Investigate, Question & Deliver
Thursday, May 10, 2012
Highlights/Summary & Replay of Conference Call
Theme for Tonight: "ADD VALUE TO THE DINAR"
Conference Call Replay - May 10, 2012
760-569-7699 Pin 769478#
Straight Talkin Mike's Transcription of the Recap of Tonight's News
(Listen to the recording for all of the detailed analysis of the articles discussed after each news article listed - the following is just Straight Talkin Mikes recap of the news discussed)
We are still seeing the fall out from Shabibi going up to Parliament -
earlier I talked a little bit about how the perception of the public and the government is the dollars are drying up on the street - he was sucking those dollars off the street so then there was a large demand for dollars - Now picture this I'm taking the dollars off the street - I'm the guy who has the dollars - take them off the street - there's a demand for the dollars and now I make you come to me for those dollars - you're a street vendor - you say okay give me dollars
I say to you well I am going to give these dollars if you can tell me who you are going to give these dollars to
So they are saying this is outrageous - We don't have to - this is ridiculous - these regulations are just crazy and we can't get dollars from you guys now - its severly limiting some of these guys from getting the dollars because they were smuggling to Iran & outside the country depleting the reserves and all the good stuff we have been reading - you have a little bit of a panic out there because there is no value in the dinar..thats the theme for tonight isn't it
and you've got everybody wanting them to stablize the currency and release these dollars and do what he wants to do
Well Shabibi can't release all this because he's got alot going on
he would really like to pull these off the streets - he wants one currency to run inside his country - he wants to bolster his reserves and run alot of the business into his banks thru his banks with all of this going on and if everything is well and good he will be one of the strongest Central Banks because of the fact he will be running a lot of oil dollars thru his banks - all that will be well and good and he and everybody would be happy
Well Parliament is asking him all these questions and he's telling them about the deletion of the zeroes
You are really not hearing anything about the Kurdish language on it because I truly believe he does not want to inflamme the situation anymore because the Kurds are getting alot - they were supposed to get alot in this deal - and they are not getting what they want
So I think he is just laying low - don't worry that you are not hearing that - its okay - still there - hasn't changed - they are not going to change anything - not slowing up anything - he is still moving forward
He has to deal with the amount of dollars that are out on the streets
gving those dollars to the people - making sure they keep his exchange rate at a rate that is comfortable on the street - he knows he can internationally but on the street is where he has inflation and all of that
Then we heard about the banks complaining - Well the banks are complaining because of guess what - there is NO value to the currency - They have nobody banking - they have no international business coming in - nobody is doing business in the dinars there - they are not running large transactions thru the bank - there aren't people saving - Think about it - If you only have $12,000 per year - you are not going to have a bank account - you will be doing things in cash - the most you would do is go to the bank for a money order, pay your rent, etc - Theres very little banking involved which means they don't make alot of money
They've got all this great sophisticated banking equipment but they have nobody using it - so they have been educating the people on how to use it but the people do not have anything to put there til they have value to their currency - once the value comes with their currency they will put it in the banks...investments will come.....people are hired - its the old cart before the horse thing -its good to see that they are actually going and they want to change the law so they can open up and do other things right now outside of the normal banking things so they can make money and stay alive - they are also talking about what it costs to start up a bank ..100 million, etc
Its all pressure.. pressure... on everybodys that there
They are moving forward - The Central Bank has an idea - they just need to get the government on board - let them do what they need to do in conjunction with them and you will go
Its normal for the Central Bank and Parliament to disagree sometimes on what they want to do
Just like here...Bernaeke comes out and says something and we agree or disagree and get upset - they hold meetings..they yell and complain...try to pass laws and to keep them from doing what they are doing,.....its no different - its okay
its part of the process that goes on - but they need to have a certain amount of trust here in the beginning before its all there
Once they add value to the currency they can tighten up and do alot of different things - he will have more room at that point in time to jockey and do what he needs to do - he will be on a managed float - he won't have that much more to go on
On the government side...
Maliki was schizophrenic today - came out and the 1st article we discussed saying he does not want the Post of Prime Minister
Well this was basically a very self serving article to himself saying he doesnt want to be a dictator, but if the people wanted him for a third term he would love it and if it is imposed on him he would do it but truly its the other peoples fault out there - the other alliances out there they are not giving you what you should get - Your are not getting the power and you are not getting the oil and gas law, etc
if I am gone you may have to clamor to get me back
Well he thinks he has a lot of publicity there
Then Sadr came out saying Well you know we love you - I am calling off all of the dogs - were not going to protest but you really only have 48 hours before we pull the plug on this - Now he has 2 choices...Sadr can have them dissolve the government and they can have new elections - they can have National Meeting and appoint the ministers- there alot of direction for them to go
Maliki is really between a rock and hard spot - he even talked about freezing..suspending the constitution just based on the fact again..well the other people aren't using the Constitution so why do we need it?
Well okay thats one interpretation- the other one - Hey these people are not following the Constitution - if they get rid of me they are going to be doing it in regard to the Constitution and if they do that it usually means uprising - you all need to uprise and come to my aid
But I think what he is finding is that he does not have the public support he thought he had....
Then Talabani came home....he had been in Erbil.....he was carrying his fiddle...he was Fit to Be Tied
When he came back today we started to see articles Maliki wanting to get rid of him - he just came back from Erbil and he had a bunch of news...
Maybe he told Maliki your days are numbered dude..I am on the other team now - I saw what these guys are planning - and they have the votes and I am NOT losing this game
I think it scared the crap out of Maliki - so he called for the removal of Talabani - that he would like a new President and all this other stuff
What that means to me from the outside looking in is that these allegiances and alliances are starting to be broken on his side and he's looking and he doesn't have very many helpful friends - its very easy to see from the outside looking in that he seems to be in the way
So we are going to see in the next 48 hours what goes on....I think you are going to see lots of articles fast and furious
Don't get stuck on one or the other..don't get stuck on the morning news..wait for the whole day - put them all together and see what you come up with in the shaker because you want a nice smoothie before it is all done - you don't just want the bitter stuff thats on top
you want to make sure it all gets thru the blender - you want to see all the news articles to see whats going on
Because he will be hitting the newspapers hard to get his point across - he's going to be attacking and doing different things - We saw articles they postponed the Hashemi trial - they are asking the Americans to get involved in the Hashemi deal...
Everything he had for a playing card seems to be covered
everything seems to be having some sort of look to it and thats all good - we like to see him get out of the way so they can do what they need to do because certainly with him there things are being prolonged - he's had two years to do what he needed to do and he has not done it
Time to move on - get someone that is going to do it
Theres a bright future for them if they can get this together
the situation is optimal for them - you have the big deal they are signing tomorrow with European Union - - articles saying they are not happy with that - it is a big deal for them to trade with Europe and have an outlet for their oil - they are producing enough oil - most of their oil doesn't get sold at $100 barrel - selling it against the Brent North Sea Crude - at $120 - 125 barrel - discounting it 4 or 5 dollars a barrels just to get people to buy it
And It's moving - people are buying it in record numbers - They are outproducing Iran as we read the other day and they are going to the 2nd largest producer in the Middle East
All Good stuff- lot of dollars to come flowing back into the economy
Now if you get these banks involved and they could be handling all of these transactions- think about what it does in fractional banking - that could all come in - The banks are crying because they see it..WOW all of those dollars are going - we really need to start opening this up and get these people in here - Let us have a part - What they are clamoring for is to have a part of those oil deals that are going on so they can do some of these transactions to make some of this money - its huge dollars..1% of a billion dollars is alot of money....1% of $100 million is alot of money, etc Most of these contracts are million dollar plus contracts and all of these things can be very healthy to the banking system so they would really like to get their hands on alot of this to move forward
We talked about the tariffs...the economics people are starting to understand that if they put tariffs on -that one they can protect the people - yes its all good it gives them goods and great gifts but the article we discussed said what about the inflationary tendencies that these things have we have NO value to our currency and you want to add these tariffs it is really going to kill the Purchasing power -so there was alot said that we have said many times - just reiterated that from there - so keep your eye on that - we've always said they have the ability to move these things along and move in different ways - if they don't have value to their currency there is no way they can put these tariffs in place and I think that puts them aside - theres a lot of people who would like to protect the people - they see it as a way protect the people
We talked about the Energy Committee wanting to pass the 2007 Oil & Gas Law - there are 3 of those out there - the original was 2007 - thats the best one - they are trying to move that forward to make sure they can have that as an option - they tried to tweak it a little bit twice - theres actually 3 versions based on what we read - its my estimation there are 3 versions of this law and at least two of them have gone thru their 1st reading - and this one needs to be brought up to speed - casue this is the one they want to use - it was the one written by the Oil people that works
And there you have it...
Straight Talkin' Mike On The Straight Talk Express
Bringing You Another Night of Positive News!
The I.Q.D. Team, Ltd.'s News Coverage
for Thursday, May 10, 2012
CBI / ECONOMY
Najafi and Shabibi discuss ways to stabilize the national currency and revive the economy
Criticized the work .. banking expert: Iraqi banks reflect the economic chaos prevailing in the country
Maliki: I do not want the post of Prime Minister
During the next 48 hours .. Sadrists Senqd Erbil agreement last fall and the withdrawal of confidence from the Maliki
Sabah al-Saadi calls for an emergency session to discuss what he described as the owners of dangerous statements about "freezing the Constitution"
Talabani's return to Baghdad from Sulaimaniya
Economic parliamentary: Apply the Tariff Act without creating the right climate it will hurt the consumer
Shara MP: Energy Commission agreed in principle to the draft oil law for the year (2007) for a vote
FOR THE VETERANS
Film Industry united to support Vets with "Got Your 6" Initiative
NEWS ARTICLE LINKS
What a great night of news, analysis and discussion and Q & A ...listen to the call for all the rest of the news shared and more during the Q & A
SOME GREAT Q & A TONIGHT AS ALWAYS
We are getting closer every day......GET R DONE!!
Conference Call Replay - May 10, 2012
760-569-7699 Pin 769478#
As Always.... Discussion and Analysis of the Latest Iraq, Dinar & RV News....Pre & Post RV Information...Q & A
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