LOP is Coming

wallstreet1977 · May 28, 2010

I just had an e-mail exchange with a rep at xe.com

He is the bad news...

IQD Redenomination

The Central Bank of Iraq announced plans to redenominate the Iraqi Dinar by removing three zeros from the nominal value of bank notes. That means that they will be issuing new bank notes. If you have any bank notes that are currently in circulation, they will not gain actual value, but instead, 1,000 current IQD will then be worth only 1 of the new IQD notes if all goes as planned. The Central Bank plans to phase out the current IQD notes by allowing people in Iraq to exchange them for new re-denominated IQD notes; eventually, the existing notes will not be legal tender.

1000 IQD (current) = 1 IQD (post-denomination)

Why the change?

This plan is intended to ease cash transactions in Iraq, since most everything is paid in cash over there. Can you imagine having to pay thousands for a loaf of bread? The purpose of this change is to make life a little easier for residents of Iraq who have to carry large wads of cash wherever they go.

What about people who don't live in Iraq?

This will put a lot of people living outside of Iraq in a bit of a bind. Those who have invested in IQD notes will find it difficult to convert their current IQD notes for new ones, since there are no Iraqi banks outside of Iraq. As you can imagine, not too many people will want to buy notes that are being phased out.

In regards to the USD, the Central Bank of Iraq has a mandate to ensure domestic price stability, which means that the actual value of the IQD will most likely remain stable. In other words, 1,000 IQD (pre-redenomination) and 1 dinar (post-redenomination) would both be worth about the same amount in US Dollars.

If you can provide a conflicting, perhaps more positive point of view, it would be appreciated.

robo5288 · May 28, 2010

This is complete B.S. I am a trader myself and am up to speed on this matter. Do not believe any of this . Total crap.

k98nights · May 28, 2010

I believe this has been beat to death

quadraph0nic · May 28, 2010

ARRGHH!! Where are the wet noodles!! LOL :lol:

luckylucy · May 28, 2010

Looks like your xe.com friend has been reading poorly translated arabic articles ... he quotes some of them verbatim. If you are relying on him for other investment information, might want to find someone else. Based on the comments below, I would question how much he really knows about the topic.

But, as for you, thanks for trying to get information and thank you for sharing.

luckylucy

I just had an e-mail exchange with a rep at xe.com
He is the bad news...
IQD Redenomination
The Central Bank of Iraq announced plans to redenominate the Iraqi Dinar by removing three zeros from the nominal value of bank notes. That means that they will be issuing new bank notes. If you have any bank notes that are currently in circulation, they will not gain actual value, but instead, 1,000 current IQD will then be worth only 1 of the new IQD notes if all goes as planned. The Central Bank plans to phase out the current IQD notes by allowing people in Iraq to exchange them for new re-denominated IQD notes; eventually, the existing notes will not be legal tender.
1000 IQD (current) = 1 IQD (post-denomination)
Why the change?
This plan is intended to ease cash transactions in Iraq, since most everything is paid in cash over there. Can you imagine having to pay thousands for a loaf of bread? The purpose of this change is to make life a little easier for residents of Iraq who have to carry large wads of cash wherever they go.
What about people who don't live in Iraq?
This will put a lot of people living outside of Iraq in a bit of a bind. Those who have invested in IQD notes will find it difficult to convert their current IQD notes for new ones, since there are no Iraqi banks outside of Iraq. As you can imagine, not too many people will want to buy notes that are being phased out.
In regards to the USD, the Central Bank of Iraq has a mandate to ensure domestic price stability, which means that the actual value of the IQD will most likely remain stable. In other words, 1,000 IQD (pre-redenomination) and 1 dinar (post-redenomination) would both be worth about the same amount in US Dollars.
If you can provide a conflicting, perhaps more positive point of view, it would be appreciated.

mrref · May 28, 2010

COME ON GUYS GIVE THE NEWBIE A BREAK HE DOESN'T KNOW THE WHOLE STORY . BUT HE WILL EVENTUALLY FIND OUT ONCE HE READS SOME OF THE OLD POST :lol:

wallstreet1977 · May 28, 2010

COME ON GUYS GIVE THE NEWBIE A BREAK HE DOESN'T KNOW THE WHOLE STORY . BUT HE WILL EVENTUALLY FIND OUT ONCE HE READS SOME OF THE OLD POST

I appreciate the comments of the better informed members.

I hope you all are right.

Thanks.

This is complete B.S. I am a trader myself and am up to speed on this matter. Do not believe any of this . Total crap.

Would you please provide a more up to speed assessment of the situation?

Thanks.

jimanita · May 28, 2010

I appreciate the comments of the better informed members.
I hope you all are right.
Thanks.

hey wallstreet think of how much money the country of iraq would lose if they did something like this... billions of dollars from all over the world would turn into toilet paper no govt would want that, not to mention how much money went into and would go into changeing currency ... thank you for trying to inform us though ... but atleast maybe you may be lil more at ease after being worried about a lop

pourit · May 28, 2010

Just curious...is this info coming out in current articals somewhere?

muydinar · May 28, 2010

XE.com are nobodies!!

The Watcher · May 28, 2010

I just had an e-mail exchange with a rep at xe.com
He is the bad news...
IQD Redenomination
The Central Bank of Iraq announced plans to redenominate the Iraqi Dinar by removing three zeros from the nominal value of bank notes. That means that they will be issuing new bank notes. If you have any bank notes that are currently in circulation, they will not gain actual value, but instead, 1,000 current IQD will then be worth only 1 of the new IQD notes if all goes as planned. The Central Bank plans to phase out the current IQD notes by allowing people in Iraq to exchange them for new re-denominated IQD notes; eventually, the existing notes will not be legal tender.
1000 IQD (current) = 1 IQD (post-denomination)
Why the change?
This plan is intended to ease cash transactions in Iraq, since most everything is paid in cash over there. Can you imagine having to pay thousands for a loaf of bread? The purpose of this change is to make life a little easier for residents of Iraq who have to carry large wads of cash wherever they go.
What about people who don't live in Iraq?
This will put a lot of people living outside of Iraq in a bit of a bind. Those who have invested in IQD notes will find it difficult to convert their current IQD notes for new ones, since there are no Iraqi banks outside of Iraq. As you can imagine, not too many people will want to buy notes that are being phased out.
In regards to the USD, the Central Bank of Iraq has a mandate to ensure domestic price stability, which means that the actual value of the IQD will most likely remain stable. In other words, 1,000 IQD (pre-redenomination) and 1 dinar (post-redenomination) would both be worth about the same amount in US Dollars.
If you can provide a conflicting, perhaps more positive point of view, it would be appreciated.

If they L O P that means a loaf of bread will cost 1000 times more than what they are paying now. This dead horse stinks to high heaven. The reason the three zeros will come off concurrently with an RV is to faciltate exchanges. But this will happen only after a certain amount of time, and then only to draw in the 000s and get them out of circulation. A L O P as described above would mean the IQD would be worth .0000008 cents, 1000 times less than right now. Ain't gonna happen!!!!

wallstreet1977 · May 28, 2010

Hello,
I think it was a very well planned out e-mail to misguide people and I really hope that you were not in on this because it is disgusting. The article on xe.com mentions nothing about the part that is highlighted. It was deliberately put in. Why would you post something on here like that that has a clear intent to mislead and misinform. I see that it coulldn't be mentioned that you found it on an internet search because this is the one on xe.com :
http://www.xe.com/news/2010/02/11/951385.htm
Iraq plans to slice three zeros off currency notes
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2010-02-11 13:11 (UTC)
BAGHDAD, Feb 11 (Reuters) - Iraq expects to redenominate its dinar currency by knocking three zeros off the nominal value of bank notes to facilitate currency transactions, a central bank official said on Thursday.
Emerging from years of war and sanctions, Iraq is trying to revamp its economy and boost oil production with a raft of crude deals that may vault it to one of the world's top oil producers.
'The goal is to improve the payment and receiving system in the country and consequently to reform cash management,' said Mudher Kasim, a senior advisor at the central bank.
Iraqi payment systems rely almost exclusively on cash.
Kasim said that the central bank expected to start rolling out new notes by the end of the year or the beginning of 2011. Iraq has 25 trillion dinars in circulation, officials say.
An Iraqi cabinet committee ordered the change in 2007, but the central bank did not think it appropriate until recently, Kasim said. The dinar's value will remain unchanged, he said.
The local unit is managed through foreign exchange auctions, and traded hands at 1,170 per dollar at the last sale.
(Reporting by Aseel Kami; Editing by Jack Kimball and Toby Chopra) Keywords: IRAQ CURRENCY/
(jack.kimball@thomsonreuters.com; +964 7901 917 033 begin_of_the_skype_highlighting +964 7901 917 033 end_of_the_skype_highlighting; Reuters Messaging: jack.kimball.reuters.com@reuters.com)
COPYRIGHT
Copyright Thomson Reuters 2010. All rights reserved.
Notice : How all contact info is included. Yours does not even have a signature of the xe representative that you talked to and all business transactions have some type of contact info or signature at the bottom, especially in an e-mail.

http://www.xe.com/currency/iqd-iraqi-dinar

The link is real, no manufactured data. I am not here to deceive anyone.

brookie · May 28, 2010

No link no number no proof no dice. There is a link for the artical that said they will have both large and small denoms. in circulation at the asme time and phase the large bills out as they get them, do some home work.

tampa1000 · May 28, 2010

Think of how you would act or feel if you lived in Iraq and had 100K in the bank and next morning you only have 100 Dinars, the people of Iraq would go crazy!!! Just use a little common sense and have faith!

gregg450 · May 28, 2010

Can I have some butter sauce with my LOPSTER?

wallstreet1977 · May 28, 2010

http://www.xe.com/currency/iqd-iraqi-dinar
The link is real, no manufactured data. I am not here to deceive anyone.

Here is the entire e-mail for those of you who question my intentions:

Thank you for your enquiry.

The information has been available from a number of sources, but specifically from this Reuters article, available via our Forex News service at:

http://www.xe.com/news/2010/02/11/951385.htm

To summarize:

IQD Redenomination

The Central Bank of Iraq announced plans to redenominate the Iraqi Dinar by removing three zeros from the nominal value of bank notes. That means that they will be issuing new bank notes. If you have any bank notes that are currently in circulation, they will not gain actual value, but instead, 1,000 current IQD will then be worth only 1 of the new IQD notes if all goes as planned. The Central Bank plans to phase out the current IQD notes by allowing people in Iraq to exchange them for new re-denominated IQD notes; eventually, the existing notes will not be legal tender.

1000 IQD (current) = 1 IQD (post-denomination)

Why the change?

This plan is intended to ease cash transactions in Iraq, since most everything is paid in cash over there. Can you imagine having to pay thousands for a loaf of bread? The purpose of this change is to make life a little easier for residents of Iraq who have to carry large wads of cash wherever they go.

What about people who don't live in Iraq?

This will put a lot of people living outside of Iraq in a bit of a bind. Those who have invested in IQD notes will find it difficult to convert their current IQD notes for new ones, since there are no Iraqi banks outside of Iraq. As you can imagine, not too many people will want to buy notes that are being phased out.

In regards to the USD, the Central Bank of Iraq has a mandate to ensure domestic price stability, which means that the actual value of the IQD will most likely remain stable. In other words, 1,000 IQD (pre-redenomination) and 1 dinar (post-redenomination) would both be worth about the same amount in US Dollars.

Thank you for your interest in our company and services.

Sincerely,

XE Currency Services Team

XE.com Inc. · 1145 Nicholson Rd · Suite 200 · Newmarket · Ontario · L3Y 9C3 · Canada

www.xe.com · +1 416 214-5606 · Fax +1 416 214-5607

No link no number no proof no dice. There is a link for the artical that said they will have both large and small denoms. in circulation at the asme time and phase the large bills out as they get them, do some home work.

http://www.xe.com/cu...iqd-iraqi-dinar

quadraph0nic · May 28, 2010

All these responses so fast...Seriously?

Do you not think that Iraq would not put out legislation a law and communicate that with their people before they would pull a LOP off? Where is the legislation/law/policy??????

they dont have debt...low inflation....so why will they LOP?

Do you see the greed in the iraqi politicians? 80 billion dollars is their budget 74% of this goes to pay the salaries in the public sector...a guy who holds a seat in parliaments gets like 125,000 a year...Maliki pays himself 2mil a month....

MAN THATS IN DOLLARS!

Do you think they want to cut their currency in half? Countries who LOP do it because they HAVE TO not because they want to.....

IRAQ HAS NO REASON TO LOP!

I dont know why I ventured into this forum....gheeze!!

powerpager · May 28, 2010

OLD CRAPOLA !!!!

wallstreet1977 · May 28, 2010

Hello,
Are you even comparing your e-mail to the article that YOU posted ? C'mon man are you serious ? The bold in your e-mail was deliberately put there by either you or this so called xe rep.

All wording in that e-mail is from the rep.

Take it for what it is worth.

I bolded that particular line because that was the line most concerning to me and I wanted to be sure it stood out so people could see it and comment on its merit (afterall, I was asking for responses to refute it).

Please don't over analyze it. I was trying to provide meaningfull information as to get meaningfull responses.

gregg450 · May 28, 2010

Doe XE stand for Xtremely Elusive with their statements? JK :lol:

Earnest T Bass · May 28, 2010

Lol! Lol! I can see this lop thread is going to be good for many a laugh!

mattevan · May 28, 2010

Oh No..A Lop!!!!!!!!! Time to sell my Dinars and buy some Dongs

June 4, 2010

I just had an e-mail exchange with a rep at xe.com
He is the bad news...
IQD Redenomination
The Central Bank of Iraq announced plans to redenominate the Iraqi Dinar by removing three zeros from the nominal value of bank notes. That means that they will be issuing new bank notes. If you have any bank notes that are currently in circulation, they will not gain actual value, but instead, 1,000 current IQD will then be worth only 1 of the new IQD notes if all goes as planned. The Central Bank plans to phase out the current IQD notes by allowing people in Iraq to exchange them for new re-denominated IQD notes; eventually, the existing notes will not be legal tender.
1000 IQD (current) = 1 IQD (post-denomination)
Why the change?
This plan is intended to ease cash transactions in Iraq, since most everything is paid in cash over there. Can you imagine having to pay thousands for a loaf of bread? The purpose of this change is to make life a little easier for residents of Iraq who have to carry large wads of cash wherever they go.
What about people who don't live in Iraq?
This will put a lot of people living outside of Iraq in a bit of a bind. Those who have invested in IQD notes will find it difficult to convert their current IQD notes for new ones, since there are no Iraqi banks outside of Iraq. As you can imagine, not too many people will want to buy notes that are being phased out.
In regards to the USD, the Central Bank of Iraq has a mandate to ensure domestic price stability, which means that the actual value of the IQD will most likely remain stable. In other words, 1,000 IQD (pre-redenomination) and 1 dinar (post-redenomination) would both be worth about the same amount in US Dollars.
If you can provide a conflicting, perhaps more positive point of view, it would be appreciated.

June 4, 2010

Iraq's Points of Great Stride. Iraq's Dinar is doing great.

JUNE 15 … There is a rule, if they are going to LOP they need to PR it six months before it happens. June 15 is six months before December 31 2010.

SO! … It is appearing, if they DO NOT come out with a PR stating a LOP by June 16, 2010, then we are going into 2011 with our currency, this is, if we have any left because of the RV.

Iraq "IS 80+% Debt Free" ... WHY WOULD THEY LOP ...

Iraq's Dinar "WILL BE" Globally recognized as Iraq’s Currency by the first Quarter of 2010, And it IS ... WHY WOULD THEY LOP ...

The bank spends $1 billion to $1.5 billion every month in oil revenue to buy Iraqi dinars on the open market, said Mudher M. Salih Kasim, senior adviser to the bank. ... WHY WOULD THEY LOP ...

December 15th 2008, Iraq bought back 282.5 billion dinar ... WHY WOULD THEY LOP ...

Inflation is the lowest in 17 Years and Iraq went from 74% down to 14% 13.6% ... 3%...A Major Plus ... WHY WOULD THEY LOP ...

Out of "ALL" the Countries that LOP'ed, the Smallest percentage from a Country that had to LOP was 125% ... WHY WOULD THEY LOP ...

The U.S. Federal Reserve (A Private Company) did in fact exchange 7.5 Trillion IQD for $5 Billion USD to accumulate $100 Million per year in Interest via U.S. Treasury Bills for Iraq. ... WHY WOULD THEY LOP ...

Iraq is under Contract to buy a fleet of 55 new Boeing 737s, 777s and 787s which were not due to arrive until 2013.- How would they buy them at their current Dinar Value ? ? ? ...... Revalue ... WHY WOULD THEY LOP ...

They have to buy 5 Oil Tankers - How would they buy them at their current Dinar Value ? ? ? ...... Revalue ... WHY WOULD THEY LOP ...

IRD is the most secured currency in the world from fraud. ... WHY WOULD THEY LOP ...

IRD is new, and the only currency in Iraq ... WHY WOULD THEY LOP ...

IRD has increased in value since 2003. From 2000.00 to current 1170.00

They said in 2008 they are to revalue the currency, but they can not because they need to get through options ... they are looking to drop 3 zeros ... WHY WOULD THEY LOP ...

We American's take our Dinar and tun it in and it ends up at the Fed's. The US Fed now destroys the Currency per Iraq's agreement. Now Iraq owes US Fed's credit for that Dinar we exchange, But instead of recieving the Credit back in cash, Iraq gives the Credit back in Black Gold (Oil) instead That is how the total MO is reduced without general procedures, amung many other ways. How many more ways can they reduce the MO this way, THAT IS A LOT ... WHY WOULD THEY LOP ...

Iraq became a SOVERIGN NATION on 1/1/09 ... WHY WOULD THEY LOP ...

June 4, 2010

Iraq's Points of Great Stride. Iraq's Dinar is doing great.

JUNE 15 … There is a rule, if they are going to LOP they need to PR it six months before it happens. June 15 is six months before December 31 2010.

SO! … It is appearing, if they DO NOT come out with a PR stating a LOP by June 16, 2010, then we are going into 2011 with our currency, this is, if we have any left because of the RV.

Iraq "IS 80+% Debt Free" ... WHY WOULD THEY LOP ...

Iraq's Dinar "WILL BE" Globally recognized as Iraq’s Currency by the first Quarter of 2010, And it IS ... WHY WOULD THEY LOP ...

The bank spends $1 billion to $1.5 billion every month in oil revenue to buy Iraqi dinars on the open market, said Mudher M. Salih Kasim, senior adviser to the bank. ... WHY WOULD THEY LOP ...