JIM SINCLAIR'S COMMENTS SEPT 5, 2008

Posted On: Friday, September 05, 2008, 6:40:00 PM EST Haven't We All Had Enough? Author: Jim Sinclair Dear Friends, Haven’t we all had enough? Isn’t it insulting to you when major publications carry reports that Lehman nicknamed their corporate garbage can either Spinco or BadBank? Bad banks are a product of OTC derivatives. Spin is how black is made to look like white. Is this simply bad humor or is Lehman giving us all the middle finger salute? So here we have a major international investment company rubbing both spin and weak banking conditions in our face as they are bailed out via the Federal Reserve Begging Bowl window. Illegal attacks on our gold shares are costing billions of dollars in damage and there is no Begging Bowl loan window offering us or the company’s full recovery through 28 day perma-loans. In a sense the people who appear to be giving us the bird are more than likely the brokers for those that seek to injure the gold gang. Of course they think with impunity. These power trippers seem to be intoxicated with themselves because they have recently bit the hand that feeds them. Raids of Fannie, Freddie and Bear Stearns (amongst others) is an act of turning on their benefactors. We shall see. Let’s not forget about Mr. Gross of Pimco, who called upon the US Treasury to bail out all financial entities that made enormous profits on OTC derivatives. They make money and the US Treasury/Fed covers the losses. They make massive money and your children and their children bail them out. We are attacked by the financial equivalent of Highway Men and nobody gives a damn. Haven't we all had enough? Another affront of one’s intelligence, and of course part of the “Hold the Hill” strategy, is the argument being broadcast by all media (and all the Hill’s friends) that spins the story that CURRENCY VALUE IS DETERMINED BY COMPETITIVE ECONOMIC ACTIVITY. When push comes to shove, what determines a currency’s value will be the degree of financial failures and size of the financial bailouts because these events cause the volume of paper money to increase substantially. The value of currencies, when written off by the history of this time, will not be a function of competitive levels of economic activity but rather who held the most OTC derivatives. The USA is the eye of this hurricane of financial weapons of mass destruction already acting true to their name.