Dinar Recaps

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More News, Rumors and Opinions Monday PM 2-6-2023

DJ:  DID YOU KNOW ?

Here is some fuzzy math for you to digest. Trade deficit and how it affects the economy and in particular, currency. A trade deficit occurs when a country exports more goods than it imports or imports more than it exports. To accommodate global trade, countries keep “ Foreign Currency Reserves”. But how holding that currency reserve affects trade is the fuzzy math.

For example, China. China’s yuan is pegged to the U.S.dollar. If China stockpiles the dollar it raises the dollar’s value versus the yuan making Chinese exports cheaper than American made goods increasing China’s sales.

A lot of central banks use their reserves to keep their currency value lower than the U.S. dollar for the same reason. Japan buys U.S. treasuries to keep its currency value lower ensuring that Japan exports stay cheaper.

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Keeping that in mind, here is where it gets dicey. By stockpiling U.S. dollars and decreasing the value of a country’s currency, so their goods are cheaper than the U.S.’s goods, it also works in reverse. If a country wants to increase its value it sells their U.S. reserves, but in doing so decreases the value of the dollar.

High global demand for the dollar allows the U.S. to borrow money at a lower cost and amplifies the power of its sanctions, but this dollar supremacy comes at a cost. Increased foreign demand for U.S. bonds bids up the dollar and makes U.S. exports less competitive, resulting in trade deficits and lost jobs. ( The Federal Reserve says that at any given time, about 45% of all U.S. banknotes are held overseas).

All told, anyone looking for all the U.S. dollars in the world in December 2022 could expect to find approximately $21.2 trillion in existence, using the M2 money supply definition. If you just want to count the value of notes and coins, there are about U.S. $2.3 trillion worth of notes and coins floating around the globe.

The IMF recognizes eight major reserve currencies: the Australian dollar, the British pound sterling, the Canadian dollar, the Chinese renminbi, the euro, the Japanese yen, the Swiss franc, and the U.S. dollar. The U.S. dollar being the most commonly held reserve currency, making up more than 60% of global foreign exchange currency.

The fact that this manipulation of reserve currency mechanism even exists is insane. When countries can manipulate their reserves and adversely affect the economies of another country at will, is a pretty strong indicator the global financial system is in need of revamping. Countries need to sell and export what they can produce and import what they need to survive. And it is all based on how their currency is valued or devalued. The concept of a GCR and all the mechanisms, agreements and activity related to pulling it off, is not only feasible but a necessity.

DJ

https://www.rumormillnews.com/cgi-bin/forum.cgi?read=216722

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Courtesy of Dinar Guru

Nader From The Mid East   They did two good things.  The budget has been presented yesterday.  Tomorrow should be on the table...by the end of the week should present to the government.  The second thing the CBI have finished one file on reducing the dollar exchange rate.  I hope they did good.  I hope they're not talking about 1460 or 1120...we'll see tomorrow what's going on...it's a question of time now.  Be patient.  We're almost there...One day it's going to hit.  That's it.

Sandy Ingram  Iraqis protested Friday in Baghdad demanding the government take action to stop the economy crisis...after the Iraqi dinar plunged again...to around 1750 Iraqi dinar to $1 at street exchangers in some parts of the country on Thursday compared to the official rate of 1460 dinar for $1 US.  On Friday...most exchange stores in Baghdad were closed while in the northern city of Erbil the dollar was trading at around 1710 Iraqi dinars to $1.  At the same time we are getting the news..from ABC and countless other news stations that the meeting between the US Treasury Department and the head of the Central Bank of Iraq the crisis has been averted.

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TNT:

CandyKisses: Kurdistan Regional Government suspends working hours in all institutions for three days

Baghdad - Nas   

The Kurdistan Regional Government announced a three-day suspension of working hours in all institutions, including schools, to protect the lives of citizens. 

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Tishwash:  Trading in digital currencies

We affirm what was stated in our circular No. (125/5/9) on 3/29/2022, in which it was decided to prevent the use of electronic cards and wallets for the purpose of speculation and trading in digital currencies of all kinds, with the necessity of the commitment of all licensed banks and all licensed non-bank financial institutions and all electronic payment companies with the following:

Take all necessary administrative, legal and technical measures to prevent and track such types of transactions and trades.

Educate your customers about the risks and procedures that will be taken against them according to the laws and instructions in force related to these transactions and trades.

Otherwise, all strict legal measures will be taken against your institutions and customers in accordance with the Anti-Money Laundering and Terrorist Financing Law No. (39) of 2015 and the instructions issued thereunder in the event of non-compliance with the above.  link

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Iraqi Dinar update for 02/05/23 - Is this a new type of exchange rate

Pimpy The Other Side of Things:  2-5-2023

https://www.youtube.com/watch?v=hr9iDpToVzE

We Have A Problem... The Global Debt Market Is Flashing A WARNING SIGNAL. Very Important Updates.

Greg Mannarino:  2-6-2023

https://www.youtube.com/watch?v=MMCDq_qnve0

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