Minyanville.com – 21 hours ago
Managers position for US dollar strength despite Bernanke wobble – Investment Week
Managers position for US dollar strength despite Bernanke wobble – Investment Week
7-15-13 Tlar: Referencige the scientific study to delete the zeros. The only study that was done on this subject was done in 2008 to my knowledge.
In that study it explored the subject thoroughly with the goal of trying to find out at what rate the CBI could support the currency and what’s its value should be.
The conclusions were that the rate should be $1.13 and that the CBI should defend that rate for two years before allowing the rate to float. In other words a controlled value much like we see today.
This lady is on the finance committee and is therefore most likely to be “:in the know” after having just sat with Turki. This sentence I’ve copied below, is very telling to me.
It indicates that to me Turki, is meeting with individual members of both the finance and the economic committees, selling the “scientific study” that was done in 2008 under Shabibi’s watch.
“Najib said that “previous administrative body of the Central Bank presented a study on the preparation of the project to delete zeros,” .
The rate today may be different than the rate suggest in 2008. Since 2008 a lot more currency had hit the streets even though we know they have been buying and retiring as much as possible through the auctions.
Also the reserves and the new monies coming to the reserves (80 billion + 82 billion + 3 billion) are significantly higher than they were in 2008. I think based on the slip up from the finance guy in his interview while talking about the 2014 budget and the parts that go into making it up, tells us more about the new rate than the 2008 study.
He slipped up and told us that each dollar will equal 1.16 dinars which is 86 cents. That is exactly what we would expect if they drop the leading zeros of the exchange rate. .00086 to .86.
I think Turki is using the study as a proof source when selling the deletion of the zeros, but he most likely updates the rate to conform to the conditions today.
Today is a great day for many reasons. In Germany now we are in those hot, humid dog-days of summer. They always remind me of hiking, picnicing and swimming with my parents while growing up in this such beautiful Alpine mountain land.
Just wanted to quickly clarify that some users have since requested information from me on different topics related to the revaluation. I can only give you what I know and I am not a guru. Sometimes I do get a bit frustrated and I can feel your frustration too. I am not insensitive.
When I relay what I know to your questions yet the same requests keeps being asked over and over again. I do not mean to be upset but I can not allow this investment to suck the life out of me since it already takes very much time from my day and family life. Okay- I hope everyone understands?
I believe we are in the week for this great blessing. I can only say this of course from what I am now hearing from recent events relayed to me from my contacts.
Can it change? Yes it can but I don’t know why they would delay this any longer. The pressure is so great right now.
Read More Link on Right
So having said this- Iraq finally has all the SMART cards loaded, tested (as needed) and are ready for the final activation rollout of all cards. Can’t activate them in mass until they have an international currency.
Also if you remember I mentioned in my last posts that parliament, the economic ministry and the finance ministry were upset as to why no real substantial change in the currency value has yet happened, yet they have been out of chapter 7 for weeks.
I was told this was just a lot of finger pointing since someone or some entity had to take blame for the delay. I was told not to pay much attention to all those articles related to the project to delete or remove the zeros since the projects were well underway.
The problems come when politicians are expecting results since the citizens are still protesting and could result still in civil war if not careful. Its not over till its over. This RV now is totally in the hands of Iraq. So what is holding it up?
As you will see below there are a few small, but significant items to conclude. We don’t know what we don’t know until it surfaces. I am only thankful for my contacts and how they try to relay what they know. Sometimes they are ahead of the curve.
Remember they are still protesting until all of Erbil is officially announced and implemented. I am told in parliament today they are going to vote on a package of laws today Tuesday. This is an unpresidented and unusual way of doing business in the parliament. Why?
Part of their demands is also to have their currency back to a real value. So in response to all this pressure Maliki was asked, as their prime minister, to come to parliament recently and inform everyone on the status of the “project to remove the zeros” and to bring the currency international.
The citizens also wanted to know why the activation of the cards has been delayed since they were told months ago cards would be activated by July 1, 2013.
Maliki made such a speech over the weekend. In the speech he basically tried to quiet the waters, sort of speaking, and to justify the delays and inform parliament members of the progress that is ongoing. He did not given any firm dates on when the currency would go internatonal but said it is real soon.
I know many heard June 15th was said to be the date but this was, once again, a misinterpretation of what was actually happening. I have seen this misinformation all too often in this investment since we all want it so bad and relate everything and anything to the RV happening tomorrow.
Remember no one is going to openly announce a date or time for this currency to go live (except maybe these intel gurus). If you can remember just this little bit of a rule you can see misinformation when you hear it.
As we may know on June 28th (a day after the official chapter 7 announcement and finalization) Iraq announced they were upgrading to the OMX trading technology platform and continuing a partnership with NASDAQ, This was a clear indication to us as investors, regulators and other exchanges that Iraq will continue to become a financial center for more regional and global businesses.
So in his speech he did mention that the Iraq stock exchange would be conducting a preliminary testing with NASDAQ on July 15th in preparation for full implementation of international trading. This made total sense to me since they needed time to get the technology such as the software and hardware in place prior to the test.
It seemed to take a couple weeks from June 28th to July14th and now they were ready for the tests. On June 14th these tests were conducted. For me this is like WOW news. Could we get any more of a sign this is about to happen to go live?
A little history – Once they are trading internationally this currency and stock index is going to take off like a bullet. In less than a decade, traded shares in ISX increased almost 10-fold, to more than 1.2 billion traded shares expected in 2013, while market capitalization increased more than seven times over the same period to over $12,170 billion USD in the first six months of 2013 alone.
I am still hearing we can expect an initial rate of over $6.00. I know I have been saying for a long time that it would come out at just over a dollar initially and then 3-5 later come out with the full RV. I do believe this part has been accomplished in country only at a rate of $3.44, but it was not yet rolled out to everyone.
I openly admit I was wrong in the initial rate. This entire process is so dynamic and these constant delays change the situation. Kind of like a football game. You can have the best of plays practiced over and over again as your plan but must be flexible as the game goes on.
So now we wait again as the process continues and goes beyond the expected 3-5 days for RV, however not really since you must consider the technical delays in the activation of the cards that is the real delay in the overall process. This part of the process is now done as Maliki announced over the weekend in his speech.
So our window is now this week as the start date for our 3-5 day countdown till RV. If you beleive in this process and do the math our possible day of RV is Wed thru Fri of this week is a very high possibility.
Peace and Luv to all you dinarians!
* Parliamentary committee demands CBI to preserve IQD price…
*Project to delete the zeros disabled political will!!
** The future…
Parliamentary calls to speed up the “reset” currency specialist believes that the current time is not suitable
07/16/2013 (00:01 pm) -…
– July 16, 2013
BAGHDAD – Eastern
Head of the Iraqi National Congress Ahmed Chalabi, limited edition of the program that the parliamentary commission of inquiry in the case of the Iraqi Central Bank was formed in contravention of the rules of procedure of Parliament
and one of its members was not deputies either the judiciary The decisions were taken contrary to Article 23 of the law that sets the legal immunity of the Governor of the Bank but was to isolate the former governor Sinan al-Shabibi in contravention of this article and is also inconsistent with the Central Bank Law No. 14