Ron Paul Says: Watch the Petrodollar

a reply to: Phage

Yes, there would be a large impact on the world economy. What do you think would happen to the world economy if the real dollar (the US one) collapsed?

Thats the beauty of it all. We Don't Know Whats Going To Happen. Especially if the USD would collapse. But I do know that China & Russia would be ok, due to them thinking ahead & creating a new form of a payment system - - outside of the USD.

If. If. If. If my uncle was a woman he wouldn't be my uncle. It's not hard to come up with scary ifs, especially if you string a bunch of them together. But why would war between Iran and Saudi Arabia (really?) make it hard to export US crude?

Costlier to transport (safely). Boils down to 'security'.

But "petrodollars" are not US dollars, supposedly. Yes, China is interested in a strong yuan (and getting the longer end of the stick whenever they can) but not if it means their US assets lose a lot of value.

Do you actually think that China gives a rats-ass about U.S.'s loss of values?

China & Russia are literally uprooting & dismantling the USD. And they're holding a 'wild-card'.

a reply to: APT1Yksnidnak

Do you actually think that China gives a rats-ass about U.S.'s loss of values?

Yes.
The Chinese have a great deal of capital invested in the US. And they understand business, they aren't in it to lose money.

a reply to: Phage

You are right about the Chinese having a ton of capital invested in the dollar......What if PTB wanted to make that investment worthless how would you do that.......You would flood the entire system with capital and sit back and laugh. The people at the top remain at the top.

a reply to: SubTruth
How do you "flood the market with capital?" Are you talking about printing money? That lowers the value of those dollars that have been invested.

originally posted by: Phage
a reply to: SubTruth
How do you "flood the market with capital?" Are you talking about printing money? That lowers the value of those dollars that have been invested.

Exactly. Pennies on the dollar.....Pennies. This is why I believe they are now buying gold it is much harder to devalue.

The author of The Colder War isn't your typical conspiracy guy. Meet Mr. Katusa.

www.caseyresearch.com...

His book is quite interesting. I'm incline to agree with Ron Paul about watching the petrodollar.

a reply to: SubTruth
They are still buying land, buildings, and dollars as investments
They will be very bummed if the US has another recession and the dollar and land values drop.

originally posted by: Phage
a reply to: SubTruth
They are still buying land, buildings, and dollars as investments
They will be very bummed if the US has another recession and the dollar and land values drop.

The Chinese are wising up fast. Hard assets are what hold real value. Just like you listed this is the investment vehicle of the future for anyone with a ton of capital. I really do believe the PTB flooded the system on purpose to devalue the dollar. The richest man remains the richest man no matter what.

a reply to: SubTruth

Hard assets are what hold real value.

Tell that to most of the people who owned land in 2008. The Chinese do not want to see a weak dollar. The Chinese do not want to see the US economy decline. The Chinese understand that the dollar does not have to fall for the yuan to be strong.

a reply to: Phage

I think you might be missing my point. The Chinese want a strong dollar for many reasons. TPTB that control our banking system are devaluing the dollar to undermine the investment among other things. Like I said before it is pennies on the dollar at this point.



The more money that is printed the less it is worth. It is backed by faith. When this printed money comes out of the money supply it is inflation.

a reply to: SubTruth
That's great, but that's not what the discussion is about. It's about the "petrodollar" and in this case the Chinese buying US oil. It's about how the Chinese have a vested interest in trading with the US because of their investments.

originally posted by: Phage
a reply to: SubTruth
That's great, but that's not what the discussion is about. It's about the "petrodollar" and in this case the Chinese buying US oil. It's about how the Chinese have a vested interest in trading with the US because of their investments.

So you argue back and forth straying off topic also and than when you lose the argument you cry foul...........Really.

a reply to: Phage
They are not buying the majority of their natural gas from us.

As of 5 hours ago.

www.bloomberg.com...

a reply to: 2gd2btru
They are certainly buying a lot. They need a lot.

Once it’s completed in 2018, the Russian pipeline to China will have a capacity of 1.3 tcf per year. But although it is truly a monumental agreement, in 2040, the pipeline will only account for 7 percent of China’s gas needs.

oilprice.com...

Weren't we talking about what might happen if the US goes into the global crude market?

a reply to: SubTruth

So you argue back and forth straying off topic also and than when you lose the argument you cry foul

Which argument did I lose? Where did I go off topic?
You went into a rant about the plans of TPTB, out of nowhere.

a reply to: Phage

Like I always say readers and members can make up there own minds. Truth is a subjective beast that can only be tamed with facts. And to call it a rant is a little over the top and kinda makes me question your mindset.

originally posted by: APT1Yksnidnak
a reply to: Phage

Positive.


Right now, we're enjoying a surge in the USD & low gas prices. But we've already had two attacks in the last two months at Saudi oil pipelines. If Iran becomes a nuclear state, how will that impact U.S./Saudi relations?

The U.S. is stressing their output right now, but again, who's gonna buy it? Europe has shown to be unreliable. And in all honesty, wouldn't put it passed me that EU will dissolve in the upcoming future.


If the Brits do vote to leave the EU, and actually leave, I can see Europe 'balkanising', with, once more, France and Germany at each others throats.

The Chinese corporate debt now stands at $14.2 trillion, some of those loans have copper as the security, copper prices are dropping, and there is so much copper now it has to be stored outside of the bonded warehouse's, in time, the Chinese Yuan will just keep dropping, wait and watch.

I Stopped believing Ron Paul's motives when he sold his soul to keep his Son's career afloat last election .

Petrodollar Panic? China Signs Currency Swap Deal With Qatar & Canada

The march of global de-dollarization continues. In the last few days, China has signed direct currency agreements with Canada becoming North America's first offshore RMB hub, which CBC reports analysts suggest "could double maybe even triple the level of Canadian trade between Canada and China," impacting the need for Dollars.But that is not the week's biggest Petrodollar precariousness news, as The Examiner reports, a new chink in the petrodollar system was forged as China signed an agreement with Qatar to begin direct currency swaps between the two nations using the Yuan, and establishing the foundation for new direct trade with the OPEC nation in the very heart of the petrodollar system. As Simon Black warns, "It’s happening... with increasing speed and frequency."

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