Tuesday, June 19, 2018


6-19-2018   Newshound Guru Kaperoni   [reference Whitelions post  6-19-2018]  ...The CBI never talked about people around the world bringing in their currency to Banks... The 10 years is the fact that the CBI will honor their currency nothing more ...all currencies go up and down... Why do you think they go up and down?  Because they float.   It's funny how many want to jump on the IMF bandwagon when I proved that the CBI must meet compliance before they could move to Article VIII.  Yet those same people won't give any consideration to actual IMF statements about moving to a more liberal exchange rate regime...  because it doesn't fit their RV, RI agenda!...  Whether you agree with me or not...the fact is there will never be an overnight RV, RI event. The very thought of such a thing is contradictory to the purpose of monetary policy to begin with.  There is a process...it is the same for any emerging-market country.   [post 1 of 2....stay tuned]

   Newshound/Intel Guru Mnt Goat   ...they finally...completed a full 90 day period without any violations. This period just expired on June 15th, Friday. Hurray! This is also part of why they adjusted their rate to 1190 suddenly.  ...even though it seemed to us step in the wrong direction? It was done to overcome a possible +2% variance on the market vs the CBI/IMF rate. It was done to comply with the Article 8 rules. The IMF needs to know they can react to the market and manage the currency. They will need to do this when they go live internationally on all these trading platforms. ...they will NOT want to wait too long to apply to the IMF to move into Article 8, as there is a possibility that the rate could vary again and they would have to begin the 90 monitoring all over again. This could take months more.

6-19-2018   Newshound Guru Whitelions   Question:  "How are you going to control inflation when large sums of money come into a country if you're not going to float your currency?"  [reference Guru Kaperoni post 6-19-18]   In answer to [Guru] Kaperoni... According to the C.B.I People that have Dinar all over the world will bring it to there local banks and exchange it to their countrys currency ( they have 2 years to turn it in ). Their Local Banks will sell it to their country's Central Banks and they can hold it up to 10 years.  From there the C.B.I. can call in the bills as they need them OR the Central Bank that is holding the bills can can exchange them at their leisure depending on the rate if it is up or down. AND before you get all bent out of shape...ALL Currency's around the world go up and down on a daily basis and NONE of them are on a FLOAT and remember the C.B.I. said NO FLOAT. I hope this helps you .

6-19-2018   Newshound Guru Kaperoni   Over the last couple of years there are more than 10 articles talking about floating the Iraq dinar. There is only one article that talks about the timing is not right to float the Iraqi dinar. My money is on the directives from the IMF, Iraq will float it is the only option.  By definition moving to a more liberal exchange rate regime is moving to a float. Monetary policy is not a random act. Changing exchange rate regimes going from a peg to a float Etc all have individual purposes...they are used to stabilize economies or combat inflation. Iraq is expecting a large influx of capital ...some say it's going to be the wild west of the Middle East this will put severe pressure on the financial system of the CBI.  The recourse is get off the peg move to a float to combat the pressure allowing the currency to rise and value.   [post 2 of 2]

6-19-2018   Newshound Guru Kaperoni    How are you going to control inflation when large sums of money come into a country if you're not going to float your currency?  All anyone needs to do is...read two or three of the documents from the IMF on the transition from fixed to float to understand how currency reform works.  You cannot be pegged when large influxes of capital flow through the CBI, the only alternative to being pegged is a float.  This is not guesswork, the IMF themselves told the CBI back in 2012 when they were about to transition the move to a more liberal exchange rate regime. The very definition of that is a float...we see the CBI follow the IMF time after time.  Considering the IMF has an agreement with the CBI for monetary reform as well as trusteeship over the CBI the chances are very good that they'll follow what they recommend.  [post 1 of 2....stay tuned]

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