Thread: Finally beginning REAL reval speculation

is there any other countries that have used petro-dollars/dinars in their exchange rate?

Hmmmmmm. Think I said something about that old .19 NID. Now if my homemade coffee bean abacus is working (someone keeps pouring hot water through it) right, that comes out to $5.2631 USD. Works for me!

DesertWolf

Originally Posted by ChiefWealth53

So what's the value of a petro dinar?

The value of the dinar is the value of a petrodinar. The CBI would use the petrodinar to entice countries to have to purchase dinar in order to complete oil transactions...just like Russia has done with the ruble.

Originally Posted by mike brown

is there any other countries that have used petro-dollars/dinars in their exchange rate?

The scenario where the petrodollar or petrodinar is figured into an exchange rate is non-existent. I believe the point was the influx of USD would go toward the foreign currency reserves. Although a good concept the Ministry of Oil not the CBI would get the USD. If the CBI utilizes a petrodinar it would drive the demand for the currency helping make the dinar a more convertible currency thereby raising the value.

My thoughts

The CBI doesnt have there usuall
catch phrase at the bottom of the Sunday exchange rate page,
it usually say's something about the rate for monday in new York?
It wasn't there when i just looked. Weird

Originally Posted by bluedangle

The CBI doesnt have there usuall
catch phrase at the bottom of the Sunday exchange rate page,
it usually say's something about the rate for monday in new York?
It wasn't there when i just looked. Weird

has it ever changed before or often?

Originally Posted by neno

This is with out useing Petrodollars. Which means with out Oil Support. I love the numbers kuga, thanks for sharing your experience at RC. Man I just used the Motels computer at the front desk. Try to check back later on this. Just goes to show with your Senior Analyst by Profession, what is real support. Gotta Go.

I thought using the term petro means oil?? There is no way they can have a RV that high unless they throw oil as a backing to the dinar or they have a million tons of gold that there not telling us.....if im wrong can some one explain how? Thanks

Originally Posted by dinartank

I thought using the term petro means oil?? There is no way they can have a RV that high unless they throw oil as a backing to the dinar or they have a million tons of gold that there not telling us.....if im wrong can some one explain how? Thanks

You are correct. There is not enough gold in the world to back trillions of dinar in circulation for a higher reval. However, the possibility that remains is that oil MAY be used. No one seems to know for sure - it just isn't something that has historically happened.

Someone can correct me if I am wrong, but I believe I read somewhere that Germany used its agricultural system as a form of backing during their reval in the Marshall Plan. If this is true - which it would be nice if someone could verify - then there is no reason oil cannot be used. That is my thought at least.

im what you would consider, chronically dumb,,, but it makes sense to me.
of course, my DVD player is still blinking 12:00 12:00 12:00 12:00 12:00
12:00

Backing the dinar with oil CAN NOT BE DONE. Assume a barrel of oil is 60 dollars.

Of this, the PSA partner will collect, say, 30% or about 20 bucks.

According to the HCL, the remaining $40.00, less costs for drilling etc, is to be distributed to the people of Iraq.

There simply is no money set aside by the HCL to allow the GoI to back the dinar. Oil can jump start the economy, and give the people an income, but the revenues from the sale of oil are all spoken for. None of it will go to the CBI to back the dinar.

Please tell me if I am wrong in this. I do still believe in an rv, but the idea of using oil to back the dinar simply does not make sense to me.

Originally Posted by kuga

You are correct. There is not enough gold in the world to back trillions of dinar in circulation for a higher reval. However, the possibility that remains is that oil MAY be used. No one seems to know for sure - it just isn't something that has historically happened.

Someone can correct me if I am wrong, but I believe I read somewhere that Germany used its agricultural system as a form of backing during their reval in the Marshall Plan. If this is true - which it would be nice if someone could verify - then there is no reason oil cannot be used. That is my thought at least.