Thread: My Turn With My Source. {Friend}

Originally Posted by adm

The reason I posted was to let you know that if all goes as plan the Saudi's could reval at 25% to 30% above the current $.27.

Which will bring it somewhere around .33, pretty close to what Neno is hearing for Iraq also.

maui-month of august

Hey Neno,

Thanks for updating us. It was the positive news we all needed!

Originally Posted by webinvestor

Iraq uses FILS as well. Fils are a subdivision of currency. Think of them as pennies. Arab countries use 100 fils (pennies) or 1000 fils (pennies). Iraq uses 1000 fils. So does Kuwait and Jordan. The UAE, Yemen and Saudi Arabia use 100... however one small difference still. The Riyal subunits are hallalah, not fils. Clear as mud?

And he does too. But that is what he says to use for the comparison.

Originally Posted by costar01

yes , But when?

Security & Stabillity, will dictate "When" & "How High it will go".

Originally Posted by bultn

Did he mean 0.33 dinars/1 USD (3.03 USD/1 dinar) or 0.33 USD/1 dinar?

The question that was imposed was, "What will it open at"? The Norm from him was pre-invassion by the US. which was .31 I took it as cents (USD). But he might of meant IQD. Sorry, I will try to Clarify that.

Originally Posted by worf

Quote:
Originally Posted by neno
I got my call Gang. I have a few lines to share. I am excited so I hope I explain this very Well.

To start with, my freind tells me we will see the exchange rate start to move again like before. He says that the street rate is already 23 below todays 1278. Should move 11 here and 12 there and carry on from there over the next couple days.

I spent some more time with him on the June07 talk we shared before. He is still gunned on the security & stabillity control. If this all goes well, we will, break the .30 mark. I talked about the Norm that we somuch discuss here and there. You all know, like 1.20 - 3.22 He explained to me that that is very possible, but not now. He is right on target with OSW when it comes to the "Norm" that Shababi talks about to be the pre-invassion exchange rate of .33




Thanks for the info Neno.... question..... are you saying it will keep moving until June 07 and then peg at around .30 us or are you saying it will start moving and reach .30 US by end of March or April 07?

thanks,

worf

My question was about June of 07, that he had stated before to me of being the month I would be well off. I brought it back up cause of all the speculation of 1.20 to 3.22 This was when he said we should see the Norm of .30 to .33 As I stated in a post just above, I will clarify this as soon as possible, if that was IQD are USD. We talked somuch about somuch. Next time I will have the Pen Handy.

Originally Posted by adm

GCC inflation to remain high: Report





Bahrain Tribune - 20/01/2007


(MENAFN - Bahrain Tribune) Despite rising inflation and strong growth in the GCC both fiscal and monetary policy are set to become more expansionary, Deutsche Bank has said in its global markets research for emerging markets. Inflation is therefore likely to remain at historically high levels putting the spotlight on the limitations of a US-led monetary policy and possibly a common currency. The decision to adopt a common currency will nevertheless remain a political one. The report, titled 'GCC: moving towards a common currency', said that the GCC economy with an estimated total size of $730 billion in 2006, a current account surplus on a par with China at $230 billion, around 40 per cent of the world's proved oil reserves and 23 per cent of gas reserves, have made this region a significant economic power.
The GCC plans to adopt a common currency by 2010 with Oman joining later. A common currency will require structural, monetary and fiscal convergence for the union to be successful. Structural and monetary convergence is already well-advanced reflecting shared energy dependencies and 20-year de facto pegs against the US dollar. Fiscal convergence is, however, low and will become more difficult as differing oil resources across countries will lead GCC countries to structurally diverge over time. Moreover, there is also no appropriate anchor to ensure sustainable fiscal convergence.
The benefits from a Gulf currency union are currently low with intra-regional exports only around five per cent and limited near-term scope for increasing trade integration. The costs are, however, also low with monetary sovereignty effectively surrendered some time ago.
The key issue in adopting a common currency is surrendering the option to realign national currencies in the future. The report finds scope for fx appreciation with current undervaluation estimated at 10-15 per cent for the BHD and AED and 25-30 per cent for the OMA and SAR. We estimate both the KWD and QAT to be around fair value although the Kuwaiti authorities could well opt for further appreciation.
Despite the increasing uncertainties about the timing of a GCC common currency it seems very likely that the nominal exchange rates will remain tied to the US dollar for the coming years and, as such, interest rates will continue to closely follow those in the US.
The currency pegs against the US dollar have, in general, been successful in keeping inflation under the control in the GCC. Average GCC inflation was just 1.9 per cent during 1980-2006 on a PPP-weighted basis and just 2.4 per cent using a simple average.
Higher inflation across the region partly reflects the increased liquidity (and money growth) associated with increased oil prices. Problems have, however, started to appear in an increasing number of countries with GCC inflation reaching a (projected) multi-year high at 5.1 per cent in 2006 (simple average).


The reason I posted was to let you know that if all goes as plan the Saudi's could reval at 25% to 30% above the current $.27.

Originally Posted by Pegasus

Which will bring it somewhere around .33, pretty close to what Neno is hearing for Iraq also.

If I compare another country to Iraq, Do it with Saudi. he stateded it was like being one in the same for now. Now, meaning until they tap more into Iraq Ocean of Black Gold.

Thank You NeNo.
Phil

I seen the post today by Adster and others about the HCL being delayed. "Dont Believe it" from what I have been told. Now I am a nobody, but my freind is very important. According to him and his info, it is done. But their is a signature they are waiting on.

Exxon, I know of thru him for sure is there now, just off the boat. These are higher-up, not drillers or pipline workers. They are not in Iraq for their Health. They are their to make it Happen. They are called in to be there.

So to me, these articles today is to wart off speculators. I am not going anywhere. I am "Speculation City" right now. That is all I have for now. When I got more that can be posted, it will be for you the Gang.