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Seeds of Wisdom RV and Economics Updates Thursday Evening 8-8-24
Good evening Dinar Recaps,
Economist Jim Rickards Highlights Gold's Opportunity During Market Meltdowns
"Gold is being profiled as a relevant investment option in economic uncertainty and market instability times. Jim Rickards, a U.S. economist and best-selling author of books like “Currency Wars” and an opinion contributor to several newspapers and publications including The New York Times and The Washington Post, has referred to the investment opportunity that gold presents during acute market setbacks."
"In social media, Rickards reinforced its solid opinion of gold as a hedge against market instability, predicting the price movement of the precious metal during these events.
"Rickards says, "In a stock market meltdown, gold goes down due to selling by weak hands who need cash for margin calls. The strong hands take a beat, wait for a bottom. Then they jump in with both feet because they know it’s way up from there."
"Rickards has been analyzing gold’s position in today’s economy, stating that the metal might be used in case of a global currency meltdown to re-establish the gold standard, with many countries, including the U.S., purchasing gold to support the value of their currency."
Good evening Dinar Recaps,
Economist Jim Rickards Highlights Gold's Opportunity During Market Meltdowns
"Gold is being profiled as a relevant investment option in economic uncertainty and market instability times. Jim Rickards, a U.S. economist and best-selling author of books like “Currency Wars” and an opinion contributor to several newspapers and publications including The New York Times and The Washington Post, has referred to the investment opportunity that gold presents during acute market setbacks."
"In social media, Rickards reinforced its solid opinion of gold as a hedge against market instability, predicting the price movement of the precious metal during these events."
Rickards says, "In a stock market meltdown, gold goes down due to selling by weak hands who need cash for margin calls. The strong hands take a beat, wait for a bottom. Then they jump in with both feet because they know it’s way up from there."
"Rickards has been analyzing gold’s position in today’s economy, stating that the metal might be used in case of a global currency meltdown to re-establish the gold standard, with many countries, including the U.S., purchasing gold to support the value of their currency."
"Nonetheless, while some markets rebounded after Monday’s meltdown, gold continued to trade down, losing the $2,400 mark. Even after slipping down, gold prices are still almost 15% up during 2024, reaching historic high levels just some days ago."
"According to the World Gold Council, demand is expected to maintain the next year supported by central bank gold purchases for portfolio diversification and protection purposes."
@ Newshounds News™
Source: Bitcoin
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BREAKING: Victory for Ripple as XRP Is Not a Security in the US; $125M Fine for the Truth
Ripple’s decisive victory over the SEC has officially ruled XRP a non-security.
Judge Torres reduced the SEC’s demanded fine from $2 billion to $125 million.
Ripple has exciting news following its recent victory over the US Securities and Exchange Commission (SEC). XRP has been officially classified as a non-security, a designation that was highly disputed during Ripple’s litigation against the Commission.
Court Significantly Reduces SEC Penalties for Ripple’s Institutional XRP Sales
In addition, as Ripple CEO Brad Garlinghouse noted in his most recent tweet, the court has reduced the SEC’s penalties for institutional XRP sales that violate federal securities laws.
"The SEC asked for $2B, and the Court reduced their demand by ~94% recognizing that they had overplayed their hand. We respect the Court’s decision and have clarity to continue growing our company.
This is a victory for Ripple, the industry and the rule of law. The SEC’s headwinds against the whole of the XRP community are gone."
Judge Torres of the Southern District of New York levied the penalties after concluding that Ripple’s 1,278 institutional sales transactions breached securities regulations.
Previously, Judge Torres decided in July 2023 that Ripple violated federal securities laws by selling XRP directly to institutional clients. However, automated sales of XRP to retail clients through exchanges did not violate securities regulations.
Recently, the SEC failed to appeal a portion of the order that excused Ripple from securities law violations in programmatic sales.
Furthermore, Judge Torres has forbidden Ripple from future violations of federal securities laws, signaling that any violations will necessitate the issue of a court order. Ripple must file a registration statement if it intends to sell securities in the future.
Interestingly, Ripple’s convincing triumph has generated a surge in demand for XRP. At the time of writing, XRP was up 17.88% over the last 24 hours to $0.6055. Its daily trade volume has risen more than 200% to $5.05 billion. The price of XRP has quickly risen to pass crucial levels, $0.50 and $0.60.
@ Newshounds News™
Source: Crypto News Flash
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Solana ETF Approved by Brazilian SEC
Following its approval by the Brazilian regulator, the ETF is in a pre-operational phase, awaiting approval by Brazilian stock exchange B3.
Brazil's Securities and Exchange Commission (CVM) has approved a spot Solana exchange-traded fund (ETF).
According to local business publication exame, the ETF, created by Brazilian asset manager QR Asset and operated by fund administrator Vortx, is in a pre-operational phase, pending approval by Brazilian stock exchange B3.
The ETF will reference the CME CF Solana Dollar Reference Rate, created by CF Benchmarks and the Chicago Mercantile Exchange (CME).
Speaking to exame, QR Asset manager and chief investment officer Theodoro Fleury described the firm as a "global pioneer in this segment, consolidating Brazil's position as a leading market for regulated investments in crypto assets."
Solana ETFs around the world
With the CVM's approval, Brazil has outpaced the U.S. in the race to bring a spot Solana ETF to market. Following the surprise approval of multiple U.S. spot Ethereum ETFs, firms including VanEck and 21Shares have filed S-1 registration forms with the U.S. Securities and Exchange Commission (SEC) in the hope of securing approval.
In May, British bank Standard Chartered predicted in a research note that Solana and XRP ETFs are on the horizon, "albeit this is likely a 2025 story not a 2024 one."
Last month, VanEck's head of digital assets predicted that approval of a U.S. Solana ETF hinges on the outcome of the U.S. presidential election, dubbing the lack of a regulated futures market for Solana a "Psyop" by SEC chair Gary Gensler.
However, asset manager BlackRock has sat out the race, taking a skeptical position and predicting that "it will be a while before we see anything else" beyond Bitcoin and Ethereum ETFs.
Meanwhile, to the north, investment fund manager 3iQ has filed for a Solana ETF in Canada, aiming to be the first to market in North America. Interestingly, 3iQ has said from the outset that the fund would stake the SOL it buys to back shares. “The Solana Fund offers easy exposure to SOL without technical complexity,” the company wrote at the time. “As part of our investment strategy, the Solana Fund will stake SOL to earn rewards.”
@ Newshounds News™
Source: Decrypt
~~~~~~~~~
BRICS: Russia Officially Legalizes Bitcoin and Crypto Mining
"In another important sign of BRICS development in digital currencies, Russia has officially legalized Bitcoin and crypto mining in the country. Indeed, Moscow’s president, Vladimir Putin signed a law Thursday that legalizes the cryptocurrency process to specified persons."
The legislation will only allow “legal entities and individual entrepreneurs included in a register,” to mine crypto, Russian state media reports. However, it also legalizes mining for any individuals who “do not exceed the energy consumption limits,” proposed by the government.
"The past several months have seen BRICS embrace digital assets in a massive way. The group is reportedly considering the creation of a native currency using blockchain technology. It could be set to use these digital assets as a way to move further from the US dollar. Recent legal actions taken by one of its leading nations certainly support that assertion."
"As BRICS develops its digital currency infrastructure, Russia has officially legalized Bitcoin and crypto mining. The law will reportedly allow cryptocurrencies to be traded on native blockchain platforms. Moreover, it will go into effect in just ten days."
"This isn’t the first pro-crypto law Russia has passed this year. In late July, the country moved to allow crypto payments in international trade. The decision was made to combat Western sanctions."
@ Newshounds News™
Source: Watcher Guru
~~~~~~~~~
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Thank you Dinar Recaps
As a Currency Reset looms: Why Gold is Your BEST DEFENSE Right Now
Why Gold is Your BEST DEFENSE Right Now
Taylor Kenny: 8-8-2024
Fueled by runaway government debt and relentless money printing, Taylor Kenney further explores the continuing collapse of the U.S. dollar.
As a currency reset looms with central banks worldwide scrambling, gold takes center stage as the ultimate financial safeguard.
Taylor reveals why now is the moment to shield your assets to prepare for what's coming next.
Why Gold is Your BEST DEFENSE Right Now
Taylor Kenny: 8-8-2024
Fueled by runaway government debt and relentless money printing, Taylor Kenney further explores the continuing collapse of the U.S. dollar.
As a currency reset looms with central banks worldwide scrambling, gold takes center stage as the ultimate financial safeguard.
Taylor reveals why now is the moment to shield your assets to prepare for what's coming next.
CHAPTERS:
00:00 Currency Reset
02:22 National Debt Skyrocketing
04:44 Unsustainable Debt Burden
07:14 Weimer, Germany
08:07 Central Banks Gold Demand
Why GOLD; Dollar Death & New BRICS Gold Currency, Q&A | Andy Schectman
Why GOLD; Dollar Death & New BRICS Gold Currency, Q&A | Andy Schectman
Soar Financially: 8-8-2024
Andy Schectman of Miles Franklin joins us at the Rule Symposium to discuss the decay of the US Dollar, the new BRICS currency "The Unit" which will be GOLD BACKED and answers audience questions.
We dive deep into the dealings of China in the silver market and other shenanigans by the big banks, including JP Morgan.
Why GOLD; Dollar Death & New BRICS Gold Currency, Q&A | Andy Schectman
Soar Financially: 8-8-2024
Andy Schectman of Miles Franklin joins us at the Rule Symposium to discuss the decay of the US Dollar, the new BRICS currency "The Unit" which will be GOLD BACKED and answers audience questions.
We dive deep into the dealings of China in the silver market and other shenanigans by the big banks, including JP Morgan.
Chapters & Timestamps (AI generated):
00:00 Introduction
00:09 Erosion of the Dollar and Government Spending
00:25 New BRICs Settlement Currency
00:38 Special Coverage from the World Symposium
01:00 Introduction of Guests
01:14 Audience Questions
01:30 Precious Metals IRA and Exit Strategy
02:00 Benefits of Precious Metals IRA
02:37 Definition of IRA and Its Benefits
03:15 Undervaluation of Assets and Future Strategies
03:55 Market Trends and Precious Metals Allocation
04:36 Future of Precious Metals Market
05:00 Storage Business Potential
05:12 Importance of Storage and Brokerage Business
06:00 Future of Precious Metals Market Continued
06:50 Macro Questions: Gold and Silver Revaluation
08:00 Historical Perspective on Gold and Silver
09:00 Real Value of Gold and Silver
11:00 China and Bullion Banks
12:50 Importance of Gold to China
15:00 BRICs Currency and Project Enbridge
16:20 Project Enbridge and Central Bank Digital Currencies
17:50 Impact of New BRICs Currency on USD
19:00 Implications of New Settlement Currency
20:50 Transparency in Gold Holdings
22:00 Gold Revaluation Account
23:50 Repatriation of Gold by Countries
25:00 Project Enbridge and Cross-Border Payments
26:20 Impact on US Dollar
27:30 Presentation Highlights at Rule Symposium
29:00 Actions and Ramifications of US Policies
31:00 Resetting the System and Modern Monetary Theory
32:00 JP Morgan and Silver Price Target
33:50 JP Morgan's Role in Precious Metals Market
36:30 Interview with Chairman of Silver Institute
37:20 Closing Remarks and Call to Action
More News, Rumors and Opinions Thursday PM 8-8-2024
TNT:
Tishwash: America announces the arrival of F-22 aircraft to the region to confront the threats of Iran and its agents
The US Central Command announced on Thursday the arrival of F-22 aircraft to the region as part of US reinforcements to confront threats from Iran and its proxies.
"F-22 aircraft have arrived in the region to mitigate the possibility of regional escalation," the US Central Command said.
The Middle East is bracing for a possible new wave of attacks by Iran and its allies following the assassination of the head of the political bureau of the Palestinian resistance movement (Hamas) in Tehran and a senior commander in the Lebanese Hezbollah group in Beirut, raising fears of a wider war in the Middle East.
TNT:
Tishwash: America announces the arrival of F-22 aircraft to the region to confront the threats of Iran and its agents
The US Central Command announced on Thursday the arrival of F-22 aircraft to the region as part of US reinforcements to confront threats from Iran and its proxies.
"F-22 aircraft have arrived in the region to mitigate the possibility of regional escalation," the US Central Command said.
The Middle East is bracing for a possible new wave of attacks by Iran and its allies following the assassination of the head of the political bureau of the Palestinian resistance movement (Hamas) in Tehran and a senior commander in the Lebanese Hezbollah group in Beirut, raising fears of a wider war in the Middle East.
US Secretary of State Antony Blinken said US officials were in contact with allies and partners in the region and that there was "unanimous agreement" that no party should take any actions that would escalate the situation. link
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Tishwash: Parliamentary Integrity Committee prepares to question the Governor of the Central Bank of Iraq
Member of the Parliamentary Integrity Committee, Hadi Al-Salami, revealed on Thursday that his committee has been following up for more than a year on the file of ending the assignment of the Governor of the Central Bank, Ali Al-Alaq, from his position.
Al-Salami explained to Shafaq News Agency that the committee addressed the Prime Minister several times to pressure him to end Al-Alaq's assignment, due to the existence of many violations against him.
He added that the government program announced by the Prime Minister when forming the government includes the necessity of ending the management of positions by proxy after six months of forming the government, noting that Al-Alaq is still managing the position by proxy without any action to cancel his assignment so far.
Al-Salami pointed out that there are many files and violations related to the Central Bank, which have been referred to the Integrity Commission and the Public Prosecution, indicating that these violations include issues related to the lack of control over the exchange rate in the market, in addition to millions of dollars and interest received by Arab and foreign banks, including Jordanian banks.
He revealed that the Acting Speaker of the House of Representatives approved the request to host the Governor of the Central Bank in the upcoming sessions, noting that there are many questions that will be put to the Governor during the hosting session.
In contrast, the Governor of the Central Bank of Iraq, Ali Mohsen Al-Alaq, told the official Iraqi News Agency that meetings will be held with the Federal Reserve and the US Treasury Department at the end of this August to review aspects related to foreign transfer operations and discuss the sanctions imposed on some banks.
Al-Alaq confirms the success of the Central Bank in leading the steps related to foreign transfers and selling the dollar. link
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Courtesy of Dinar Guru: https://www.dinarguru.com/
Mnt Goat Article: "PARLIAMENT RETURNS THE OIL AND GAS LAW TO THE GOVERNMENT: IT MUST ADD PARAGRAPHS THAT KEEP PACE WITH GLOBAL DEVELOPMENTS" Quote: "the government must work on amending and adding new paragraphs to the law..." WOW! This is excellent news. This article shows us the Oil and Gas Law is actually farther ahead than the news has been telling us. It actually did reach parliament and the readings were conducted so far...
Frank26 We don't know if Alaq is truly gone. But he is right now while the US Treasury is there...The US Treasury is overseeing all of the dollar transaction now in the CBI. Not the total operations of the CBI but most of it.
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BEYOND THE VAULT WITH ANDY, BIX (BILL) & JEAN-CLAUDE - AUG 8
Beyond Mystic: 8-8-2024
BRICS: US Stock Market Suffers Major Crash; Is It the End of the Dollar?
We love Africa: 8-7-2024
Amid BRICS de-dollarization, the crisis has reached the West, with more than $2 trillion being wiped out of the US stock market in the first hour of trading. Indeed, concerns about America’s facing an economic slowdown have caused panic across global markets.
Now, all eyes are on the US dollar’s potential to cope with the concern.
Inside Zimbabwe’s New Plan to Replace US Dollar with Gold
Inside Zimbabwe’s New Plan to Replace US Dollar with Gold
On August 7, 2024 By Awake-In-3D
The key strategies behind Zimbabwe’s transition to the gold-backed ZiG currency, de-dollarization and what it means for the future.
What This Means in Simple Terms Zimbabwe is trying to stop using US dollars and start using a new gold-backed currency called ZiG. The government has made a plan for this change, but it’s not easy.
Inside Zimbabwe’s New Plan to Replace US Dollar with Gold
On August 7, 2024 By Awake-In-3D
The key strategies behind Zimbabwe’s transition to the gold-backed ZiG currency, de-dollarization and what it means for the future.
What This Means in Simple Terms
Zimbabwe is trying to stop using US dollars and start using a new gold-backed currency called ZiG. The government has made a plan for this change, but it’s not easy.
The ZiG is doing well so far, staying stable against other currencies. More people are using it, but many are still unsure because past local currencies didn’t work out. The government is working hard to make sure people trust and use the ZiG.
This change is part of Zimbabwe’s effort to control its own economy better and reduce dependence on the US dollar. The success of this plan will depend on continued government support and building public trust in the new currency.
The Government’s Dedollarization Roadmap
Zimbabwe’s cabinet recently approved a roadmap to phase out the US dollar in favor of the ZiG.
Information Minister Jenfan Muswere announced that a plan to operationalize the ZiG as legal tender is now in place, marking a significant step toward economic independence.
This transition is supported by penalties for unjust price hikes and manipulation, ranging from $200 to $5,000, aimed at reinforcing the currency’s use.
Stability of the ZiG Amid Economic Challenges
Since its launch in April 2024, the ZiG has maintained its stability against major currencies, including the US dollar.
Trading at 13.76 against the US dollar, the ZiG demonstrates resilience despite Zimbabwe’s complex economic environment.
The currency’s gold backing, initially set at $100 million and 2.5 tons of gold, has grown to over $375 million, reinforcing its value.
The US dollar, meanwhile, has seen fluctuations, with the dollar index (DXY) experiencing significant drops due to economic uncertainties in the US.
Growing Usage and Trust Issues
The use of the ZiG has more than doubled since its introduction, now accounting for about 30% of all transactions in Zimbabwe.
However, widespread acceptance remains a challenge. Many Zimbabweans, having experienced the failure of previous local currencies, are cautious. The government is addressing these concerns by increasing penalties for price manipulation and unfair trade practices to bolster confidence in the ZiG.
Despite these efforts, the transition is slow as the US dollar still dominates the market.
Economic Impacts and Future Prospects
Zimbabwe’s move to the ZiG aims to achieve economic sovereignty, but the country faces significant hurdles.
The ongoing El-Nino-induced drought has strained resources, and key exports like tobacco and platinum have seen declining prices. Despite these challenges, the government’s commitment to the ZiG demonstrates a clear, long-term vision for economic stability.
The ability of the ZiG to maintain its value will depend on the government’s continued support and effective management of the currency.
Contributing Sources:
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© GCR Real-Time News
Visit the GCR Real-Time News website and search 100’s of articles here: Ai3D.blog
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“Tidbits From TNT” Thursday 8-8-2024
TNT:
Tishwash: Iraq raises its gold holdings to more than 148 tons
The World Gold Council announced today, Thursday, that Iraq has increased its gold holdings to more than 148 tons.
According to the latest report published by the Council in August 2024, which was reviewed by Al-Eqtisad News, Iraq advanced one rank to reach 29th place globally out of 100 countries included in the table, after it was ranked 30th.
The report indicated that Iraq ranks third in the Arab world after Saudi Arabia and Lebanon.
TNT:
Tishwash: Iraq raises its gold holdings to more than 148 tons
The World Gold Council announced today, Thursday, that Iraq has increased its gold holdings to more than 148 tons.
According to the latest report published by the Council in August 2024, which was reviewed by Al-Eqtisad News, Iraq advanced one rank to reach 29th place globally out of 100 countries included in the table, after it was ranked 30th.
The report indicated that Iraq ranks third in the Arab world after Saudi Arabia and Lebanon.
The report indicated that Iraq increased its gold holdings to 148.3 tons, after it was 145.7 tons, which represents 10.02% of its total other reserves.
The Council also indicated that the United States tops the list of countries with the largest gold reserves in the world, with 8,133.5 tons, followed by Germany with 3,351.5 tons, then Italy with 2,814 tons, while Suriname came at the bottom of the list with 1.2 tons.
The World Gold Council, headquartered in the United Kingdom, has extensive experience in analyzing market changes and includes the world's largest gold mining companies as members. link
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Tishwash: Al-Qurayshi: Political and economic interests are behind the American forces remaining in Iraq
State of Law coalition member Saad al-Quraishi confirmed that political and economic interests are behind the continued presence of American forces inside Iraq.
Al-Quraishi told Al-Maalouma, “Political and economic interests may be an excuse used by some parties to keep American forces inside Iraq and not take a decisive decision to leave the country.”
He added, "Iraq cannot currently remove American forces from its territory due to the lack of political will."
He stated that "Iraq will not benefit at all from the presence of American forces on its territory, as Washington is the first party to benefit from the presence of its forces inside Iraq to ensure its dominance over the region."
He pointed out that “the American presence in Iraq was imposed by Washington and not at an Iraqi request.” link
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Tishwash: Saleh: There is no problem with liquidity at all, and what happened in the American markets requires caution.
The financial and economic advisor to the Prime Minister, Mazhar Muhammad Salih, denied the existence of a problem with the cash liquidity in the Iraqi currency.
Saleh said in a press statement, "There is no problem with liquidity at all because it is covered by foreign currency," indicating that "the mechanism for obtaining cash liquidity is that oil sales are converted into US dollars, and when the government needs the dinar for internal exchange, it exchanges oil sales for dollars and goes to the cash issuing bank, which is the central bank, to give it the currency."
He pointed out that "the Central Bank, in order to maintain market stability, sells foreign currency to the market through a currency sale window and auction, to withdraw liquidity again and then repeat it again to achieve natural growth in the issued currency."
Regarding the size of the monetary mass, Saleh explained that “there was an increase in liquidity during the year, as the issued currency became around 100 trillion dinars, after it was 80 trillion dinars,” stressing that “these booms do not have an impact as long as they are covered by foreign currency.”
The Prime Minister's financial advisor believes that economic circles around the world were surprised by the sharp fluctuations and declines in the US stock market amid a wave of panic over fears of a possible recession in the world's largest economy, and that "these declines were based on a combination of local and global economic factors that led to a weakening of investor confidence in the performance of the US economy. If the situation continues for six consecutive months, the recession will turn into a major depression that will hit all economies around the world."
Saleh pointed out that “the US Energy Information Administration had previously announced that it expected average prices to reach about $89 per barrel for the rest of 2024, but there is a gradual decline in global oil prices, which has begun to coincide with the decline in the value of financial assets in the US markets, especially the decline in the benchmark oil (Brent crude), which ranges around $76 per barrel for futures contracts after reaching nearly $88 per barrel last June, which requires more caution and economic precaution.” link
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Tishwash: Al-Alaq: The financial situation in Iraq is going according to plan
The Governor of the Central Bank, Ali Al-Alaq, confirmed the stability of the financial situation in Iraq, and revealed new mechanisms to facilitate foreign trade, including a new mechanism for small traders’ transfers. He also pointed to the importance of the upcoming meeting in New York to resolve the problem of sanctioned banks, stressing the existence of a government move to strengthen the banking sector.
Financial situation in Iraq
Al-Alaq confirmed in an interview with the Iraqi News Agency (INA) that "the financial situation in Iraq is still proceeding according to what is planned in the state's general budget, despite external and local challenges." He explained that "there is high coordination between the Central Bank, the Prime Minister and the Ministry of Finance to ensure the stability and sustainability of the financial aspect."
He added: "We are working closely with the Ministry of Finance to implement the financial plan drawn up in the general budget, which ensures that the objectives, programs and needs are covered." He also pointed out that "the rotation of allocations for governorates and ministries is happening for the first time, which contributes to providing the necessary balances for their role."
Foreign trade
Al-Alaq stated that “the Central Bank is making a major shift in organizing foreign trade to achieve transparency in foreign transfer operations, starting from the transfer and reaching the final beneficiary.” He explained that “this process includes international auditing institutions to ensure that the information is in line with local and international standards.”
Al-Alaq pointed out that "the audit process used to be conducted later, but now the process does not proceed unless all conditions and documents are met." He stressed that "large and medium-sized importing companies have adopted this new system, which contributes to securing their imports with high fluidity."
Other international currencies
Al-Alaq said: “The Central Bank has opened channels for Chinese, Turkish, Indian and Emirati currencies, which represent a significant weight in foreign trade.” He added that “the suspension of these operations for a period was aimed at providing sufficient oversight of these operations, and that a new audit mechanism has been put in place by an international company.”
He explained that "commercial foreign transfer operations are now subject to review by the competent international company, to ensure the safety of the operations."
The difference between the market and the official price
Al-Alaq confirmed that "the Central Bank sells more than $250 million daily at the official price to cover foreign trade, which explains the absence of inflation or price increases." He explained that "the parallel market consists of illegal trade or trade escaping from the fundamental procedures."
Al-Alaq pointed out that "the view of the dollar price should focus on the Central Bank's sales at the official price to settle various needs."
low inflation
"The central bank's main goal is to maintain the general price level and limit inflation," Al-Alaq said. "Monetary policy has succeeded in controlling this aspect, as the level of inflation in Iraq is much lower compared to other countries," he added.
Cooperation with the US Treasury
Al-Alaq praised the cooperation with international organizations such as the International Monetary Fund, the Federal Reserve and the US Treasury, explaining that "there is great praise for the transformations, management and organization of the external transfer process in the Central Bank of Iraq."
Al-Alaq pointed out that "the Central Bank is working to create a direct relationship between the Iraqi bank and the correspondent without going through the Federal Bank, with the aim of facilitating transfer operations."
Upcoming meeting in New York
Al-Alaq announced that "meetings will be held with the Federal Reserve and the US Treasury Department at the end of August to review all aspects related to external transfer operations and discuss sanctions on some banks."
Lifting restrictions on banks
Al-Alaq stressed that "lifting restrictions on some banks is of interest to the Central Bank," noting that "the banking reform plan includes auditing previous operations and contracting with an international consulting firm to develop a future strategy for the banking sector."
Housing Initiative
Al-Alaq revealed "a government move to increase capital to support the housing sector through the Real Estate Bank and the Housing Fund." He added that "the Central Bank plays an exceptional role in bridging the housing financing deficit."
Al-Alaq explained that "the government will increase the capital of the Real Estate Bank and the Housing Fund to support the housing sector," stressing that "the Real Estate Bank will work to meet all requests to purchase housing units." link
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Mot: ....... ole ""Earl"" is on His Own
Mot: .. I'm Sacred! - I'm Sacred! - LOUDER - I'M SCARED! - I'M SCARED!
News, Rumors and Opinions Thursday AM 8-8-2024
Note: All intel should be considered as "Rumors" until we receive official announcements ...and “Rates and Dates” could change anytime until we get to the banks/redemption centers.
RV Excerpts from the Restored Republic via a GCR: Update as of Wed. 7 Aug. 2024
Compiled Wed. 7Aug. 2024 12:01 am EST by Judy Byington
“Get Ready for The Greatest Transfer of Wealth in the History of Mankind” …Wolverine on Telegram Tues. 6 Aug. 2024
“There is a Black Swan Stock Market Crash on the horizon that will have a huge impact across the world and lead to a Global Currency Transition in 209 countries. To ensure that this actually happens, a DEFCON ONE ALERT has already been issued.”…Mr. Pool on Telegram Tues. 6 Aug. 2024
Note: All intel should be considered as "Rumors" until we receive official announcements ...and “Rates and Dates” could change anytime until we get to the banks/redemption centers.
RV Excerpts from the Restored Republic via a GCR: Update as of Wed. 7 Aug. 2024
Compiled Wed. 7Aug. 2024 12:01 am EST by Judy Byington
“Get Ready for The Greatest Transfer of Wealth in the History of Mankind”
…Wolverine on Telegram Tues. 6 Aug. 2024
“There is a Black Swan Stock Market Crash on the horizon that will have a huge impact across the world and lead to a Global Currency Transition in 209 countries. To ensure that this actually happens, a DEFCON ONE ALERT has already been issued.”…Mr. Pool on Telegram Tues. 6 Aug. 2024
It’s only wise to have at least a month’s supply of food, water, cash, medicine and essential items on hand for yourself, your family and to share with others in case of emergency.
Possible Timing: (Rumors/Opinions)
Mon. 5 Aug. 2024 Charlie Ward: “When Israel and Iran go to war it will be the cover for the RV.”
Pending Worldwide Stock Market Crash = Defcon Alert Issued = Global Currency Reset, Possible Timing, Charlie Ward
There will be a EBS message sent over phones, TV and radio around the Globe saying that in the next five hours or so, everyone needed to be home for a global lockdown that would last 10 to 12 days.
NESARA will be announced to the world, which will show that EVERYTHING NEW is beginning.
Then through the EBS, they will show documentaries of everything that has happened to wake up the masses.
At the end of the 12 days, they will give out an 800 number for individuals to call to obtain an appointment to set up your Quantum money account on the new Starlink Satellite System.
There were 75 Deep State Banks that were seized and all assets and accounts closed. All the Cabal’s Central Banks have been taken over, with assets entered into the Quantum Financial System (QFS).
The QFS is run on Blockchain where nothing fraudulent can happen because everything is traceable. They can see where all money goes, which stops corruption in its tracks.
Apparently all people have a sum of money in an individual Quantum Financial Account.
The seized assets of the Cabal were moved to those Quantum Financial Accounts of The People. All monies in trust funds were moved to individual QFS accounts. All our bank accounts, savings accounts and retirement accounts were safe in the new Quantum System.
The only monies not reflected in individual Quantum Accounts were investments and shares on the Stock Market. All that will be gone! It is advised to get out of the Stock Market immediately.
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Thurs, Fri. 8, 9 Aug. 2024: “I just saw something that really made me stop and say huh. Kevin O’Leary was being interviewed for his opinion on the economy and how bad it is being handled, he said just wait until August 8 and ninth. There is going to be a major Nexus August 8 and ninth, a major transformation of the world economy.
He didn’t say revaluation he said transformation coming from somebody like Kevin O’Leary. If you don’t know who Kevin O’Leary is, he’s one of the richest men in the World and he helps people make money. He understands the stock market understand national economy it doesn’t matter it is if it is the USA, Canada, Great Britain, China, any country he understands how the economy is structured.
He also understand how it should be running he has said in the past that it is broken, but he just got through saying just waiting until after August 8 and ninth, there’s change coming interesting to me.” …Super Mario on Telegram Mon. 5 Aug. 2024
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Global Currency Reset: (Rumors/Opinions)
Tues. 6 Aug. 2024 Bruce: Last Sat. 3 Aug. 2024 at 8am EST the RV began with payout of CMKX Adjudicated Settlements and Farm Claims. Prosperity packages were getting ready to be delivered. By Tues. 6 Aug. there were 19 currencies whose hard rates were on the bank screen.
Tues. 6 Aug. 2024 Wolverine: News about notifications are coming out with the release of codes for payments and account access. Information confirms that Paymasters are ready to disburse funds on receipt. Get ready everyone this is the week we’ve been waiting for. I just got another confirmation from a huge Whale that it is happening. Your friend, Wolverine
Remember I told you that the “delay” we have been through for the past 2+ years, is because it literally took this TIME to collapse the US Dollar, and introduce a new Gold/Silver backed currency, and implement GESARA.
Remember the Cabal controlled us because of the Central Banking system, including the Federal Reserve.
NOW…the TIME has FINALLY arrived on what we have been waiting for and working so hard for. There will still be bumps in the road, but remember easy was never the promise. VICTORY was.
Hold on patriots and buckle up, the movie is about to get REALLY GOOD!
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The Shanghai Exchange Corporation and Russia are working on a BRICS payment system. Watch the water. …Goldilocks https://tass.com/economy/1824025#amp_tf=From%20%251%24s&aoh=17228107385705&referrer=https%3A%2F%2Fwww.google.com&share=https%3A%2F%2Ftass.com%2Feconomy%2F1824025 https://unitingtocombatntds.org/en/get-involved/events/brics-summit-2024/
This new International Digital Payment System is expected to be discussed at the BRICS summit on October 22nd through the 24th of 2024.
After discussions during the summit, Russia in cooperation with a Shanghai Exchange Corporation will begin the implementation process of moving the trading world into a new payment system. Remember, this is over 80% of trade that takes place around the world on the water, and it has the power to influence exchange rates.
Many countries are already beginning to join the BRICS Nations as trading partners utilizing a gold standard in trade to level the playing field. Other countries will be added as we go along.
This is expected to change the Global Financial system in a profound way especially in the area of currency valuations being traded locally instead of through the dollar as the World Reserve Asset.
From that point on, we can expect changes to begin processing themselves AS the BRICS Nations begin to mobilize their new payment system.
I am not calling an RV date at that time, but I will say that price pressures on new currencies being utilized on the market will begin to show signs of new movement.
Read full post here: https://dinarchronicles.com/2024/08/07/restored-republic-via-a-gcr-update-as-of-august-7-2024/
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Courtesy of Dinar Guru: https://www.dinarguru.com/
Frank26 [Iraq boots-on-the-ground report] FIREFLY:
The US Treasury are saying to us they are active in our country and they're making sure the change that is coming will not be a massive flow straight into Iran...They are telling us on TV the time has come to hit the ground for this corruption.
Militia Man Iraq is still being able to function. They told us their 2023-24 budget was legal, has always been and they're moving forward with it...Even though we haven't seen an exchange rate change they can still function, which is fine...Now they're starting to do things that are getting their banks in order and we're seeing the results of that.
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IQD Investment Saudi Iraq & US How It All Started
Edu Matrix: 8-8-2024
IQD Investment Saudi Iraq & US How It All Started - IQD Investment Saudi Iraq & U.S. The new IQD investment has a unique history. How Saudi, Iraq, and the U.S. play key roles in the NEW Iraqi Dinar Investment.
There is a crucial piece of the puzzle missing. The real reason the U.S. Administration created a campaign to invade Iraq the second time. Until we fully undersand the "real" reason, for the invasion, we have limited knowledge.
LIVE! Big Banks Are Boosting Cash Reserves. Why? (I AM EXPECTING A MAJOR FF EVENT).
Greg Mannarino: 8-8-2024
The Financial System Crisis Unfolding Now is Different and Way Worse
The Financial System Crisis Unfolding Now is Different and Way Worse
On August 6, 2024 By Awake-In-3D
The Current Financial System Crisis is more severe than 2008. Here’s what is coming and why.
I want to have a candid conversation with you today about something incredibly important. Many of us remember the financial system crisis of 2008 and the global turmoil it caused.
Now, we’re facing a situation that’s not only different but potentially much worse.
The global financial system is on the brink of a crisis that could see the collapse of the US dollar, something we’ve never experienced before.
The Financial System Crisis Unfolding Now is Different and Way Worse
On August 6, 2024 By Awake-In-3D
The Current Financial System Crisis is more severe than 2008. Here’s what is coming and why.
I want to have a candid conversation with you today about something incredibly important. Many of us remember the financial system crisis of 2008 and the global turmoil it caused.
Now, we’re facing a situation that’s not only different but potentially much worse.
The global financial system is on the brink of a crisis that could see the collapse of the US dollar, something we’ve never experienced before.
This isn’t just another recession; it’s an oncoming catastrophe that will change everything.
In This Article:
The Collapse of the Dollar: A Unique Catastrophe
Historical Comparisons: The 2008 GFC vs. Now
Key Factors Driving the Current Crisis
Preparing for an Unprecedented Financial Collapse
What we are now coming into is not just another recession.
What’s coming is the potential collapse of the dollar, an event that dwarfs the 2008 Global Financial System Crisis (GFC). The ramifications of such a collapse are unprecedented, threatening to plunge the global economy into chaos.
We should all hope that an alternative, gold-backed currency system is in place before this happens.
The Collapse of the Dollar: A Unique Catastrophe
Unlike past financial crises, this one involves the potential collapse of the US dollar, the world’s reserve currency. Such an event has never been experienced before.
The dollar’s collapse would lead to widespread economic instability, making the crisis far more severe than anything seen in recent history.
Historical Comparisons: The 2008 Global Financial Crisis vs. Now
The 2008 GFC was triggered by the collapse of the housing market and the failure of financial institutions.
In response, the Federal Reserve injected liquidity into the banking system, which temporarily stabilized the economy.
However, the measures taken back then have led to long-term consequences, such as inflated asset prices and increased national debts to historic levels, setting the stage for a more catastrophic crisis now.
Key Factors Driving the Financial System Crisis We’re Entering Now
The current financial system is teetering on the edge due to several critical factors:
1. Excessive Liquidity and Debt: The continuous injection of liquidity and low-interest rates since 2008 have led to unsustainable levels of debt. This “hallucinated capital” has created a massive bubble that is now on the verge of bursting.
2. Loss of Faith in the Dollar: With increasing global instability, there is a growing loss of confidence in the dollar. As soon as an alternative, more stable gold-backed currency emerges, the dollar could collapse, triggering widespread financial chaos.
3. Unprecedented Economic Shocks: Events such as government responses to COVID-19 and geopolitical tensions have strained the global economy. The repo market spasm in 2019 highlighted the fragility of the financial system, which was only exacerbated by the 2020 eoncomic shutdown and unfunded public stimulus programs.
4. Systemic Failures: The unprecedented, interconnected nature of the global financial system means that failures in one area will quickly spread, leading to a domino effect of collapsing markets and institutions.
Preparing for an Unprecedented Financial Collapse
As the great, global fiat financial system experiment reaches its logical conclusion, it’s critical to understand the gravity of the situation and take steps to prepare.
Unlike the 2008 GFC, the tools and tricks used by the almighty FED to stabilize the economy are now exhausted.
The focus should be on securing tangible assets that retain value, such as gold and silver, and preparing for the potential shutdown of banks and financial institutions.
The collapse of the dollar will lead to an epic revaluation of assets, with many losing significant value. This time, the so-called authorities are out of tricks and out of fake money.
Emergency interest rate cuts and liquidity injections won’t change the fundamental issues at play.
The Bottom Line
The financial crisis unfolding now is fundamentally different and much worse than the 2008 Global Financial Crisis.
The collapse of the dollar, driven by unsustainable debt, loss of confidence, and systemic failures, will have unprecedented global repercussions. Preparing for this collapse involves understanding the gravity of the situation, securing tangible assets, and bracing for widespread economic turmoil.
The wait is over, and the reality of a collapsing financial system is here.
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© GCR Real-Time News
Visit the GCR Real-Time News website and search 100’s of articles here: Ai3D.blog
Join my Telegram Channel to comment and ask questions here: GCR_RealTimeNews
Follow me on Twitter: @Real_AwakeIn3D
Seeds of Wisdom RV and Economic Updates Wednesday Evening 8-7-24
Good Evening Dinar Recaps,
India has no plans to regulate crypto sales and purchases
Despite tightening measures against money laundering and terror financing, India has no immediate plans to regulate cryptocurrency transactions.
The Indian government revealed no immediate plans to regulate the sales and purchase of cryptocurrencies as it continues to tighten oversight on crypto-related money laundering and terror financing.
During a parliamentary meeting on Aug. 5, Pankaj Chaudhary, the Minister of State in India’s Ministry of Finance, responded to several questions detailing the nation’s current stance on crypto regulations.
Good Evening Dinar Recaps,
India has no plans to regulate crypto sales and purchases
Despite tightening measures against money laundering and terror financing, India has no immediate plans to regulate cryptocurrency transactions.
The Indian government revealed no immediate plans to regulate the sales and purchase of cryptocurrencies as it continues to tighten oversight on crypto-related money laundering and terror financing.
During a parliamentary meeting on Aug. 5, Pankaj Chaudhary, the Minister of State in India’s Ministry of Finance, responded to several questions detailing the nation’s current stance on crypto regulations.
Chaudhary said that India has not conducted any study or research to understand the adoption level of cryptocurrencies among its citizens. He responded by saying that:
“Crypto assets or Virtual Digital Assets (VDAs) are unregulated in India and the government does not collect data on these assets.”
India will tax crypto, not regulate it
Although India officially implemented a tax system for cryptocurrency transfers and profits on April 1, 2022, the government has no plans to regulate the sale and purchase of cryptocurrencies. Under India’s crypto law, citizens are required to pay a 30% tax on unrealized crypto gains and a 1% tax deducted at source (TDS).
Chaudhary highlighted India’s ongoing efforts toward Anti-Money Laundering (AML) and Countering the Financing of Terrorism (CFT) in crypto. Earlier in January, India banned several offshore crypto exchanges for noncompliance with local regulations, including Binance, KuCoin, Bitget, Huobi, OKX, Gate.io and MEXC.
However, the nation has no plans to regulate crypto purchases and sales. Chaudhary added:
“Currently, there is no proposal to bring legislation for regulating the sales and purchase of virtual digital assets in the country.”
Ongoing efforts to curb illicit crypto activities
He also reminded that India had pushed for a coordinated effort from all G20 nations to curb the illicit use of cryptocurrencies globally during its 2023 presidency.
Binance’s plan to reenter India after paying a $2 million fine for noncompliance was recently met with a roadblock.
On Aug. 6, the Directorate General of Goods and Service Tax Intelligence (DGGI) — an Indian law enforcement agency — demanded 722 crore Indian rupees ($86 million) in unpaid taxes from Binance.
Indian authorities had sent email notices to Binance offices in Seychelles, the Cayman Islands and Switzerland, which the crypto exchange ignored. However, Binance later appointed a local counsel to officially resolve its tax obligations.
@ Newshounds News™
Read: Coin Telegraph
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HOW TO BUY XRP
"XRP is one of the largest cryptocurrencies by market capitalization, starting the year with a value of more than $30 billion. XRP’s origins date back to 2012 when the company now known as Ripple was founded and the XRP Ledger launched."
"Unlike bitcoin (BTC) and ethereum (ETH), the Ripple network and its XRP native cryptocurrency were designed to facilitate financial transfers among banks and other global financial institutions.
The goal of the project was to create a cheaper, faster and more secure alternative to the Society for Worldwide Interbank Financial Telecommunications, or SWIFT, which executes financial transfers."
WHAT IS XRP?
"While investors sometimes refer to the XRP cryptocurrency as Ripple, in fact Ripple is the technology company backing XRP and the XRP ledger blockchain.
The XRP blockchain itself is decentralized and public. The Ripple transaction protocol facilitates XRP network transactions, a set of rules governing RippleNet. RippleNet is a network of payment facilitators and banks worldwide that helps participants send and receive payments seamlessly, reducing transaction bottlenecks."
"Unlike bitcoin, dogecoin (DOGE) and other cryptocurrencies mined using a proof-of-work consensus mechanism, XRP is pre-mined and has a maximum total supply of 100 billion tokens. "
1. Decide if you want to buy XRP.
"XRP has advantages over bitcoin, ethereum and other leading cryptocurrencies, but it may only be right for some investors. "
2. Find a place to buy XRP.
"Once you have decided to buy XRP, you must find a cryptocurrency exchange or investing app that supports XRP trading. Exchanges are online platforms where users trade cryptocurrencies, and XRP is supported on a large number of markets and exchanges. "
Centralized exchanges
"A centralized crypto exchange is similar to a traditional financial institution in which a centralized company acts as an intermediary between transaction participants. Leading centralized crypto exchanges that support XRP trading include Binance, Coinbase, Kraken and Bybit."
Decentralized exchanges
"A decentralized crypto exchange allows users to make direct transactions through blockchain technology to complete trades without needing a centralized intermediary. Leading decentralized crypto exchanges that support XRP trading include PancakeSwap, SimpleSwap and onXRP."
3. Choose a form of payment.
Once you open an account on your preferred exchange, you must decide which payment methods are compatible with your exchange and convenient for you.
Fiat currency
"Many centralized exchanges allow the U.S. dollar or other fiat currencies for payment. Fiat currencies are government-supported currencies that are not backed by physical assets. Examples include the U.S. dollar, Japanese yen and euro."
Cryptocurrency
"Crypto exchanges often allow users to buy and sell one cryptocurrency using other cryptocurrencies. It’s common for crypto traders to buy and sell altcoins like XRP using bitcoin."
Stablecoins
"Stablecoins are cryptocurrencies designed to have stable prices, typically by pegging them to the price of a fiat currency or other commodity. Popular stablecoins include tether (USDT), USDC (USDC) and Dai (DAI), which are all pegged to the U.S. dollar."
4. Store your XRP.
"You will need a digital wallet compatible with XRP to store your crypto. Digital wallets are hardware or software that store a user’s private keys and are used to send and receive crypto. Some cryptocurrency exchanges provide custodial wallets to their customers.
But others require noncustodial wallets that leave the user responsible for securing private keys. Centralized exchanges such as Kraken and Coinbase offer users custodian wallets.
XRP is also supported on noncustodial software wallets such as GateHub, Xumm and Trust Wallet, as well as noncustodial hardware wallets such as Ledger, Keystone and Trezor."
@ Newshounds News™
Read more: USA Today
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De-Dollarization Faltering in Africa Because Citizens Lack Confidence in Their National Currencies
HOW LONG WILL IT TAKE TO DE-DOLLARIZE THE WORLD WHEN WE HAVE REAL-WORLD PROBLEMS SUCH AS THIS ARTICLE PRESENTS STILL EXIST
"Sometime in 2023, during the peak of anti-dollar hype, Kenyan President William Ruto questioned why his country and Djibouti still had to settle trade in U.S. dollars when they had their currencies."
" The U.S. dollar hegemony was never widely seen as a threat, even as a few small countries were highlighting Washington’s apparent use of the currency’s dominance to achieve political goals.
However, when the U.S. took the bold step of using the dollar’s dominance to punish Russia after its invasion of Ukraine, suddenly there seemed to be a consensus among countries that Washington was weaponizing its currency.
For countries fearing they might be the next target, advocating for an alternative to the dollar or de-dollarization became the logical course of action."
"Clearly, the process or task of establishing a currency that eats into the greenback’s dominance is a mammoth one. But why is it difficult to create or launch a currency that can challenge the U.S. dollar? Alternatively, what has enabled the dollar to remain the most preferred reserve currency, even among those bitterly opposed to the U.S.?"
U.S. Dollar as a Store of Value
"Well, a lot may have nothing to do with what the U.S. is doing right but rather with what its opponents are doing. A good example exists in Africa, where persistently high inflation rates have convinced citizens that holding onto a local currency is unwise."
"Injecting money that does not correspond with an economy’s production usually results in one thing: runaway inflation. Unfortunately, this is precisely what many central banks, including those in Africa, have been doing, leading to currency crises and eventual dollarization."
"So, to answer the Kenyan President and those asking a similar question, traders between two African countries demand payment in U.S. dollars because they lack confidence in their own or their counterpart’s national currency.
It does not matter how far away they are from the United States; the two traders prefer this because it has a stable value, at least when compared with their respective national currencies."
"While the Kenyan leader has gone as far as to plead with traders to use local currencies, several African countries have banned the use of foreign currency in domestic transactions. However, this approach has often not translated into the increased local currency use. Instead, it has driven traders underground, harming local economies."
@ Newshounds News™
Read more: Bitcoin
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Judge Fines Ripple $125M, Bans Future Securities Law Violations in Long-Running SEC Case
"A federal judge ordered Ripple to pay $125 million in civil penalties and imposed an injunction against future securities law violations on Wednesday."
"District Judge Analisa Torres, of the Southern District of New York, imposed the fine after finding that 1,278 institutional sale transactions by Ripple violated securities law, leading to the fine.
The $125.035 million fine is well below the $1 billion in disgorgement and prejudgment interest and $900 million in civil penalty the SEC sought."
"The SEC tried unsuccessfully to appeal that portion of the ruling while the case was ongoing."
"The injunction document requires Ripple to file a registration statement if it intends to sell any securities. The SEC is likely to appeal the July 2023 ruling now that the judge has imposed a sentence, after the same judge denied the SEC's motion for an interlocutory appeal last year."
"The SEC and Ripple settled charges tied to CEO Brad Garlinghouse and other executives after that interlocutory appeal was denied.
The price of XRP rose 3 cents, or around 2%, after the judgement was published."
@ Newshounds News™
Read more: CoinDesk
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Fed Data Shows 9.1% of Credit Card Balances Hit Delinquency Status This Year | PYMNTS
@ Newshounds News™
~~~~~~~~~
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The Federal Reserve Is Missing What Seems To Be Obvious To Everyone Else
The Federal Reserve Is Missing What Seems To Be Obvious To Everyone Else
Notes From The Field By Peter Schiff August 7, 2024
On Wednesday, March 8, 2023, Fed Chairman Jerome Powell was sworn in for testimony in front of members of Congress to deliver remarks about the state of the US economy.
Inflation had been raging for well over a year at that point, and, in response, the Fed had rapidly increased interest rates to levels not seen since 2007.
But nothing happens in a vacuum. The Fed cannot expect to jack up rates without some major consequences. And concerned members of Congress asked the Chairman about these potential consequences.
But Chairman Powell played them off, practically dismissing any risk to their raising rates and ‘tightening’ monetary policy, saying “nothing about the data suggests we’ve tightened too much. . .”
The Federal Reserve Is Missing What Seems To Be Obvious To Everyone Else
Notes From The Field By Peter Schiff August 7, 2024
On Wednesday, March 8, 2023, Fed Chairman Jerome Powell was sworn in for testimony in front of members of Congress to deliver remarks about the state of the US economy.
Inflation had been raging for well over a year at that point, and, in response, the Fed had rapidly increased interest rates to levels not seen since 2007.
But nothing happens in a vacuum. The Fed cannot expect to jack up rates without some major consequences. And concerned members of Congress asked the Chairman about these potential consequences.
But Chairman Powell played them off, practically dismissing any risk to their raising rates and ‘tightening’ monetary policy, saying “nothing about the data suggests we’ve tightened too much. . .”
Two days later, Silicon Valley Bank went bust-- in large part because of the Fed’s interest rate increases.
And it wasn’t just Silicon Valley Bank that was in trouble. In fact, the FDIC reported over $600 billion in unrealized losses across the entire US banking system, and most of that due to higher interest rates.
It’s not hard to understand. Banks typically invest their customer deposits in either loans or bonds. And rule #1 with bonds is that, when interest rates rise, bond prices fall.
Even a first-day intern at the Fed would have known that. The Fed chairman should have certainly known that.
It was also in their own data. Remember, the Fed is also one of the key supervisors of the US banking system, so they had access to all of Silicon Valley Bank’s financial records. They saw the losses piling up, they saw the risks.
This is what’s so bizarre. The Fed always claims to be looking at the data and says that their economic prognostications are based on data.
But again, the Fed had the data. It was glaring at them. But they failed to anticipate any consequences to their rate hikes-- even TWO DAYS before a major bank collapsed.
Sadly, the Fed chairman seems to have outdone even that bad call.
Last week he told a room full of reporters that economic weakness is “not what we’re seeing” and that the economic data are “not signaling a weak economy. . . ”
He went on to say that chances of a “hard landing are low” and that “the picture [of the US economy] is not one of slowing.”
Yet once again, literally days later, a meltdown in financial markets took place worldwide… because investors finally realized that the Fed has no idea what they’re talking about.
And everyone from Pepsi to McDonald’s to Heineken to Cartier to Porsche has been reporting slower growth or declines in sales.
This morning Disney reported a slowdown in its parks division-- which is typically rock solid. Proctor & Gamble reported a decline in sales of Tide laundry detergent and Charmin toilet paper. The list goes on and on.
Monday’s sudden market swoon has calmed. But in large part that sense of calm is because investors are now pricing in a near 100% chance of a 50-basis point (0.5%) rate cut at the Fed’s September meeting. There are even some expectations of an emergency rate cut before the September meeting.
Again, they claimed just a week ago that the chances of a hard landing “are low”, and that a 50-basis point cut is “not something we’re thinking about”. Yet just days later, it became clear that the economy is slowing, and unemployment is moving higher.
(It’s also notable that most of the growth in labor market now is with government jobs, which actually hurt the economy.)
So, the Fed is almost certainly going to have to reverse itself and start making big rate cuts. Frankly, they have no other option, if for no other reason than the national debt.
The US government has trillions and trillions of dollars of bonds which are maturing this year and next. And the Treasury Department clearly doesn’t have the cash to pay them back. So instead, they’ll have to reissue more bonds to pay back the old bonds. Sounds a bit like a Ponzi scheme to me.
Their problem is that the new bonds will carry a much higher rate of interest than the old bonds… which the federal government absolutely cannot afford.
Think about it: $10 trillion worth of bonds paying a 1% coupon costs $100 billion per year in interest. That’s a lot, but it’s manageable. If they have to refinance $10 trillion at 5%, the annual interest bill increases to $500 billion… which is showstopper.
So, the Fed HAS to cut rates-- not only to jump start the economy and prevent a recession… but to bail out the US government and give the Treasury Department the opportunity to refinance its debt at a lower rate.
However, these rate cuts, combined with yet another round of quantitative easing (i.e. money printing), will just end up bringing a LOT more inflation to the US economy.
Naturally the Fed is not forecasting any of this. They don’t see the inflation problem ahead. They keep claiming that they’re looking at the data… yet they consistently misdiagnose what’s happening in the economy.
It’s like an ER doctor who examines a patient with a gunshot wound and prescribes a course of stool softeners. They’re missing what seems to be obvious to everyone else.
Look, these guys are human beings too. They’re not perfect, they’re going to make mistakes. But that’s the problem with this monetary system: a handful of bureaucrats with bad track records are awarded the most powerful authority in finance and expected to be infallible.
It’s a deeply, deeply flawed system, and it’s bizarre that anyone has any confidence in it.
The Fed is not all-powerful. Not only do they not see the coming danger, but they’re powerless to stop it. And Monday’s meltdown is a sign that the market is starting to figure that out.
Peter Schiff Co-Founder, Schiff Sovereign LLC
More News, Rumors and Opinions Wednesday PM 8-7-2024
KTFA:
Clare: For 3 reasons.. Changing the relationship is “not enough” to improve the performance of the Central Bank
8/7/2024 Special
Economic consultant, Ziad Al-Hashemi, confirmed today, Wednesday, that changing the governor of the Central Bank, Ali Al-Alaq, will not be sufficient alone to bring about the required change and improvement in the performance of the Central Bank, but rather the issue requires a broad and large screening and development of its work style, updating its management structure, and giving it the independence it needs, like other central banks.
KTFA:
Clare: For 3 reasons.. Changing the relationship is “not enough” to improve the performance of the Central Bank
8/7/2024 Special
Economic consultant, Ziad Al-Hashemi, confirmed today, Wednesday, that changing the governor of the Central Bank, Ali Al-Alaq, will not be sufficient alone to bring about the required change and improvement in the performance of the Central Bank, but rather the issue requires a broad and large screening and development of its work style, updating its management structure, and giving it the independence it needs, like other central banks.
Al-Hashemi told Al-Jarida, “The Central Bank of Iraq suffers from several major and fundamental problems, the first of which is that there is a defect in the structure of the Central Bank of Iraq, and this defect is clear in the method and style of the bank’s work. There is also weakness in the performance of the administrative system within the Central Bank as a whole, and there is also weakness in the independence of the Central Bank.”
He explained that “these factors of administrative weakness, structural defects, and weakness in the independence of the Central Bank mean that any change at the level of the leadership as individuals will not make a significant difference in bringing about a qualitative shift or positive development in the performance of the Central Bank as a whole.”
He stressed that “the Central Bank needs a broad and extensive screening, developing its work model, updating its management structure, and giving it the independence it needs, just like other central banks, to work comfortably, make its decisions, manage, implement, and monitor monetary policies with complete independence, without political interference or interference from any other party.”
Al-Hashemi concluded by saying, “Changing the governor of the Central Bank will not be enough alone to bring about the required change and improvement in the performance of the Central Bank, but rather the issue requires other requirements.” LINK
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Courtesy of Dinar Guru: https://www.dinarguru.com/
Mnt Goat ...what is actually occurring between the CBI, the Feds and the US Treasury. If you read the headlines today you might begin to panic...you might say things are looking really bad for Iraq. But I assure you that this is all actually VERY GOOD news for us investors... this recent move by the US Treasury was made for the benefit of the currency reform process so that they could move to the next step of the currency reform once these issues are fixed...
Militia Man Article: "Central Bank Governor's Resignation: Admission of Failure or Escape from the Repercussions of the Financial Crisis?" Do we really think at this stage of where the reforms are now and how far they have come to even suggest Al-Alaq is going to go to Al-Sudani and give his resignation? ...Al-Alaq in present terms has kept the country in a state of financial stability to date...This is a hit piece. One that is not surprising as the dollar auctions have dried up. That is very painful to those that lived off the cash cow... We shall see if it arrives and he steps aside as they put it...
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TNT:
Tishwash: A government bank manager replaces Al-Alaq: Will the new option be controversial?
The representative of exchange companies, Diaa Al-Taie, revealed today, Wednesday, his expectations regarding the possible alternative to the Governor of the Central Bank, Ali Al-Alaq, highlighting a set of necessary qualities that should be available in the new governor.
Al-Taie explained in his statements that “the expected replacement for the governor of the Central Bank, Ali Al-Alaq, will be the director of a government bank,” adding that this director has negative indicators according to informed sources. These expectations come amidst reports that Al-Alaq has submitted a request to Prime Minister Mohammed Al-Sudani to relieve him of his position, based on a number of issues and problems in the Iraqi financial and banking sector, and the inability to control the dollar exchange rate on the black market.
Al-Taie pointed out that the new governor must have four basic qualities to ensure the effectiveness and success of the Central Bank’s work. He explained that “the new governor of the Central Bank must be non-controversial, professional, honest, and acceptable domestically and internationally.” These qualities are essential to ensure the stability of the financial sector and achieve the desired economic goals.
These developments come at a critical time when Iraq is facing significant economic challenges, including controlling exchange rates and strengthening confidence in the banking system. The selection of a new governor for the Central Bank is a crucial step in addressing these challenges and ensuring the stability of the national economy. link
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STOCK MARKET CRASH? No... WE ARE IN A WORLDWIDE FINANCIAL CRISIS OF EPIC PROPORTIONS.
Greg Mannarino: 8-7-2024
URGENT: Is The Market Crash OVER? | Martin Armstrong
Capital Casm: 8-7-2024
Dollar Poised For Comeback, Recent Weakness Just A Hiccup
Dollar Poised For Comeback, Recent Weakness Just A Hiccup
Reuters poll Sarupya Ganguly Tue, August 6, 2024
BENGALURU (Reuters) - The U.S. dollar will claw back some of its recent losses over the coming three months on expectations financial markets have again gone too far in pricing in too many Federal Reserve interest rate cuts this year, a Reuters poll of foreign exchange strategists found.
After rising about 5% for the year, the greenback lost more than half its gains against a basket of major currencies in recent weeks amid sluggish U.S. economic data fuelling expectations of multiple Fed rate cuts, starting in September.
Much of those losses came following weaker-than-expected jobs data on Friday, which encouraged financial markets to project around 120 basis points worth of rate cuts in total from the three remaining Fed meetings this year, compared with 50 basis points just a few weeks ago.
Dollar Poised For Comeback, Recent Weakness Just A Hiccup
Reuters poll Sarupya Ganguly Tue, August 6, 2024
BENGALURU (Reuters) - The U.S. dollar will claw back some of its recent losses over the coming three months on expectations financial markets have again gone too far in pricing in too many Federal Reserve interest rate cuts this year, a Reuters poll of foreign exchange strategists found.
After rising about 5% for the year, the greenback lost more than half its gains against a basket of major currencies in recent weeks amid sluggish U.S. economic data fuelling expectations of multiple Fed rate cuts, starting in September.
Much of those losses came following weaker-than-expected jobs data on Friday, which encouraged financial markets to project around 120 basis points worth of rate cuts in total from the three remaining Fed meetings this year, compared with 50 basis points just a few weeks ago.
Several major banks, including primary dealers who deal directly with the Fed, followed suit in predicting more rate reductions than expected earlier.
Yet with policymakers pushing back against speculation that recent weakness in economic data would translate into recession, markets may yet again be forced to temper their rate cut expectations.
FX strategists in the monthly Reuters poll, conducted from Aug. 1-6 through recent market turmoil, predicted the euro, currently about $1.10, would fall about 1.4% to $1.08 by end-October, before rising to current levels in six months and then to $1.11 in a year.
"Our strong dollar argument has certainly taken a big hit in terms of confidence, but is its strength truly over? That's not our call," said Paul Mackel, global head of FX at HSBC. "Our recession indicators are not flashing red. And even if the U.S. economy loses momentum, that usually spells bad news for other economies. The dollar does better in that environment."
"Are markets getting carried away? Naturally, I'd say yes, but it's difficult to stand in front of that speeding train in the very short term because this type of overreaction can persist," Mackel added. "You need to be very careful when volatility is this high and you're not used to it coming back so quickly."
MAJOR CUTBACK
The Japanese yen, which started its latest upward march against the U.S. dollar after the Bank of Japan raised its overnight call rate to 0.25% on July 31 and announced a major cutback in its asset purchases going forward, hit a seven-month high of 141.7/$ on Aug. 5. It will hold on to its recent gains to trade at 144/$ in a year, the survey showed.
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Economist’s “Market Crash News and Views” 8-7-2024
Economic Freight Train Is Coming | Gregory Mannarino
Liberty and Finance: 8-7-2024
Gregory Mannarino warns of a looming economic trainwreck driven by massive currency devaluation and unsustainable debt levels.
He believes that the central banks' policies, such as suppressing interest rates and weakening the dollar, are setting the stage for a severe financial crisis.
Economic Freight Train Is Coming | Gregory Mannarino
Liberty and Finance: 8-7-2024
Gregory Mannarino warns of a looming economic trainwreck driven by massive currency devaluation and unsustainable debt levels.
He believes that the central banks' policies, such as suppressing interest rates and weakening the dollar, are setting the stage for a severe financial crisis.
Mannarino argues that these actions disproportionately benefit corporations and the wealthy, leaving average citizens vulnerable.
He emphasizes the need for awareness and proactive measures to mitigate the impact of the impending economic downturn on individuals and communities.
INTERVIEW TIMELINE:
0:00 Intro
2:10 Volatile markets
12:18 The “solution”
18:19 Dividing the population
27:46 Preparedness
Commodities To Go 'Through the Roof' After Brutal 80% Market Crash: David Hunter
Commodities Culture: 8-7-2024
David Hunter forecasts that the broad market is set for an 80% crash in the next year, in a bust he believes could be one of the biggest financial downturns in history.
The good news for commodities investors is that he sees an unprecedented supercycle for hard assets on the other side, where gold, silver, energy, uranium, copper, and other vital commodities will explode in value beyond what anyone can anticipate.
00:00 Introduction
00:44 The Fed's Next Move
01:42 State of the Broad Market
05:58 Implications of Rate Cuts
11:07 History Repeating
13:52 Canada Has No Gold
17:44 BRICS Versus the West
23:22 Oil and Geopolitics
26:43 Thoughts on Uranium
28:24 Forecast For Copper
30:07 Agricultural Commodities
33:54 Inflation Leading to Civil Unrest
36:18 Get Your House in Order
42:40 Gold and Silver's Role