LAWRIE WILLIAMS: Thoughts of Chairman Jim

 Probably many Sharps Pixley and lawrieongold readers will be familiar with Jim Sinclair and his jsmineset website and newsletter.  For those who are not here’s a brief cv based on his own website entry - so perhaps not totally unbiased!:

Sinclair is primarily a precious metals specialist and a commodities and foreign currency trader. From 1981 to 1984, Mr. Sinclair served as a Precious Metals Advisor to Hunt Oil and the Hunt family for the liquidation of their silver position as a prerequisite for the $1 billion loan arranged by the Chairman of the Federal Reserve, Paul Volcker.

 He was also a General Partner and Member of the Executive Committee of two New York Stock Exchange firms and President of Sinclair Global Clearing Corporation (commodity clearing firm) and Global Arbitrage (derivative dealer in metals and currencies).

 He has authored numerous magazine articles and three books dealing with a variety of investment subjects, including precious metals, trading strategies and geopolitical events, and their relationship to world economics and the markets. He is a frequent speaker at gold investment conferences and his commentary on gold and other financial issues garners extensive media coverage at home and abroad.

In January 2003, Mr. Sinclair launched, "Jim Sinclair's MineSet" which now hosts his gold commentary and is intended as a free service to the gold community.

Sinclair is also chairman of gold explorer and developer Tanzanian Royalty Exploration which is developing the Buckreef gold property, although this appears to be an extremely long drawn-out process.

Sinclair devised the MOPE (Management of Perspective Economics) acronym to describe the convoluted path down which politicians and their tame economisys appear to be taking us, and many of his analyses are based on this principle.

Sinclair is on the more bullish fringes of the gold community and he has a huge following and has been referred to as Mr Gold. His warnings and advice have often been very apposite for the gold investor and while his timings have been somewhat out of sync with reality over the past couple of years, his overall premise does bear consideration.  However we do not anticipate his predicted financial catastrophe occurring as quickly as he predicts, but it may well come in some form or another some day in the not too distant future.  

Here follows an abridged version of his latest comments wherein he predicts a financial catastrophe occurring mid-2019.  While we think much of his overall analysis is accurate we somehow doubt the timing as being perhaps too near at hand - but in the world of global economics who knows?

Most unfortunately MOPE (Management of Perspective Economics) has its foundations set in wet sand.  Yes. MOPE can elongate computer games called "markets" but it does absolutely nothing else economically but act as front for the welfare for the 1%ers.

 MOPE has no ability to grow the fundamentals of good business conditions. Rather the product of MOPE has been recently, and will always be, to grow debt beyond any measure of reason. Our geniuses at the Ivy League graduate schools, the US Treasury and the Federal Reserve are about to get the shock of their lives by mid 2019 whenmthe downside of the old and inescapable laws of economics of the Austrian School take down the house of cards built by "MOPE".

 

Remember you first read the concept of "MOPE" here on JSMineset many years ago. Nowhere else! You were warned that it would end badly as "QE to Infinity". There is no other alternative as the financial games of the period of "MOPE" will collapse into the real economy, to the great shocks of all our modern financial gurus. Gold will be the last man standing.Those standing on a foundation of bullion gold, that is in or out of the ground, will not only survive but they will also thrive. You must be your own central bank.

The Party ends mid-2019.

The above is a pretty dire prediction by Sinclair.  He is not the only adherent to the Austrian School of Economics out there.  Others would agree with his overall views on the economic path we are being led along but perhaps none on the imminent timing of the finacial collapse which ultimately awaits us.  But probably all will agree that the holding of gold and silver in one’s portfolio is the best antidote to the collapse when it comes upon us.

Interestingly, despite the recent stutter in the gold price, from which it appears to be making a minor recovery, most usually conservative analysts are still predicting a year end gold price in the $1,400s or above.  Although gold and silver do have a track record of confounding analytical predictions, if Sinclair is right then the disparity would be to the upside - and extremely strongly at that.  But gold adherents should probably hope a global financial collapse, with all its associated conseequences, does not happen, but keep their gold investment as an insurance policy which will likely increase in value regardless.

 

10 Mar 2019

About the author

Lawrence Williams

Lawrence (Lawrie) Williams is a well known London-based writer and commentator on financial and political subjects, but specialising in precious metals news and commentary. He is a qualified and experienced mining engineer having graduated in mining engineering from The Royal School of Mines, a constituent college of Imperial College, London - recently described as the World’s No. 2 University (after MIT).

e: lawrie.williams@sharpspixley.com