Fed Loses Battle Against Inflation, Bond Market Decline Unwinds Slowly

Peter Schiff, a well-known critic of inflation and central bank policies, believes the Federal Reserve has already lost its battle against rising prices.

In an interview with hosts Grace Remington and Sean Hagan, Schiff argued that the bond market did not break recently but rather in 2020. He stated that everything since then has been a slow unwind of the damage done to the bond market at that time.

According to Schiff, rising Treasury yields are a direct result of the Federal Reserve's expected rate decision, which would further erode the purchasing power of the dollar. This, in turn, has led to a central bank rush into gold, with some investors turning to the precious metal as a safe-haven asset.

Schiff also expressed his concerns about the impact of higher interest rates on the stock market and, by extension, the cryptocurrency market. He believes that a stock selloff driven by higher rates would be deeply bearish for Bitcoin and other cryptocurrencies, which he sees as being highly sensitive to changes in global economic conditions.