Dinar Observer Daily

Mountain Goat – Dinar Guru   …There is still very strong talk (outside of the mainstream news media) that Allawi may still fill the prime minister position as he is the best candidate and fully supported by Mutada Al-Sadr. Remember Sadr won the 2018 election and it’s the reform party that gets to pick the new prime minister not the Iraqi Shiite political blocs. We will see what happens in the last days of Al-Kazemi 30 days period. Yes, this will go down to the wire again and not be decided prior to the final days…

Dinar Update  The CBI made the first market rate update since March 17th Yesterday.  They updated three days in April…the 21st, 22nd, 23rd.  All three rate appear to be out of compliance with the IMF 2% rule.  April 23rd market rate is 1225.  Also, they changed the format of the numbers reported by dropping the three numbers to the right of the decimal point.  This is not the first time the dinar has been out of compliance over the last couple year.  In the past it’s been out for a couple day and then returned to be well withing compliance for the monthly average.  Will the CBI be able to do the same thing this time?  Stay tuned…

Adam Montana – Dinar Guru  [Question:  If it was to RV at .10 – 1.13 and we wait to cash in, until it goes up more, would we be able to keep it that long, and cash in at a higher rate? Or are we going to have a time limit to cash in?]  That’s a great question, and one nobody will be able to answer. It will depend entirely on what the CBI dictates, and they can do anything they want.

Pimpy – Dinar Guru  …we know the UN, the IMF and the State Department, Mike Pompeo, anyways are going to be meeting in Iraq in June.  We know this is gonna happen.  I know you guys are hoping just like I do that they go ahead and remove the restriction off the currency and allow them to trade on the Forex. Let’s cross our fingers and hope that happens.  If they do then…look forward to a lot of speculators to jump all over that currency.  There are people who want to invest in a currency but are concerned because the currency is not recognized internationally.  So you can only imagine what that’s gonna do to the currency once it is floating and you can invest in it.  It’s gonna drive that sucker up.  That just my opinion…

Delta – Dinar Guru   …A question was asked to the head of ISX why they did not go international.  He said because of the currency issue…BOOM.

Pimpy – Dinar Guru  …the stock market is officially open… don’t put all your eggs in one basket.  Just because one person says this is the date…it would have been nice.  I was kind of hoping for it…but I still absolutely positively feel 100% that this is gonna happen and it’s gonna happen soon…So yeah the stock market has been open.  We also know in addition to that the auctions are still happening…I know it’s gonna happen soon.  It’s gonna happen this year I really believe that.  There’s no reason for it not to.

Adam Montana – Dinar Guru   [Question:  …it would seem that Iraq is between a rock and a hard place. Oil down and Iraq once again has it hand out to the IMF and WB. This time the IMF and WB are pushing back…]   YES!  And they were told they would get no more than 2 billion dollars… that is nothing.  We aren’t the only ones who know that Iraq has the potential to solve their own problems.  Time to GET IT DONE!

Adam Montana – Dinar Guru  [Question:  …Couldn’t Iraq increase the currency/value as a nation by completing an RV despite the plummeting oil prices which accounts for most of the value?…]  In a word: YES.  The price per barrel of oil is a temporary situation.   Iraq holding one of the largest physical stores of oil is not temporary.  They are already talking about setting their budget on an amount much higher than current market.  This situation with the price of oil will be remembered, but it will not last.

Adam Montana – Dinar Guru   [Question:  In the past you have been pretty certain there would be no RV during Ramadan.  Still feel that way?]  I’m inclined to break tradition here. This Ramadan is different, and I’m leaving the door wide open…THIS IS A CRAZY TIME!  In years past, I’ve always said “no” to that idea.   I am NOT saying “no” this time!

Delta – Dinar Guru   …it’s not a holiday.  Just to clear this up...Ramadan…it’s not a holiday, it’s business as usual.  Yes the Central bank they can do a lot of things during Ramadan…They may reduce hours because it’s hot and they have to fast etc. but it’s not a holiday.  It’s business as usual…

Kaperoni – Dinar Guru   As predicted, no change in the dinar. 

MilitiaMan – Dinar Guru   […it appears the ISX opened at 442 and closed at  430.47 at a loss of 3.24%…No change in Index…]   Though, the CBI still shows this and the ISX doesn’t trade nor trump the CBI… So it is not behind us just yet..In fact, there is more support that the CBI is following through with their process irregard to the ISX trading today as normal.  The CBI will neeed to change the rate to the IQD first. imo.

Kaperoni – Dinar Guru  Iraq minted coins way back in 2004 in fact a few of them were released and ended up being play toys because of their lack of value. If and when the dinar ever gets to a value that is more appropriate they will release coins and lower denominations.

Breitling – Dinar Guru  …the IMF is rejecting requests for loans from Iraq because the IMF is sitting there looking at Iraq’s value in their currency and they’re telling them you need to add value to your currency…a lot of people are saying the IMF is rejecting proposals/loans to Iraq because of the corrupt government.  No, it’s not.  It has to do with the oil prices going down.  The IMF is going how are you gonna pay this back?  They need to add value to their currency.  Very very good news for us…

MilitiaMan – Dinar Guru  The ISX site is down and my understanding it has been down for a significant amount of time today on and off and even before they started/if they started trading...

Breitling – Dinar Guru  …they’re not in the position where they’re doomed or anything like that.  If they do this correctly – add value to their currency, get in the markets and then float the value of their currency based on market needs from a global perspective.  That’s exactly the conversation they’re having – The Ministry of Finance, The Ministry of Planning and the CBI.  That’s very very good news for us.  But the question is, ‘Is this a one shot opportunity?’  No, it’s not a one shot opportunity.    There are a couple moves they can make.  Are they desperate and need to add value now?  Absolutely.  But let’s say they don’t…It’s so undervalued there are a couple things they can do.  What I mean by a couple things they can do is –  what rate they come out at and what time frame they can get to $1.17…

MilitiaMan – Dinar Guru   [It will be interesting to see when/if they open Sunday if the comma was to be a comma or a period...]  …Personally, I don’t think it was a mistake. I think they were ready to RI, but, then realized they were not ready just yet, hence the adjustment back to normal…

Breitling – Dinar Guru   …the CBI has one goal and one goal only – that’s to manage the currency…they fully confirmed they want to get it [the dinar] to a buck-17 ($1.17)…I got nothing but great news.  These guys are still talking about it more than ever.  They need to get the dinar up to about $1.17.  Don’t know what the entry level is. They actually want to add value to it and then float it up.  Whatever value they start at – 20 cents, 30 cents 40 cents doesn’t matter.  Then they’ll float it up…

Chattels – Dinar Guru   Article quote:  “…Iraqi Shiite political blocs have rejected all the names on Iraqi Prime Minister designate Mustafa al-Kadhimi’s proposed cabinet list, according to a senior member of al-Hikma Shiite political coalition.”  Mustafa al-Kadhimi’s proposed cabinet list has been rejected…

Pimpy – Dinar Guru  …if the rate change happened in February and we’re now at the end of April don’t you think we’d heard about it?  And if this [Iraq Stock Exchange Index reporting 1000% Increase] is some kind of sign of a rate change, dude, don’t you think people around the world would be buying every dinar on the market?  Because this would be telling them ahead of time.  Somebody’s head would roll.  People would be going to jail.  This kind of boo-boo would not be made.  The number is consistent with these other numbers [484.79] except for it by accident somebody put a comma [462,830] here instead of a period.  That’s all that is…

Adam Montana – Dinar Guru   Article:  “The Iraqi Stock Exchange announces the resumption of trading next Sunday   22nd April, 2020”   … the Iraqi Stock Exchange had a short pause, but they are obviously back at it. Neither Ramadan nor ‘Rona is stopping this train!  …This is nothing short of incredible, that the price of OIL can drop to negative and the world basically shuts down, yet the IQD Train keeps on chugging...

Mountain Goat – Dinar Guru  …The lull in the demonstrations over the COVID 19 virus is about to end and they know it. Now it the time to get the matters of forming the new government settled and moving ahead. The price of oil surely does not do any good in this process and only adds to the crisis. …So, now I want to add that all is not lost for us investors in the Iraqi dinar. Things may look very gloomy and certainly they are… But we know from the past too that if certain elements (namely oil revenues, economic independence and political stability) can be achieved this country can very quickly rebound and in a matter of short time turn all this around…

Kaperoni – Dinar Guru  The last two days has been interesting since members of the Parliamentary Finance Committee have come out and stressed the need to diversify the economy as a result of low oil prices. Maybe this is the kick in the butt they need.

Dinar Investor – Jeff  …the pricing index shows it’s one-to-one right now on the background yet we haven’t seen a rate change occur while it’s at one-to-one.  So the value is most likely going to be where Kuwait is at the second step.  Probably greater than Kuwait.

Adam Montana – Dinar Guru   Article:   “A source for «Economy News»: Iraq adopts the price of $30 a barrel of oil in the budget for the year 2020”   To me, that actually seems realistic.  Achievable.  And it’s a number they can work with!  An interesting point regarding the oil and the value of IQD is this: the price per barrel is not nearly as important, for the value of their currency, as the amount they have in the ground. Also, it’s not just “oil” that counts here – natural gas is important as well.  Iraq has plenty, and until the world stops using OIL, Iraq will have a rightful place at the table.

Adam Montana – Dinar Guru    OIL rocked our world over the last 7 days…there was an unprecedented…situation where WTI (OIL) went to $0, then negative. This has NEVER HAPPENED BEFORE. EVER.  I even posted in a recent update that “oil will never be free”, and the markets proved me wrong…because for a short window, negative prices means OIL was even better than free! 😆 Not that we could ever get paid to fill up our tanks, but I can admit when I am wrong. …Today is the general start of Ramadan. In years past, I have always maintained the opinion that “nothing happens during Ramadan”.  I also stated that “oil will never be free”, and I was wrong about that! I’m not going to say “two wrongs make a right”, but this is a unique situation. The most unique, ever, in the history of the world, in fact.  We are witnessing a financial shakeup never before seen, and barely even imagined. What is happening right now is so off-the-charts unexpected that I’m going to retract my former opinion…maybe something will get done during Ramadan!

Dinar Investor – Jeff    Adnan Al-Zurfi just Tweeted on April 21st “The country is no longer stolen, they formed the government and comforted the people.”  …99% of the media is all frickin lies.  You want proof?  Here you go.  This guy was the former Prime Minister designate before the current one and he’s telling you it’s done and complete.

Dinar Investor – Jeff  ...IMO because Iraq started the rate change process on March 17th that means they cannot turn the ISX back on until the rate change process has completed...and then about a week and a half ago I told you my opinion that they would resume the ISX and turn it on around Sunday April 26th.  We got that confirmed…in the news just a few days later.  They told us factually that yes they’re going to reinstate the ISX on Sunday the 26th.  They’re basically telling us that because they shut the ISX down due to an impending rate change they kind of confirmed that they cannot reinstate the ISX until the rate has changed.

Kaperoni – Dinar Guru   …there are no exchange centers, 800#s or cash in places…If and when the dinar ever begins to rise in value, IMO you will have to create a bank account with a currency broker (market maker) or some ECN (An ECN broker is a Forex financial expert who uses such a network to provide its clients direct access to other participants in the market) and manage it like any other foreign currency…

The story of the Iraqi currency – قصَّة العُمْلة العراقيَّة