Thread: "RollsRoyce . . . June 25 Tidbit!"

Originally Posted by shotgunsusie

look, just reporting what im hearing. shabibi set the rate at $3.45 to be on par with kuwait then kuwait raised theirs slightly. but the word is the rate remains at $3.45. i dont have to agree with a darn thing i report on, i tell everyone what i hear.

im not one to beat around the bush about what my beliefs are on the other hand.

It would be beneficial if you could employ some factual analysis to support this $3.45 theory. While you have every reason to believe what you hear, history is less sympathetic to their eventual outcomes. I've seen this mentioned on another thread as well but sadly have not seen a basis to support such a figure other than hearsay. Thank you for your continued efforts to inject optimism and positive vibes on this forum.

Originally Posted by shotgunsusie

look, just reporting what im hearing. shabibi set the rate at $3.45 to be on par with kuwait then kuwait raised theirs slightly. but the word is the rate remains at $3.45. i dont have to agree with a darn thing i report on, i tell everyone what i hear.

im not one to beat around the bush about what my beliefs are on the other hand.

NOT LOOKING TO STURR UP!!!!!!!!!!
JUST WANT TO HEAR THE LATEST!one side of this debate will be proven wrong.i have no info coming,so i crave what others hear. right or wrong
i will take all such info as possible / hopefull/ oh please no! but be verry
happy to have it.

Originally Posted by breakeven

There's as much chance of pigs flying around the world in 80 days that this rate of $3.45 coming to fruition. Sorry to burst the bubble but currency does not fluctuate in such a manner. It is an economic impossibility to go from 1250 dinars to a dollar to 1 dinar equates to over 3 dollars. In time yes...but definitely not in the forseeable future.

A lot of people are discounting the debt issue here...the third and final chunk won't be relieved until the end of Dec 2008 according to an IMF report.

I agree currency does not USUALLY move like that...but this is a bit different we don't know what deals have been made in order for "THE PROGRAM RATE" to return to a "NORMAL" value, a unique situation and not your everyday currency trade JMO

Originally Posted by shotgunsusie

look, just reporting what im hearing. shabibi set the rate at $3.45 to be on par with kuwait then kuwait raised theirs slightly. but the word is the rate remains at $3.45. i dont have to agree with a darn thing i report on, i tell everyone what i hear.

im not one to beat around the bush about what my beliefs are on the other hand.

SGS: I did hear the same and I also believe that Kuwait had left a GCC Meeting with the s***s over presumably the rate they are going to set!

Originally Posted by Onenomad

I agree currency does not USUALLY move like that...but this is a bit different we don't know what deals have been made in order for "THE PROGRAM RATE" to return to a "NORMAL" value, a unique situation and not your everyday currency trade JMO

Agree this is different, but the fundamentals of economics would still apply to its currency manipulation. There is no doubt that Iraq will be a powerhouse in the next decade or so, but until such time there will be a gradual appreciation of the dinar in line with its economic targets.

Originally Posted by breakeven

There's as much chance of pigs flying around the world in 80 days that this rate of $3.45 coming to fruition. Sorry to burst the bubble but currency does not fluctuate in such a manner. It is an economic impossibility to go from 1250 dinars to a dollar to 1 dinar equates to over 3 dollars. In time yes...but definitely not in the forseeable future.

A lot of people are discounting the debt issue here...the third and final chunk won't be relieved until the end of Dec 2008 according to an IMF report.

I don't know what will happen with the dinar, but clearly currency does change dramatically in value in some instances. All you need to do is look at the fall of the Iraqi dinar or the fall and rise of the Kuwaiti dinar. Your economic impossibility scenario has already been refuted by recent history.

Originally Posted by Onenomad

I agree currency does not USUALLY move like that...but this is a bit different we don't know what deals have been made in order for "THE PROGRAM RATE" to return to a "NORMAL" value, a unique situation and not your everyday currency trade JMO

The rate of 3.45 would certainly put an end to any future speculation especially if it was to be on the forex! So I believe it will be this high!

Originally Posted by screwball

The rate of 3.45 would certainly put an end to any future speculation especially if it was to be on the forex! So I believe it will be this high!

Guys just think about it! What happens of they revalue low? Increase in speculation! Yes I think so! So it will be one bold more like Kuwait did and then it will stay at the new rate for atleast 2-3 years to increase stability!

Originally Posted by celilo

I don't know what will happen with the dinar, but clearly currency does change dramatically in value in some instances. All you need to do is look at the fall of the Iraqi dinar or the fall and rise of the Kuwaiti dinar. Your economic impossibility scenario has already been refuted by recent history.

There is no recorded event that suggests a fall and rise of the Kuwaiti dinar as propagated by many. I would, of course, be thrilled to bits to be privy to such info. A while back, I posted the exchange rates of the Kuwaiti Dinar during a 2 year period prior to and after the Iraqi invasion and did not see the changes that are being flogged to death by all and sundry.

Originally Posted by breakeven

Agree this is different, but the fundamentals of economics would still apply to its currency manipulation. There is no doubt that Iraq will be a powerhouse in the next decade or so, but until such time there will be a gradual appreciation of the dinar in line with its economic targets.

I agree about fundamentals of economics but this is just a program rate not the real value as stated by their ministers in such statements as return to normal rate etc. The fundamentals are Iraq is going to have the most Oil in the world (Once the entire country is explored) which is your supply and the world is going to continue to need more and more of it (demand) giving them a commodity worth loads of money to help back their currency (Which has not long been approved to do as per a article I believe Adster found) to go from the Program rate to the real value would have to be high enough to deal with speculation and also as has been seen in articles their desire to have the value equal that of surrounding countries. Again I'm no expert JMO