view transcript

Daniela Cambone: You don't think Trump would win the next election. And you know, four years ago when he first won, it took so many by surprise, but now the talk is almost well who could possibly beat him?

Peter Schiff: Yeah, exactly. You know, I was one of the few people who actually thought Trump could win.

Daniela Cambone: Right? I remember that.

Peter Schiff: And I was correct. And one of the reasons I thought Trump could win is because I thought people were underestimating you know, the frustration in the public. Because everybody thought we had a good economy under Obama. The media kept talking about it. Wall Street kept talking about it, but I knew the recovery was phony. And so did Trump. And Trump was able to play into that by basically leveling with the American public that the data they were being given from the government was a fraud. That we were living in a bubble created by cheap money. And the recovery was an illusion created by statisticians. And I knew that he was going to tap into a vein. And I also knew that there was probably a lot of people who wanted to vote for Trump, but were too embarrassed to admit that to the pollsters. And there were people that wanted to just protest by voting for Trump. The people were saying, hey, if Trump becomes president, everything's going to collapse. There may have been some people that said, yeah, let's have a collapse. Let's throw a monkey wrench into the system. And Trump was that wrench. But now Trump is the system. He's, he didn't drain the swamp. He is now the leader of the swamp. The swamp is much deeper and murkier as a result of Trump. So you're not gonna get that protest vote like we had before. I don't think Trump supporters are embarrassed.

I mean, he's the president of the United States. I think the people who support Trump are proud that they support them. And so they're being honest with the pollsters and he's losing it all to polls now. And people are dismissing that because they think, well, he was losing before. They don't understand the difference. And if Trump is now the agent of the status quo, right? Well then if people are upset with the status quo, if their lives are not better than they were in 2016. if their cost of living has gone up, if they have more debt, right, and their standard of living has gone down and Trump is just promising more of the same, and now you have a democratic socialist who says, Aha, I'm the one that feels your pain. I'm the one that's going to change things for you. You've been lied to by the government. You've been lied to you by the Federal Reserve and Wall Street. I think the public is just dumb enough and broke enough, and susceptible enough to buy into that nonsense.

(Kitco News) - Donald Trump is unlikely to win the next election if a recession were to hit by 2020, said Peter Schiff, CEO of Euro Pacific Capital.

"I think that Trump is likely to lose the next election because I think the U.S. economy can easily be in recession," Schiff told Kitco News.

Schiff said that in the last presidential election, Trump was able to expose the shortcomings of the American economy and leverage on the frustrations of many voters. This time around, the political environment may not sway in Trump's favor.

Everybody thought we had a good economy under Obama. The media kept talking about it, Wall St. kept talking about it, but I knew the recovery was phony, and so did Trump, and Trump was able to play into that by basically levelling with the American public that the data that they were being given from the government was a fraud, that we were living in a bubble created by cheap money, and the recovery was an illusion created by statisticians,

Premium Pick: Charts Take a Sudden Turn for the Worse - And So Does Our Outlook

However, now the problem that voters had hoped Trump would fix have only been exacerbated, Schiff said.

"But now, Trump is the system. He didn't drain the swamp, he is now the leader of the swamp. The swamp is now deeper and murkier as a result of Trump," he said.

Schiff added that it is likely a candidate from the far left would gain popularity at the next election.

More from Kitco News: Peter Schiff's comments on President Trump

Celebrity Interview: Shark Tank Star Kevin O'Leary: U.S. Economy Too Strong to Crumble Now

Ready to Retire: The Biggest Threat to Your Retirement? Check Your Basement

TheStreet Feature: What Are Stock Buybacks? Here's How They Make You Money

Catch Up: Today's Top News Videos Below 

 

This article is commentary by an independent contributor. At the time of publication, the author held TK positions in the stocks mentioned.