Housing Prices drop as a Percentage as much as in the Depression

what Jim Sinclair posted tonight on www.jsmineset.com
Posted On: Thursday, September 04, 2008, 10:36:00 PM EST

Please be Patient With Your Questions

Author: Jim Sinclair

Dear Friends:

As you can well imagine, I’ve been receiving many phone calls and emails during this recent downturn in the gold market. Because of my heavy workload, I can’t guarantee to respond to all your queries, however, I will attempt to address questions of general interest on the jsmineset website.

The entire minerals sector is presently under attack by organized short sellers who depend on demoralizing investors to achieve their profit goals. These are ruthless zealots who flaunt the law to achieve their devious objectives.

Go to www.failstodeliver.com and enter the symbol of any US-traded company to see the activity of naked shorting based on figures from the Securities Exchange Commission.

As far as the gold market is concerned we are in the middle of “Operation Keep the Hill” in which every stop has been pulled out to paint a picture of improving business conditions and permanent, declining inflation because of supposedly lower long term energy and food prices.

The big six investment banks are forecasting a 3% improvement in consumer demand as sentiment improves due to the supposed drop in inflation. The improvement in share value of some financials - based on nothing but hype - is held up as proof that the credit problems are behind us regardless of Lehman being busted while Fannie and Freddie are hopeless hulks in dire need of camouflage.

The Federal Deposit Insurance Corporation (FDIC) is getting to a point where they need recapitalization, with 199 banks on the troubled list and probably a lot more to come.

The Securities Investor Protection Corporation (SIPC) is a joke capitalized at $1.5 billion yet they are still quoted as the guarantor of all security values at all brokerage firms.

Fundamental factors remain in a downward spiral while black boxes, spinners, the big six and all financial TV and radio stations blare out that “all is well.”

I have lived through these major manipulations before but this time it is happening in every market, with shareholders feeling the heat no matter what kind of equities they are in. In my opinion, when the dust finally settles the last people standing will be those in gold equities

What are your reasons for considering to move to another country? In order to avoid what some believe the future has in store for the U.S.?

Are you considering to sell your house because you believe the value will continue to decline?

Personally, I would like to sell everything get a travel van with the kitchen and bed. Travel the country and when it gets bad take off. We will all become refugees but I can not convince my husband. I am stuck and if we get killed he will have to listen to me bitch for eternity that he should have listened to me.
Peace