CBI Currency Auction 12/2/2010

[Doc31]

Currency Auctions

Announcement No. (1787)

The latest daily currency auction was held in the Central Bank of Iraq on the 2-DEC-2010.

The results were as follows:

DetailsNotesNumber of banks17

Auction price selling dinar / US$1170

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

Amount sold at auction price (US$)237,690,000

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

Total offers for buying (US$)237,690,000

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

Exchange rates

Dollar's exchange rates / in Baghdad markets

Spot Oil~$87.16 up $1.08 from yesterday morning

Spot Gold $1388 off just a hair ... still running in that $5 channel for about 48 hrs

Zero Cash Days 38 Straight ... on the best volume since September 22nd

Of note the Market Price (SDR?) which is usually about 1185 (not the auction price which stands at 1170 but the mkt price) has been gradually increasing (going down in value) since November 4th. It now stands at 1195. While I realize that this is not even a full % change I believe that I will keep my eye on it as well. That tightening that everyone has been talking about ... exactly.

I looked over the news this morning and Hammer911's post jumped out at me http://dinarvets.com...-sale-of-bonds/

The CBI advisor Mohammed Salih/Saleh either got a huge promotion overnight or he is supposedly quoting the Chancellor ... you decide ... the syntax is oddly phrased. I call him the chicken little of Iraq ... the guy I believe to be the original lopster! No ... I'm not buying ... I've been writing for days that he is at best a consultant ... we don't know IF or WHEN he last consulted for them ... yet a dozen articles in the last week with his name on it ... telling us that the sky is falling and then reversing the following day with an article that is 180 degrees off from what he said previously. Do I think it curious ... no wait, suspicious ... that I've been railing against this guy for days and this article pops up? ... you be the judge. Chancellor of the Central bank ... next paragraph ... then Mohammed Salih ... is all over the internet ... today ... 1st time ... on all of the Dinar sites ... just not ever before that I can find except on other dinar sites! From advisor to chancellor ... overnight?

Sorry ... I'm just not buying ... this is the guy that Shabibi had to come out and say, "no, of course not" every time Salih would spew! Chancellor! Nah!

I could be wrong ... but like I tell my group ... what I tell you and $1.79 will get you a cup of coffee at 7-11! It's JMO!

Additionally vizioiraqi's post says that the MP's and PM are in high gear http://dinarvets.com...__gopid__288393&

I'm pretty sure that the Shabibi article "Shabibi speaks" is a rehash ... I've seen it before ... don't remember how long ago ... someone says 2005 (I wasn't here for that)

Hammer911 is a posting machine this morning. MP Hamid Buffy says that the Kurd Committee COMPLETED their work yesterday ... not ratified but it's finished

http://dinarvets.com..._0entry288364

I have something I'm working on but I'm not quite done with it so I will save it.

Peace to all

Doc31

[inheritance]

THANKS DOC! GOD BLESS!

[kjwayne]

Thanks Doc!

[Freedom Biz]

Thanks again, Doc.

[earlygaudy]

I love your posts and the no nonsense way you have of writing! I always look for you posts! Thanks for all your hard work!!!

[Stumpy]

Thanks Doc!!! GO RRRVVV!!! SOOOOOOOOOOOOOOOONN!

[rick_jb]

Thanks for the post Doc.

[kox]

You go Doc, thanks for the post

[lechesuerte]

Thanks Doc! GO RV in 2010!!!

[rwharnden]

Thanks Doc, Keep the positive flowing!!!

[Sroche22]

Thanks Doc!! Appreciate the insight!

[drox]

Hey Doc... came across this article that is old... 2006. Take a look at the bottom paragraph though. Thought it was interesting. Also, do you think the zero cash days have anything to do with the banks modified reserve requirements in Iraq?

http://www.iraqdirectory.com/DisplayNews.aspx?id=2791

The stability of the demand for dollar and the continued depreciation of the exchange rate Translated by IRAQdirectory.com - [12/20/2006]

Stability of the demand on the dollar continued for the second day in a row in the auction of the Iraqi Central Bank last Tuesday, recording 18 million and 180 thousand dollars, which is barely the size of the request of the day before, which exceeded a little less than18 million.

The demand distributed between eight million and 330 thousand dollars in cash and nine million and 850 thousand dollars in the form of remittances outside the country; the Bank has fully covered them at an exchange rate amounted to 1416 dinar, three points lower than the exchange rate last Monday, which amounted to 1419 dinar to the dollar.

None of the 11 banks participating in the auction, made any offers to sell the dollar to the Bank for the second consecutive day.

Mr. Abdul Razzaq Al-Abayachi, the economic, industrial expert and one of those dealing with the auction, said that the sale offers will be less and perhaps disappear with the decline in the rate of exchange which makes the speculators profit margin of the exchange rate difference between the commercial market and the auction, little or almost none or at a negative value with the continuing decline, which reduces the chances of selling the dollar to the Central Bank.

[Doc31]

Wow oil is up to an average $88.65 ... Dated Brent Spot $90.05

Except for a couple of hours of increase gold is still in that $5 channel

Just got in Drox ... I'll have to take a look ... although, at first blush ... I don't think so

[pleasantvalleySunday]

Thank you Doc for your consistent, no nonsense sharing of info ... and your own special way of articulating it!

Blessings,

pvS

[xxxgator]

Interesting that gold is almost to the 90 a barral today like Frank 26 is always talking about!

Thanks Doc

[kingfish]

Thanks Doc