WHATIF…A Mortgage Crisis Picturebook Even a Progressive Could Understand


Markets Could Be Derailed Again, Warns Soros


New Jobless Claims Unexpectedly Rise By 24,000



This is funny...there is no recovery just smoke and mirrors to prolong the inevitable currency crash...GOT GOLD?
Bernanke: US Unemployment Likely to Remain High During "Recovery"



Now why do you think its CIVIL? hint...Civil can have the records sealed so the SHEEPLEZ can't find out what happened. If it was criminal the game would be up, and rioting in the streets.
Stocks Tumble as Goldman Charged with Civil Fraud



FACT... millions of empty houses and commercial buildings and they expect you to believe their is a recovery based on construction? IDIOTS.
Housing Construction Points to Market Recovery



The Weakness In Gold That Isn’t Posted: Apr 17 2010 By: Jim Sinclair Post Edited: April 17, 2010 at 1:18 pm
Filed under: General Editorial
Dear Friends,
Let no weakness in gold disturb you at this time.
I speak directly to the biggest and the best in the metals markets worldwide. These are not talking heads and in fact are never interviewed. They speak to me because they feel I have something meaningful to contribute.
After 52 (1958 to present) years, it is safe to assume I have learned a thing or two about the noble metal.
France was big at the start of the 1968 to 1980 bull market. The Saudis came in later and were responsible, in my opinion, for taking gold from $400 on the second break through all the way up. The Middle East in general has this time been late to the market.
As the violence only increases in currencies, energy money is baffled on how to maintain the value of this paper developed from crude oil and its products.
Go back to the missive "Gold $5000+ by Martin Armstrong" and revisit his best case scenario which was a decline in April followed by one dickens of a rally thereafter.
Thanks to the Goldman Sachs revelation, the entire derivatives market looks like the Wild West and the 40 thieves.
Greece is not the only sovereign that has used OTC derivatives weapons of mass destruction to cheat.
By the time this is over, certain states of the USA are going to get caught in the OTC web.
No regulation means a damn thing now because regulations are simply from now looking forward. Nothing whatsoever can erase these trillions of dollars of toxic fraudulent BS paper out there.
Even the BIS changed their measure of notional value of OTC derivatives by going to a computer model that is called "Value to Maturity" which reduced the number from one trillion, one hundred and forty four billion of this crap outstanding to a tad over six hundred billion. All that did was create a sad cartoon.
Stay the course. We are a few days from a stratospheric takeoff in the price of gold.
Regards, Jim





Jim Sinclair’s Commentary
In case you did not see this yesterday. There wasn’t a word of this on financial TV.
Goldman Real Estate Fund Lost 98 Cents on the Dollar Published: Friday, 16 Apr 2010 4:41 AM ET By: Henny Sender, Financial Times

Whitehall Street International, Goldman Sachs’ international real estate investment fund, has lost almost all of its $1.8 billion of equity following soured property investments in the U.S., Germany and Japan, according to the fund’s estimates.
By the end of 2009, the fund was down to its last $30 million, a paper loss of about 98 cents on the dollar, an annual report sent to investors last month said. The report said that Goldman was Whitehall’s largest investor, with a commitment of $436 million. Last year, Goldman took a loss of $1.76 billion from all its real estate principal investments.
The Whitehall disclosure is the latest in a string of losses reported by bank-owned property funds that relied on debt, and it comes as the Obama administration is seeking to restrict banks’ investment in private equity funds.
It was revealed earlier this week that Morgan Stanley’s most recent $8.8 billion international property fund will lose as much as two-thirds of its value.
The Whitehall fund, raised in 2005, invested more than half its capital in the U.S., and was also heavily exposed to Germany. While the drop in property values was dramatic in these two countries, losses at the Goldman fund were exacerbated by its dependence on debt.
More…





Jim Sinclair’s Commentary
We live in a financial sewer designed to steal and rape.

Merrill Used Same Alleged Fraud as Goldman, Bank Says (Update1) By William McQuillen
April 17 (Bloomberg) — Merrill Lynch & Co. engaged in the same investor fraud that the U.S. Securities and Exchange Commission accused Goldman Sachs Group Inc. of committing, according to a bank that sued the firm in New York last year.
Cooperatieve Centrale Raiffeisen-Boerenleenbank BA, known as Rabobank, claims Merrill, now a unit of Bank of America Corp., failed to tell it a key fact in advising on a synthetic collateralized debt obligation. Omitted was Merrill’s relationship with another client betting against the investment, which resulted in a loss of $45 million, Rabobank claims.
Merrill’s handling of the CDO, a security tied to the performance of subprime residential mortgage-backed securities, mirrors Goldman Sachs conduct that the SEC details in the civil complaint the agency filed yesterday. It claimed Goldman omitted the same key fact about a financial product tied to subprime mortgages as the U.S. housing market was starting to falter.
“This is the tip of the iceberg in regard to Goldman Sachs and certain other banks who were stacking the deck against CDO investors,” said Jon Pickhardt, an attorney with Quinn Emanuel Urquhart Oliver & Hedges, who is representing Netherlands-based Rabobank.
“The two matters are unrelated and the claims today are not only unfounded but weren’t included in the Rabobank lawsuit filed nearly a year ago,” Bill Halldin, a Merrill spokesman, said yesterday of the Dutch bank’s claims.
More…