Jim Sinclair’s Commentary

Good behavior always gets rewarded.

^[1]

 

Jim Sinclair’s Commentary

Wake up. This weekly parade of fiduciary financial failure is HORRIBLE.

The MOPE is to release in groups under 10 to keep the social order.

Gold under your control is the only safe bank today. The price of gold will eclipse my target of $1650.

Bank Closing Information – April 23, 2010
These links contain useful information for the customers and vendors of these closed banks.

Wheatland Bank, Naperville, IL ^[2]
Peotone Bank and Trust Company, Peotone, IL ^[3]
Lincoln Park Savings Bank, Chicago, IL ^[4]
New Century Bank, Chicago, IL ^[5]
Citizens Bank&Trust Company of Chicago, Chicago, IL ^[6]
Broadway Bank, Chicago, IL ^[7]
Amcore Bank, N.A., Rockford, IL ^[8]

http://www.fdic.gov/ ^[9]

Jim Sinclair’s Commentary

Enforcement which are extremely unsettling this week.

Enforcement Actions
Legal actions by the Board and written agreements approved by the Federal Reserve Banks

· April 22, 2010 ^[10]
Written agreement with The Bank of Currituck
· April 22, 2010 ^[11]
Cease and desist order against PB Financial Group and Premier Bank
· April 21, 2010 ^[12]
Termination of enforcement action against Heritage Bank
· April 20, 2010 ^[13]
Written agreement with Ameri-National Corporation
· April 19, 2010 ^[14]
Written agreement with First National Financial Services

More… ^[15]

Jim Sinclair’s Commentary

Just in the nick of time.

If you are in a gold or silver EFT read the prospectus so you are truly informed on what you own.

CFTC proposes to exempt certain physical gold and silver options and futures contracts and to impose large trader reporting requirements
April 19 2010

View original document ^[16]

On April 15th, the CFTC published for public comment a proposal to exempt from the Commodity Exchange Act the trading and clearing of certain options and security futures contracts on each of ETFS Physical Swiss Gold Shares and ETFS Physical Silver Shares, which would be traded on national securities exchanges and designated contract markets registered with the SEC as limited purpose national securities exchanges and cleared through the Options Clearing Corporation. The CFTC also is requesting comment on whether it should amend all orders issuedexempting the trading and clearing of options and futures on gold and silver products from CEA provisions and CFTC regulations, to impose market and large trader reporting requirements. Comments should be submitted on or before May 17, 2010. 75 FR 19619 ^[17].

More… ^[18]

Jim Sinclair’s Commentary

Is there any truth out there? GM joins the MOPE machine.

Grassley Slams GM, Administration Over Loans Repaid With Bailout Money
FOXNews.com
Updated April 22, 2010

A top Senate Republican on Thursday accused the administration of misleading taxpayers about General Motors’ loan repayment, saying the struggling auto giant was only able to repay its bailout money by dipping into a separate pot of bailout money.

A top Senate Republican on Thursday accused the Obama administration of misleading taxpayers about General Motors’ loan repayment, saying the struggling auto giant was only able to repay its bailout money by dipping into a separate pot of bailout money.

Sen. Chuck Grassley’s charge was backed up by the inspector general for the bailout — also known as the Trouble Asset Relief Program, or TARP. Watchdog Neil Barofsky told Fox News, as well as the Senate Finance Committee, that General Motors used bailout money to pay back the federal government.

"It appears to be nothing more than an elaborate TARP money shuffle," Grassley, the ranking Republican on the Senate Finance Committee, said in a letter Thursday to Treasury Secretary Timothy Geithner.

GM announced Wednesday that it had paid back the $8.1 billion in loans it received from the U.S. and Canadian governments. Of that, $6.7 billion went to the U.S. treasury.

But Grassley said in his letter that a Securities and Exchange Commission form filed by GM showed that $6.7 billion of the tens of billions the company received was sitting in an escrow account and available to be used for repayment. He called on Geithner to provide more information about why the company was allowed to use bailout money to repay bailout money, and how much of the remaining escrow money GM would be allowed to keep.

"The bottom line seems to be that the TARP loans were ‘repaid’ with other TARP funds in a Treasury escrow account. The TARP loans were not repaid from money GM is earning selling cars, as GM and the administration have claimed in their speeches, press releases and television commercials," he wrote.

More… ^[19]

 

Jim Sinclair’s Commentary

Two comments:

1. Big deficit is no problem when you call your handy dandy fraudulent OTC derivative dealers.

2. Greece is the straw man that is taking the attention off failing US states and GB’s record Federal Deficit.

State debt woes grow too big to camouflage
Economist: ‘When an accident is waiting to happen, it eventually does’
By Mary Williams Walsh
updated 2:02 p.m. ET, Tues., March. 30, 2010

California, New York and other states are showing many of the same signs of debt overload that recently took Greece to the brink — budgets that will not balance, accounting that masks debt, the use of derivatives to plug holes, and armies of retired public workers who are counting on benefits that are proving harder and harder to pay.

And states are responding in sometimes desperate ways, raising concerns that they, too, could face a debt crisis.

New Hampshire was recently ordered by its State Supreme Court to put back $110 million that it took from a medical malpractice insurance pool to balance its budget. Colorado tried, so far unsuccessfully, to grab a $500 million surplus from Pinnacol Assurance, a state workers’ compensation insurer that was privatized in 2002. It wanted the money for its university system and seems likely to get a lesser amount, perhaps $200 million.

Connecticut has tried to issue its own accounting rules. Hawaii has inaugurated a four-day school week. California accelerated its corporate income tax this year, making companies pay 70 percent of their 2010 taxes by June 15. And many states have balanced their budgets with federal health care dollars that Congress has not yet appropriated.

More… ^[20]

Jim Sinclair’s Commentary

Let’s hear a round of applause for the OTC derivative dealers and international banking firms that successfully turned a normal economic correction into a total disaster destined to last decades.

For punishment these people have became billionaires. Meanwhile, a kid that boosts a car in the ghetto goes directly to Attica.

Is there not something very wrong with this picture?

For nations living the good life, the party’s over, IMF says
By Howard Schneider
Washington Post Staff Writer
Saturday, April 24, 2010

In the lingo of the International Monetary Fund, the future of the world hinges on "rebalancing and consolidation," antiseptic words that would not seem to raise a fuss.

Who doesn’t want more balance in their life?

But the translation is a bit ruder, something on the order of: "Suck it up. The party’s over."

To keep the global economy on track, people in the United States and the rest of the developed world need to work longer before retiring, pay higher taxes and expect less from government. And the cheap imports lining the shelves of mega-chains such as Wal-Mart and Target? They need to be more expensive.

That’s the practical meaning of a series of policy papers and statements issued in recent days by IMF officials, who have a long history of stabilizing economies and solving global financial problems, as they plot a course to keep the world economy growing and reduce the risk of another "great recession."

That message has been delivered subtly, woven into documents with titles such as "Resolving the Crisis Legacy and Meeting New Challenges to Financial Stability," and justified by concepts such as "raising retirement age in line with life expectancy," as IMF economic counselor Olivier Blanchard put it this week.

More… ^[21]