India to pay gold instead of dollars for Iranian oil. Oil and gold markets stunned

Not that I am any fan of Iran, but it is rather amusing since the worlds financial problems seem to have grown exponentially since when the world's currencies departed from the Gold standard.

In truth there are only maybe four or five commodities of any real value anymore, Gold, oil, food and strategic materials like metals.

Since Wall street became a playground for those speculating on the value of commodities and indeed even speculation on the value of money itself (ie FOREX trading) actual currencies like the US dollar have become increasingly worthless and meaningless.

This ought to be taken as a clarion call of warning to Western democracies to reform trade and the capitalist model to serve the real needs of people because this is self destruction of capitalism by capitalism

Originally posted by Iwinder

Originally posted by LilDudeissocool
reply to post by itscocobaby

 

Good insight.


Just a note this crap about "END THE FED" maybe is what Ron Paul wants. Maybe Ron Paul is a wolf dressed up like a wolf? He seems to like Iran after all.

End the FED means to end its currency in oil on the world's open market, and that will end America as we know it. It will turn American into a third world nation like Hatti ran by Paul and son like Papa and Baby Doc of Hatti back in the day.

From what I am seeing here your last concern should be Ron Paul, Start looking East waaaaaay East and see what they are doing.
This looks to me like the FED is Dead regardless whom takes the next scheduled seat in the White House.
Regards, Iwinder

Enemies of U.S. central banking are enemies of the state. It's what I wanted to bring out by my mentioning Ron Paul. I prefer a national central bank owned 100% by the nation rather than 20% as is now, but under no circumstances should ending central banking ever be tolerated. It is the biggest reason to wage world war. We the United States of America will do just that if necessary. When Ron Paul says, "End the FED." that's what he is really saying... "End central banking hosted in the U.S." People who do not fully understand what is at stake go along with Paul's insanity. It's contagious. Newt and Mitt are now repeating his insane End the FED insanity.

Iran wants the FED to end. That should say something about such an idea. It is why Iran is doing what it is doing, selling their oil in gold. Not to get around an embargo, but to undermine U.S. finance, and thus our security. Paul who defends Iran at every turn seems to be on their same page. It is what I want to illuminate here. An enemy is an enemy be it foreign or domestic

Originally posted by TWISTEDWORDS
This is now a confirmation as Seeking Alpha just ran an article on this and confirmed this to be true. So the stage is set and no longer a rumor. Seeking Alpha says the IMF is looking into a new reserve currency.

We are the majority of the IMF so I doubt they are.

Not to throw a wet blanket over my fellow Gold investors, but these Gold for oil swaps, should they materialize, will be conducted in the form of off-market, bilateral trade agreements. As such, these transactions will have no direct influence on the exchange price (open market price) of Gold...or oil.

Gold would love to bid for Iranian oil on the open market...but as you can see below, the PTB nipped this opportunity in the bud. There will be no Gold for oil contracts at the worlds largest physical bullion market (London Bullion Market Association).

Bloomberg

Bank Tejarat Banned by U.S., EU in Move Stifling Iran Trade

By Indira A.R. Lakshmanan - Jan 23, 2012

EU foreign ministers announced yesterday they will ban oil imports from Iran starting July 1, freeze European assets held by the Central Bank of Iran, and ban trade in gold, precious metals, diamonds and petrochemical products from Iran. - Full Text

Nor do I expect to see these deals valued at the artificially low, manipulated paper spot price. Why would any sovereign [India] swap real physical Gold at the same price confetti trades for on the crooked Western commodities exchange ? They won't > expect India to receive a premium over Comex spot for these swaps.

Because these transactions will occur off-market, I interpret this news as more dollar negative than Gold positive. However as Gold is gradually re-monitized in this fashion, every assault on dollar hegemony is bullish over the longer term.

GL ATS!

This has been going on for a while. So now India is joining that gang. We should have been ready and prepared for this. The article below is from 2009. This is exactly like all the other kids on playground teaming up against the big bully. www.independent.co.uk...

The demise of the dollar

In a graphic illustration of the new world order, Arab states have launched secret moves with China, Russia and France to stop using the US currency for oil trading By Robert Fisk Tuesday 06 October 2009

We should be upset with Brazil for changing their minds on selling oil to us, which we helped them financially discover. Now they're going to sell to Canada instead. So no one will sell us oil or if they do, they want to be paid in gold. Pictures looking better every day.

China picks up two oil deals, Canada and Brazil

Is it my imagination or did we not just give Brazil billions to promote their oil, courtesy of Obama to help pay back his debt to Soros?

Here’s the way it’s going to go, Obama cuts us off at the feet on getting our own oil supply, no offshore drilling here, won’t allow the Keystone pipeline, will initiate war with Iran with Iran closing the Strait of Hormuz, Iran moves into Iraq and Kuwaitt to cut off oil supplies from them, Russia sides with Iran, Canada and Brazil sell their oil to China, mideast supply lines will be affected by the middle east turmoil, China has plentiful supply that they will sell us for a price, American’s will long for the good ole days when gas was $5.00 a gallon.

Well Obama says he is going to open up offshore drilling so I hope he means it.

If every country converts there trade currency to gold, especially OPEC countries. The US is screwed, we will witness wars on more than 6 fronts, we will have to force our currency on them. Not to mention Fort Knox is empty we used it all for covert deal with some of the very people we are told are our enemys, what a messed up situtation!

reply to post by LilDudeissocool

Enemies of U.S. central banking are enemies of the state. It's what I wanted to bring out by my mentioning Ron Paul. I prefer a national central bank owned 100% by the nation rather than 20% as is now, but under no circumstances should ending central banking ever be tolerated. It is the biggest reason to wage world war. We the United States of America will do just that if necessary. When Ron Paul says, "End the FED." that's what he is really saying... "End central banking hosted in the U.S."

I agree with you and another President comes to mind who also wanted to do something similar his name was John F. Kennedy..of course that didn't work out to well..and our President was killed..I don't trust any politician, I have so many questions as to why all of this is coming about..who stands to profit the most..after all Iran can and will be forced to use a middle man to achieve it's trade goals.

Exports from the EU to Iran “will decline significantly” as the sanctions will make it “impossible” to do business in a safe and transparent manner, he said. The Chinese will be ready to step in, he said.

www.bloomberg.com...

Kushner said the decision on Tejarat wasn’t easy for some EU diplomats as it “will make it more difficult” for the U.S. and Europe to track the flow of funds to and from Iran.

“These payments will be driven underground through international money exchanges, private financiers and barter deals,” he said.

There may still be alternatives for those seeking to conduct legal trade between Iran and the EU, such as foreign exchange brokers and a private Iranian bank that works with a Swiss merchant bank specializing in India and the Middle East, according to a U.K.-based trade consultant whose clients include Iranian companies importing from Europe. He spoke on condition of anonymity because of the sensitivity of the subject.

www.bloomberg.com...

I don't know much of this is outta my league as I don't fully understand all of it..but it seems to me that we may be shooting our selves in the foot so speak on any number of levels..I think China..is a major concern..Cheers Coco

Originally posted by Iwinder
If this is indeed fact then this is the end of our current money system, 40% of Irans oil paid for in gold is a death bell to the west and probably long long over due.

Not to mention the military aspect of it, as in they will protect their oil they purchased without a doubt.
Not doubting the original link provided but do you have any more?
Staying tuned to a potential killer thread here.
Regards, Iwinder
S&F

Not really, it is a sign that the price of oil is about to drop like a rock in dollars due to Alaska and the Dakota fields being ramped up.

That and we won't have to worry about annoying call centers from India anymore.

Originally posted by itscocobaby
reply to post by thepixelpusher

 

if you have 1:48 take a look at this speech by GHW Bush..listen carefully to his words..if you know how to imbed this please bring it over Thanks so much Cheers Coco
www.youtube.com...

Glad to help. Here is the video.

It is indeed a very very interesting move, especially considering gold has been somewhat amassing in India for quite some time now.
It used to be smuggled in via plane to Nepal and trekked overland into India, all off the books and for a very long time. A few smugglers have been caught and have talked about the small amount they knew or where told, but the scale of the smuggling of black market gold into India was to say the least, very very large.
It would now appear we know why, and that this plan has been in the proverbial pipeline for quite along time, and that it would take some fairly large players to enact so to speak.

reply to post by ozyooter


The reason for gold smuggling in India is that it attracts a 15% duty if imported legally and so the profit to be made is quite considerable. Smuggled gold is sold in the private market.

If the Govt was importing it to stockpile that would be irrelevant, so the idea that it has been smuggled in to stockpile to pay for oil is nonsense.

Dont TPTB control the gold? And they want to collapse the dollar.
Everyone is playing into there hands....

reply to post by muSSang


Why would TPTB want to collapse the $$??

With a complaint US government, and fortunes to be made with the big banks trading currencies, what purpose would that achieve??

Originally posted by Aloysius the Gaul
reply to post by muSSang

 

Why would TPTB want to collapse the $$??

With a complaint US government, and fortunes to be made with the big banks trading currencies, what purpose would that achieve??

Fortunes (bailouts)?
Everheard of pennies on the dollar history repeats my friend and if memory serves me right it might be the same family hmmmmm

reply to post by muSSang


What bailouts?

TPTB already own the US economy!

Originally posted by Aloysius the Gaul

and fortunes to be made with the big banks trading currencies, what purpose would that achieve??

Fortunes (bailouts)?
Everheard of pennies on the dollar history repeats my friend and if memory serves me right it might be the same family hmmmmm



Even Ron Paul mentioned in 2002 TPTB wanted to go back to the gold system

This is a fantastic news, every other nation should join India.. pay for Oil by Gold, silver and not some currency which is created out of nothing.

The time has come to pay for goods and service where you can actually affort, and not from fake monopoly money.

reply to post by 1947flxible


Tell me if I'm wrong but isn't receiving payment in gold for his oil that got Gaddafi in trouble?

reply to post by xuenchen


EU/Euro nations can not sell their gold reserves without permission from the European central bank...

Europe's Elusive Gold Reserves: Are Greece, Portugal Sitting on Billions of Dollars? interestingly is also that these nations must also pay commissions for these so called aid packages...

reply to post by ollncasino


I suppose that is indeed true. However I think if China were to enter into a gilded age, it would in time force social changes. No nation on Earth has seen the rise of the middle class without the rise of social changes.

Don't forget the explosion of Christianity, internet activism, and tourism. All this will in time change China into something else.

...Some sort of strange half Christian, half atheist, English speaking, Eastern cultural hub. A sort of... Asian England of the 1000s. Very interesting to see where it goes.