News, Rumors and Opinions Thursday Morning 6-17-2021
TNT:
Tishwash: Two ways for the government to address the economic crisis and ensure that it does not recur
A member of the Parliamentary Finance Committee, Jamal Kougar, confirmed today, Thursday, that the government has only two ways to address the economic crisis and ensure that it does not recur in the future.
Cougar said in an interview with Alsumaria News, "The current government has gone through many crises and obstacles during its work period, and today it is going through an economic crisis and is unable to face its repercussions after its decision to change the dollar exchange rate," noting that "the government has only two ways to address the crisis and ensure that it does not recur in the future."
The first is the increase in the state’s resources. Unfortunately, we say that we were unable to transform from the previous situation as a rentier state to a multi-resource state, which makes us rely only on oil prices, and if they rise, there will be an economic recovery, and if they decrease, an economic crisis will occur
Cougar added, "The second issue is related to the existence of great waste in state budgets, and therefore the treatment is through combating corruption in a realistic and significant manner and transforming work into an electronic and institutional government so that resources and budgets are controlled," noting that "the rise in oil prices at such levels or increased.
More so, the government will be able to bridge the deficit, especially since the government has clearly stated that until the end of May, it was able to add five billion dollars to the bank reserve, and this means that the continuation of these prices will lead to exceeding the real deficit and we may have financial abundance link
************
Cutebwoy: The dollar is declining and central bank sales are declining
{Economic: Al Furat News} The dollar exchange rates fell in Baghdad, today, Thursday.
The Baghdad Stock Exchange recorded 1486 dinars per dollar, or 148 thousand and 600 dinars per hundred dollars.
In Erbil, the exchange rate reached 1490 dinars for sale and 1485 dinars for purchase.
While the Central Bank of Iraq sold, in its foreign currency auction today, 211 million and 578 thousand and 732 dollars, which is less than yesterday’s sales, which exceeded 217 million.
The total sale for the purposes of strengthening balances abroad (transfers, credits) was 197 million and 678 thousand and 732 dollars, while the cash sale was 13 million and 900 thousand dollars.
Ammar Al Masoudi
The dollar is declining and central bank sales are declining
************
Courtesy of Dinar Guru
Pimpy Article: "The dollar exchange rates fell in Baghdad and the Kurdistan Region" What does this mean? Remember I always told you guys, think about the direction the dinar is going in. That's how you know if it's good or bad. It says the dollar exchange rates fall in Baghdad (And in Kurdistan ). That's a good thing when the dollar exchange rate, not the dinar, fall...that's what you want to see happen...the number of dinars you get for the U.S. dollar you want that to go down. The lower it goes the better it is for those holding onto dinar...you don't want it to go up, you want it to go down. If the numbers go up, it means it's being devalued...
Bruce [via WiserNow] ...obviously we have a moving target...and obviously they were shooting for something and the target moved on us – AGAIN... everything is lined up and ready to go – funds have been in place – the new system is working flawlessly...I have been told by one banker...“This is the week”...we have a lot to look forward to...I think July 4th could be a real “Independence Day”...
Chris Vermeulen: How far away is $2700 Gold and $40 Silver?
Jun 17, 2021
Chris discusses how we see sector rotation and sideways action in the stock market this year. We're waiting on which sectors will move next, and the direction of the market is currently uncertain.
We may be in a summer doldrum period.
When commodity markets begin to move in a serious way, that is often an indication that the equity markets are nearing a top. There could still, however, be a blow-off top in the equities.
Significant moves involving the public and based on the news are often quite dangerous. This is because the public tends to push the price on the information too fast and too quickly. The result is a crash in that equity as its price corrects. This is why it can be hazardous trading around the news.
Chris believes that smart money is now reallocating due to overall market uncertainty. As a result, we see flows into the bond markets. In addition, transportation is showing weakness due to a slowing economy and lack of orders.
Chris discusses the dollar and why he is waiting for it to briefly rally and a severe subsequent sell-off. He expects the metals and miners will go ballistic when this occurs.
As a result, finding metals anywhere near spot prices may soon be very difficult. Silver is showing relative strength, and it's likely to outperform in the next rally. It has some serious resistance, but it will head for $34 fairly quickly once it breaks out.
Chris outlines where the GDX is likely to head and notes there is excellent momentum to the upside. Over the coming weeks, he anticipates the miners heading higher.
Lastly, Chris discusses the energy markets and why he expects a continued rally for crude. He also touches on bitcoin and discusses what indicators to watch in bubble markets.