Peter Schiff: Bank Stress Tests Are a Joke, Because the Fed Never Actually Tests for the Real Stress, Which Is Stagflation

EXCERPT:

SCHIFF: "You know, you mentioned earlier that they're going to be announcing the stress test on the bank, and those stress tests are really just a joke because the Fed never actually stresses or tests for the real stress, which is stagflation. They never look at a scenario where the economy goes into recession but interest rates and inflation rise instead of fall. They don’t test that because I think they assume that’s impossible, but I think the real reason they don’t test it is because every bank would fail. And that’s really what is happening, and that's what going to be putting pressure on the Fed."