July 29, 2008

Here's Peter Schiff's prescient 2006 speech to 1,000 soon-to-be-out-of-work mortgage brokers - telling them what was to come before it came

Watch all eight parts. This, HP'ers, is a tour-de-force. This, HP'ers, is the most brilliant presentation you'll ever watch on the Late Great Housing Ponzi Scheme.

This presentation is important.

And this presentation was so spot-on, from start to finish, you'll be amazed. Blown away. And regretful if you didn't listen back then, or today.

Part 2 is most interesting, where Schiff puts the blame where it lies - on the immoral and reckless fiscal policies of Greenspan and Bush, which created the most irresponsible debt-fueled consumption binge in human history.

And then Schiff gets into CDO's, AAA ratings on crap, liar's loans, renting money from a bank, why work when you can just own a home, ARM timebombs, why the whole house of cards was about to collapse, and what's still to come.

"As pendulums swing, they don't swing to one side and then stop at the middle.. So as expensive as real estate got, that's how cheap it's gonna get. People are gonna be completely amazed at the prices that houses are gonna be selling for in a few years. Amazed."

Peter Schiff saw it coming like no other. He gets it. He got it. And he is HousingPANIC's #1 guru.

Bravo Peter Schiff. Bravo.


keith said...

Watch part 7, where Schiff gets into an argument with paid-speaker-whore Barry Asmus, who much be in the fetal position today


I saw Barry Asmus at a conference a few years ago and almost walked out. Paid to pump, and ignorant beyond belief.

The fact that anyone would pay guys like Mike Norman, Barry Asmus etc to give them horrific advice is proof that there's a sucker born every minute

Thank god for the likes of Schiff. Too bad most people chose not to listen.

Mark in Philly said...

Funny - when you listen to him in the first 30 seconds he is the EXACT oppposite of what Obama believes...

lower taxes
smaller government
individual liberty
the founding fathers
economic opportunity (vs socialism)

grilled cheese w/side of fries said...

Excellent TRUTH video Keith!


Five Stars!!!!!!

I like how at the end of video #8 the MC says, "Now it's time for lunch, sponsored by Wells Fargo"


christiangustafson said...

You have got to love Schiff's microeconomic parable of the American and the Asians stuck on a desert island.

Nice work, Peter!

Mark in Philly said...

Peter Schiff's final prediction at the end of his speech (that has yet to come true).

Interest rates (in the US) are not going to the moon - they are going to Pluto...

Plan accordingly...

Anonymous said...

mark in philly,

It's the opposite of Obama, and the opposite of McCain. They just want bigger government with different focuses.

And his interest rate prediction is about the only one of his long standing predictions that hasn't come to pass. That bonds are a bubble and will collapse.

Of course the US can't afford that too happen, the government is funded by short term debt after all...

The fact that not only was Schiff on NBC and fox business TV stating this stuff, and at various money show type events, but was even stating this at a mortgage broker conference puts paid to the "no one saw this coming" idiocy. He stated what was going to happen to a room full of mortgage brokers! They can't claim no one knew...

Mark in Philly said...

Of course the US can't afford that too happen, the government is funded by short term debt after all...

You are correct, but the market controls the rate of everything but very short interest rates (FED funds). The MARKET prices the rates of 1, 5, 20 or 30 year treasuries.

The market will wake up and price all bonds accordingly.

Peter Schiff kept talking about how Ronald Reagan killed inflation - 20% interest rates!

Anonymous said...

Peter Schiff saw it coming like no other. He gets it. He got it. And he is HousingPANIC's #1 guru.


Oh heck, there were plenty of guys at Financial Sense, the Daily Reckoning and other gathering places for independent economists who saw this coming as well as -- or better and sooner than -- Peter Schiff.

You should have listened to THEM, as they also would have patiently explained why you should be buying gold, silver and oil when they were hundreds of percent lower than they are now, and why you should still be buying as much as you can afford whenever they dip.

But most of ya are thick-headed numbskulls.

You didn't listen then, you won't listen now.

Anonymous said...

The entire Bush administration should be tied to chairs in the press room, and be forced to watch this entire video series.

We are tired of being LIED TO by the very people sworn into office to protect us. It is seriously time for a major intervention, while there is still something left to intervene for!!

Peter Schiff - The only guy in the room with common sense, and a real understanding of our path, both past and future.

Anonymous said...

Better yet, this should be a reqired video series for all of the BAFOON IDIOTS that have the nerve and stupidity to STILL QUESTION him on FAUX NEWS every week.

Everything he says is GOLDEN, and this video series just proves that.

Mark in San Diego said...

The front page of the Financial Times this morning - Credit Crunch Hit Wealthy US Consumers!!. . .Wells Fargo estimates its PRIME mortgage default rate could go to 12%!!!!!. . .folks, that would be a disaster for prime. . .looks like those water front LaJolla houses will be in foreclosure soon.

Tucson Collapse said...

Part 7: 7:34 Asmus: "You'd all do well to invite us back next year and the year after that" to see that Peter was wrong. heheheheheheh...I hope they do!

FredE said...

How can he go on and on about how great capitalism is and then argue that the reason we've fallen from grace is because we export fiat currency instead of quality goods? We lost our manufacturing might because companies seeking the maximum revenue moved that annoying domestic labor to much cheaper and more exploitative sweatshop factories offshore. That's not because the US Government is too meddling, it's because corporate directors are greedy cheap fuckers. Which incidentally is the same exact reason that they flooded the credit market with shitty-ass mortgages.

So, nice try, but bullshit. Sorry to all the Paulines who think an anarchic market or fascist utopia is the final solution. Speeches like this are just Libertarian porn.

LibVet said...

"You should have listened to THEM, as they also would have patiently explained why you should be buying gold, silver and oil when they were hundreds of percent lower than they are now... But most of ya are thick-headed numbskulls."

When were they 100% less? That would mean they were... free.


keyser soze said...

Peter was the voice of reason on those silly shows featuring the spaghetti-haired twit, Norman and the other myrmidons. I hope Peter isn't offended by this.
LOL out loud.

mickeyc said...

"Oh heck, there were plenty of guys at Financial Sense, the Daily Reckoning and other gathering places for independent economists who saw this coming as well as -- or better and sooner than -- Peter Schiff."

Who exactly? I read the same articles as you do and can't name one person who has as clear a picture as Schiff. "Buy Gold!!" doesn't count as economic thought.

As usual idiot comments always hide behind an anonymous post.

Anonymous said...


DOW UP 266 POINTS!!!!!


Anonymous said...

It's just Austrian economics. You guys sound like they didn't teach you Austrian economics in government school.

Anonymous said...

EXACTLY, frede. Peter lost credibility in the first video when he said we became rich when europe started buying our 'superior' consumer goods - 'cars, dishwashers and sewing machines' HUH? I lived in europe in the 70's. there should have been evidence of this - at least one old dishwasher, car or sewing machines. I saw maybe 2 american cars in 2 years. Maybe other countries bought our dishwashers, etc. but it sure wasn't europe. Peter Schiff is right about bubble, stupid investment banks and housing, but this shows a real lack of knowledge about what built the U.S.

Anonymous said...

Schiff is a crackpot. Yeah, he believes in "limited government","private property" and "rule of law", but he wrongly attributes this to the "founding fathers". These policies were not the policy of the republic but of the Confederacy and their British puppet masters.

Then he talks about how this country "borrowed money" from Europe during the 19th century order to build factories. This is non sense. What saved the US republic was Lincoln's victory over the British puppet government the Confederacy. Lincoln's supporters then re instituted American System economics and built up the infrastructure on a national scale. You cant just drop a factory in the middle of nowhere as this idiot Schiff would have you beleive. You need power, water, transportation etc.

And he is all wrong about 1980. By 1980 the US was already one decade into a major economic and cultural decline. Schiff fails to mention the damage done by Richard Nixon's August 15, 1971 decision to kill the Bretton Woods system.

Schiff is a crackpot. If you want to save this country then there has to be a return to the American System economic policies.

Refuse to buy overpriced said...

I'd love to see a Mark Zandi vs. Peter Schiff debate on the bailout.

They have credibility. Both correctly identified the housing bubble, and both understood that low interest rates, lax lending standards, and speculative mania were the cause.

They have a responsibility to explain themselves to the public. Each is an economic adviser to a GOP presidential canidate, Schiff for Ron Paul and Zandi for John McCain.

They both have good public speaking skills, and can effectively communicate and defend their point of view.

They have diametrically opposite opinions concerning the advisability and feasibility of the bailout. Zandi has been the #1 bailout cheerleader, and in the most recent issue of Time he predicts a bottom for housing prices in early 2009. Schiff, on the other hand, insists "the damage from the housing “bailout” will exceed the damage from the bubble itself", and he thinks the bottom for housing prices is years away, bailout or no bailout.

Will the bailout successfully prop up prices? If so, is that good for America? These are important questions which our politicians didn't adequately debate before passing the housing bill. Maybe the economic advisers can give us a good debate in the aftermath.

Anonymous said...

"Oh heck, there were plenty of guys at Financial Sense, the Daily Reckoning and other gathering places for independent economists who saw this coming as well as -- or better and sooner than -- Peter Schiff.

Uh, excuse me, but I didnt see Jim Paplava giving a speech to those dope motgage bankers like Schiff did.

Schiff had the BALLS to tell those mortage banker assholes to their face to start looking for a new job.

BTW, ask Jim Paplava about KBX (Kimber Gold). KBX has crashed while gold has gone sky high....
Gee, why no comment Mr. Paplava ?

Stuck in So Pa said...

Watched the whole thing, Keith!

It was great!

And to think that the other speaker wanted to come back every year at this time to compare forecasts. After that fiasco, I would be ashamed to show my face in public today.

Well-done Peter!

Anonymous said...

"Schiff is a crackpot."

And so is your mommy for giving birth to you.

Mike Hunt said...

It was a nice series. Bullish or Bearish you need a good story to explain your position and Peter did an outstanding job here, bar none. The question is what to do next... gold is up 60% since he gave this presentation and the dollar went down 25% since that time in the basket of currencies. Is it time to still be bearish or to go neutral.

One thing: stay away from those debt traps called houses!


Anonymous said...

If you want to understand what is going on with the economy these days, you need to get advise from following people in this order:

1- Dr. Marc Faber ( boom,doom & gloom.com)

2- Jim Rogers ( Jim Rogers Holding)

3- Peter Schiff ( Euro Pacific Capital)

YouTube them all and enjoy what you see.


Persian King!!

Anonymous said...

New York Governor Warns Of Economic Crisis

The New York Times is reporting Paterson Warns of Economic Crisis.

In a rare, brief televised address, Gov. David A. Paterson announced on Tuesday afternoon that he would call the Legislature into an emergency session on Aug. 19 to address what he called an economic and budget crisis confronting New York State as a result of plummeting revenues and rising costs.

The new governor avoided any mention of new taxes, instead arguing forcefully for austerity. He said he was calling on the Legislature to reduce the size of the state workforce; cut agency spending; reduce property taxes for homeowners; aid New Yorkers with the soaring costs of home energy; and even consider public-private partnerships that would take over state assets.

“Revenues are dropping dramatically,” the governor added. At the start of May, the state budget office projected a cumulative deficit of $21.5 billion over the next three years. Now, just two months later, that estimate has risen to $26.2 billion — “a staggering 22 percent increase in less than 90 days.”

Mr. Paterson offered another example of the rapid deterioration in the state’s finances. In June 2007, he said, the 16 banks that pay the most on their business profits remitted $173 million to the state treasury. “This June, just a month ago, they sent us $5 million — a 97 percent decrease,” he said.

He vowed, “We will cut spending. Government will learn to do more with less.” He called for help from business and labor leaders and New York’s representatives in Washington to support him.

He added, “It is time for New York and other governments to cut up our credit cards. The era of ‘buy now and pay later, and later’ is over. The faster we address this crisis, the faster and stronger we will emerge from it.”

Anonymous said...

Peter Schiff July 28 2008 CNN Headline News - Glenn Beck Show


Persian King!!!