De-dollarization continues as more countries separate themselves from the dollar – episode 1374 usatoday com news


• In his latest “flow report”, BofA’s Michael Hartnett looks at the “Disconnect Myth” between rising stocks and bonds and summarizes succinctly that there is “no disconnect between stocks & bonds.”

• Why? The best, and simplest, explanation for low yields & high stocks is simple: so far in 2017 there has been $1.96 trillion of central bank purchases of financial assets in 2017 alone, as central bank balance sheets have grown by $11.26 trillion since Lehman to $15.6 trillion.

• Indian Prime Minister Narendra Modi launched a surprise attack on cash in late 2016 cnn futures stock market. He gave Indians a few days to convert the two largest denomination bills then circulating to bank deposits, after which point any undeposited notes would become worthless binary conversion table. The move was intensely controversial decimal places chart. Transactions completed using cash represented the vast majority of economic activity in the country.

• In order to sell the program Modi employed a familiar strategy nzd to usd conversion. He vilified the users of cash as tax cheats and criminals funny jokes tagalog 2016. He promised the measure would punish black marketeers, boost the Indian economy, and increase tax revenues binary to denary converter. The latter may be true – forcing transactions onto the grid is good for nosy bureaucrats trying to impose taxes and controls.

• The official argument was that cash is an indispensable tool for black marketeers usd to cop exchange rate. The reform would catch many of these “criminals” with piles of cash they would be unwilling to declare and deposit usd cny exchange rate. That argument fell apart last week when the Indian central bank reported that 99% of the outlawed bills were converted to deposits python tutorial point. Turns out very few “criminals” were punished.

• Meanwhile the Indian economy is paying the price. Growth has slowed significantly and some estimate as many as 5 million jobs have been destroyed by the demonetization of cash. More and more Indians are angry.

• Venezuelan President Nicolas Maduro said Thursday that Venezuela will be looking to “free” itself from the U.S. dollar next week, Maduro will look to use the weakest of two official foreign exchange regimes (essentially the way Venezuela will manage its currency in relation to other currencies and the foreign exchange market), along with a basket of currencies.

• Private lenders from Iran and South Korea have signed an agreement to cooperate over banking issue with each other – an agreement which most importantly envisages the expansion of non-dollar trade between the two countries.

• It specifically calls for the two sides to share information on banking affairs, provide banking assistance to importers and exporters, and conduct exchanges of financial training.

• Equifax said that it “has found no evidence of unauthorized activity” on its “core consumer or commercial credit reporting databases.” That’s where the other consumer data – what you bought, how you paid for it, where you went to buy it, etc. – is apparently kept.

• The United States is determined to have a vote at the U.N. Security Council on Monday on imposing tough new sanctions against North Korea despite resistance from China and Russia, U.N. diplomats said.

• Washington has presented a draft U.N. resolution calling for an oil embargo on North Korea, an assets freeze on Kim Jong Un, a ban on textiles and an end to payments of North Korean guest workers.

• While a full scale oil embargo against North Korea is unlikely, the reality is that North Korea would be able to survive such a measure with comparative ease.

• But even if Donald Trump was somehow able to convince the world to engage in an oil embargo against North Korea, North Korea would appear to have enough domestic oil reserves to make up for the loss of imports.

• In addition to large reserves of domestic coal and the increased reliance on green energy in the form of hydroelectric power , North Korea’s domestic oil reserves are likely far greater than previous conservative estimates have indicated.

It is difficult to get an exact estimate of the amount of oil imported into North Korea each year, states the EIA how to read binary. Some estimates report that North Korea imports more than half of its oil from China and some volumes from Russia. North Korea has the capacity to refine 64 thousand barrels a day, however as a result of the economic decline, has utilization rates below 20 percent. Despite this, North Korea is able to refine enough crude oil to meet some of their domestic demand.

• The US has reportedly approved arms sales worth over $3.8 billion to Bahrain as the ruling Al Khalifah regime continues its heavy-handed crackdown on dissent in the small Persian Gulf island country.

• The package of the potential weapons deal, which includes F-16 fighter jets, upgrades, missiles and patrol boats, was approved by the US State Department, Reuters cited a US official, speaking on condition of anonymity, as saying on Friday.

• Furthermore, the State Department approved the sale of a pair of 35-meter patrol boats, equipped with machine guns, and 221 anti-tank missiles. According to the potential deal, Washington also demands $1.8 billion from Bahrain in exchange for upgrading the country’s existing fleet of F-16 jets.