Peter Schiff "Fed Needs 200bp Rate Hike"

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Summary

Peter Schiff stated that the current Fed policy is excessively accommodative and that a 200bp rate hike is necessary.
He highlighted the rise in the U.S. January Consumer Price Index (CPI) and emphasized the need to control inflation.
Schiff recommended buying gold and positively assessed the potential rise in gold prices amid inflation.

Bitcoin critic and economist Peter Schiff has urged the Federal Reserve (Fed) to raise interest rates.

On the 12th (local time), Peter Schiff stated on X that the current monetary policy of the Fed is "excessively accommodative" and that "an emergency rate hike of 200bp is needed at least today."

He pointed out the rise in the U.S. January Consumer Price Index (CPI). Schiff noted, "The U.S. January Consumer Price Index (CPI) rose 3% year-over-year," and "when the month-over-month CPI increase (0.5%) is annualized, it records an inflation rate of 6.2%." He added, "Core CPI also increased by 3.3% year-over-year and 0.4% month-over-month."

Furthermore, he recommended buying gold. He explained, "Inflation is out of control, and the Fed will not raise rates," adding that "this is a positive phenomenon for the rise in gold prices."

Previously, he argued that "$100,000 Bitcoin is meaningless" and that Bitcoin is not digital gold.

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