Peter Schiff did an interview with Rick Wiles of TRUNEWS on Monday and said $5,000 gold is coming.

Peter reiterated his belief that the economy is already in a recession, and Fed will drop rates back to zero. After that, he said the central bank will initiate another round of quantitative easing. He made his case by explaining how the jobs numbers aren’t nearly as good as the government spin-doctors are saying, pointing out evidence of looming stagflation ahead, and making a compelling case that another real estate crash is likely in the near-future.

With a meltdown on the horizon, Peter said he still believes $5,000 gold is coming.

[Gold is] getting close now to $1,300 per ounce, and I think that’s going to be a key level. Once we get above there I think it could be a pretty quick shot up to $1,500 to $2,000. The high from 2012 was about $1,900. I think we’re going to take that out by next year. I still think $5,000 gold is coming.”

Audio Length: 00:27:29

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Highlights from the interview.

“It doesn’t make any sense that we’ve had confidence in the central bankers that’s lasted so long, because they’ve gotten everything completely wrong, including missing the financial crisis of 2008. In fact, not only did they miss it, they caused it. But they didn’t even recognize how their policies had inflated the real estate bubble, nor did they realize the implications for the financial sector and the economy when that bubble popped. This is even worse. The bubble that they’ve inflated these past seven years is even bigger than the last one, and I think it’s already popped. The air is coming out, and the US economy is already back in recession.”

“They’re still blind to the bubble that’s popped and the recession that’s already begun.”

“We’re starting to see a resurgence of commodity prices, which means inflation, which means stagflation, which means a lot of these central banks that have been using the low inflation rates as an excuse to print money – they’re going to run out of excuses…This is going to mean the cost of living is going to be going up and the central banks are actually going to have to start raising interest rates, not cutting them. The problem is in America, we’re too broke to afford higher interest rates because we have too much debt. So I think we’re going to let inflation run away, which is just going to compound the problems for the average American.”

“The dollar has been weakening. The dollar is at a seven-month low today against the Australian dollar, for example. The dollar has been weakening considerably in…recent weeks against Southeast Asian currencies and against currencies in South America. And so as the dollar comes down, that increases the demand for commodities, because they’re priced in dollars.”

“I think we’re going back to zero (interest rate) before the election. Whether we go negative is hard to say. Maybe a 50-50 bet. But I do think we’re going back to QE. I think we’re going to do QE4 before the election.”

“The jobs numbers that came out on Friday – everybody want to pretend that it was such a great report – 90% of the jobs that were created were part-time jobs. Believe me; people want full-time jobs, they don’t want part-time jobs. Eighty percent of the jobs were in low-wage, service sector jobs, a substantial number of being minimum wage jobs. And if you actually look at hours worked, which were down, and wages, which were down, when you combine the two, weekly earnings were down by 0.7%. That was the biggest drop in weekly earnings in the history of the United States. So it was a terrible report.”

“Paper money is not all that great. You want gold money. You want real money. To the extent you have paper money circulating, you want it backed by gold.”

“I’m hoping people will wise up and start going to silver – silver and gold. I think gold’s just going up.”

“[Gold is] getting close now to $1,300 per ounce, and I think that’s going to be a key level. Once we get above there I think it could be a pretty quick shot up to $1,500 to $2,000. The high from 2012 was about $1,900. I think we’re going to take that out by next year. I still think $5,000 gold is coming.”

“The reason that home ownership rates are so low is because real estate is still too expensive relative to the lower earnings Americans have, and so what has to happen is real estate prices have to come down. The last thing that’s keeping real estate prices propped up is artificially low interest rates from the government, and the fact that the federal government has now totally taken over for the subprime market and is allowing people to buy houses with barely a down payment and little to no documented income. So the government is up to its old tricks. They’re trying everything they can to keep this bubble inflating but it’s not going to work. Real estate is going down again.”