Schiff, the CEO of Euro Pacific Capital says that the United States economy is heading into a free fall that will be worse than the Great Recession of 2008. The economic forecaster is predicting the Federal Reserve (the central bank) will cut interest rates to zero and launch quantitative easing, a monetary policy where the central bank purchases Treasuries from financial institutions to stimulate the economy. “The dollar is going to go through the floor and it’s going to take the bond market with it and the next crisis, it’s not subprime mortgages, it’s going to be in the Treasury market,” he said on Wednesday. “There’s no way out and it’s a political disaster for Trump because the recession is going to start before he finishes this term, which means he won’t have a second term” Schiff added.
