Schiff further warned of higher inflation and stagflation, impacting consumer prices and interest rates. He criticized the Federal Reserve's current strategies, cautioning against rate cuts.

Peter Schiff Predicts Economic Crisis Amid Dollar Decline and Rising Gold Prices
Economist and gold advocate Peter Schiff shared his views on the U.S. economy and the dollar in several posts on social media platform X this week. He highlighted that gold has closed above $2,500 for the second consecutive week, while the U.S. Dollar Index has dropped to a 13-month low, indicating a potential economic shift.

"The Dollar Index closed at 100.67. The index could easily sink below 90 before year-end, challenging the 2020 low," he shared on X Friday, cautioning:

I think that low will be breached in 2025, triggering a U.S. dollar crisis, crashing the economy, and sending consumer prices and long-term interest rates soaring.

"The U.S. Dollar Index just tanked to a 13-month low. The 'strength' of the dollar is the main reason YoY inflation fell from 9% to 3%. Ironically, the Fed is using 'low' inflation as an excuse to cut rates, but cutting rates will send the dollar tanking and inflation soaring," the economist opined in another X post on Friday.

"The U.S. Dollar Index just hit a new 2024 low. The last time the Dollar Index was trading this low was Dec. 2023," he shared on X Wednesday. While noting that "the Dollar Index is actually still relatively high," Schiff warned:

But it looks like it's on the verge of a total collapse.