Despite its peg, Spot Riyal is trading at its weakest in 8 months as turmoil mounts in The Kingdom as a failed 'deal' in Algiers, pay cuts for royalty, and now growing concerns that the US vote/veto on 9/11 Legislation will delay Saudi Arabia's first international bond sale. Forward bets on Saudi currency devaluation are surging and default risk is on the rise again as Bloomberg reports, a Senate vote to override President Barack Obama’s veto could cause some investors to balk at the issue.
The country is planning to sell at least $10 billion of bonds next month, four people said. As Bloomberg adds,
Senate leaders in both parties said Tuesday they expect the vote to succeed, though Congress has yet to override a veto by Obama. Senator Ben Cardin of Maryland, the ranking Democrat on the Foreign Relations Committee, said last week that the Saudi government has warned that enacting the bill would cause a “significant change” in the U.S.-Saudi relationship. Saudi stocks tumbled and the currency weakened the most in four months.
Overriding the bill “could dent investor demand in near term,” said Kaan Nazli, who helps oversee $4.8 billion of emerging-market debt at Neuberger Berman Europe Ltd. in The Hague.
“It would subject the new bonds to some headline noise but ultimately the U.S.-Saudi relationship is very deep and the thinking would be that this issue would be overcome somehow.”
he Saudi Arabian riyal weakened the most since January...
And one-year forward contracts for the currency (Devaluation bets) headed for the biggest increase since July...
Saudi stocks lost the most in the world for a second straight day. The Tadawul All Share Index was the worst performer among more than 90 gauges tracked by Bloomberg, falling 4.5 percent as of 2:11 p.m. in Riyadh to the lowest level in more than eight months (near its lowest sicne 2009)
So now we know why Obama was so adamant to veto the bill... The Saudis have a lot to lose... this is not about US blowback.
Get yo TVIX, boys and girls! Dollar safe haven = lower stocks, bonds, and gold.
Maybe one day they'll ask Hillary about this.
http://fmshooter.com/just-time-debate-obama-sides-saudis-vetoes-911-bill/
not only will she never be asked; but also, the chickenshit congress will NOT override the faggot marxist muslim racistnigger's veto
The Saudi "Royals" are scum and supporters of Muslim Extremist (Terrorist) its known. They need to be dealt with after we clean up our own house first. Trump 2016
You better hope Douche Bank is on the right side of the bet.
But I thought we found the hijacker passports in the midst of melted steel and pulverized concrete...
The evidence speaks for itself, the house of saud should be sued to oblivion
the Dancing Israelis were dancing in joy at putting another one over on the stupid goyim
The NeoCons understand that being an ally of extreme Wahhabi terrorism based on religious philosophy of the Saud family in Saudi Arabia is now a liability. It's a monster coming back to haunt America for creating ISIS. Saudi Arabia in return buys the products for terrorism from defence contractors. All these MiddleEast countries funnel the weapons to their ISIS/Wahhabi allies worldwide on behalf of the CIA. Thank the CIA and their quacks.
Yes to all of it, Herdee 2016!
The enemy within is becoming clear to the everyday people. Trump 2016, time to clean house.
mossad has a fist up their CIA puppet. it amazes me that people think the Saudis had the intelligence to pull this massive of an operation off. seriously- of what possible benefit would the Saudis have to gain by instigating the 9-11 attacks? now- I can think of another country that had much to gain- I mean we took out Iraq even though they had ABSOLUTELY NOTHING TO DO WITH 9-11.
.
Building 7 is the key.
I find most people do not want TRUTH, they would prefer to feel comfortable. Most people do not want to learn any truth they fear may breach their comfort zone. Truth also tends to compromise their plans and preconceptions but if they ignore it, it may go away. And for the sake of pride, people don't like to admit to themselves that they have been deceived.
Anyone who buys Saudi stocks is going to get KEBABED by the Sheikhs.
I'll say it again....
You want this "shit show" to be expedited you might want to contact your Washington D.C. House of Representatives "appointee" by flooding his or her ass with voice and email messages.
And when that doesn't "work"?....
odds hinge on just how many seats are up for reelection
somehow politics plays it just right,or about every 4 yrs..go figure
So I guess it is a race between DB collapsing and Saudi Arabia depegging for the start of the fireworks.
We keep saying this time is different...
But I do believe we've finally arrived at "THIS TIME IS DIFFERENT"!... Given 15 years worth of lies in order to secure the neighborhood which has failed and will continue to fail no matter what they do at this point.
Boy those subcontinent workers in Saudi will be pissed. Not only they weren't paid for months and were left with no AC in boiling heat having been unable to pay for utilities in their shacks and even if they get paid, it will be in depreceiated riyals.
Having said that, it seems markets may break the peg, given consistent budget and current account deficits for the last two years.
Saudi government will resist it though as long as possible and will try to compensate with increased borrowing. So much for their war chest circa US$800 billion. Btw did they start disposing off their UST holdings and other US assets en masse?
Yes, it would seem so. But the ice is much thinner. If DB goes down and Germany bails it out, they may start to look East instead of West in terms of Banking. And, the Saudis might not only depeg. What is at stake is the Petrodollar System. If the veto is over-ruled to favour justice for the American people, SA seeing immense pressure on the markets and with the Yuan joining the IMF basket in October may convince OPEC on November 30th to ditch the Petrodollar System, in which case, it will be the end of the dollar as reserve currency, and the start of major problems for the US.
A lot of dead dictators around if OPEC decide to ditch the petro-dollar.
I agree 100%. I believe any depeg will be the end of the petrodollar. The whole Weastern world is about to collapse. Get your popcorn ready.
this is the canary....when Saudi Arabia goes bust the whole shit show collapses.
this is the canary....when Saudi Arabia goes bust the whole shit show collapses.
Concur. And we're talking about a lot more than $750 billion in U.S. Ts getting dumped!
Off topic . The verdict of MH17 inquiry released, Rebels blamed for shoot down, Russia implicated!!! How is this for timing when Russia/Syria issue last rights to ISIS in Aleppo. Why is there nothing about this on ZH
Off topic . The verdict of MH17 inquiry released, Rebels blamed for shoot down, Russia implicated!!! How is this for timing when Russia/Syria issue last rights to ISIS in Aleppo. Why is there nothing about this on ZH
k l
Let me try answering that. It makes absolutely no sense for the Russians to come forward with their own investigation after the Dutch Government refuted the testimony and report from their own investigator(s) more than a year ago, only to come back with the appropriate "yes" men as cover to change the direction of those initial finding(s) 180 degrees...
Russia would have been better served providing a summary statement of the "facts" since the downing of MH-17 by simply pointing to the proof that no other airlines would fly over Ukraine BECAUSE THEY KNEW AN ONGOING CONFLICT WAS TAKING PLACE. And the fact that the Dutch government had no business anyway conducting the investigation when the site was not being properly secured and "evidence from the crime scene was being seized by unidentified sources within the Kiev controlled government"....
Russia would be much better servied by telling the OSCE that they will provide more information when the United States and it's "clique" provide the details of the Ukraine coup and overthrow of the prior government and come clean on their own mishandling of an investigation over 15 years ago in Lower Manhattan which involved other foreign government(s) hauling away material evidence from a "crime scene" that made MH-17 and the wholesale slaughter and looting of the Middle East possible 15 years later!!!
"I have had long conversations over the past two weeks with contacts at the Army War College, at the Headquarters Marine Corps, and I have made it absolutely clear in both cases that it is 100% certain that 9/11 was a Mossad operation. Period.
You know, Phil, I don't denigrate what happened to USS Liberty in the slightest - you understand that - but for most Americans what happened to the USS Liberty, or in Vietnam, was history. Now this is history. You know, they can be concerned about it, but they're not going to get mad about it.
9/11 has led directly to 60,000 Americans dead and wounded, God knows how many hundreds of thousands of people in other countries that we've killed or wounded or made homeless, and it's an on-going sore. It's not your sore from the USS Liberty, it's not my sore from Vietnam. Both of us have those, both of us care about. But this is an open wound.
And what Americans need to understand is that they did it. They did it. And if they do understand that, Israel's going to disappear. Israel will flat-ass disappear from this Earth."
Dr Alan Sabrosky (Ph.D., University of Michigan) is a writer and consultant specializing in national and international security affairs. In December 1988, he received the Superior Civilian Service Award after more than five years of service at the U.S. Army War College as Director of Studies, Strategic Studies Institute, and holder of the General of the Army Douglas MacArthur Chair of Research. He is listed in WHO'S WHO IN THE EAST (23rd ed.). A Marine Corps Vietnam veteran and a 1986 graduate of the U.S. Army War College.
"I have had long conversations over the past two weeks with contacts at the Army War College, at the Headquarters Marine Corps, and I have made it absolutely clear in both cases that it is 100% certain that 9/11 was a Mossad operation. Period.
Ok I'll buy that... A Mossad operation with the full support of the President's family who owned the security company that protected those building(s) in Lower Manhattan and some friends at Langley and in Arlington...
Fixed it!!!
As long as the cable stays on Americans will do fuck all.
https://m.youtube.com/watch?v=Rt-ldMj9y9w&feature=youtu.be
Pancake theory?
A jury of Trump supporters could indict a stack of pancakes before noon.
A jury of Trump supporters could indict a stack of pancakes before noon.
Yep.
I loved Trump's ball gargling circumcised dick licking prostration this last February before the Tribe as well!
I like Trump, but this vid only makes it clear he's not a structural engineer.
You've got a snowball's chance in whistleblower's hell of this ever seeing a speedy public trial.