Stage3Alpha

  In Uncategorized 

Robyn:  KTFA Frank26 – Tuesday Night Bible Study and Dessert Playback Link

https://www.freeconferencecallhd.com/playback_rudd/?n=OTQCw/uy7Cy

FRANK STARTS AT ABOUT THE 33 MINUTE MARK WITH INTEL – IMO this was one of his best calls ever.  He said plenty in his 20 minutes.

KTFA:

Aggiedad77:  Remember the TRIFECTA Family

1. LD’s in the banks…..wait for it….wait for it

2. Budget – implemented…..I expect we may see some more on this today than we already have

3. Taxes and Tariffs – we seek activation…….well from this article below it would appear right on target 1/1/16….we have it

Yes it is all good…..two out of three ain’t bad……tell us about it Meatloaf…..two out of three ain’t bad….but we want all three   Aloha    Randy

Smilin4dinar:  THIS ARTICLE IS SUPER GREAT!!! I pray they follow through cause this is proof we are there!!!

************

Walkingstick:   Parliamentary Finance reveal activation of customs tariffs starting next Friday

Economy and tenders since 12.30.2015 at 11:29 (GMT Baghdad)

Special – scales News

Detection of the parliamentary finance committee member Husam punitive, Wednesday, for the activation of customs tariffs as of 1/1 in all provinces and border crossings in the Kurdistan region, while the government called for a non-recourse to the salaries of its staff during the passage of the country’s financial crisis.

He’s punitive / scales News / “touched on the government not to private employees’ salaries as much as possible under the circumstances plaguing the country.”

He revealed, “activating the customs tariff as of 1/1 in all provinces and border crossings in the Kurdistan region,” calling on the government to “obtain the non-oil revenues in addition to the necessity of obtaining the all court fines and benefits obtained from mobile phone networks and the Internet.”

He called for “hold negligent and corrupt, leading to the advancement of the financial reality of Iraq,” stressing the need to “stay away from touching the salaries of staff and non-manipulated” .anthy 29/4 e

http://www.mawazin.net/%D8%A7%D9%84%D9% … 8%A8%D9%84

************

Walkingstick:   Will Saudi Arabia now abandon its dollar peg?

Holly Ellyatt |

Amid a continued oil slump and record state budget deficit, analysts are contemplating whether Saudi Arabia could decide to abandon its currency peg against the dollar.

On Monday, Saudi Arabia announced plans to reduce its state budget deficit—caused by a dramatic drop in oil prices over the last 18 months that have hit its oil revenues—with spending cuts and plans to raise revenues from sources other than oil.

The government of the world’s top oil exporter ran a deficit of 367 billion riyals ($97.9 billion) in 2015, the Council of Economic and Development Affairs said on Monday, Reuters reported. Its 2016 budget plan aims to cut that to 326 billion riyals.

Revenues next year are forecast at 514 billion riyals, down from revenues of 608 billion riyals in 2015, Reuters added. Saudi Arabia’s currency has been pegged to the dollar since 1986 and it had afforded the country credibility and stability.

However, the dramatic fall in oil prices (in no small part brought about by Saudi’s own decision, as the de facto leader of OPEC, not to cut in production in a bit to support prices) and a strengthening dollar have made the peg less attractive and Saudi is having to use its foreign exchange reserves to prop up its budget and support the peg.

Oil is denominated in dollars and the government relies on the commodity for the bulk of its revenue.

While abandoning a peg and effectively devaluing a currency can help exports by making them more attractive versus competitors—which could help major oil exporter Saudi Arabia—such a move could be dangerous. Saudi is also a large importer of equipment, cereals and consumer goods and a weaker currency means these would be more expensive.

Abandoning a peg, or re-pegging at a lower value, can also damage investor confidence, capital flight and volatility. A few weeks ago, Azerbaijan unpegged its manat from the dollar and the currency lost more than half its value against the greenback.

Countries looking at abandoning fixed exchange rates should proceed with caution and despite speculation over the future of the riyal, analysts do not think that Saudi Arabia is at the point where it was ready to abandon its peg for the uncertainty of a floating exchange rate.

“The sharp adjustment lower in the price of crude oil has also encouraged speculation that Saudi Arabia may exit its peg against the U.S. dollar which has been in place since June 1986. However, there has been no indication this is officially under consideration,” Lee Hardman, currency analyst at Bank of Tokyo-Mitsubishi UFJ, said in a note on Tuesday.

“The peg has remained in place during prior sharp adjustments lower in the price of crude oil and Saudi Arabia’s FX reserves remain significant at over $600 billion. Speculators looking for a devaluation of the riyal are likely to remain disappointed in the year ahead. However, it is a tail risk which could result in a broader impact on foreign exchange market performance,” he added.

Amid a continued oil slump and record state budget deficit, analysts are contemplating whether Saudi Arabia could decide to abandon its currency peg against the dollar.

On Monday, Saudi Arabia announced plans to reduce its state budget deficit—caused by a dramatic drop in oil prices over the last 18 months that have hit its oil revenues—with spending cuts and plans to raise revenues from sources other than oil.

The government of the world’s top oil exporter ran a deficit of 367 billion riyals ($97.9 billion) in 2015, the Council of Economic and Development Affairs said on Monday, Reuters reported. Its 2016 budget plan aims to cut that to 326 billion riyals.

Revenues next year are forecast at 514 billion riyals, down from revenues of 608 billion riyals in 2015, Reuters added. Saudi Arabia’s currency has been pegged to the dollar since 1986 and it had afforded the country credibility and stability.

However, the dramatic fall in oil prices (in no small part brought about by Saudi’s own decision, as the de facto leader of OPEC, not to cut in production in a bit to support prices) and a strengthening dollar have made the peg less attractive and Saudi is having to use its foreign exchange reserves to prop up its budget and support the peg.

Oil is denominated in dollars and the government relies on the commodity for the bulk of its revenue.

While abandoning a peg and effectively devaluing a currency can help exports by making them more attractive versus competitors—which could help major oil exporter Saudi Arabia—such a move could be dangerous. Saudi is also a large importer of equipment, cereals and consumer goods and a weaker currency means these would be more expensive.

Saudi Finance Minister Ibrahim bin Abdul Aziz al-Assaf speaks to journalists on February 23, 2015 in the capital Riyadh.

Abandoning a peg, or re-pegging at a lower value, can also damage investor confidence, capital flight and volatility. A few weeks ago, Azerbaijan unpegged its manat from the dollar and the currency lost more than half its value against the greenback.

Countries looking at abandoning fixed exchange rates should proceed with caution and despite speculation over the future of the riyal, analysts do not think that Saudi Arabia is at the point where it was ready to abandon its peg for the uncertainty of a floating exchange rate.

“The sharp adjustment lower in the price of crude oil has also encouraged speculation that Saudi Arabia may exit its peg against the U.S. dollar which has been in place since June 1986. However, there has been no indication this is officially under consideration,” Lee Hardman, currency analyst at Bank of Tokyo-Mitsubishi UFJ, said in a note on Tuesday.

“The peg has remained in place during prior sharp adjustments lower in the price of crude oil and Saudi Arabia’s FX reserves remain significant at over $600 billion. Speculators looking for a devaluation of the riyal are likely to remain disappointed in the year ahead. However, it is a tail risk which could result in a broader impact on foreign exchange market performance,” he added.

Earlier in 2015, in August, Ahmad Al Kholifey, the Saudi central bank’s deputy governor for research and international affairs, told Al Arabiya television that authorities would maintain the peg at 3.75 riyals per dollar.

Michael Cirami, portfolio manager at Eaton Vance Global Fixed Income, told CNBC that the country needed to act in some way to protect the economy.

“Something needs to happen (in Saudi Arabia) and it’s not clear what is going to happen — whether the budget’s going to be corrected or if there needs to be something on the monetary policy side, and here I’m specifically talking about the currency peg,” he told CNBC earlier in December.

To see the country abandoning the peg, Cirami said there would either need to be an unpredictable, “black swan” kind of geopolitical event within Saudi Arabia, or continued volatility in oil prices. Abandoning the peg was not imminent, he added.

“It’s not something for now or possibly 2016 but when you look out a bit further the pressures are going to be there,” he said.

http://www.cnbc.com/2015/12/29/will-sau … r-peg.html