In his latest podcast, financial expert Peter Schiff said that what we’re seeing right now in the economic climate is a typical bear market correction and a recession is right around the corner. Schiff said that optimism over a trade deal with China won’t stop the markets from going into recession.

According to Seeking Alpha, pundits on CNBC emphasized that the Dow has risen out of “correction” territory, meaning it is no longer 10% below its highs. They blasted this all day Friday. But Schiff took issue with this analysis and said the talking heads just don’t understand how it all works.

“First of all, we didn’t enter a correction. We entered a bear market. Now, bear markets have corrections too. They’re called rallies. Except the people and CNBC don’t get that. They think the only correction is a move down in a bull market.” -Peter Schiff via Seeking Alpha

And Schiff declared that the Federal Reserve is once again, the cause of this correction.

“As I’ve been saying, I began forecasting, even before the first rate hike in December of 2015, that if the Federal Reserve ever tried to normalize interest rates, it would never succeed. It would never be able to get rates back to normal because somewhere along the way they would tip the stock market into a bear market, cause a recession, and the Fed would back off. And that’s exactly what happened. The minute the stock market went into a bear market in the fourth quarter of last year, by early this year, everybody did an about-face, and all of a sudden, there are no more rate hikes, no more autopilot. They’re just, you know, being patient.” -Peter Schiff via Seeking Alpha

San Francisco Fed President Mary Daly said rate hikes are “on pause” last week, even though she sees no sign of a recession.  But Shiff ponders what the Fed will do when an actual recession is staring these central bankers in the face.  Many allege that during the next recession, there will be nothing the Fed or government can do to stop it.  After all, they are responsible for all depressions and recessions in history.

“Of course, stock market investors are clueless about that. They’re just having a party because the Powell Put is back on the table. And they think simply because the Federal Reserve is no longer hiking rates that they no longer have to worry about the Fed pushing the economy into a recession. Well, it’s too late for that. The rate hikes of the past have already guaranteed that the economy is headed for recession. It doesn’t matter whether they continue to raise rates in the future. The recession is a done deal. It’s just now you have that calm between the storm while investors are still clueless and haven’t yet connected those, what should be, very obvious dots.” -Peter Schiff via Seeking Alpha

Schiff appears increasingly confident that the recession is a “done deal” and that it’s just around the corner.  Take the time to prepare yourself the best you can before it hits.