as a centralized Ponzi, with a warning that retirees could lose principal. Inflation is cited using a year-over-year CPI of 3.8%, rising from 3.3% the prior month, with an annualized April figure near 7.2%. Oil prices are noted as already higher than when those figures were calculated, and upward price pressure is expected to continue. Markets are said to be pricing rate cuts that will not arrive. Thirty-year Treasury yields could break above 8%, damaging government finances. The official federal debt estimate is described as understating the problem, with unfunded liabilities pushing the total toward about $150 trillion.

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