Popular Post Phoenix Posted October 3, 2010 Popular Post Report Share Posted October 3, 2010 (edited) Phoenix Update: October 3rd 2010 Well here were are....finally after months of waiting we get a solid announcement on the formation of the next Iraqi Government. As per my last update I have suspected that the delays we have seen for the last 5 months were actually engineered to intentionally push back the announcement of the formation of the Government of Iraq by unseen forces working on the behalf of the United States government in conjunction with the IMF and World Bank. Now this is only my personal speculation but this speculation is based upon close observation of the on going situation within Iraq and within the legislative process here in the US and the rest of the world. I will add that during this time of seemingly endless delay in Iraq that became almost comical (some would say painful) to watch there were major changes within the banking sector as far as regulations and reporting and those changes and updates were made not only here in the United States but also in the EU and the Arab world. It is worthy to note that some of these major changes came as late as last week. I had mentioned in my last update that my speculation on the delay within the Iraqi political process would see its end on the 1st of October which as I had pointed out was the first day of the new fiscal year 2011. (The United States fiscal year) Ok...so the question many ask is....Why? What would be the reason for this delay? Well we have seen from direct statements in the news that 2 major events are to occur as soon as the Government of Iraq is seated. 1. We have seen direct statements from the Central Bank of Iraq that the plan to remove the higher denominations and the issue of the lower denominations will happen as soon as the new government of Iraq is seated. and.... 2. We have seen the direct statements in the news from the nation of Kuwait that all issues between Kuwait and Iraq are resolved and will be finalized as soon as the new government of Iraq is seated and therefore fulfilling the last major issue for Iraq in regard to United Nations Chapter 7 Sanctions. So it would appear that the seating of the next Government of Iraq will be the trigger to the launch of events that bring to conclusion the revaluation of the Iraqi Dinar and therefore the apparent manipulation used over the past 5 months to delay this major economic event was done in order to finalize important banking and tax regulations here in the United States and the rest of the world. And now...all preparation and changes are done and we are now in the 1st quarter of fiscal year 2011 (US) Ok...so where are we right now and what's next? We should see within this coming week a call to convene Parliament to get things rolling and to seat the government of Iraq. We may even see it happen this very week...maybe. Now Maliki has stated that well within the 30 days they will be finished filling all seats and from what I have read it will be much quicker...because over the last 5 months much work was done on the decisions on who would fill what seats has been made and they are ready to fill most positions very quickly and there is a very good chance we will see the formations happen within days and not weeks. Also tomorrow, Monday the 4th. Iraq is to announce to the world the true extent of it's oil reserves...this is HUGE news and will lay out clearly for all the world to see the massive amount of wealth held by Iraq in it's natural reserves and will also help the world to understand the soon to happen revaluation of the Iraqi Dinar and also how this revaluation is not only possible but also how it will be supported. So when will the Iraqi Dinar be revalued? I speculate that it will happen soon after the top 3 positions are made official...those being the Speaker of Parliament, the President and the Prime Minister. After that is OFFICAL...I say from that point the game is on. Now...the next question is...so.....just what is the "game"? We have all read the articles and announcements about the removal of the zeros and the new currency and as we all know that has brought forward endless debate and stress to dinar investors world wide and the reasons for the debate are understandable when looking at other historical situations with other nations. BUT! Here is the situation...Iraq is not like any other historical model...and therefore the use of other nations currency changes are near useless when trying to project the future actions of the Central Bank of Iraq and its plans with the Iraqi Dinar. The truth is they HAVE made it clear....sort of.....but the problem is everyone attempts to find the historical comparison and in doing so WRONGLY apply those historical situations onto Iraq and the Iraqi Dinar when in fact the true situation of Iraq and the massive wealth and resources held within the nation of Iraq have no comparison anywhere in the world and in fact the nation of Iraq and the wealth thereof are nothing short of an economic anomaly and being so require a "novel solution" Therefore...as i have mentioned in the past what we are about to see in this "novel situation" is a "novel solution". This novel solution that we are about to witness is a combination of a LOP and a revaluation happening at the same time. This novel solution will be to announce the New Currency in Iraq...this New Currency will be the lower denominations. At the same time the New Currency is launched the older higher denominations will be called in and retired...this will be done with a time limit to allow people ample time to exchange the old higher denominations with the new lower denominations. How long will the Central Bank of Iraq set for this? Answer: The Central Bank of Iraq has stated that the plan to remove the zeros (larger denominations) will be completed before the end of the year (2010) Now....here is the "novel" part of the solution...at the same time the New Currency is announced and released the value of the Iraqi Dinar will be raised (revaluation). So that is the "novel solution" to the "novel situation". Now everyone may now better understand why everyone has been so confused on what is about to happen...the reason for the confusion has been the lack of historical precedent available to accurately plot the outcome. I would like to add that this confusion was also by design and has been allowed to help stem speculation and as we can all see by the relative low numbers of IQD investors in this nation and the outright diversion many have to the subject of investment in the Iraqi Dinar this attempt has been for the most part very successful. So...here we are....on the threshold of this "novel event". Watch the news for official seating of the government of Iraq for that I feel....will be the trigger. So that's I all have to say about that.... Support your local bank and the United States banking system. Pay all due taxes as and when advised by the tax advisor of your choice. Best of luck to all. Phoenix Edited October 3, 2010 by Phoenix 47 1 Link to comment Share on other sites More sharing options...
cdr Posted October 3, 2010 Report Share Posted October 3, 2010 hope its soon Link to comment Share on other sites More sharing options...
MrRich Posted October 3, 2010 Report Share Posted October 3, 2010 (edited) Thanks for the post Phoenix. Now I would like to ask, your target rate of $2.20 ... is it still valid? And how does this lop/RV affect that rate if at all? Edited October 3, 2010 by MrRich 1 Link to comment Share on other sites More sharing options...
Brandon2230 Posted October 3, 2010 Report Share Posted October 3, 2010 Nice post! Thanks Link to comment Share on other sites More sharing options...
Unitedrich Posted October 3, 2010 Report Share Posted October 3, 2010 Phoenix, I wonder if you could clarify your opinion in this statement: At the same time the New Currency is launched the older higher denominations will be called in and retired...this will be done with a time limit to allow people ample time to exchange the old higher denominations with the new lower denominations. You are not saying that the average dinar holder will need to cash in his 25,000 dinar note for much smaller denominations to be cashed in at a later date are you? Or are you merely saying that the $25,000 note could be electronically changed into foreign currency and still not upset the balance of those who are changing the bigger denoms into smaller ones. Could you let me and others know your opinion on this. Thanks! UR 2 1 Link to comment Share on other sites More sharing options...
toddhartle1 Posted October 3, 2010 Report Share Posted October 3, 2010 Thanks Phoenix, makes sence to me.. Link to comment Share on other sites More sharing options...
Phoenix Posted October 3, 2010 Author Report Share Posted October 3, 2010 Thanks for the post Phoenix. Now I would like to ask, your target rate of $2.20 ... is it still valid? And how does this lop/RV affect that rate if at all? As far as I know yes it is. BUT! As we all know too well...the date and rate are classified and we will know when we know but the Ministry of Planning has been writing contracts as per their own admission at a rate of 1 IQD = $1.17 with a reminder to all Iraqi government agencies that the offical rate of the Iraqi Dinar is $3.22. Not my words...not speculation but 100% factual information as per the Ministry of Planning of Iraq as posted on their website. Best of luck to all. Phoenix 3 Link to comment Share on other sites More sharing options...
russ1 Posted October 3, 2010 Report Share Posted October 3, 2010 This would be good. Thanks for the post Phoenix Link to comment Share on other sites More sharing options...
blanc Posted October 3, 2010 Report Share Posted October 3, 2010 Thanks for the post Phoenix, I posted Economical Crash this morning on why I thought it to come in at a good rate. The world needs an infusion of something to turn the tide of the inevitable. Would appreciate your take on it. THX Link to comment Share on other sites More sharing options...
Traconesu02 Posted October 3, 2010 Report Share Posted October 3, 2010 Thanks for your postings Phoenix Link to comment Share on other sites More sharing options...
kingcamera82 Posted October 3, 2010 Report Share Posted October 3, 2010 (edited) Thanks for the post Phoenix. Now I would like to ask, your target rate of $2.20 ... is it still valid? And how does this lop/RV affect that rate if at all? i was thinking the same thing rich...phoenix, how is a lop/rv good news?....i said thats what i think would happen and i got bashed for it but you are getting praised for it....wouldnt a lop not be what we wanted...sure we may double or triple or even break even but a lop/rv is not what we want. right? Edited October 3, 2010 by kingcamera82 1 Link to comment Share on other sites More sharing options...
Phoenix Posted October 3, 2010 Author Report Share Posted October 3, 2010 Phoenix, I wonder if you could clarify your opinion in this statement: At the same time the New Currency is launched the older higher denominations will be called in and retired...this will be done with a time limit to allow people ample time to exchange the old higher denominations with the new lower denominations. You are not saying that the average dinar holder will need to cash in his 25,000 dinar note for much smaller denominations to be cashed in at a later date are you? Or are you merely saying that the $25,000 note could be electronically changed into foreign currency and still not upset the balance of those who are changing the bigger denoms into smaller ones. Could you let me and others know your opinion on this. Thanks! UR No I am saying that the RV will happen at the same time the lower denominations are issued. So for us it is the revaluation....and we will head to the banks. For Iraqi's it is the revaluation AND a reissue of new currency. So this "novel event" is the revaluation. But know that after the set time to exchange the old higher denoms for new, the currency we all now hold now may be deemed worthless as of that end date......just as the old Saddam Dinars were deemed worthless after the 90 day exchange period had expired. So in effect we will have a time limit to exchange and after that time limit has expired the dinar we now hold if not exchanged / cashed in will be deemed worthless. Phoenix 9 Link to comment Share on other sites More sharing options...
Unitedrich Posted October 3, 2010 Report Share Posted October 3, 2010 That is what I hoped you would say Thanks for the prompt response Phoenix!!! Link to comment Share on other sites More sharing options...
paj1985 Posted October 3, 2010 Report Share Posted October 3, 2010 great post thank you sir Link to comment Share on other sites More sharing options...
Telabiz Posted October 3, 2010 Report Share Posted October 3, 2010 And the Phoenix continues to rise , Preciate ' ya ' . Thanks for the transfusion !!! Go Iraq , Go RVVVV Link to comment Share on other sites More sharing options...
Phoenix Posted October 3, 2010 Author Report Share Posted October 3, 2010 (edited) i was thinking the same thing rich...phoenix, how is a lop/rv good news?....i said thats what i think would happen and i got bashed for it but you are getting praised for it....wouldnt a lop not be what we wanted...sure we may double or triple or even break even but a lop/rv is not what we want. right? Here is how it works. When they do this...they revalue the Dinar at the same time as the reissue. So as an example if it they set the exchange rate of the Iraqi Dinar at 1 IQD = $1 then your 25,000 dinar notes will be worth $25,000 each at that time. So that is the revaluation. Now IF you were in Iraq you would EXCHANGE that 25,000 dinar note for the lower denominations and if you were to get a stack of 1 Dinar notes for that 25,000 dinar note each one of those 1 dinar notes would be worth $1 Phoenix Edited October 3, 2010 by Phoenix 5 Link to comment Share on other sites More sharing options...
BBALL99 Posted October 3, 2010 Report Share Posted October 3, 2010 Thanks Pheonix for a great explanation I have tried several times to explain this scenario with out much success. 1 1 Link to comment Share on other sites More sharing options...
OKLAHOMA Posted October 3, 2010 Report Share Posted October 3, 2010 Good post!! i'm trying to follow all of this. So if we have a time limit to cash in, will our US banks excepted it? what if they wont. will we be stuck with worthless dinar? or i guess would we sell back to the dinar dealers. if the banks wouldnt still except it.? sorry if i sound dumb just curious 1 2 Link to comment Share on other sites More sharing options...
kingcamera82 Posted October 3, 2010 Report Share Posted October 3, 2010 Here is how it works. When they do this...they revalue the Dinar at the same time as the reissue. So as an example if it they set the exchange rate of the Iraqi Dinar at 1 IQD = $1 then your 25,000 dinar notes will be worth $25,000 each at that time. So that is the revaluation. Now IF you were in Iraq you would EXCHANGE that 25,000 dinar note for the lower denominations and if you were to get a stack of 1 Dinar notes for that 25,000 dinar note each one of those 1 dinar notes would be worth $1 Phoenix i understand your response but as far as you saying lop in the first post it doesnt make sense...thats not how a lop (redenomination) works i thought....everyone here always knew or thought lop is very bad news. 1 1 Link to comment Share on other sites More sharing options...
gregg450 Posted October 3, 2010 Report Share Posted October 3, 2010 Thanks for the analysis. I hope it plays out like you say. It sounds logical. Link to comment Share on other sites More sharing options...
gfulcher66 Posted October 3, 2010 Report Share Posted October 3, 2010 Great info. Thanks for the post Link to comment Share on other sites More sharing options...
DaveH Posted October 3, 2010 Report Share Posted October 3, 2010 So that's I all have to say about that.... Thanks Forrest, umm I mean Phoenix I appreciate the time you take to provide us this info...Very well said...Thanks again. Dave 1 Link to comment Share on other sites More sharing options...
cgbrown Posted October 3, 2010 Report Share Posted October 3, 2010 Wow! You certainly rang the dinner bell on that one. My momma said, 'when you hear the dinner bell , it's time for the hungry folk to come to the table.". Boy, am i hungry for the Rv. Link to comment Share on other sites More sharing options...
pegsue Posted October 3, 2010 Report Share Posted October 3, 2010 Thanks Phoenix. Sounds good to me. We all needed the encouragement. Link to comment Share on other sites More sharing options...
Phoenix Posted October 3, 2010 Author Report Share Posted October 3, 2010 Good post!! i'm trying to follow all of this. So if we have a time limit to cash in, will our US banks excepted it? what if they wont. will we be stuck with worthless dinar? or i guess would we sell back to the dinar dealers. if the banks wouldnt still except it.? sorry if i sound dumb just curious Yes all major banks will accept the IQD after the revaluation. Link to comment Share on other sites More sharing options...
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