Dinar Observer Daily

Tman23 – Dinar Guru   their coffers were low and now running dry…by law operating on a past budget since their parliament can’t seem to get a quorum and function…so now paychecks will be rationed or simply cut off…they are in dire straights…they have nowhere to turn to borrow…Wells have dried up…Pun intended…  so in past they complained about the costs of printing new money…so either they got it printed and ready and if they don’t…rut roe…but I believe they have plans to release before June…second semester of financial year they can change…But never in the middle or middle of a quarter… if anyone recalls when Shabibi was talking first of the year they always put the delay date to June.

Dinar Investor – Jeff  …something significant has happened on the CBI website…what does it mean to ‘delete the zeros‘? …it does not mean removing or withdrawing from circulation.  It’s referring to deleting the zeros in the exchange rate.  .00084 is the value of the US dollar against the dinar…if we took the zeros off the exchange rate it would become .84 …overall I call this a rate change process and it’s taking roughly 5 weeks.  Why would it take so long?  This was a multi-step process…[CBI website: General Price Index of ISX] Iraq Stock Exchange…transitioned from millions to billions…this new change structure was posted as of 4-13 of 2020…based on the math the dinar is currently about 80 cents range…General index means it gauges a change in purchase power against the value of whatever currency it’s reference…

Pimpy – Dinar Guru  In June the IMF, The World Bank, The United Nations and America are going to be meeting with the government and hopefully this new government of Iraq.  The reason why to me this is interesting, these are all the key players, the big dogs, that need to decide on whether or not to remove the currency restriction that’s on Iraq.  Will they find that this government is stable?  Will they feel confident in it?  Will they remove the sanctions/restrictions on their currency and allow it to go ahead and be recognized internationally again? …We need that to happen.  I’m hoping it does because it’s gonna bring a ton of speculator out of the woodwork to come and invest into this currency knowing that there is a ton of possible development in Iraq.   So let’s hope when they are recognized internationally that we see them immediately on the Forex trading at the rate we want to see them trading at…

Tman23 – Dinar Guru   we all agree it is just pure speculation. And no banking institution will ever give a sign that there will be an increase in value, which is common sense to why that is the standard…optimistic that a change is coming only because of current world economic conditions…my hesitation had always been the 3 zeros on the physical currency itself…and this statement from a CBI meeting in Dubai…2 years ago…the new currency must come first as a prelude to the lifting of the 3 zeroes from the currency …that statement is embedded in my head.  THE NEW CURRENCY MUST COME FIRST AS A PRELUDE TO LIFTING THE 3 ZEROS FROM THE CURRENCY…so certainly sounds like new currency first and then not accounting the 3 zeros at time of exchange…why my thought had always been…exchange period for a short timeframe with 3 zero notes…and those holding for bigger gains on a float…good luck…of course just my opinion as another scenario.

Delta – Dinar Guru   Article:  “News about the final agreement on the cabin of the government of Mustafa Al-Kadhimi 22 ministries  (Candidates for ministries between politicians and independents).” It’s now decided, and the vote will be next Tuesday.

Tman23 – Dinar Guru   [What is the import of such a new currency for dinarians? In your opinion.]  No importance to dinar investors unless it turns to be a redenomination.  But the release certainly would require a rate different than 0.00086.

Pimpy – Dinar Guru   Everyone is presenting the names of the candidates they want to be part of Al-Kazimi’s…they’re establishing this ministry and getting him voted in as quickly as possible…this has not been voted on yet.  It will be voted on I believe next Tuesday…So far so good.  Usually by now we’ve seen all kinds of articles where people were threatening to block the ministry and block the P.M.  We’re not seeing that right now.  I think parliament is smart enough to realize that ‘hey we actually don’t want to lose our power.  We need to find some type of compromise.’  We’ll keep an eye on what’s on…we’ll see if it actually makes it …We will find out next week for sure.  Or where they [parliament] get dissolved…

Dinar Investor – Jeff    Article:  “An Iraqi consultant returns the high price of the dollar to two workers and sets the date for its stability“. Quote:  “The process of increasing the foreign exchange rate of the Iraqi dinar always occurs during official holidays.”  The corona virus quarantine period IS A HOLIDAY!  When is Iraq’s stock exchange going back online?  Right now it’s set to restore as of April 26th…

Pimpy – Dinar Guru …I don’t know what the hell is going on with the auctions…it’s the same as it’s been.  It hasn’t changed so of course there’s no cash going on but there was a currency auction in regards to digital I just thought this part was interesting, “The results of the foreign currency sales window for Tuesday, 3/24/2020 with covers the period from 4/4/2020 to 4/16/2020” not sure what’s going on there but we shall soon see…weird…

Mountain Goat – Dinar Guru  Article quote:  “…one of the main factors for facing the challenges in the budget 2020 IS FILLING A PORTION OF THE FISCAL DEFICIT DIRECTED AT BORROWING FROM THE CENTRAL BANK RESERVES, but borrowing can only be made in the presence of a fully-fledged government…”   so, the conclusion is they can not use the CBI reserves unless there is a full government in place. So the pressure is on to conclude this government shortly.

Dinar Investor – Jeff    Trump has this timed perfectly so Iraq quarantine period ends, they change the rate... And by the time the U.S. quarantine period ends the change has already occurred and a few people may have gotten a chance to get to the bank.  Some can’t because some states have tighter restrictions on the banks.  Where I’m at our banks are open…The ISX is going to come back online as of Sunday the 26th…

Dinar Investor – Jeff  …I firmly believe the rate has changed but privately only on the accounting books.  Right now it’s not public.  It’s not even public in country.  I don’t believe in a separate rate where it can go in country first and then out of country at a later date.  I don’t believe in that logic or theory...IMO once it changes it can only change one place, one time and then they’re international…

Francis Albert – Dinar Guru   Russia, Saudi Arabia, Mexico with U.S. help reach “Historic” deal to cut about 10 Million Barrels per day. So, if higher prices play into our investment, then IMO, oil prices will rise at the opening bell tomorrow.

Dinar Investor – Jeff   We’re gonna see how long they keep extending this date out {quarantine date in Iraq}.  We’re gonna follow the ISX.  We’re gonna see how long they keep that shut down.  We’re gonna follow the currency auctions to make sure they don’t have more currency auctions.  If they they don’t have any more currency auctions and the ISX stays closing…IMO throughout this week you will not see any more currency auctions…we won’t see any more until they publicly bring us the rate change.  That will confirm everything I’ve shared…they have already changed the rate but they have to hide it from you until they see the coronavirus numbers coming down to a low enough level to where it’s safe for you and I to go into the banks and actually physically work with the bankers so they’re not put at any kind of risk…

Dinar Investor – Jeff  …I am not expecting anything this weekend…my next personal timer frame is next weekend...as long as they don’t have any currency auctions, as long as the ISX stays closed…Why haven’t we see it yet?  This is very simple.  It’s the coronavirus…they do not want us in the middle of the virus when it’s hitting really high highs.  They don’t want us storming into the banks…that puts the bankers at tremendous risk…IMO those are the reasons why they are simply not allowing the rate to be publicly changed now… [Post 2 of 2]

Dinar Investor – Jeff   I don’t believe the rate will change as of this weekend…Iraq is the only country in the world to have shut down their stock exchange.  That’s huge…IMO the rate did change…but it’s only changed on the accounting books.  It’s not in the public realm.  That is why Iraq had to shut down all their markets and also why they had to sneak in the last two currency auctions…they had to close out all the old accounting books for the fiscal year of 2019 before the rate could change.  IMO the rate did change privately on the back-end over the weekend of 3-21 and 3-22… [Post 1 of 2]

MilitiaMan – Dinar Guru    Article quote:  “…customs duties were zeroed, and the facilities granted by the Central Bank of Iraq related to the strengthening of balances…”   On Thursday they “ZEROED THE CUSTOMS DUTIES”. So customs now being ELECTRONIC and having Zeroed them out, would that not suggest they are ushering in the new dinar, as once they’ve  zeroed out the old, they electronically can, will or have had calibrated the electronic system for the new changes necessary for to bring in the new dinar? It sure looks like it…

Nathan – Dinar Guru  …I’m more than confident whatever this thing is.  Whether it’s the GCR.  Whether it’s an RV or RI or whether it’s a closed shop event reserved for the financial elites…top 25 banks and certain central banks in the world. I’m still very much confident it will be finished by the end of May.  In a sense that whatever this thing is some of it if not all of it will be public.  That may take the form of people walking into their local Wells Fargo branch and converting their IQD or even their Vietnamese dong I don’t know.  I don’t claim to know…I take real world data points from people I work with, people I transact with and I take this and it’s so compartmentalized and some of the people who are literally at the coalface of this thing do not have a holistic overview of what’s going on.  They’ve been given a directive do this.  You do that and why are we doing this?  That’s none of your business. As you Americans like to say, ‘a need to know basis.’  It really is that compartmentalized…

Pimpy – Dinar Guru  …whatever it is  [RV, RI, float etc] it’s obviously getting ready to happen here real soon.  It just seems that way…there’s something happening with the IQD…there’s a play on it.  There’s a lot of activity involved in this.  We don’t know what it is.  We’ll see over time where this goes and where this lands..

Nathan – Dinar Guru  …whatever this thing is I’m not saying it’s an RV.  I’m not saying this is an RI.  Whatever the play is on the IQD, and there is a play,  there’s no disputing that…by certain institutions.  But to be fair there has been for about 3 years now.  There’s been certain institutions positioning themselves in the IQD.  Sizable positions.  “Would you say there’s a lot more activity in 2019 that you ever seen before?”  The IQD activity revved up this year, beginning of this year at an institutional level, significantly above the institutional level that I was engaged with on my IQD transactions. 

Adam Montana – Dinar Guru   Article:  “After being assigned to form a government, Al-Kazemi makes three pledges to the people”   Quote:  “…As Kazmi, pledged that the work His government is to “solve crises and push the economy forward.”  Let’s go, al-Kazemi!  I was eyeing the appointment of Zarfi a little suspiciously…it didn’t seem like a permanent thing.  Maybe this is a shell game situation… keep an eye on the ball, which shell is it under? Mahdi here, wait, Zarfi here, no wait! Kazemi KAZAMMI KABLAMMIE!!

Nathan – Dinar Guru  …I spoke to a very very senior central banker and I asked him….look what’s this going on with the IQD?   I said I’ve run the numbers I can’t see how any of this stacks up but there’s obviously something going on.  He said something to me that I found eye-opening…he said in real basic terms…if certain (I’m not going to name names) but he said if certain institution get together – Do essentially a ‘frame agreement’ and they say the IQD is worth ‘this’ and they all agree then he said ‘Nathan, the IQD is worth that‘…

Pimpy – Dinar Guru  …our boy Zafari has stepped aside to let Al-Kazemi take the charge on the PM…I have to believe Zafari only gave up the opportunity to be PM to this guy Kazemi only because they happen to be on the same page…there is a lot of support for this guy.  Let’s hope that this guy is legitimate and he’s there for the purposes of the Iraqi people…

Dinar Investor – Jeff  …Iraq held two currency auctions this week… And they backdated them by three weeks…to Wednesday 3-18 and Thursday 3-19.  Why did they have those two currency auctions? …They pulled a fast one right under everyone and no one caught it.  The reason why they only had 2 currency auctions IMO…What they did right before you was closed out their year-end fiscal year for the year of 2019.  By them getting the books closed out it allows them to change the rate this weekend…

BGG – “As far as Exchange protocols have always been to have a DeLarue machine verify each currency. I assume it would still be a sanitary way to do it with minimal contact“]   …None of this is accurate. The De La Rue machine is not an automated authentication protocol. Anyone saying it is – or speaking as an “authority” on the subject is making it up as they go. It is a high end counter and “screening device” – IT DOES NOT AUTHENTICATE ANYTHING. I have spoken to the engineers who designed it (in London) on a number of occasions. This was their description directly to me. Had it been the device everyone is claiming – I would have bought (or leased) one. It is not.

Nathan – Guest Guru   Question:  “When you made the comment the RV is not going to happen overnight can you clarify what do you mean?”  I don’t know what’s gonna happen.  I don’t even know if this thing constitutes an RV.  All I know is that certain institutions see significant value up and above the current rate of the IQD published rate.  They have paid a significant premium for IQD…    [Post 2 of 2]

Nathan – Guest Guru   I don’t claim to have all the answers and I’ve been involved in this thing for a number of years so I know for a fact hence why I now hold IQD.  I know there’s a play for the IQD and there has been for a number of years because I’ve been in very very large IQD transactions between some very prominent international firms…every time I consummated a transaction when I did “ask” the lead…I was given ‘we can’t discuss that right now.’   [Post 1 of 2]

Dinar Investor – Jeff   Iraq as of this week has had two more currency auctions.  They had a very specific goal and tasks they needed to accomplish that only needed and required Iraq to have and hold two more currency auctions.  Iraq has now accomplished that goal.  They had no intentions of resuming them.  They had a very specific end goal that only needed two more currency auctions.  That tells you everything you need to know about the rate change…

Kaperoni – Dinar Guru   The IMF recommends that the CBI start.. “creating the conditions which would make possible a move to a more flexible exchange rate policy” (float).  This would prepare them for a more “predictable and gradual appreciation of the nominal exchange rate.”  We already know the plan is to float dinar based on the IMF statement above (gradual appreciation).

Nathan – Guest Guru  …I actually do know people in the CBI…I went to school in the Middle East…a number of my school friends are now in prominent positions in Iraq and two of which are quite high up in the CBI…the auctions started a couple days ago…the purpose of the auctions is to supply US dollars into the Iraqi economy…the majority of the dollars provided to the CBI are in digital format because the CBI receives its dollars from oil sales…I’ve been to the CBI auctions.  Very rarely does the CBI actually supply the physical USD currency for the auctions…the CBI auction’s main priority has been to distribute the digital US dollars into the Iraqi economy…I would expect the actual cash physical currency…auction within the next few days/couple of weeks…I don’t know that for sure.  It’s an educated guess…