Peter Schiff, chief economist at Euro Pacific Asset Management, posted on X today, October 20, 2026, warning of an impending surge in inflation driven by energy prices. Schiff stated, "Oil is $110, up another 6% this morning. We are still early in a major breakout in the price of oil that will substantially raise the cost of living. Plus, it's not just energy. The price of all everyday necessities is about to soar. This is a tax hike to cover deficit spending."
Schiff's warning comes as inflation concerns continue to factor into economic discussions. Recent Gokhshtein coverage has detailed a spike in Bank of Canada rate hike odds following a recent inflation survey. Additionally, reports have noted Apple's latest event as a test of consumer durability during the Federal Reserve's ongoing assessment of inflation stickiness. A separate report highlighted a pause in tariffs that provided a yield curve reprieve from inflation risk. Schiff himself has previously stated that the inflation rate is not approaching the 2% target.
Schiff's view suggests that the current movements in energy prices are not temporary but signify the beginning of a more extensive inflationary cycle. He implies that households should prepare for elevated expenses across a wide range of goods and services, linking these rising costs directly to government deficit spending. His comments indicate a conviction that prevailing monetary and fiscal policies are fostering an environment where inflation effectively operates as an indirect tax on citizens.
