Jim Sinclair: Prepare for the biggest financial apocalypse in history

Legendary gold and market expert Jim Sinclair believes that we have killed capitalism. He says that “Markets do not exist anymore . . . and you can’t time what does not exist.” Sinclair feels that a huge transition is underway and that our current system is beyond repair. A new system is on the way and the old one will end with a bang. Sinclair explains, “Right now, they’re eating each other, and the eventuality is, getting back to the steam pot, there is going to be a day when there is only going to be one shark left, one very fat shark left, and what happens next?  That shark starves to death because it ate all the food.  So, the end of this is the explosion of that steam cooker which is called capitalism.”

Sinclair points out that over-the-counter derivatives have outgrown world money availability. He blames high tech for “shooting the goose with the golden egg.” There used to be thousands of people gathered at the New York Stock Exchange, now there are just dozens. Sinclair believes there is no market in anything, including silver and gold. If rates on 10-year Treasury bonds break 3%, algorithms will all turn to the largest market in the world — interest rates.

We are going to see the fastest moving rates interest rates we’ve ever experienced. This will impact every derivative out there because all derivatives have an interest rate criteria. Gold is a storehouse of value, not a currency. It doesn’t need a market because it can be traded physically. China and Russia don’t buy gold as an investment, they buy it as a policy because they can’t see any solutions to the situation we are in. “They have killed us, and they have killed themselves. There is one fat shark out there that is now about to experience starvation,” said Sinclair.

Sinclair believes that when it’s all said and done, there will be a catastrophic big bang. The only thing left will be our savings accounts. Savings accounts will be the new gold because all currencies are falling in terms of being a storehouse of value. “Capitalism is finished,” Sinclair continues, “I can’t tell you what the next system will be, but capitalism is over because the heart of capitalism is markets.  Without markets, you cannot have a capitalistic system — it’s over.”

It seems as if the financial system is set to fail regardless of any counter-efforts. If we are headed into a new system, let’s hope it’s a better one.

Sources:

UsaWatchdog.com

SilverDoctors.com