,
DINARESGURUS.BLOGSPOT.COM_________________ _______

Wednesday, January 20, 2016

IKO WARD & MARTHA IN CHAT, 20 JAN

Western States Open Mind Network CC 1-20-16

WSOMN WING IT CALL - WING IT CALL PLAY BACK INFO

Guests include Martha and Iko Ward

641-715-3589 159453# 13#   https://fccdl.in/rs3jizcPF

ETOILE AND HIGHDOLLARFOLKS Transcribing

Gerry,here we go, recording call, welcome to wing it call. jan 20, 2016, happy bday to martha, oiltalk happy bday to you,

Blondie: LISTENED TO RAY'S CALL SOMEONE HAD QUESTION OF BANK BAIL IN
B: STOP WORRINY ABOUT THIS ISSUE NOT GOING TO BE BAIL INS

londi commending ray on his call. caller had ? about bank bail in, you put your money in a bank and then went home to worry about the bank? stop doing that, there is not going to be bail in, like fincen form and other things, stop worrying about it

ON BLONDIES LIST OF THINGS TO SHARE KUDO TO RAY DO NOT RUSH DO NOT FALL PREY GO HOME AND RELAX GET THOUGHTS TOGETHER BE GROUNDED
 
other point ray made, do not rush to fund opportunity, do not fall prey to that. relax, get your STUFF together. opps are always going to present themselves, reason if you did not make it
RAY THANK YOU FOR THAT CALL IT WAS GREAT

ANY INFORMATION FROM CALL WE ARE NOT RESPONSIBLE SEEK YOUR OWN COUNSEL -DISCLAIMER-

OPEN VIEWING IN THE ROOM GERRY HAS HIS OWN SECTION GO TO HOME PAGE LOOK FOR TOPIC CALLED HOT HOT HOT

G: ANOTHER TID BIT TO SHARE GOES HAND IN HAND WITH WHAT IKO SAYS
anther tidbit, from another site, message for Amer. People. Prepare for empty Grocery stores shelves

Go read the article, too much to type here, gist, are owners of shipping companies refusing to be paid in anything but chinese yuan

Martha, have the candles burned down to cake yet? You and Iko take it away

B: IKO AND MARTHA
 
M: GUESS THE MARKET IS GIVING US A BLOOD BATH TODAY

M: market giving us a blood bath today. down 197

 THEY ARE ALL RUNNING SCARED

GM: sounds like last of sell off to get us there

IT IS YOUR BIRTHDAY MARTHA BRING IT IN
 
m: nothing to report, camdoc did beautiful summary of dragon family, see that post
m feels that day is still young and still feels much can happen today  Link
M: ANY QUESTIONS?
 
Q & A STARTING
 
C: HAS ANY ONE FOUND OUT WHAT RAY WAS ELUDING TO ABOUT BANK INFO
FROM RAYS CALL TODAY

HE SAID HE HAD INFO THAT WAS REALLY GREAT
 
C: I BELIEVE WHAT RAY WAS BRINGING IN CONVERSATION EBAY HAS REGISTERED DEALERS SELLING UNITED STATES BILLS UNCIRCULATED
 
Banking comment is what he heard. anything to find out. Tex comment to excited, what Ray may have been brining into conversation, ebay has dealers selling 100 USD uncirculate. ? why 1 going to TRN or possibly prop up value of the dollar or 3 just to create a market for others to buy usd
 
m: 12 to 1 USD, wow

WE DO NOT KNOW IF THAT WAS WHAT HE WAS ILLUDING TO SOMETHING MORE THAN THAT I COULD BE WRONG
 
COULD IT BE IRAN WAS LOADING THEIR SWIFT CODES?

not sure if that was the real ? or could it be that banks in IRAn were loading swift codes, could it be that codes were successfully loaded and will start? but another article said that IRan banking system was not successfull and needed two weeks to complete
 
M: ON BRUCE CALL MADE AN INTERESTING COMMENT GUESSING HERE IS IT POSSIBLE THEY WENT THROUGH OUR BANKING SYSTEM AND CLEANED UP OUR CODES

M: take a stab at that ?, Bruce made comment about us bank holiday we just went thru. is it possible that they went thru banking syst and cleaned it up. M feels codes loaded in the sys over weekend.

M: IRAN ANNOUNCED AS A FOUNDING MEMBER OF THE AAIB.  FROM CALL LAST NIGHT.  floored Martha,
 
M: WE ARE STILL LOOKING TO OTHER INTERESTING CLUES
intersting drop of info. looking for other clues regarding that, possibly housekeeping done over weekend. we could be ready to do
 
Blondi" really Iran we are waiting for YOU to load the codes???? really it already is done, B does not feel we are waiting two weeks for IRan to load codes
 
C: DO YOU HAVE ANY FEELS ON THE RATE OF THE RIAL

M. IF IT HAD RI I STILL THINK IT DID I BELIEVE IT IS AT 3.22
THEY ARE NOT ACTUALLY IN THE BASKET OF CURRENCY
THEY ARE IN THE SECOND BASKET OF CURRENCY 3.22 - 3.71 JUST A GUESS
 
Martha do you have any feel for rate of Rial. She thinks that it did RI because they are paying back bills, she feels it is at 3.22, they are not in basket but will be allowed to RV upward, they are actuallly in second basket of currency, from about 3.22 to as high as 3.71
 
C: SUCKER RATE .37 CENTS
Assuming value is 3.22 and you go to bank and they say give you smaller amount .37 cents, what is range for you to sell back to UST. Martha, does not feel that will happen but also will not take it
 
C: SPOKE WITH CURRENCY DEALER SAID LOWEST HE COULD FOUND .80 TO THE DOLLAR
C: BASED ON DEALERS INFO COULD BE RV RATE 3.21
 
heard rial not worth more than .63 cents, researched proved that. Someone said he could find was .63
 
Faith: Lady talking bout Rial, have we read poppy3 update?
range of rial from .10 cents to $3.21
 
ac 310: Oh my god, feel like talking to CELEBRATIES!
C: COMPLIMENTING THIS SITE GERRY AND BLONDIE
What others to think she is crazy, ? for group, martha : are these calls continuing post rv? Gerry answer?
 
Blondi answer, NO and HELL NO
Blondi, teasing,WE HAVE NO IDEAL THIS IS WORK IN PROGRESS
 
Imperium, lets be honest when this happens we will all dissolve
 
(MEANING DISAPPEAR)

 
310, info from depaul, exciting he just info about rv happening. Martha have you heard anything? She spoke to depaul and not anything yet
 
when we go to bank how will we know what zeros were dropped? Bank will know and you will know by dollar amount
can you elaborate on fiat to fiat or asset to asset backed, can you clarify>
 
C: WHEN YOU EXPLAINED FIAT TO FIAT THEN TO $ TO $ YUAN
G: WHEN YOU GO BANK TO eXHG CURRENCY FIRST QUESTION LIKE TO BUY CHINESE YUAN ONE TO ONE WE ARE ASSEST BACK PARITY
 
GM, take a shot at that- here we go, when you go in to exchange , after exchanged, first question is I would like to buy chinese Yuan, if it is not 1 to 1 you will know it is still in fiat system. If not one to one you will know. We do want it to be one to one
 
B: WINDOW WILL BE VERY SHORT 24 38 72 HOURS
IF RATE IS 6 YUAN TO ONE DOLLAR BUY AS MUCH AS YOU CAN
 
B: DO NOT GET CAUGHT UP GO TO BANK EXH IF YOU ARE NOT COMFORTABLE WITH THIS TYPE OF TRANSACTION THIS IS OPPORTUNITY NEED YOUR WITS ABOUT YOU
 
Window is going to be short, 24 to 48 possibly or more like 72 hours. if you exchange and rate is 6 yuan to 1 dollar, buy as much as you can, sit on it. Blondi, get in bank and do exchange. if you are not comforatable with type of transaction don;'t do it. keep your witts about you but do not stress about it
 
DO NOT STRESS THERE WILL BE OTHER OPPORTUNITIES
 
Iko ON NOW
 
C: LAST NIGHT WATCHING EVENING NEW NBC DID A STORY ABOUT IRAN AND STOCK MARKET
showed how they iran do exchange in stock market, do they need to be ingternational with currency to exchange in stockmarket
 
C: BIG QUESTION DO THEY NEED TO BE INTERNATIONAL (IRAN STOCK EXH IN IRAN) THEY DO NOT NEED TO BE INTERNATIONAL TO BE INCOUNTRY STOCK EXH FOR THEM
 
Iko, do have to be operating to purchase stock as US citizen, you would have to go thru licenensed broker
 
does not sound like internationally traded stock, thru broker only authorized to sell that stock, not yet able to do it
 
IKO, been booted off twice, system was maxed and kicked all off yesterday.
 
Kate: going to mention that poppy3 post, about agreement with iraq and iran that Iran would refrain from chaning their rate until Iraq releases there rate
 
C: IRAN & IRAQ TRADE PARTNERS INFO FROM POPPIES DINAR RECAPS POSTED
ON Dinar recaps so read it
 
wheels: going to release to IKO or Gerry
GM over to you: Iko you got anything?
 
Iko: I CAN EXPRESS WHERE I AM AT FOR ME AT THIS MOMENT I BELIEVE EVERYTHING IS DONE
I BELIEVE INCLUDING IRAN IN THE MIX AT THIS TIME HAS BROUGHT UP A FEW REFINEMENTS THAT ARE NECESSARY THAT IS WHAT IS BEING WORKED ON
 
IKO, don't have any intel, asked to express where he is at, for me at this moment, I believe, everything is done, I believe that including Iran in themix at this time, brought up a few refinement that are necessary to include them in general mix.
 
I DO NOT FEEL BANKS ARE HOLDING THIS UP THEY ARE TRYING TO GET IT ALL CO ORDINATED
 
don't think anyone holding up, making sure nothing backfires, iran so heavily in mix specially with iran oil. We do not matter. But nothing holding up except making sure Iran is in the mix and all is done
 
My thought's are that this has absolutely nothing to do with the banks
 
G: ARE THE SHIPS STILL OUT IN THE PORTS NOT TIED TO THE DOCKS EVERY 4 HOURS MORE SHIPS AND VARIED SHIPS COMING IN ASSITING OTHER SHIPS EX: CHANGE OIL
gm: are ships sitll there? IKO they are not tied to the dock but more ships have come in and more varied types have come in: ie: maintanence ship will come out, that type of support ship has come out
 
Ilo: THE PILOTS BOATS KNOW HOW TO GET SHIPS ON DOCKS OFF SHORE SUPPLY BOATS
I: ALL THAT TYPE OF VESSALS AROUND 100 TANKERS UP AND DOWN PERSIAN GULF WAITING TO BE LOADED
I: ONY ONES LOADED AND GONE ARE THE CHINESE SHIPS TELLS US RIGHT THERE
 
I: I KNOW MANY ARE FOCUSED ON ARTICLES BANKS IKO STICKING WITH SHIPS THAT TELLS ME THIS IS DONE FOLLOW THE MONEY
 
people focused on banks, articles, etc, IKO is focuef on ships, Follow the money! chinese, all ships on Pacific rim are still hanging around and waiting to go also
 
gm, ? from forum: some question answered, lower demons still question out there?
 
Dr. Clark said no rv till end of march, he can run with that. are you taking a tape recorder to currency exchange and wealth mgr meeting? YES I am, bet your sweet bippy
 
fractional reserve banking question? for every 10$ put in they can borrow up to 90$ above it. That is our opinion
G: ONCE AGAIN THIS CALL IS ABOUT OUR OPINION DISCLAIMER
 
Aiib , iran founder , did this change anything, no
 
G:PREPARE FOR THE WORST HOPE FOR THE BEST
 
what have you heard about contract rates and sucker rates, Anwere: people are getting confused. people hearing get in and get out fast, and then sucker rate, believe they are based in good thinking. get in , ask the rate and if you think it is a sucker rate
I: CONFUSING ISSSUES OUT THERE : GET IN AND GET OUT SUCKER RATE OUT THERE WHAT WE WANT TO BE CLEAR ABOUT ASK WHAT THE RATE IS IF BELOW 3.91 SUCKER RATE
 
I: WE ARE HEARING THERE ARE EXCELLENT RATES OUT THERE $5 - 8$ FOR DINAR SIMILIAR INFO COMING FOR OTHERS
 
I: AT THE BANK BANKER SAYS I OFFER YOU $2.00 WE KNOW IT IS A SUCKER RATE
 
I: WE CAN BARGAIN WE CAN GO THRU THE MOUSE WE CAN GO TO OTHER BANKS YOU WANT TO GET THAT RATE
 
I: FIRST COUPLE OF DAYS YOU WANT TO PURCHASE YUAN NEED TO NEGIATE BEST RATE
i; GO IN NEGOTIATE BEST RATE BUY YUAN AND THEN SIT BACK
 
M: DISCUSSING HOURS OF BANKS CLOSING TIME LINES ON BANKS
 
HIGHDOLLARFOLKS:  I typed in what IKO said and it was too long, I will have to cut and paste it to put in later
 
I: WHAT DO YOU THINK ANNUAL BUDGET FROM STATE OF NEW JERSEY :
 
Blondi? money given to iran by USA was it pay back or frozen, IKO, frozen returned
 
from IKO about bank rates: if you get a low rate, we are now hearing there are great rates out there from 5.50 up to 8 for dinar, similar info for dong, rupiah, zim, use dinar as example, you are efficent and you get in quickly.
 
from Iko part 2:banker says offer you $2.39 and yo know it isa sucker rate. you say I heard rate up to 8.00, you begin to bargin. we can go thru first 2 MICE at that meeting.
 
IKO part 3:You can say you are ready to walk and have other banks in hand who will talk to you. You do not want to wait on the rates to go up.
 
M: FOREX UP TO 1059
M: ONLY A MARKER
 
IKO bank comment 4:If you want to do the chinese yuan viable then you want to purchse youyuan. don';t wait for the market to go up. negotiate best rate then.
 
I: SHIPPING IS WHERE IT IS AT
TELLS A STORY
IKO bank comment part 4:use the $8.49 rate in back of your head as the staring negotiated rate that you can shoot for
 
WHATYOU SEE NOT WHAT SAID FOLLOW THE MONEY SHIPS WILL NOT MOVE UNTIL PAID..
ships will not moved until they get paid, follow the money. countries are making adjustment due to downfall of oil
 
we are trained to think in week long segments, these guys have been thinking about oil issues for a LONG time
all of issues discussed and decided on, rest is just a show

C: CHANGING SUBJECT MENTIONED IN PASSING SOMETHING ABOUT CHINESE FAMILIES CAMDOC DID A WHOLE EXPOSE' IN CHAT ROOM
 
M: AT SOME POINT WE CAN HAVE A DISCUSSION ON THE FAMILIES
Martha: his discussion was good and should be read. we will do it about families on separte call
 
Blondi: getting new list together. Gerry said that is your job!! Blondi will crack his skull with Blue Moon!LOL
 
Q: know you do not like forex anymore, should we watch forex at all or not worth it. Martha gave up on watching it, IKO said forex dead because so manipulated
 
C: SECONG BASKET ANY CURRENCY YOU PREFER IS PLACE I CAN STUDY WHICH ONES MIGHT BE THE STRONGEST
2nd q: asked you yesterday about 2nd basket, currencies you like more in 2nd basket
 
M, two to do well, East central and west central on list, looking it up. Namibia dollar to do good. 2 remember ,cfa frank, West african cfa frank, russian ruble
 
Brazilian rial, indian rupee, yuan, Mongolain, zimbabwe,
 
M: CENTRAL AFRICAN CSA FRANK WEST AFRICAN CSA FRANK
Zimbabwe in both baskets
 
just giving list, Central african frank, west african frank, Namibian in first basket. Original list of 24 but could be changed
 
BANGELDASH IN SECOND BASKET
 
what I should to study, 2nd basket is countries called N-11, bangladesh could be strong also, Iran is in 2nd basket, coming out benefiting 1st basket
 
GOOGLE N-11 OLD INFO THAT WAS POSTED GOES BACK TO JULY 2014
Goggle N-11 countries, old info from dinar guru blog. from July 2014 info.
POSTED IN RECAPS
pillipinnes in 2nd basket also
bob from tx: did they have to ri incountry to be able to change their stocks
 
any country can be in both baskets, released at different times and can go up a little each time
 
C: ALL THESE COUNTRIES HAVE BEEN DEALING WITH US DOLLARS NOW GOING BACK TO THEIR OWN CURRENCY
 
MEANTIME GETTING US OFF THE STREETS NEED TO USE OUR OWN CURRENCY PAPER HAS NO INSTRISIC VALUE
 
Iran redenominated their currency, in mean time they need USD off the street. They are pulling paper off streets, paper no intrinsic value. eventually Martha feels we will all go to coinage
iran was never pegged to US banking system
 
We have CIPS that brics came out with, to replace swift system
 
C: THEY WILL COME BACK INTERNATIONAL RATE WHEN IRAN RV IRAN HOLD A CABOODLE FULL OF DINARS

NEWS:Iraqi Dinar Currency to be Powerful to Enter in the Global Currency Markets, 20 JAN

Iraqi Dinar 123 News:– Osama Mehmoud, the global stock representative in Iraq stressed about the importance of integrative laws and economic action of law making. He also pointed out that linking the Iraqi dinar currency to the global economy has its own importance. The Iraqi currency should achieve its value against the global currencies. It would allow in providing more power to the economic process in the country. He further added in his press interview that current economic condition in Iraq needs more care. He pointed out that most of the laws related to the Iraqi economy are still need to get regulations for the economic management in the economic sector, according to the formula. The process in trade and economy are following an open economy as it is called market economy.
He further added that it would improve the economic management that would produce an uncertain economy. There are many industrialized nations depending on the open market that implemented the processes of production and the theory of import and export. The commercial exchange process between a numbers of companies should adopt a unified economic system. He gave an example of Iraqi economic reality that is continuously depending on letters of guarantee issued to the traders to manage the operations of import of goods. It is showing the limitations to the Iraqi verbal disapproval within the banks. It is also stopping to spread the Iraqi dinar currency into the international markets. As a result, the Iraqi dinar value decreased and unable to trade outside the Iraq. He stressed that importance of presenting the Iraqi dinar currency in the global currency markets.

TNT : TONY'S CLIFF NOTES BY SUNNY, 20 JAN

Highlights of TNT conference call.  Updated as the call progresses.
Information coming in that exchanger's in Iraq are to adjust their rates tomorrow!!!
Ray:  I am feeling fantabulouser to the nth degree!!!
A lot happened since last Friday.  Claims, activity. And some things people just thought took place.  Friday banks were at an all time high alert.  Sanctions got lifted and claims of Iran RVing.  
Yesterday meetings in New York and the word was when the meetings finished we'd have the RV.  And here we are.  It wasn't a promise.  Meeting was successful and we await the end result of that.
(There are) Articles galore. Some propose what might, could, should happen and some, information of things yet to take place.  World Economic Forum is covering what's happening in Davros (Switzerland).  www.weforum.org 

Banks have clamped down on their people.  I used to have a handful of people I could get information from.  We can still get it.
EXCHANGES took place last week.  Tried again this week but exchanges would not go through.  Exchanges go from SKR's to loan activity.
CURRENT WINDOW:   Ray:  We are in the window.  Banks still say, any minute, any time.  
                                    Exchanger's in Iraq are expected to adjust their rates tomorrow!!!
Ray has no information on what USA exchangers will do tomorrow.  Ray "safe to assume so but had no US information on that."

RUMORS are all over the place:  Iran goes first; Iraq waiting on Iran; waiting on NY meeting to be completed, etc.

IRAQ:    Tariffs applied and back dated to Monday.  Article claiming the Budget is published in the Gazette today, Wednesday -Report on Abadi’s FB page, the FODS costing less because the value of the currency is more.       
  •  
INTERNATIONAL:    
  • Iran - Ray:  No solid proof they RI'd or RV'd.  It is fee sable to think the Rial must have revalued to sell their oil in International transactions.  A check of rates shows no change. 
  • World Economic Forum is taking place now in Davros, Switzerland.  Follow at:  www.weforum.org 
  •  
UNITED STATES:     
  • UST:    
  • Banks:    Exchanges took place in the USA last week.
  • Appointments:  Ray said he would tweet and text information he receives out and if the bank does not send it out, "our soldiers will ferret it out."  Ray, we will tweet it out, text it out. Hpefully the banks will send us info to share with you, but we will get it by some hook or crook. 
  • Vegas, Vegas, Vegas:  Caller: Is it going to be possible to meet up with Tony somewhere?  Ray:  Oh, sure.  I don't know what his NDA - don't want NDA acctivity to prevent get togethers.  It's still the plan.
  • Foundation:  Minimum requirements to set up a Foundation are $50,000.    
Q & A Answers:  No reason to think our money is any safer in a non-interest bearing account or interest bearing account.  
                        Separate account for Dinar - It's possible it will be treated or tracked differently. 
                        Bank bail out:  Ray:  Where you going to put your money?  Most of you will be putting it in top banks anyway.  Where would a bail in process even surface from a bank where we will be putting millions?  Let your WM professionally tell you what to worry about instead of taking pot shots at it.
EXCHANGING:
    
CLOSING STATEMENT:

RAY:  Things couldn’t be better . . .don’t know exact day.  Everything holds true according to information I’ve shared . . .or not shared.
If we are not at the place where I think we should be on Friday then we will come back and share information to take us into the weekend.
Bloomberg put out an article that made reference to US dollars being sold on E-bay.  The one you hold in your pocket.  On E-bay!  The question you should ask and get the answer too, “What am I missing?” 
Everything has a reason.  Find out the reason and you two might realize a different economic reality

TNT CC NOTES, 20 JAN

TNT Call notes 20-January-2016

RayRen:  [TNT Rap]  Good afternoon, TNT super-fantastic family!  It is When-am-I-Gonna–See-It Wednesday, January 20, 2016. [audio checks]  There has been activities, claim and misrepresentation – things that people just thought took place.  That took us through the weekend and into today.  We left on Friday with banks at an all-time high alert.  We were waiting, waiting, waiting.  On Saturday Iran’s sanctions got lifted, and there were claims that they RVed.  Then yesterday there were meetings in NY with bank heads and CEOs;  the word was that when the meeting finished we would have the RV.  It finished and here we are.  There were no promises, so it’s probably okay it didn’t materialize as we expected, but at least there was an expectation.  Everyone walked away happy from the meeting, and we anticipate good things.
There are many articles, and some told us what might happen.  Intel is about things that are yet to take place – if they have already taken place, that’s history, not intel.  We pull it all together and see what’s important, what we can focus on to bring to you.  This is not about the news – that’s already out there. If you want to know what’s happening at Davos, go to www.weforum.org;  they are covering what is happening there at the World Economic forum and read to your heart’s content.  The news is there and you can get it; it’s a solid resource, and you should read it there to keep up with world economic intel.
We might not be here too long, because intel is not abundant.  Banks have clamped down on their people, so there is not much coming from the banking side because some of the sources have moved on or clammed up. We can still get the best stuff, though.  As far as banking activity, exchanges did take place last week.  They see rates on the screen this week but exchanges didn’t go through.  There is a combination of SKRs, loan activity, all sorts of progress. 
We have another little bit of stuff, I have something else that is big for us regarding the banking, but I’m going to let the elders put that out first.  Then we’ll come back and work with it. You won’t suffer by my doing this, or lose any money.
Let’s talk about Iran for a second.  There are up-and-coming surprises there.  The sanctions have been lifted, yes.  There is some information that Iran has reinstated its currency, and people said yesterday that the rate is still $36 per million;  that tells me that it didn’t RI or RV.  The NY meeting was successful and we are waiting on the results there.
In Iraq, there are articles that are very interesting about the Budget.  Some articles say the Budget is not in the gazette, but others are saying it’s being published today. If so, we can read it for ourselves, and calculate the rate the Budget is based on, and see how that applies to us in terms of an international currency.   We are told the exchangers in that area are to adjust their rates staring tomorrow.  As DC would say, “that’s huge!”  Also, there were comments on Abadi’s Facebook page, they are saying food is costing less because the currency is worth more.  So we have word of adjustments in regions across Iraq.  It’s in stages, but the fact it’s taking place tells us a great deal.  It’s coming!  These are the transformations we have been looking for.
On this side of the pond keep thinking that this will take place – bam! They take place over time.  The banks are still looking for us this week.  Many thought the removal of Iran sanctions would see this RV, others have said that Iran will go first and Iraq second, and yet others have said the reverse.  We don’t care so long as something happens.  We have been waiting and training, ready for the banks to ask us to come in.
I am waiting for some information from our Canadian friends, and of course we are waiting for others to bring in banking information.  There is method to all this.
Q:  What evidence have you gathered that we will have an RV this week? It seems like we never make any progress.  How can this oil swap take place with oil prices so low?  A:  I don’t have any firm evidence of it being this week, but I do know that we will have an RV.  I don’t’ know about the oil credits.  Time will tell.
Q:  Have they RIed in their own country?  A: Cards have been activated in Iraq at higher rates than 1166;  there is no solid proof that Iran has RIed in their own country.  There is progress being made.
Q:  How many people own dinar?  Are the numbers increasing or decreasing?  A:  The last I heard the numbers are increasing;  the last numbers I heard were six million plus. That’s a quasi-official number.  That was a while back, though.
Q:  How are you feeling?  A:  I am feeling fantabulouser to the nth degree!
Q:  Will there be a chance to meet post-RV?  Will there be a think-tank being developed?  A:  Yes, there will be the chance to meet and think together in my backyard as we sit around the grill and discuss things for the future.
Q:  Some believe there must be an RI in Iran for them to be selling oil.  A:  I have not been pursuing Iranian information to answer these questions, sorry.
Q:  It is time to pull the plug on the conference call?  It seems that there is further need for them.  There has only been one call since 1. Jan, yet you have regular OM calls.  The forum seems to be a good place for information but no one is allowed to say anything.  A:  If you follow the house rules, you can say just about anything.  You can even disagree with me!  To pull the plug on the conference call because there has only been one since the first…?  We scheduled calls on the 4th, 6th, 8th, 11th, 15th;  I think you might be mistaken on that one.  I’m pretty sure I did more than one.  When I sent out a tweet saying there is no new intel that can be confirmed, that is me ‘trust but verify’ policy.  There is no need for a call if there is not any really good intel.  There were things going on in the background, but I didn’t feel the need to have a call about things that I thought wouldn’t happen.  I’m a wait and see kind of person, so I don’t care to be on a call saying “this will not be happening.”  I’m kind of perplexed why this person posted this question;  we’ve always said that if you don’t want to be on the calls, don’t call in.  You have the right to feel the way you feel. We said we’d be here until the end and we’re not there yet;  that doesn’t mean I’ll do a call when there is no new intel unless we do a training call. If you ask me, answering these questions is a training in itself.
Q:  Do you think China has an impact on the RV?  A:  Yes.
Q:  Do you think Iran’s sanctions have an impact?  A:  I don’t know – we’ll find out together.
Q:  Are these statements accurate?  Dinar in one account, all the other currencies in another account?  A:  Way back, when we first received these instructions, there were only two currencies, dinar and dong.  We were told to keep dinar separate because it might be treated differently.  Now we have dong, rial, rupiah, zim, Afghani, and my understanding is that they will all be processed the same way but dinar might be treated differently.
Q:  Is our money more protected in a non-interest-bearing account?  A:  I’m not sure I agree with that.  The banks can still protect your money.
Q:  If I leave my money in a regular bank account while I organize my investments, can the government take that money as a bail-in to save the banking industry?  A:  I can’t see the government trying to ‘save’ the banks when you have just put millions into that bank.  Just doesn’t make sense to me.  If you exchange millions, where are you going to put it?  In a major bank. So we just added to the bank’s bottom line for them to use to make money.  So why would a bailing process even surface from a bank where we have just lodged millions?  I think people are too worried.  When you get in from of your wealth manager, ask for their professional opinion on what you should do about it.
Q:  In your opinion, should I take whatever rate they can offer to get the exchange done as quickly as possible, or hedge my bets?  A:  Only you can answer that.
Q:  Are any of the top 4-5 banks better than another for exchanging?  A:  We have been told that the rates will basically be the same. I assume they afford to give up some of their profit in the exchange;  it depends on how well you negotiate.  That’s the main factor.
Q:  What is the minimum required to set up a foundation, LLC or other entity?  I believe 50,000 is the minimum, but I could be wrong. A:  You are wrong.
Q:  Why are we still here?   A:  I don’t know;  let’s take it one day at a time.
707 caller:  I don’t’ have a significant question;  I think I’m pretty well prepared and you’ve done a tremendous job.  What does worry me is how we are going to get the word and go about making an appointment…
RayRen:  Any information we get will be tweeted, emailed, and posted on the websites.  They will either give us the information or we will get it one way or the other and tell you. If they don’t tell us, we may end up telling you something they don’t want you to know!
Caller:  Debbie was talking last night that after the exchange, and if you have a large sum, Wells Fargo would want you to have an account with their wealth branch Abbot Downing.
RayRen:  We talked about that a long time ago.  If you have larger amounts, you will automatically get referred to their wealth division.  That’s nothing new and something to look forward to.
Caller:   I understand that such accounts may be insured through the brokerage firm and not the FDIC.
RayRen:  We won’t depend on the FDIC because most of us will have well above the FDIC limits. We’ll do what other millionaires do, and when you are ready for that level, the banks will inform you.  When we get there, they will roll out the red carpets, send cars to pick you up and all the rest.  We’ll see!  We have get-together calls on Sunday mornings, and a lot of you are OpenMike folks as well, training to help you make that mental transition, so that you won’t be fearful but meet this new situation with enthusiasm.  Just don’t’ rush to do things.  Take your time to learn, and don’t worry about missing opportunities because the next bus will be along any time.  As long as we have that mentality  of calm, cool and collected, we will be able to handle whatever comes our way.  Learn as much as you can learn before you make a move.
Caller:  A friend was just at my house who just got a lot of currency and doesn’t have the time to listen to the calls.  I don’t understand that, but it’s his business.  [Appreciation] Vegas, Vegas, Vegas!
770 caller:  You said earlier that exchanges in Iraq receiving intel that they are to change rates tomorrow.   Is it safe to assume that US exchangers will have the same message? And what does ‘tomorrow’ mean in Iraq?  Does that really mean tonight here?
RayRen:  I heard that from Iraq, but not from US exchangers, so I don’t know.  Perhaps that is automatic. 
Caller:  What are they saying in the mosques in Iraq?
RayRen:  I haven’t heard anything from the mosques and I forgot to ask…  I will get that question answered.
Caller:  [Appreciation] Vegas, Vegas, Vegas!  Negotiate!
512 caller:  What is your feeling on us completing this endeavor this week?
RayRen:  This weeks sounds really good – I haven’t heard anything negative, contradictory or a stall.  The banks are ready, and it’s time to wrap this thing up.
Caller:  [Appreciation] Vegas, Vegas, Vegas!  And Texas!
301 caller:  I took off from PA a month ago and passed by Las Vegas;  no one was where so I kept going!  I have the same number;  I put my phone on early and the conference music never stops.  I’m grateful this sounds imminent.  [Appreciation] Vegas, Vegas, Vegas!  Will it be possible to meet up with Tony somewhere?
RayRen:  Sure.  I don’t know what his NDA requires, and that’s why we are still reinforcing the Vegas idea.  We hope this NDA doesn’t prevent our getting together.
Caller:  Is there any need to be concerned about what Tony’s situation might be?  Was the way it turned out the only choice there was?
RayRen:  No need to be concerned because time overcomes all challenges.  The way it turned out is what it is;  we rolled with it and we keep going on.  When it’s the right time we will all come together, and you will be in the number with us.
941 caller:  You mentioned earlier that people were exchanging over the weekend – here in the United States?  Where? 
RayRen:  I’m not sure it was over the weekend or one day last week.  We can’t go to any bank and say “you did an exchange and I want to do an exchange”. 
Caller:  You said something about another bit of intel that you wanted to let someone else talk about first – can you give us an hint? 
RayRen:  That was during my intel briefing, not with 404.  Let’s wait and see if the others bring it out first.  We will patiently wait, and when it comes out we will talk about it.  You will be in the loop.
Caller:  Many of us are suffering.  Thank God the gas prices are going down.  I’ve been following for about five years.  Tell everyone I said Hi.  I’m a lurker…
RayRen:  Make sure to listen to my closing situation – I’m talking to you specifically.  Vegas, Vegas, Vegas?
Caller:   No, I’m taking a honeymoon after 15 years – in Hawaii, I think, by ourselves.
RayRen:  Get your honeymoon out of the way and then come to Vegas!
772 caller:  The many discussions and information you have relayed to us implies that the banks are limited as to what they can pay per currency?  Or they are given a lump sum and have to negotiate with currency holders? They will have an ultimate amount they can go for?  If so, that would be open-ended on our side in terms of the amount we can receive, the perks, and so on…
RayRen:  I don’t know about that;  I’ve never heard about such a process.  You are talking about individual transactions, and what they can negotiate?
Caller:  I assume one relates to the other.  They want to get the best profit out of the process, so I assume they may find it worth their while to give a bit more on exchange.
RayRen: You represent multiple streams of income for the bank, and because of that you can negotiate their giving you a better rate if you take up some of their other products. There are two rates – buy and sell – and you can negotiate those if their profit on some of the other activities may overshadow that.  Negotiate, negotiate, negotiate because you don’t know where the chips may fall.  Don’t go by what they offer, TELL them what you want, and ASK for what you want.  What they lose in one stream, they can make up in another, so ask for what you want, and then they have to have a reason for refusing.
RayRen:  We are very much looking for this.  I am super-fantastic, waiting for the RV.  I still don’t know the exact date or hour, but if everything holds true according to what I have been able to share and the information I cannot share, I see no reason why this week shouldn’t wrap this up.  We hopefully won’t need a call on Friday, but if this doesn’t happen as I expect, we will be here again for the Friday call.
Bloomberg had an article about US dollars being sold on ebay.  Is that legal?  To the best of my knowledge, it is.  What are you missing?  Everything happens for a reason, so find out the reason and you may see a new economic reality.  Have a good day – I intend to.

RayRen played I Believe:  https://www.youtube.com/watch?v=9DYrqOUKLtA

STEVEI CHAT : Q & A, 20 JAN

Stevel & Member Discussion  1-20-16 Part 1 of 2

“An invitation to link the Iraqi dinar to the global economy”

Stevel:   Ok folks, here is some charts. Remember, this information is from our team whom eat, breath and live charts because it is there business. This what they found:
 ​
The darker more constricted pattern on the lower right hand side it the IQD tracking the price of gold (never going above it, tracking in a 2% range) whereas before it was pegged to the USD which at times was above the price point of gold!


Here is the link to that 1 Year Chart on XE Currency.

 http://www.xe.com/currencycharts/?from=USD&to=IQD&view=1Y

Note the frequency of change during this period is much higher because gold prices were more volatile than the price of the dollar. You can see this more clearly as you shift to the 1 month chart. Enjoy! Let me know if you need a hard copy of this.

Here is the chart for one year:
Picture
Here is a more detailed one month:

Now remember, this is way above my level of explaining so I rely on other that are experts in their perspective fields.
Also, I meant no harm in my comments about MD posts, but rather she does an awesome job and many missed the point. A friend of mine said I was bashing her, or whatever other are posting and saying.

My only comment is the idiot that takes this and tries to make fun of our information is missing many marbles and has no live except to bash our information because they cannot be a productive person in real life. We are all going to pray for that individual.

Remember, for this currency to be an investment is does have to be backed by something other than oil or the USD.

I talked to our team about the countries next to Iraq and feel that a one to one has no signification disadvantageous regarding fair trade. I am going to have another call in the next day or two with our team and I will explain why in more detail that makes perfect sense.

Now, will this happen the way we think? Maybe or maybe not, but it sure does appear to be pointing that direction of being backed by gold. I really do not care on bit if I am wrong, because we are doing our very best to bring the information as we find it and not sugar coat anything.

Also, please quit PM'ing me telling me how disappointed you are that your dreams are crushed because it is not a high rate like you wanted at a $3 plus rate and what appears to be more like a 1:1 rate or a bit higher. I would like to remind you, this is about Iraq and the global economy and not your personal well being or the toys you now cannot afford.

Those will be broke in less than a year anyway. If you want a three dollar rate then leave it under your mattress for another who knows how many years and then get what you want.

Please do feel free to ask any questions and we can and will do our best to provide you with what we can, when we can.   Steve

An invitation to link the Iraqi dinar to the global economy

Stanleymt  said:  HI Steve, thanks so much for the info.  The question I have is how the process of revaluation of the dinar changes (if any) being pegged to gold.  In other words, would it be a gradual or a more sudden increase?

Stevel:    There would be no "revaluation" but rather now a value that follows the gold standard. This is what we are being told and how I understand it.

One possible scenario: The CBI will just announce that the IQD is now backed the the gold standard. So if you go to the bank, now any bank for that matter, they would simply looked up the buy rate at the time and pay you in USD that value. Now all banks and investment (exchange companies) will compete for you business where I could see only certain major banks getting involved,  I hope this helps.   Steve

An invitation to link the Iraqi dinar to the global economy

Jimplants said:   I could be wrong or I could be right Gold is pretty strong right now and oil might be going to an historic low,to drive countries out of the oil business, so if the IMF wants Iraq to be a strong currency and help bail the world out all the more reason to be gold backed. Time will tell cause they are moving to what we call our finish line and their starting line  Blessings  Jim

Stevel:    I do not believe this to be accurate. Here is one possible reason for the oil to reach its low point. Lets say Saudi Arabia flooded the marked with oil to drop the price per barrel very low, this will in turn make any profits that ISIS is selling from Iraq and then selling it to Turkey making it not all that profitable.

Now when ISIS is done sealing oil and is out of Iraq and under control, I do see the oil going back up in price. The budget in the past was based on oil revenues, but not the budget of 2016.

Yes I might be stretching this a bit, but I cannot find any other great or even good reason for this drastic drop in prices.

13 During the first eight months of the year, public expenditures were compressed owing to the tight financing constraints. Oil revenue amounted to ID 39 trillion, non-oil revenue amounted to ID 5 trillion, and total spending amounted to ID 54 trillion, out of which ID 41 trillion in current expenditures and ID 13 trillion in investment expenditure.

Total spending was about ID 23 trillion lower than the path assumed in the budget. The resulting deficit of ID 11 trillion, or 5 percent of GDP, was financed mostly by the issuance of T-bills subscribed by the state-owned banks Rasheed and Rafidain, of which 4 trillion was refinanced at the discount window of the Central Bank of Iraq (CBI).

The deficit was also financed by the accumulation of domestic arrears estimated at ID 5 trillion at end-April 2015. The government paid all the arrears it owed to the international companies (IOCs) in an amount of $3.5 billion.

The deficit was also financed by a loan of $1.2 billion by the IMF under the Rapid Financing Instrument (RFI) approved by the IMF Executive Board on July 29, 2015.

“An invitation to link the Iraqi dinar to the global economy”

Stanleymt  said:   Thanks Steve.  You said, " they would simply looked up the buy rate at the time and pay you in USD that value."  Who would determine the buy rate, CBI, parliament, or economic committee, and what would change the exchange value to a 1:1 which is still a dramatic change from 1:1190?

Stevel:   If you had 1000 shares of Microsoft stock and you wanted to sell them, where would you find the asking price?   The official Gold code is XAU.  Same thing. I hope this helps.

“An invitation to link the Iraqi dinar to the global economy”

goods10 said:   Just so I can get a better understanding of what this means for the dinar if it becomes Gold backed. Let's say hypothetically that the switch is flipped today and the dinar is now backed by Gold.

What would the dinar value be at this point? Is it even possible to determine that or is there more to it than just looking at the price of Gold?  Thanks

Stevel:   What got us thinking about this concept was the GOLD coins that Iraq was trying to introduce into the market. Remember those articles?

New York Gold Spot Price (24hrs) Gold Price Per Ounce $ 1,101.65
Here is how it was explained to me. Lets say the CBI said that one IQD is now backed by one ounce of gold.

It is my understanding that one IQD would be equal to $1,101.65 or a 25K note would be worth $27,541.25 USD, less any spread and fees. I am not a broker so I have no knowledge of how gold is purchased or sold, just stocks on NASDAQ.

Exchange is not my strong point, so you might want to ask someone smarter than myself,
 Stevel:   A few more constrictive comments:

I personally believe that this is a brilliant idea. This would prevent a massive cash out by IQD holders and countries holding their currency. This will attract major investors to purchase their currency because it now has a value and would be considered an investment.

Then this will also attract all developers to come and be a part of the Iraq's booming growth because contractors will be paid in the IQD which is now worth something and not rendered worthless like it is today.

With the evidence our team has discovered, this is what and how we believe it will play out.

So lets look at both sides of the coin now.

So it is not pegged to to Gold, what else could it be pegged to? Yes the USD, which is still fairly close to a 1:1 or a bit less at the moment, regardless worth something. If there will be no immediate future value, the all will cash in and walk away. So who are the winners here, most everyone including yourselves.

Now it comes out at a $3 plus rate, who is the winners here, again you are, but I do not see how Iraq can support that type of cash out now that oil is so low. Iraq needs to be able to set themselves up for success, not a rate that cannot be sustained.

Any comment is welcome because regardless, we are all winners here, so relax and just let it come to you as Iraq deems necessary and when they are ready. I hope you all quit worrying about this because you cannot control anything about it.

Worrying is causing negative attitudes and debates on this site which is not healthy.

Millionday's posts are very good and extremely helpful. As you can see, she is the only one we even allow on this site, so that speaks volumes for her integrity.   Steve

“An invitation to link the Iraqi dinar to the global economy”
VictorD  said:   Great food for thought. Thanks!  My confusion lies with the article from the IMF that was presented last week that laid out a "road map" for Iraq. In step 18 (I think it was) it stated the IQD was to remain pegged with the USD. How does that come into play, or is the current thought that the pegging to gold would happen when that agreement with the IMF expires? 
Stevel:   Maybe this will help:
 
The government will gradually remove remaining exchange restrictions and multiple currency practice (MCP) with a view to eliminating exchange rate distortions.
 
Such a move towards acceptance of the obligations under Article VIII of the IMF’s Articles of Agreement will send a positive signal to the investment community that Iraq is committed to maintain an exchange system that is free of restrictions and MCPs for current international transactions and thus facilitate creation of a favorable business climate.
 
As a first step, the government will, by end-February 2016, amend the Investment Law, or issue clarifying implementing regulations, to remove the limitation on transfer of investment proceeds that gives rise to an exchange restriction, as recommended by a recent technical assistance mission of the IMF.
 
Ok, so go compare the USD peg and the Gold peg, is it not close?   Steve

“Economic analyst: the dollar against the Iraq dinar is not real price”

SteveI:    So here is my comment, if Iraq and other feels that pegging it to the USD is not great, do you still feel it is that great for your investment return?  Would like to hear your takeaway on this article.  Steve

PART. 2


Buckaroo said:   Is this ever been done by any other country before ???? Or is it a new era, a new possible pattern ???
 
Stevel:   I hope this helps. What is a “Pegged Currency” and How Does it Affect Exchange Rates?

If you’ve been following the news recently, you’ll have seen last week’s decision by the Swiss National Bank to remove the cap on the Franc, which was pegged to the Euro.
 
The reasons behind their decision are difficult to understand, but what’s also quite tricky is the idea of the fixed exchange rate itself, so let’s try explain what that is first!

" A country or government’s exchange-rate policy of pegging the central bank’s rate of exchange to another country’s currency. Currency has sometimes also been pegged to the price of gold. Currency pegs allow importers and exporters to know exactly what kind of exchange rate they can expect for their transactions, simplifying trade. This in turn helps to curb inflation and temper interest rates, thus allowing for increased trade.“.
 
It might surprise you just how many nations have their currency fixed to another. Danish Kroner is pegged to the Euro, while the list of nations pegged to the US Dollar is quite long, including Hong Kong, the UAE, Saudi Arabia, Kuwait and Venezuela.
 
Fixed exchange rates became a “thing” in the UK around 1821 with the adoption of the Gold Standard, and other major world currencies followed soon after. What this meant was that “the external value of all currencies was denominated in terms of gold with central banks ready to buy and sell unlimited quantities of gold at the fixed price. Each central bank maintained gold reserves as their official reserve asset.” ****
 
Addition resources: Nixon Ends Convertibility of US Dollars to Gold and Announces Wage/Price Controls
 
August 1971
President Richard Nixon’s actions in 1971 to end dollar convertibility to gold and implement wage/price controls were intended to address the international dilemma of a looming gold run and the domestic problem of inflation. The new economic policy marked the beginning of the end of the Bretton Woods international monetary system and temporarily halted inflation.

     The international monetary system after World War II was dubbed the Bretton Woods system after the meeting of forty-four countries in Bretton Woods, New Hampshire, in 1944. The countries agreed to keep their currencies fixed (but adjustable in exceptional situations) to the dollar, and the dollar was fixed to gold. Since 1958, when the Bretton Woods system became operational, countries settled their international balances in dollars, and US dollars were convertible to gold at a fixed exchange rate of $35 an ounce.
 
The United States had the responsibility of keeping the dollar price of gold fixed and had to adjust the supply of dollars to maintain confidence in future gold convertibility.
 
     Initially, the Bretton Woods system operated as planned. Japan and Europe were still rebuilding their postwar economies and demand for US goods and services—and dollars—was high. Since the United States held about three-quarters of the world’s official gold reserves, the system seemed secure.
 
     In the 1960s, European and Japanese exports became more competitive with US exports. The US share of world output decreased and so did the need for dollars, making converting those dollars to gold more desirable. ‘
 
The deteriorating US balance of payments, combined with military spending and foreign aid, resulted in a large supply of dollars around the world. Meanwhile, the gold supply had increased only marginally. Eventually, there were more foreign-held dollars than the United States had gold.
 
The country was vulnerable to a run on gold and there was a loss of confidence in the US government’s ability to meet its obligations, thereby threatening both the dollar’s position as reserve currency and the overall Bretton Woods system.
 
    Many efforts were made to adjust the US balance of payments and to uphold the Bretton Woods system, both domestically and internationally. These were meant to be “quick fixes” until the balance of payments could readjust, but they proved to be postponing the inevitable.
 
     In March 1961, the US Treasury’s Exchange Stabilization Fund (ESF), with the Federal Reserve Bank of New York acting as its agent, began to intervene in the foreign-exchange market for the first time since World War II.
 
The ESF buys and sells foreign exchange currency to stabilize conditions in the exchange rate market. While the interventions were successful for a time, the Treasury’s lack of resources limited its ability to mount broad dollar defense.
 
    From 1962 until the closing of the US gold window in August 1971, the Federal Reserve relied on “currency swaps” as its key mechanism for temporarily defending the US gold stock. The Federal Reserve structured the reciprocal currency arrangements, or swap lines, by providing foreign central banks cover for unwanted dollar reserves, limiting the conversion of dollars to gold.
  
   In March 1962, the Federal Reserve established its first swap line with the Bank of France and by the end of that year lines had been set up with nine central banks (Austria, Belgium, England, France, Germany, Italy, the Netherlands, Switzerland, and Canada).
 
Altogether, the lines provided up to $900 million equivalent in foreign exchange. What started as a small, short-term credit facility grew to be a large, intermediate-term facility until the US gold window closed in August 1971. The growth and need for the swap lines signaled that they were not just a temporary fix, but a sign of a fundamental problem in the monetary system.
    
 International efforts were also made to stem a run on gold. A run in the London gold market sent the price to $40 an ounce on October 20, 1960, exacerbating the threat to the system. In response, the London Gold Pool was formed on November 1, 1961.
 
The pool consisted of a group of eight central banks (Great Britain, West Germany, Switzerland, the Netherlands, Belgium, Italy, France, and the United States). In order to keep the price of gold at $35 an ounce, the group agreed to pool gold reserves to intervene in the London gold market in order to maintain the Bretton Woods system.
 
 The pool was successful for six years until another gold crisis ensued. The British pound sterling devalued and another run on gold occurred, and France withdrew from the pool. The pool collapsed in March 1968.
   
  At that time the seven remaining members of the London Gold Pool (Great Britain, West Germany, Switzerland, the Netherlands, Belgium, Italy, and the United States) agreed to formulate a two-tiered system. The central banks agreed to use their gold only in settling international debts and to not sell monetary gold on the private market. The two-tier system was in place until the US gold window closed in 1971.
 
    These efforts of the global financial community proved to be temporary fixes to a broader structural problem with the Bretton Woods system. The structural problem, which has been called the “Triffin dilemma,” occurs when a country issues a global reserve currency (in this case, the United States) because of its global importance as a medium of exchange.
 
The stability of that currency, however, comes into question when the country is persistently running current account deficits to fulfill that supply. As the current account deficits accumulate, the reserve currency becomes less desirable and its position as a reserve currency is threatened.

     While the United States was in the midst of the Triffin dilemma, it was also facing a growing problem of inflation at home. The period that became known as the Great Inflation had started and policymakers had put anti-inflation policies in place, but they were short lived and ineffective.
 
At first, both the Nixon administration and the Federal Reserve believed in a gradual approach, slowly lowering inflation with a minimum increase in unemployment. They would tolerate an unemployment rate of up to 4.5 percent, but by the end of the 1969-70 recession the unemployment rate had climbed to 6 percent, and inflation, as measured by the consumer price index, was 5.4 percent.

     When Arthur Burns became chairman of the Board of Governors in 1970, he was faced with both slow growth and inflation, or stagflation. Burns believed that tightening monetary policy and the increase in unemployment that accompanied it would be ineffective against the inflation then occurring, because it stemmed from forces beyond the control of the Fed, such as labor unions, food and energy shortages, and OPEC’s control of oil prices.
 
Moreover, many economists in the administration and at the Fed, including Burns, shared the view that inflation could not be reduced with an acceptable unemployment rate. According to economist Allan Meltzer, Andrew Brimmer, a Fed Board member from 1966 to 1974, noted at that time that employment was the principal goal and fighting inflation was the second priority. The Federal Open Market Committee implemented an expansionary monetary policy.

     With inflation on the rise and a gold run looming, Nixon’s administration coordinated a plan for bold action. From August 13 to 15, 1971, Nixon and fifteen advisers, including Federal Reserve Chairman Arthur Burns, Treasury Secretary John Connally, and Undersecretary for International Monetary Affairs Paul Volcker(later Federal Reserve Chairman) met at the presidential retreat at Camp David and created a new economic plan.
 
On the evening of August 15, 1971, Nixon addressed the nation on a new economic policy that not only was intended to correct the balance of payments but also stave off inflation and lower the unemployment rate.

     The first order was for the gold window to be closed. Foreign governments could no longer exchange their dollars for gold; in effect, the international monetary system turned into a fiat one.
 
A few months later the Smithsonian agreement attempted to maintain pegged exchange rates, but the Bretton Woods system ended soon thereafter. The second order was for a 90-day freeze on wages and prices to check inflation. This marked the first time the government enacted wage and price controls outside of wartime.
 
 It was an attempt to bring down inflation without increasing the unemployment rate or slowing the economy. In addition, an import surcharge was set at 10 percent to ensure that American products would not be at a disadvantage because of exchange rates.

     Shortly after the plan was implemented, the growth of employment and production in the United States increased. Inflation was practically halted during the 90-day wage-price freeze but would soon reappear as the monetary momentum in support of inflation had already begun.
 
Nixon’s new economic policy represented a coordinated attack on the simultaneous problems of unemployment, inflation, and disequilibrium in the balance of payments. The plan was one of the many prescriptions written to cure inflation, which would eventually continue to rise.
 
“An invitation to link the Iraqi dinar to the global economy”

21dsm said:  Hi Steve, my question would be if they exchange it at the current gold price what ever that might be would this eliminate the banks charging their 1 to 3% per million cost of doing busines?   Thank you
 
Stevel:   I am not a trader so lets leave this to someone that is experienced in it. I will however ask our team who does have that experience but I will need some time to get a reply back.  Good question though.  Steve
 
“An invitation to link the Iraqi dinar to the global economy”

T & D  said:   Ok I'm going to use simple math , we paid $25 for a $25,000.00  IQD note right , so lets say just for simple math that gold is a $1,000.00 an oz . I go to the bank and cash that $25,000.00 note in and I will get $25,000.00 in usd . That is awesome for a $25.00 investment !!!!!!!!!!!!!!!!!!!!!!!
 
Stevel:   Yes you math is correct and yes it is a good investment. I am still trying to get some answers how this will work inside the country which is probably a whole new set of rules and standards.  Steve
 
“Economic analyst: the dollar against the Iraq dinar is not real price”

buck72801 said:  ugggg im afraid this is gonna sound dumb, im not real bright as others are, but isn't it a good thing since USD is backed by gold as well as the IQD, now I know this makes no since,
 
Stevel:   Maybe this will help: What Really Backs the U.S. Dollar?
 
Is U.S. currency still backed by gold?

Federal Reserve notes are not redeemable in gold, silver, or any other commodity. Federal Reserve notes have not been redeemable in gold since January 30, 1934, when the Congress amended Section 16 of the Federal Reserve Act to read: "The said [Federal Reserve] notes shall be obligations of the United States….
 
They shall be redeemed in lawful money on demand at the Treasury Department of the United States, in the city of Washington, District of Columbia, or at any Federal Reserve bank." Federal Reserve notes have not been redeemable in silver since the 1960s.
 
The Congress has specified that Federal Reserve Banks must hold collateral equal in value to the Federal Reserve notes that the Federal Reserve Bank puts in to circulation. This collateral is chiefly held in the form of U.S. Treasury, federal agency, and government-sponsored enterprise securities.
 
 
Since 1971, U.S. citizens have been able to utilize Federal Reserve Notes as the only form of money that for the first time had no currency with any gold or silver backing.
 
This is where you get the saying that U.S. dollars are backed by the “full faith and credit” of the U.S. Government. In other words, Nixon implied; take our paper dollars or don’t.
 
The U.S. at this time was a world super power having been victorious in WWII and there really wasn’t much anyone could do about the decision by the U.S. government to abandon metal backing.
 
What Does a Dollar or Federal Reserve Note Represent?
What does a dollar or Federal Reserve note represent now that gold and silver no longer back any of the currency printed in the U.S.?
 
A dollar bill used to say “This note is legal tender for all debts, public and private, and is redeemable in lawful money at the United States Treasury or at any Federal Reserve Bank.” Look at a dollar bill today. It simply says; “This note is legal tender for all debts, public and private.” In other words, you can’t redeem it for “lawful money.”
 
From the Treasury;
 
“Federal Reserve notes are not redeemable in gold, silver or any other commodity, and receive no backing by anything. Redeemable notes into gold ended in 1933 and silver in 1968. The notes have no value for themselves, but for what they will buy. In another sense, because they are legal tender, Federal Reserve notes are “backed” by all the goods and services in the economy.”
 
What the government, via the Treasury and the Federal Reserve, really did in 1971 was coerce you to accept something (Federal Reserve notes) that used to be redeemable for gold and/or silver but now aren’t redeemable at all.

But let’s play along with their definitions and see if “all the goods and services in the economy” really back the dollar?
 
What the Treasury would have you believe is that GDP backs the dollar. GDP is defined as “The monetary value of all finished goods and services within a country’s borders in a specific time period It includes all of private and public consumption, government outlays, investments and exports less imports that occur within a defined territory.”
 
To break it down;
 
GDP = C + I + NX + G
 
where:
 
“C” is equal to all private consumption, or consumer spending, in a nation’s economy
“I” is the sum of all the country’s businesses spending on capital
 
“NX” is the nation’s total net exports, calculated as total exports minus total imports. (NX = Exports – Imports)
 
“G” is the sum of government spending
 
For the U.S. Presently:
 
C is down to nothing with high unemployment and people struggling just to pay bills.
I is down to nothing (especially now that lending has dried up)
NX is hugely negative and has been for quite some time
 
“G” is the sum of government spending
 
For the U.S. Presently:
 
C is down to nothing with high unemployment and people struggling just to pay bills.
I is down to nothing (especially now that lending has dried up)
NX is hugely negative and has been for quite some time
 
G or “government spending” is all that is running the show
 
Yes, that’s right, government spending is all that is running the show for the most part.  Does anyone think that adding more debt to debt is in the long run a healthy thing to do? 
 
Does it work for the consumer to take out more credit cards and use this newly created credit to pay for old debt and current expenses?  Hardly. How will it work for the U.S. government?  Can the U.S. government really afford to keep policing the world and fight wars and keep spending without consequences?
 
If this theory of GDP backing the dollar is viable, and if government spending is all that is backing the dollar at this point in time, where do they get the money to do it? Answer; taxes and printing it out of thin air.
 
The Theory of GDP Backing the Dollar Is Flawed

But the reality with this government theory of GDP backing the dollar is flawed to begin with. The dollar acts as a “medium of exchange” and is only valuable because it can be exchanged for goods and services. It is one’s production that is the actual backing of the dollar, not the piece of paper itself.
 
Take another look at that dollar bill you pulled out….
 
Do you need further proof that U.S. dollars are debt?  What does it say at the very top of the dollar bill? It’ says “Federal Reserve Note.”
 
What is the definition of the word “note?”
 
Note: “A written promise to pay a debt.”
 
What is this debt that you, the one who is possessing these dollars, has to pay? I thought your production (via your hard earned labor) was something you got to keep? But according to what you are being paid for your labor, i.e. dollars you are accepting as payment, are nothing but IOU’s.
 
Since you can’t redeem these IOU’s for “lawful” money (gold or silver) any longer, what makes you think that these pieces of paper called “notes” that have 38 short years of existence at the time of this article are going to maintain your wealth in the years to come?
 
What are you doing about it today to protect yourself? Perhaps a little insurance with gold and silver, what used to be our money and back our money makes sense?
 
Don’t be confused by all the games the Treasury and the Federal Reserve are playing with Quantitative Easing and interest rate manipulation to help the economy. We’ve seen their failures several times and they will fail again. Educate yourself as to what money is and what really backs the U.S. dollar. Educate yourself about investing in gold.   Steve
 
References: http://www.federalre...rency_12770.htm
http://www.federalreserve.gov/faqs/currency_12770.htm
 
 
“An invitation to link the Iraqi dinar to the global economy”

VictorD said:  This all makes sense to me in that I've been reading and hearing for years that the IMF is moving towards tying a countries currency value to its assets be that gold, agriculture, manufacturing capabilities or what have you.
 
This also ties into what MD has been reporting about the IMF calculating a (here's that term again that is getting tossed around and MD uses a lot so please forgive me) "realistic value" for Iraq to use when it re-enters the Global Economic Community.
This value might be thought of as a reinstatement of the dinar at a 1:1 (or near rate). Then at some point in the future it de-pegs from the USD and changes to an asset back currency.
 
 Basically we'll get a reinstatement of the dinar into the global economic community at a lower rate (i.e.1:1), no RV but increases in value based on Iraq's assets that they develop over time. Hope this makes sense......I do think we are thinking basically the same.
 
Stevel:   Very nicely stated. Thanks for sharing. I would like to add to your comments:
 
Fiscal Program in 2016
 
On October 18, 2015, the government approved a draft budget for 2016 with a non-oil primary deficit of ID 78 trillion (57 percent of non-oil GDP) with a large amount of foreign financing.
 
 In light of the adverse market conditions (¶10), the government decided to reduce its foreign financing forecast and introduced amendments to the 2016 draft budget to parliament  on December 2, 2015 that target a slightly lower non-oil primary fiscal deficit of up to ID 77 trillion (56 percent of non-oil GDP; prior action for management approval, Table 2) with financing tilted towards domestic sources. This will be achieved through the implementation of the following measures:
 
collect at least ID 8.8 trillion (6.5 percent of non-oil GDP) in non-oil revenue, out of which ID 1 trillion from an increase in wage taxation; and
 
contain non-oil primary expenditure to ID 86 trillion (63 percent of non-oil GDP). This containment of non-oil primary expenditure at a level slightly higher than the low level programmed in 2015 will be obtained again mostly by the postponement of lower-priority non-oil investment projects to later years.
 
Furthermore, they go on by saying:
 
In order to finance the non-oil primary fiscal deficit, oil investment expenditure and debt service, the government will have recourse to oil revenue (ID 73 trillion), domestic financing (ID 20 trillion) and external financing (ID 4 trillion). ‘
 
The domestic financing will be covered by the issuance of Treasury bills, out of which up to ID 7 trillion will be refinanced by commercial banks at the discount window of the CBI, the issuance of national bonds for the general public in an amount of ID 5 trillion, and the drawdown of government deposits in the banking sector in an amount of ID 4 trillion.
 
The amount of central bank indirect monetary financing will be revisited  on the occasion of the first review in light of the inventory of government cash holdings in bank accounts to be completed by end-February 2016 (¶27).
 
The external financing will be covered by the planned issuance of Eurobonds ($2 billion), a loan from the Islamic Development Bank ($500 million) and project loans by the World Bank ($50 million), JICA ($502 million), and Italy ($40 million).
 
The government will not resort to the accumulation of arrears to finance the deficit. It commits to a zero ceiling on external arrears (continuous quantitative target, Table 1) and regular inventories of domestic arrears with a view to ensuring that new arrears do not accumulate and   to paying them down after proper audit, as will be done for the existing stock of domestic arrears (¶27, second bullet).
 
 
Stevel:  Now I find this very positive. The IMF is talking about detailed revenues and here is what they are telling Iraq:
 
Detailed revenues, operating and capital expenditure, and financing items of consolidated fiscal and oil operations, and overall fiscal balance. These data should include:
 
the execution of the Iraqi budget, comprising the incremental revenue from the impact of revenue (tax) measures stipulated in the 2015 Budget Law (sales taxes on mobile phone cards, internet usage, car sales, and on tobacco and alcohol, in addition to incremental receipts from the entry into force of the amended Customs Law for 2010), and savings realized via (a) any cuts in investment projects or financing for investments through public-private partnership schemes;
 
(B) cuts in operating (current) expenditure, such as the enactment of compulsory or voluntary national savings schemes (including as a result of changes in legislation governing the wage ladder for public sector or civil service employees), and removal/streamlining of subsidies on electricity and gasoline or other products;
 
transfers to and from the Kurdistan Regional Government;
 
and the list goes on.
  
Stevel:    So, explain this one, they are talking about revenues from the Iraqi citizens, (sales taxes on mobile phone cards, internet usage, car sales, and on tobacco and alcohol, in addition to incremental receipts from the entry into force of the amended Customs Law for 2010)  with the current value of their currency, how in the world are they going to expect any sort of revenue from all of the taxes and assessments the citizens are going to have to pay without some sort of change in the value of their currency they own?   Steve

"An invitation to link the Iraqi dinar to the global economy”

Hstrymknwmn said:  Here's something else. After reading this, I am not sure why Iraq OR the IMF would want to back it with gold due to never working to control inflation, and the govt. is restricted in controlling its money AND makes a HEALTHY COUNTRY HIGHLY SUSCEPTIBLE TO INFLATION or depression of its trading partners. That imo doesn't sound so good for Iraq....and this is all about Iraq and its people.
  
System of backing a country's currency with its gold reserves. Such currencies are freely convertible into gold at a fixed price, and the country settles all its international trade transactions in gold. Between 1900 and 1914 world's major economic powers were on gold standard, but could not maintain it during first World War (1914-18) and, except the US, finally abandoned it in 1931 during the Great Depression(1930-40). The US too abandoned it in 1971 to join the floating exchange rate system which is the international monetary-system as it exists today.
 
The gold standard has never worked satisfactorily in controlling inflation or maintaining equilibrium in international transactions. Its major drawback is that it restricts a government's ability to control money supply, and makes a healthy economy highly susceptible to the conditions of inflation or depression of its trading partners.   

here's the link   http://www.businessd...d-standard.html
http://www.businessdictionary.com/definition/gold-standard.html
 
Stevel:   Nice article but I do respectfully do not agree with it in today's global economy.
I do appreciate you sharing so everyone can see both sides of the fence and letting them determine in their own minds what is good or not good. Thanks. 

“An invitation to link the Iraqi dinar to the global economy”

hstrymknwmn said:   Thanks for responding Steve. Just researching to try and understand what is happening. So, you are saying you think because the global economy today is better the issues stated should not be an issue today? Like I said, just trying to understand because I am NOT an economist   :)
 
Stevel:   Our team maybe totally wrong but based on hundreds of hours of research, it appears they (Iraq) is setting themselves up for what we are seeing.
 
Remember, is not a sin to be wrong, but not in the best interest to fabricate things for the sake of getting on some dinar recap site which make you look very stupid and very dumb.
 Only Iraq and the IMF know the outcome, I feel either way, we are going to benefit from it.  Steve