Despite U.S. stocks hitting new highs, American economist Peter Schiff has suggested that equities remain in a historic bear market when measured against gold.
According to Schiff, the Dow Jones Industrial Average, priced in gold, has fallen more than 24% in 2025, extending to about 33% since the end of 2023 and nearly 70% from levels seen in 2000, he said in an X post on September 23.
Schiff’s perspective challenges the prevailing narrative of a thriving bull market. While indices such as the S&P 500, Dow Jones, and Nasdaq continue to climb in dollar terms, the economist contends that inflation distorts the picture, making gains appear stronger than they are in real terms.
Gold, he argued, exposes the underlying weakness of U.S. stocks.
Notably, the warning reflects concerns among hard-money advocates who view inflation and loose monetary policy as drivers of illusory wealth rather than lasting economic strength.
Gold record rally
Meanwhile, gold has surged to new record highs near $3,800, representing an almost 44% year-to-date gain. This momentum has reinforced the metal’s role as a safe-haven asset amid inflationary pressures and Federal Reserve easing.
For years, Schiff has cautioned that excessive government spending, ballooning debt, and loose monetary policy would weaken the U.S. dollar and erode the real value of equities.
With stock gains appearing strong only in nominal terms, he argues that investors who ignore gold risk overlooking the depth of the ongoing market decline.
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