News, Rumors and Opinions Sunday AM 2-4-2024
BRICS To Build ‘Credit Rating Agency’ to Counter US Dominance
The US has an array of credit rating agencies that rate firms and countries on their financial health and repayment abilities. The top three US credit rating agencies include Moody’s, Standard and Poor’s (S&P), and the Fitch Group.
The US credit rating agencies dominate the global market and can make or break a company’s prospects with their reports. However, BRICS now aims to put an end to the US credit rating agencies by creating their own ranking ability firm.
BRICS countries have been affected by the US credit rating agencies who have previously pointed out negatives ignoring their positives. The BRICS bloc plans to launch its own credit rating agencies to counter the US-dominated financial world order. The move will put the BRICS alliance in charge and decide the creditworthiness of a firm and not depend on the US.
Watcher.Guru
https://dinarchronicles.com/2024/02/04/brics-to-launch-credit-rating-agency-to-counter-us-dominance/
Courtesy of Dinar Guru: https://www.dinarguru.com/
Frank26 [Chase Bank story] I went into Chase Bank to speak to the wealth manager... [I asked] Are you aware of the reinstatement of the Iraqi dinar? She looked at me and chuckled and said I just got out of a meeting on that...I started asking questions and she says, as a banker I cannot answer those question right now...personally I can tell you things are moving. She said, I will put you in my computer to call you in two months if I have not heard from you.
Militia Man Iraq is doing a phenomenal job...Thinking that this is never going to get done? And we have issues? Well of course. The Middle East has always got issues. But are they getting better? Yeah...Anybody and everybody that owns the Iraqi dinar...should have an idea where the Development Road Project is headed and where where their outlets are in the Mediterranean and in Europe. It'll make you wake up.
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Clare: A government advisor details indicators of the efficiency of foreign reserves: Iraq is in the best financial condition
2/3/2024 Baghdad
Today, Saturday, the financial advisor to the Prime Minister, Mazhar Muhammad Salih, detailed indicators of the efficiency of foreign reserves, while confirming that they indicate that Iraq today is better off in its financial history.
Saleh told the official agency, followed by “Al-Iqtisad News,” that “Iraq’s oil revenues will remain the main source of growth in the country’s foreign currency reserves, and those reserves will rise with the rise in the cycle of oil assets, all of which lead to an increase in indicators of the efficiency of foreign currency reserves, whether efficiency.”
Trade (coverage of the mentioned reserves for the number of import months for Iraq, which currently exceeds 15 months compared to the global standard of three months), or in covering the money supply, or by the fact that these foreign reserves in terms of percentage have the ability to cover the external debt services payable.”
He added, "The country's oil revenues still provide 98% of the assets of the investment portfolio for the country's foreign currency reserves, whether in monetary gold or various foreign currencies. All indicators of the efficiency of foreign reserves mentioned above indicate that Iraq today is in the best condition in its financial history." These reserves flourish and grow with the index of the growth rate in the current account surplus of the balance of payments to the country’s gross domestic product, which was estimated for the year 2023 at approximately (positive 9%), and is estimated for the year 2024, at the same similar rate, according to data published by international credit assessment institutions for Iraq. ".
He pointed out that "there are standard investment mechanisms and guides approved globally by the monetary authority in managing the country's foreign currency reserves, as their tools and methods are evaluated in consultation with multilateral international financial organizations, including the International Monetary Fund and the World Bank, on a periodic basis to ensure optimal management of reserves, both in Providing adequate returns, sufficient liquidity and low risks at the same time.”
He continued: “It takes into account avoiding all forms of risks, whether the risks of currency exchange rate fluctuations, interest, or liquidity risks, as well as the legal risks in managing those reserves, which are the basis of the country’s foreign investment portfolio, and today they represent something similar to the Iraqi dinar exchange rate stabilization fund that it defends.” The country's monetary policy represents assets or assets corresponding to the national currency issued as (liabilities) and adequate coverage of the dinar to ensure its stability, in addition to the role of reserves in financing foreign trade for the private sector.
At the conclusion of his speech, he stressed that, “As the cycle of oil assets increases, the country’s foreign assets increase and inevitably rise in the country’s investment portfolio.” LINK
Banking Contagion Is Inevitable; Investors Will Panic | Rafi Farber
Liberty and Finance: 2-4-2024
The Bank Term Funding Program ends in March. This program has been a liquidity lifeline from the Fed to the banks since the banking crisis in 2023. Rafi Farber expects commercial real estate loans to lead to catastrophe in the banking system. "This is definitely going to cause a contagion at some point," he says, "and the ending of the Bank Term Funding Program is going to speed it up."
INTERVIEW TIMELINE:
0:00 Intro
1:22 Israel update
6:43 Banking system
9:40 Safety of deposits
11:22 Doom spending
15:26 Sound money
18:10 Evergrande collapse
22:30 The End Game Investor