Stocks were soaring midday Thursday on the back of strong earnings from blue chips Caterpillar, 3M, UPS and AT&T.

It’s not likely Peter Schiff president of Euro Pacific Capital is taking part. Schiff tells Tech ticker he isn’t as negative on stocks as he was a few years back when he correctly predicted the market meltdown. “I don’t think there’s any dramatic rally coming in the near term,” he says. “[But] I don’t think there’s going to be a catastrophic decline either. I think the Fed will create enough inflation to create a nominal floor beneath stock prices.”

At the heart of Schiff’s critique is a strong belief the U.S. dollar “is a bottomless pit” that will continue the long-term trend of losing value vs. gold and other major currencies. “I think the 'real' [i.e. inflation-adjusted] value of U.S. stocks is going to plunge based on the horrific monetary and fiscal policies being pursued by the Federal Reserve, Congress and President Obama,” he says in this clip.

As has been the case for years, Schiff is still recommending gold, even at $1200 per ounce. “The trend is your friend," he says, citing one of the oldest sayings on Wall Street. “These are long trends that are in place I think they are going to accelerate based on exploding deficits, government stimulus, [and] the socialization of our economy.”

His advice: if you don’t own gold, buy some now. If prices continue to pull back off the highs, buy some more.

Meanwhile, Schiff isn’t heeding his own advice when it comes to Treasuries, which have experienced a 30-year bull market. Instead of going with the trend, Schiff has been betting against what he calls the “biggest bubble” of all. “Buying a 30-year Treasury at a 4% yield is a sucker’s bet,” he says, while admitting his call to short Treasuries has been a money losing one -- so far.