CBI 1-15-2012 Currency Auction

[Rogue Knight]

Currency Auctions

Announcement No. (2056)

The latest daily currency auction was held in the Central Bank of Iraq on the 15-JAN-2012. The results were as follows:

Details Notes

Number of banks 21

Auction price selling dinar / US$ 1170

Auction price buying dinar / US$ -----

Amount sold at auction price (US$) 231,115,000

Amount purchased at Auction price (US$) -----

Total offers for buying (US$) 231,115,000

Total offers for selling (US$) -----

http://www.cbi.iq/index.php?pid=CurrencyAuctions

[Canuklady]

We're steady over 200 now every auction. Thanks for posting!

[SgtFuryUSCZ]

***///

...anybody hazard a guess on how long this is gonna go on?

... and what's the REAL purpose behind this at this point...?

[pokerplayer]

***///

...anybody hazard a guess on how long this is gonna go on?

... and what's the REAL purpose behind this at this point...?

I believe Iraq wants to pull as many dinars from circulation as possible. While I have been skeptical of the claims an RV was imminent, I truly believe this movement tells me an RV is coming real soon.

Nothing to truly back my statement up, just a gut feeling.

pp

[winterset]

Thanks for the post. I thought all the info about Iran and Syria buying too much would slow things down, evidently Shabibi is still working his plan.

[Rogue Knight]

This means they are spending close to a billion dollars every 4 to 5 days buying back almost a trillion dinar a week for the last 5 weeks (maybe longer). With a reserve at 60 billion dollars ( last year) they have definitely depleted those reserves. I can only hope at some point they will have to revalue to balance a good reserve with so many dinars at 1170 on hand.

[Abarvets]

So we are at a month now if memory serves of auctions over 200,000,000. I am beginning to wonder, are we trying to flood the region in dollars not just the country?

[sportfisher]

can't seem to open CBI websites documents right now???

but, we know that those amounts are not all cash.

[fnbplanet]

Thanks for the post. I thought all the info about Iran and Syria buying too much would slow things down, evidently Shabibi is still working his plan.

I think you're right. He's making money on the spread and drawing in IQD from Iran and Syria, as well as the "street".

I don't see this slowing down, or much of anything getting done until after the "conference" at the end of the month. They MAY get an item or two ironed out, or out of the way, in their preparations, such as the budget, HCL posted, maybe even a minister seated.

Sessions in Parliament are scheduled to restart on Tuesday, and they are trying desperately to get enough members to commit to showing up to reach a quorum (163, I think - over 50% of 325 members). If I were Maliki, I'd be trying to make the list sorry for sitting out, and would push something through for a vote.

From what I understand, the HCL has been agreed upon by the Kurds and the National Alliance. If they could finish this off now, Maliki gets credit for pushing through the single largest piece of legislation since their constitution AND completes an Erbil requirement AND can say the List didn't even help.

[Carrello]

If this is pulling dinars back out of Iran, keep it up. A hefty RV would do nothing but put money in the Iranians pockets to be used against us, and provide money to stir the terrorist pot of blood soup.

[lotsofdinar]

This is dinar and USD flowing into and out of the CBI and the banks. The CBI is not pulling in Dinar and never sending it out again. The CBI is simply doing what central banks do with currency.

[RodandStaff]

Thanks for the post Rogue! It looks like things are inevitable... I mean how long can they keep this up anyway??? They've gotta RV pretty soon.... ufdah!!!

Come on boyz... git-r-dun!!!

GO RV Already Baby!!!

[Stryker365]

I believe Iraq wants to pull as many dinars from circulation as possible. While I have been skeptical of the claims an RV was imminent, I truly believe this movement tells me an RV is coming real soon.

Nothing to truly back my statement up, just a gut feeling.

pp

ME TOO !!!!

[lotsofdinar]

If the CBI pulls the Dinar off the streets of Iraq and then RVs, only out of country speculators benefit. That doesn't make any sense.

[DinarDiva007]

This is dinar and USD flowing into and out of the CBI and the banks. The CBI is not pulling in Dinar and never sending it out again. The CBI is simply doing what central banks do with currency.

Thats what I was wondering.. Do we know if it is one way or not? Does anyone know?

[easyrider]

If the CBI pulls the Dinar off the streets of Iraq and then RVs, only out of country speculators benefit. That doesn't make any sense.

this is their country they can do what they please exacyly we are speculators this could have gone either way the point being they want all the old notes back that way when they introduce the lower denoms theyll have value the iraqi citizens are worried about a couple things making a living and being fed and living normal lives stop thinking like a western. I can almost gurantee you most iraqis are living under poverty and barely are surviving.

[lotsofdinar]

"this is their country they can do what they please"

Yep. Like also declaring, if they RV, that only dinar in country can be exchanged. It's happened with other countries. If they are going to stiff their own people, why wouldn't they stiff out of country speculators?

[winterset]

This is dinar and USD flowing into and out of the CBI and the banks. The CBI is not pulling in Dinar and never sending it out again. The CBI is simply doing what central banks do with currency.

Don't you think the volumn of these auctions lately is suspicious?

[lotsofdinar]

winterset, why are they suspicious? CBI is doing exactly what they say...maintaining the exchange rate at its current level. That's what they do.

[winterset]

If the CBI pulls the Dinar off the streets of Iraq and then RVs, only out of country speculators benefit. That doesn't make any sense.

Easy has a great point that I was trying to make to you on another thread. The citizens of Iraq need jobs, electricity, education etc. They will only benefit if and when their currency has more value and they become truely soverign.

[Unitedrich]

"this is their country they can do what they please"

Yep. Like also declaring, if they RV, that only dinar in country can be exchanged. It's happened with other countries. If they are going to stiff their own people, why wouldn't they stiff out of country speculators?

I don't believe they would stiff out of country speculators, reason being they are REALLY trying to attract foreign investment "in-country" and it would make no sense to bite the hand that feeds you. That being said THIS IS IRAQ, and nothing seemingly ever seems to represent logic with these guys

Edited January 15, 2012 by Unitedrich

[lotsofdinar]

winterset, how is that? An RV would only put Iraq trillions of dollars in debt. I don't think the U.S. is going to credit Iraq trillions of USD without expecting something in return. Which would mean all their natural resources for the next century.

Edited January 15, 2012 by lotsofdinar

[spicolly]

"this is their country they can do what they please"

Yep. Like also declaring, if they RV, that only dinar in country can be exchanged. It's happened with other countries. If they are going to stiff their own people, why wouldn't they stiff out of country speculators?

Hope not, but if so, I'm booking a first class ticket to Baghdad! The risk is worth the reward...where's my passport???

[lotsofdinar]

spicolly, I don't think I'd want to step off an airplane in Iraq with a suitcase full of currency the way things are there now.

[winterset]

winterset, why are they suspicious? CBI is doing exactly what they say...maintaining the exchange rate at its current level. That's what they do.

So in your opinion, how many auctions at this level do you think they will need til it stables off again? In the last 6 months they went over 200 mil 8 times, now in the last month its been pretty consistently over 200 mil. When would you consider it suspicious?