Embry - Western Central Banks Don’t Have 30,000 Tons of Gold

With the Fed saying they will continue with stimulus and gold hovering at the $1,550 level, today King World News interviewed John Embry, Chief Investment Strategist of the now $9 billion strong Sprott Asset Management. When asked about Peter Schiff’s comments earlier on KWN about the US defaulting Embry stated, “When you look at the financial condition of the United States at the federal level, at the state level and at the municipal level, to me I don’t see any way out of this. There’s too much debt, interest rates are far too low. If interest rates really reflected what’s going on, this risk in the debt and the risk of inflation, they would be hundreds of basis points higher and under that event the debt couldn’t be serviced. So there will be some form of default.”