JIM SINCLAIR'S COMMENTS AUGUST 19, 2008

Jim Sinclair’s Commentary The fuse has been ignited. When Pakistan goes off soon the boom will be equal to the "Big Bang," repercussions will roll forward causing incalculable geopolitical dislocations right into 2011. Musharraf Ouster Fails to End Deadlock, Distraction Over Judges By Khalid Qayum and Robin Stringer Aug. 20 (Bloomberg) -- Pakistan's ruling coalition, fresh from ending a six-month standoff by forcing President Pervez Musharraf to resign, failed to resolve a festering dispute over reinstating judges he fired. The government's inability to reach a compromise will continue to distract the four-party alliance as Pakistan suffers from faster inflation, a slowing economy and rising Islamic militancy on its border with Afghanistan. That may cause problems for U.S. President George W. Bush, who considered Musharraf an ally in fighting al-Qaeda and the Taliban and is pressing the new government to step up its efforts. ``If I were the Bush administration, I'd kiss goodbye the chance of having a workable Pakistani government'' this year, said Daniel Markey, a senior fellow at the Council on Foreign Relations in Washington. `` For the next weeks and probably months, the focus will remain on the rules of the game, and who holds power.'' After two days of meetings on what to do about the judges, the coalition said yesterday it hoped to find a solution in the next 72 hours, according to Fazl-ur-Rahman, chief of the Jamiat- e-Ulema Islam, a coalition partner. Asif Ali Zardari's Pakistan Peoples Party, and former Prime Minister Nawaz Sharif's Pakistan Muslim League faction are the biggest parties in the alliance. FOR COMPLETE ARTICLE: http://www.bloomberg.com/apps/news?pid=20601087&sid=aIyRJJNmT.oc&refer=home