The West's Pending Paper Money Implosion


Here Are The Next Countries to Announce a Currency Intervention


The Real Underemployment Figure is 22.5%


G-20 Heads Up: Losing Battle To Stem Currency Wars


America's Bright Future After US Treasury Debt Default


MortgageGate Could Crush The U.S. Banking System

In The News Today

Posted: Oct 22 2010     By: Jim Sinclair      Post Edited: October 22, 2010 at 1:27 pm
Filed under: In The News
Jim Sinclair’s Commentary
This is what I spoke to you yesterday about. This is QE on the down low.
Keep in mind this is Federal Reserve Management of Perspective Economics which they called "communication."
The Fed has no choice but QE to infinity. Gold will go to and beyond $1650.

More Fed easing would risk another bubble: Hoenig Oct. 21, 2010, 11:56 p.m. EDT
By V. Phani Kumar
HONG KONG (MarketWatch) — The U.S. Federal Reserve should refrain from easing its monetary policy further as that would increase the risk of another economic bubble, Kansas City Federal Reserve’s President Thomas Hoenig said on Thursday, according to reports. Hoenig, a voting member of the Federal Open Market Committee, said he was "very unhappy" with the high level of unemployment, but added that more asset purchases could threaten the U.S. economic recovery. "If you try and bring [unemployment] down too rapidly, you are in danger of creating the next problem," Hoening said, according to Reuters. He made the remarks at the New Mexico Economic Forum in Albuquerque.
More…



Jim Sinclair’s Commentary
How can you accept for even an instant that there is any alternative for Bernanke but QE to infinity?

Fannie, Freddie May Draw $363 Billion, FHFA Says By Lorraine Woellert – Oct 21, 2010 5:13 PM PT
Fannie Mae and Freddie Mac, the mortgage-finance companies operating under U.S. conservatorship, could draw a total of $363 billion in Treasury Department aid through 2013 if the housing market worsens, the Federal Housing Finance Agency said.
The FHFA, which oversees the government-sponsored entities, offered the estimate today as the worst-case in an analysis modeled on the stress tests conducted on the nation’s biggest banks last year. The actual total cost to taxpayers under the regulator’s most dire scenario would be $259 billion, because almost 30 percent of the funds would come back to Treasury as dividend payments on its holdings of senior preferred stock.
Under the best-case scenario, which assumes a strong near- term recovery in the housing market, the total cost to taxpayers would be $221 billion, or $142 billion after dividends. A middle-ground scenario would require total aid of $238 billion, or $154 billion after dividends. So far the companies have drawn $148 billion and returned $13 billion in dividends to Treasury.
“These projections are intended to give policy makers and the public useful snapshots of potential outcomes for the taxpayer support of Fannie Mae and Freddie Mac,” FHFA Acting Director Edward J. DeMarco said in a statement released with the report. “The results reflect the potential effects of a limited set of hypothetical changes in house prices.”
More…


China's Interest Rate Rise Sends Global Markets Into Turmoil


Close To The Edge (The Mogambo Guru) 


The Incorrigibles


G.H. highlighted this article: Hunger & Starvation to Visit Humanity: Into the Ashes.