CBI RAISES PRICE OF DINAR AGAINST THE DOLLAR

[sxsess]

LOPsters:

Crow. It's what's for dinner.

Hahaha. Serves them right.

[mrref]

Thanks for saying thank you, mrref. I have looked and I do not see specific article posted other than this one. I am lacking in sleep. Oh, well. At least it was good news!

Cheers mrref.

No Problem lets get this rv going!!!!

Link please.

Why do you need a link read the article that was posted today with a LINK...

[SPRAYERDUDE]

Good sign but I don't think the Iraqi people will be running out and using the Dinar "Hope this is a sign of better things to come

[fnbplanet]

No Problem lets get this rv going!!!!

Why do you need a link read the article that was posted today with a LINK...

You said it was posted earlier, just wanted to know where it was.

[DinarDebbie]

You said it was posted earlier, just wanted to know where it was.

It is here:

[JUNKANOO]

GOOOOO RV!!!

[Carrello]

I haven't seen this article posted before. So there Mr./Ms Crabby Pants mrref

You know what guys I really think all of this talk about taking zero's off the currency was really pulling them in. They way they phrase this, large deletion of three zero's. This is what they are doing now. So the story I was told was not a pump story, it was the plan, first haul those 000 notes in, bring out the new currency and somewhere in these stages raise the value.

Thanks Ms C....

I think you are onto something. If that is the case, can you imagine the LMAOROTF moments anybody in Iraq would be having reading all of the LOP discussions. They must think Americans are hysterical, and that covers both definitions.8

[Abarvets]

Interesting... See, they're probably pulling in 000 notes from neighboring nations as they send out USD in exchange. If you read the articles, it appears that is the supposedly reasoning for the increase in value at this moment from what Saleh says. Now, if you step back and look at the big picture..

Take a map of the entire globe and guesstimate in %s where a lot of the IQD sits & exists

Exclude theories of foreign govts holding, etc.

You would probably put a relatively low % in the U.S., while neighboring regions likely hold an abundance of it.

For simple figures, lets say 65% in the country alone, 10% in the U.S., & 25% in neighboring countries.

What if, they reduced the 25% down to 5-10%, from their current procedure.

They can strengthen the value, reduce their liabilities, and feel more comfortable with a more dramatic rate increase.

See, they can R/D, and the ball is in the court of speculative holders & their responsibility to exchange as it really does not benefit them whatsoever.

However, if they R/V, the ball is in the CBI's court to try and acquire as many notes as possible to reduce the money supply.

Technically, it would appear as if the CBI could R/D at any given moment of their choosing. Processing a R/V of any substantial change may require additional work, a detailed plan to follow, and strategy to reach their goal.

Just my thoughts.

Darin, I had never thought of this but it is brilliant. The neighboring countries are having to dump their dinars and use dollars because of the restrictions on their currencies. This way you can rv at a better rate and not have to worry about how much some foreign countries are holding. This cuts down on their (Iran & Syria) money suppiy. Then when it rv's and they (Iran & Syria) have dollars when they go to sell or buy goods with Iraq it cripples their countries even more because of the new strength of the dinar. You could cause all this damage without firing a shot. Did Soros short any of these countries? This sounds almost like something he would think up.

[Carrello]

Gurus shot to h e ll.

What this article is telling us most is that the CBI doesn't need approval

or special laws passed by anyone to change the rate of the dinar. They are saying

we can do so at our discretion. Now they may want to wait for certain things to get done

but they most certainly don't have to.

I didn't think they needed Parliament's approval to revise the rate, but only to redenominate, and also to acquire funding for the print of new notes. I could be mistaken.

You guys need to get a room,.hahah.................just kidding...don't want to start rumors we will wait for that to happen after Vegas...lol

fnb, Room 1063, knock twice.........I will be the camel with the bra on and dinars everywhere. You bring the Dom Perignon, I'll have two straws.

LOPsters:

Crow. It's what's for dinner.

Exactamundo!

[Wheeler]

LOPsters:

Crow. It's what's for dinner.

Really? You're bragging about a .34% increase? Did you cash in your dinar and retire yet?

[fnbplanet]

The sanctions on Syria and Iran aren't meant to harm their people, they are meant to cripple their Central Banks. If their currency is seen to be failing, the people move their money to anything that's nearby and stable, like gold, or USD.

If you've heard that a currency is only as stable as the country that backs it, the opposite is also true. Weaken a country's currency, and you weaken the government.

Put tassels on that camel and we can seal the deal.

Edited January 19, 2012 by fnbplanet

[Carrello]

in my best Glenda the good witch voice:

"and terrorists too!"

Zig, that is your cue. Click the ruby slippers! There's nothing like an RV. There's nothing like an RV....poof

[zigmeister]

I'm clicking, I'm clicking.....There's nothing like an RV, there's nothing like an RV!

[Carrello]

It is here:

.

Thanks Debbie. Your link's article was posted a couple hours after my posting, not that this is important. But Trooper's article says 3.4% also, and not .34%

[Abarvets]

The sanctions on Syria and Iran aren't meant to harm their people, they are meant to cripple their Central Banks. If their currency is seen to be failing, the people move their money to anything that's nearby and stable, like gold, or USD.

If you've heard that a currency is only as stable as the country that backs it, the opposite is also true. Weaken a country's currency, and you weaken the government.

Put tassels on that camel and we can seal the deal.

True, however the government of Iran has done everything it can to get out of the dollar. Now they are getting stuck with the dollar. And as you say you weaken the government without firing a shot.

[Darin]

If you ran a central bank, how would you run things?

Sell low & buy high?

Sell high & buy low?

Imagine that the CBI is a business, the business of exchanging currencies.

Where is the most profit?

Buying low & selling high, right?

Here is where the problem lies.... Your only going to sell high when demand is willing to buy high.

If people are buying low and it goes high, people will sell when its high.

If foreign nations that neighbor the CBI are crashing, they will run to a better currency.

It may be USD atm, but could it also be IQD in the near future?

Demand may remain stable even at a much higher rate...

All while the CBI is pulling in their 000 notes for cheap and may turn & sell for more upon raising the value.

Imagine, if you will, neighboring regions reliant upon the IQD in conducting transactions. The people want something stable, and it may just very well be the IQD.

But, as I previously stated, right now they're running to the USD... But, what if! they got those same people to exchange for IQD post-R/V

Imagne the demand? Would it offset the dumping of IQD from speculators?

Very well may be.. Esepcially depending on the rate.

[Abarvets]

If you ran a central bank, how would you run things?

Sell low & buy high?

Sell high & buy low?

Imagine that the CBI is a business, the business of exchanging currencies.

Where is the most profit?

Buying low & selling high, right?

Here is where the problem lies.... Your only going to sell high when demand is willing to buy high.

If people are buying low and it goes high, people will sell when its high.

If foreign nations that neighbor the CBI are crashing, they will run to a better currency.

It may be USD atm, but could it also be IQD in the near future?

Demand may remain stable even at a much higher rate...

All while the CBI is pulling in their 000 notes for cheap and may turn & sell for more upon raising the value.

Imagine, if you will, neighboring regions reliant upon the IQD in conducting transactions. The people want something stable, and it may just very well be the IQD.

But, as I previously stated, right now they're running to the USD... But, what if! they got those same people to exchange for IQD post-R/V

Imagne the demand? Would it offset the dumping of IQD from speculators?

Very well may be.. Esepcially depending on the rate.

Darin I would try to give you a +1 but the tech glitch has not been fixed yet.

[zigmeister]

If you ran a central bank, how would you run things?

Sell low & buy high?

Sell high & buy low?

Imagine that the CBI is a business, the business of exchanging currencies.

Where is the most profit?

Buying low & selling high, right?

Here is where the problem lies.... Your only going to sell high when demand is willing to buy high.

If people are buying low and it goes high, people will sell when its high.

If foreign nations that neighbor the CBI are crashing, they will run to a better currency.

It may be USD atm, but could it also be IQD in the near future?

Demand may remain stable even at a much higher rate...

All while the CBI is pulling in their 000 notes for cheap and may turn & sell for more upon raising the value.

Imagine, if you will, neighboring regions reliant upon the IQD in conducting transactions. The people want something stable, and it may just very well be the IQD.

But, as I previously stated, right now they're running to the USD... But, what if! they got those same people to exchange for IQD post-R/V

Imagne the demand? Would it offset the dumping of IQD from speculators?

Very well may be.. Esepcially depending on the rate.

hmmmmm.......this makes a lot of sense Darrin. We know banks want to make money, and the possible plan you have posted here makes sense. Works for me, works for them.

[jg1]

When I saw the small rate increase I thought, is this the bait for us to sell our dinar? Anyone taking the bait, ha. They are going to have to do one hell of a better job than that.

[keepmwlknfny]

See.....it was through the purchasing of USD that the exchange rate went down....I figured that was probly the simplest explanation, just wanted to see what the CBI would say about it....Still dont think that the program rate has been fully released but we will have to wait and see about that one....

They most likely bought up a lot of USD because of the higher demands as well through the auctions....this extra money will give them some cushion should the auctions drain them of USD....

Dont get me wrong, this is good regardless cause its actually moving lol....its just a matter of how far they take this....all we can do is wait and see what the next couple weeks bring us...

Edited January 19, 2012 by keepmwlknfny

[zigmeister]

See.....it was through the purchasing of USD that the exchange rate went down....I figured that was probly the simplest explanation, just wanted to see what the CBI would say about it....Still dont think that the program rate has been fully released but we will have to wait and see about that one....

They most likely bought up a lot of USD because of the higher demands as well through the auctions....this extra money will give them some cushion should the auctions drain them of USD....

Personally I don't think this is trading as usual. And I suspect they won't run out of USD, not until Iran and Syria are on their hands and knees economically. We need to keep our eye on this because there are some interesting things in the mix.

[chevysmemaw]

Some call it Floating ,

Some call it Crawling,

I am just glad it is MOVING and going in the Right Direction !!!!

GO RV !!!!!!!

[Abarvets]

If you ran a central bank, how would you run things?

Sell low & buy high?

Sell high & buy low?

Imagine that the CBI is a business, the business of exchanging currencies.

Where is the most profit?

Buying low & selling high, right?

Here is where the problem lies.... Your only going to sell high when demand is willing to buy high.

If people are buying low and it goes high, people will sell when its high.

If foreign nations that neighbor the CBI are crashing, they will run to a better currency.

It may be USD atm, but could it also be IQD in the near future?

Demand may remain stable even at a much higher rate...

All while the CBI is pulling in their 000 notes for cheap and may turn & sell for more upon raising the value.

Imagine, if you will, neighboring regions reliant upon the IQD in conducting transactions. The people want something stable, and it may just very well be the IQD.

But, as I previously stated, right now they're running to the USD... But, what if! they got those same people to exchange for IQD post-R/V

Imagne the demand? Would it offset the dumping of IQD from speculators?

Very well may be.. Esepcially depending on the rate.

Posted today, thank you TROOPER!

High exchange rate of the dollar caused some neighboring countries

19/01/2012 11:30

The central bank attributed the rise in the dollar exchange rate and high demand in Iraq to the financial constraints on some neighboring countries. The central bank adviser said the appearance of Mohammed Saleh in a press statement that the Central Bank observed in the month of December of last year, an increase in demand for the dollar at the auctions of Finance held by the bank and after review and identify the reasons found that this increase is not motivated by internal economic, but rather a result of the regional situation in the surrounding Iraq's neighboring countries of east and west. He said the central bank in favor of lenient to sell the U.S. dollar, although for this increase because the Iraqi dinar fully covered 100% of the dollar, but the problem lies in the lack of economic benefit to Iraq in the event of dealing internationally

Read more:

[keepmwlknfny]

Personally I don't think this is trading as usual. And I suspect they won't run out of USD, not until Iran and Syria are on their hands and knees economically. We need to keep our eye on this because there are some interesting things in the mix.

No, its def not trading as usual lol....but you remember the article explaining how they needed to place more restrictions on who can participate in these auctions because it seems that with the sanctions being placed on Iran, its gonna be harder getting money into the country and those who had ties with those countries, were getting into these auctions and were causing the major rise in USD sales and they were worried that if this kept up, that it could affect the reserves. So they could very well be anticipating continued larger auctions and dont want to run dry....

We just need to keep an eye on it and see what happens within the next week or so....if they keep buyin up USD and driving the exchange rate lower then 1166 then this could work out very well for us

[Darin]

No, its def not trading as usual lol....but you remember the article explaining how they needed to place more restrictions on who can participate in these auctions because it seems that with the sanctions being placed on Iran, its gonna be harder getting money into the country and those who had ties with those countries, were getting into these auctions and were causing the major rise in USD sales and they were worried that if this kept up, that it could affect the reserves. So they could very well be anticipating continued larger auctions and dont want to run dry....

We just need to keep an eye on it and see what happens within the next week or so....if they keep buyin up USD and driving the exchange rate lower then 1166 then this could work out very well for us

It is definitely interesting to watch & monitor. Who knows which direction this will take us, but, we have to look at things in terms of ratios. Lower money supply while the cushion to support is directly affected the same way also means less liabilities.

They'll be able to replenish their reserves through crude sales, higher frequency of transactions, and so forth.

Plus, if they create a market of demand for IQD, it'll help push the value up because the market can support it.

Why not increase the rate while you consume up the IQD? Makes it harder for surrounding countries to buy it up again. They won't get as much in return as they once did.

So, I wouldn't say it is the selling of the USD that drove the rate up a little bit as it was the acquiring of the 000s that helped.