Ron Paul: Market Crash 50% or More Is Coming – Gold is Antidote
Ron Paul: Market Crash 50% or More Is Coming – Gold is Antidote from CNBC
As debt spending continues unabated in Washington, so does Ron Paul’s tireless message of fiscal responsibility.
With the Everything Bubble expanded to epic proportions and ever more printing press currency being issued to pay the interest on the last round, the countdown to extreme dollar devaluation is on.
Despite a strong earnings season, former Republican congressman Ron Paul is renewing his call for a market meltdown.
He sees additional near-term corrections gripping stocks as the budget deficit exposes more vulnerabilities to the United States’ capacity to do business.
“The fundamentals show that the spenders are in Washington. They’re alive and well. The deficit is skyrocketing like never before,” Paul said Tuesday on CNBC’s “Futures Now.” “The market is destined to go down.”
The libertarian’s comments came as the Dow kicked off May in the red and briefly fell back into correction territory. The index fell by more than 300 points on Tuesday before closing down by 64 points. The S&P 500 eked out a fractional gain.
Even with stocks under pressure, Paul contends the stock market is too expensive.
“The fundamental reason is that we’ve had too much printing of money — especially since 1971, especially with the QE. So, everything is artificial. There are big bubbles, so stocks are basically higher,” he said.
The former presidential candidate isn’t known for being subtle when it comes to his pullback calls.
“Ultimately, when these corrections have to occur, they always go down a lot more than people expect. Just like they go up higher than people expect,” Paul said. “A 50 percent correction with all the distortion that has existed for all these years — I think it’s very possible.”
Continue Reading / Ron Paul warns stocks ‘destined to go down’ as much as 50 percent from CNBC.