Goldilocks’ Global Economic News 5-28-2024
“Wall Street Moves to Fastest Settlement of Trades in a Century”
Today, Wall Street moves to T+1 settlement times. This will minimize risks taken in the market when it comes to ensuring enough money secured on both sides of a trade.
I am aware that many people are calling for a crash in the market this week, but it probably will have more to do with moving from T+2 settlements to T+1 settlements this week.
Some of the trades from Friday will get caught in T+2 settlements until all trades are cleared this week.
Also, BuyBacks are coming back into play. This has not been done since the early 2000s. Look for many companies and the Governments to buyback some of their bonds.
Buying back bonds at a discounted price will support the market and give companies the opportunity to buyback some of their own shares.
A buyback in bonds will increase liquidity allowing a company to own more of their shares at a discounted price during volatile moments. It increases the company’s ownership of the shares they repurchase bringing in more profits to the company.
This creates a higher share price on the markets allowing more dividend opportunities for those who own the shares and profits for the company.
Going to a T+1 settlement process will give companies the opportunity to execute new plans for their company with this new money that will be coming in for their use. Finance Yahoo Bloomberg
© Goldilocks
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Don’t look for this T+1 settlement to last very long. Many countries have already gone to T+0 settlements.
Those with instant settlement payment systems will have an advantage until everyone catches up.
This is all part of the process in moving to the QFS. The QFS is an electronic system that will allow instant payments to take place. This is the goal.
© Goldilocks
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Digital Vs Electronic Records Management Explained | Armstrong Archives
When we move from T+1 settlements to T+0 settlements across the Nations, the shift into the QFS will become possible.
Why?
The only way to do that is through a digital process moving away from wire payment processing services (ACH) for good.
© Goldilocks
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Digital Payments – Worldwide | Statista Market Forecast
Digital processing will be able to utilize many Networks in the future to process a payment.
Digital Networks that run on the QFS will provide many choices in payment sources going forward.
© Goldilocks
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Hong Kong’s Currency Market Announcement | HKEX
“The “FIC Advisory Panel” chaired by HKEX Co-Head of Markets Glenda So, will advise the exchange on its FIC strategy and facilitate the introduction of new FIC products and services, further developing the FIC market and supporting Hong Kong’s position as an international financial centre.”
The FIC Advisory Panel has come in to help in the transition of the new digital economy regarding the Currency Market and fixed-income businesses.
The FIC is expected to expand their Currency Market internationally.
© Goldilocks
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Once Iraq’s digital banks are licensed and good to go, their currency will be licensed as well.
© Goldilocks
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Iraq 7 Factors to Increase Iraq’s Currency- Iraqi News | Youtube
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US Ambassador to Iraq Alina Romanowski commended Iraq for its official ratification of an electronic payment system at the end of April. | Shafaq News
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“The implementation of electronic procedures by the Central Bank of Iraq under the supervision of the US Treasury Department had a clear impact on economic growth as well as on the decline in the value of the dollar against the Iraqi dinar.” | Shafaq News
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International Monetary Fund mission for the current year 2024 for Article Four consultations praised the Iraqi government’s measures, including the monetary policy led by the Central Bank of Iraq.
The report indicated that the Central Bank of Iraq has taken several measures aimed at stabilizing the national currency and controlling monetary inflation.
Adding that the Central Bank raised the interest rate on monetary policy tools from 4% to 7.5% and increased the mandatory reserve requirements for banks from 15% to 18%, and these steps were decisive in reducing the inflationary pressures that Iraq suffered from, and this contributed to creating an economic environment. More stable.
The report emphasized that important reforms in the banking sector, such as the gradual increase in bank capital and mergers between small banks, aim to strengthen the banking sector and increase its efficiency and flexibility in the face of economic shocks.
The report noted that Iraq has implemented new compliance measures to improve the transparency of cross-border financial transactions, by launching an electronic platform that imposes the disclosure of financial beneficiaries, which enhances the integrity of financial transfers in accordance with international banking standards, as well as the role of the Central Bank of Iraq in expanding relations. Correspondent banking, to facilitate smoother international trade financing operations.
Central Bank of Iraq
Information Office
May 27, 2024
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The Iraqi banking system may soon receive banks of another type called (digital banks). What are these banks and will the citizen, the banking system, and the Iraqi economy benefit from them? Files that the beneficiary of the banking sector services in Iraq is trying to ask. | Economy News
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Financial Services Providers Highlight Opportunities in Cloud-Native Banking | Pymnts
The modernization of back-end systems represents an ongoing challenge for banks, especially as they seek to introduce new digital-first services.
The options used to be stark: Rip and replace, or get the most mileage of the legacy systems already in place.
In recent years we’ve seen the continued emergence of cloud-core banking systems used in the service of conducting daily banking activities, while future-proofing financial institutions for the changes to come — through API connectivity — particularly in instant payments.
Private and public cloud setups (not hosted on the premise of the companies themselves) connect financial services companies with providers and applications that handle everything from payments processing to reporting to compliance. Tied to all those functions are cloud ledgers, which record the transactions themselves automatically.
The shift to the cloud is especially timely, given the rise of embedded payments and embedded lending. Those two trends, along with virtual card issuance, can create new revenue streams for digitally minded enterprises.
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Stablecoins and Economic Stability: A Balancing Act – Daijiworld
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A flood of cheap Chinese exports is putting the entire global economy at risk, France’s finance minister warns | Fortune
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MoMo, VNPAY, and ZaloPay Enable QR Payments for Visa Cardholders in Vietnam – Fintech Singapore
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What the SEC’s Pivot To Approve Spot Ether ETFs Means | Investopedia
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SWIFT |Swift
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