Thread: Iraq/Dinar News. 09/05 to 01/14/07

Originally Posted by laurenr

Originally Posted by Gloribee



I´m not sure whether this makes sense or not ?

I thought in Jordan the rate was $1.40 to 1 NOT $1 to 1.40

If that´s true then moving the decimal point of the IQD from 1440 to make it 1.44 would result in $1 = 1.44 iqd or in other words about $0.68 = 1 iqd

In other words the IQD would not have parity with Jordan,
in fact it would be valued at about 50% of Jordan´s currency.

Is that correct or am I getting all confused again ?

You're absolutely right. with 1,000,000 as an example:

1440 divided by 1,000,000 = $694.44

1.44 divided by 1,000,000 = $694,444.44

Yes, I tried to say the same thing a month ago when people wanted to reval from 1470 IQD / 1 USD to 1.47 USD / 1 IQD by moving the decimal, but nobody was listening...

http://www.rolclub.com/123783-post16229.html

Originally Posted by laurenr

Originally Posted by Gloribee



I´m not sure whether this makes sense or not ?

I thought in Jordan the rate was $1.40 to 1 NOT $1 to 1.40

If that´s true then moving the decimal point of the IQD from 1440 to make it 1.44 would result in $1 = 1.44 iqd or in other words about $0.68 = 1 iqd

In other words the IQD would not have parity with Jordan,
in fact it would be valued at about 50% of Jordan´s currency.

Is that correct or am I getting all confused again ?

No, you're correct.. There is once again confusion because of the simple math. It seems to happen over and over again.

YOUR math is correct laurenr. So, in using these numbers, the entire premise is not correct.

Randy

Originally Posted by Socata 850

GOOD MORNING VIETNAM !!! Whoops wrong era, guess I'm showing my age. Anyway, the total as of today for Dinars pulled out of circulation for the last twelve auctions is:::::: 1,007,744,325,000. The rate has gone down another 3 points to 1446. That is a 24 point reduction since the CBI started this aggresive campaign to reign in the Dinar and boost value within their economy. What a great time this is !!!!

If the amount actually in circulation (as distinguished from the amount
printed) at the beginning of this buy-back was 4.5 trillion dinar, as reports have indicated, then the circulation supply available has in effect been reduced by approximately 22% in just twelve auctions. At this rate they could possibly have the supply under two trillion in circulation by the end of the year.

That kind of limited and contained supply was the key to Kuwait's currency revaluation and may well wind up being the key to the Iraqi dinar's revaluation.

Reuters
Nov 21 2006 13:44

By Aseel Kami

BAGHDAD, Nov 21 (Reuters) - Iraq's inflation rate jumped last month after a big spike in energy prices, a reminder of the economic hardship facing ordinary Iraqis alongside daily bloodshed.

Consumer prices rose 7.2 percent in October after falling 12.8 percent in September, according to Iraq central bank data, and are 52.8 percent higher than a year ago.

Energy prices jumped 32 percent in the month, partly reversing an even sharper decline in September.

The numbers are not seasonally adjusted and are calculated on the basis of a relatively small national survey.

Officials blame the poor security situation for playing havoc with supplies, particularly of gasoline which is the subject of a hugely lucrative black market.

Prices gathered by Reuters reporters from around the country show big regional differences.

The cost of a unit of electricity in Baghdad, where sectarian violence has turned many neighbourhoods into no-go areas and residents buy their power from a local generator, is roughly 10,000 dinars ($6.80).

That is twice the price in the somewhat less-troubled religious city of Najaf in the Shi'ite-dominated south.

Food prices rose a more modest 1.2 percent last month. Food is the largest component of the index by far, accounting for over 60 percent compared with 2.1 percent for energy and 4.9 percent for transport and communication.

Official data was borne out by Reuters' informal survey of market prices. These show that the cost of a kilo of tomatoes, an important staple in the Iraqi diet, averaged 965 dinars in various neighbourhoods in the capital in October versus 850 dinars in August.


Keywords: ECONOMY IRAQ INFLATION

Reuters
Nov 21 2006 13:34

BAGHDAD, Nov 21 (Reuters) - Senior Iraqi officials will resume negotiations on Thursday to try to resolve a dispute over a bill intended to encourage foreign investment in the oil and gas industry, the government economy chief said on Tuesday.

"The Oil Committee is going to resume its meetings on Thursday to discuss the Oil Law," Deputy Prime Minister Barham Salih told Reuters by telephone.

"Signing contracts remains a matter of dispute," he added, saying there was still debate about whether regional governments should be able to sign contracts with foreign oil firms without the approval of the central government in Baghdad.

Oil Minister Hussain al-Shahristani has said his office must have ultimate control over Iraq's vast oil reserves and has criticised deals already signed with Norwegian and Turkish firms by the autonomous Kurdish regional government in Arbil.

Kurdish Prime Minister Nechirvan Barzani has hit back in turn, defending his constitutional rights in the sector.

Control of the world's third largest oil reserves is a key political issue dividing Iraq's three main communities, the Arab Sunni and Shi'ite Muslims and ethnic Kurds. Most of the oil lies in the mainly Shi'ite south and close to Kurdistan in the north.


Keywords: ENERGY IRAQ LAW

This morning I sent an e-mail to a Canadian Oil Company who stated that they were interested in drilling in Iraq. I posed some questions to them regarding concerns I had before I invested with them...I asked about the Hydrocarbon law, the FIL, and of course their currency being so low...Blah , blah, blah. When they respond to my e-mail I'll let you know what they said.

Originally Posted by Socata 850

GOOD MORNING VIETNAM !!! Whoops wrong era, guess I'm showing my age. Anyway, the total as of today for Dinars pulled out of circulation for the last twelve auctions is:::::: 1,007,744,325,000. The rate has gone down another 3 points to 1446. That is a 24 point reduction since the CBI started this aggresive campaign to reign in the Dinar and boost value within their economy. What a great time this is !!!!

I am new here but hope this info will be of some use to all of you.
Market Scan
Bank of America To Buy U.S. Trust
Josh Lipton, 11.20.06, 5:02 PM ET

Bank of America announced Monday will that it will buy U.S. Trust, the "wealth-management" subsidiary of Charles Schwab in all cash deal for $3.3 billion. The resulting entity will be the largest manager of private wealth (this is US real soon ) in the U.S.

Based on assets under management by private banks, Bank of America (nyse: BAC - news - people ) is currently the second largest manager of private wealth in the U.S., while U.S. Trust is the fourth. The combined entity will be first, according to Bank of America, with a total of $261 billion in assets under management.

Schwab first bought U.S. Trust for about $2.8 billion in 2000, but the purchase never worked out well for the mass discount brokerage, according to Goldman Sachs (nyse: GS - news - people ) analyst William Tanona.

“The sale of U.S. Trust will be viewed very positively by the street,” the analyst wrote in a client note. “Schwab has long struggled to turn this business around since it acquired the firm and the segment has the worst pretax margins of any of Schwab’s three business segments.”

U.S. Trust’s return on equity was paltry according to Tanona, “generating only mid to upper single digit returns.” He described the sale as “positive news.”

H- Silverling

Originally Posted by PaulieThaGreat

My guess is a few trillion down the line..... They are trying to take out foreign investors in currency if im not mistaken and weed it out so they can fix there own economy seeing how they have OIL and other strong commodities and lots of investors like other countries that can take place.... Anyone else have input on my idea?

What idea is this Paulie?

I would have thought that foreign investors would all hold on to their Dinars until the R/V
rather than give them up for peanuts like 1440.