Iran stops selling oil in U.S. dollars

Instead of being so scathing, perhaps you could add something to the article instead of just detesting Americans, maybe you could try to put your opinion in here some where.

Hey, thats a two way street you're playing with him there.

Hence, why don't you stop wasting our time by firing back at someone because you didn't like his post?


Starting to see how attacking members is a vicious cycle?



With that aside...

Someone asked why Oil is sold primarily in US dollars, I would think it has something to do with the sheer quantity of oil the US purchases. They are the primary buyer of oil, and hence, naturally their dollar is the basis for oil sales.


While I don't believe Iran's decision will really affect the US as much as many fear, I do believe that the media dragged this to everyones attention to further public opinion against Iran.

If it were, say, Jamaica, no-one would ever know.

[edit on 8-12-2007 by johnsky]

Johnsky your point is noted... just realize that most of my post have to do with the subject at hand, not bashing

Anyway.......The reason crude is in US Dollars is that the major mover and price setters of crude oil is not OPEC but New York Merchantile Exchange along with the IPE in London

Another reason Irans bid was not accepted by OPEC is that they have an in place policy about undermining the oil industry in this way....which would also possibly affect the advanced investment needed for OPEC to avoid shortages in production.

AS long as Iran is the only one who does it, it shouldnt hurt the US. If you remember the US doesnt buy any oil from Iran. But if other oil producing countries cross over look out world.

Originally posted by TheAvenger
Anything Iran does or has ever done will have little effect on the U.S. The major U.S. media think so much of this story that they don't even make mention of it.
The other OPEC members refused to follow Iran's suggestion to not take USD, so this is much ado about nothing. No way anything Iran does will collapse the U.S. economy. I swear, there are people here who will believe anything; wake up folks.

Best put post so far.... Let Iran do whatever it doesnt matter to the US. We dont do business with them.

Originally posted by johnsky
While I don't believe Iran's decision will really affect the US as much as many fear, I do believe that the media dragged this to everyones attention to further public opinion against Iran.

IMO it was dragged out int he media to futhure the attack on the current administration. While I dont agree with most of what this one has done I dont like how both sides do nothing but bash the other constantly. This is why nothing gets done in the US congress.

I also like how the MSM fails to tell everyone that the US doesnt and hasnt for some time done business with Iran, so this really means nothing to the US economy.

Not selling oil "In dollars" is mostly an irrelevancy. Real live economics doesn't work this way.

In reality, the foreign exchange market, especially in Euro/USD is the deepest, most liquid market in the world. It is very likely that there is more volume in the currency market in the first half hour of London trading than the value of oil Iran sells in a year.

It is pretty easy for even *retail traders* (www.interactivebrokers.com) to buy and sell 20 million euros against dollars with a single mouse click, assuming you have the (fairly small) margin deposited in cash. And if you traded 20 million the liquidity providers (major banks) would probably refresh the bid/ask with no change or movement of 1 pip, e.g. 1.4780 to 1.4781, so you could probably do 100 million with only a bit of market movement.

Iran deciding to sell or not sell oil in euros is irrelevant economically as people can convert or buy futures to convert from euros/dollars very easily.

What DOES matter is the disposition of the currency and investment returns held by foreign countries by their central banks and investment funds, as this will control interest rates.

In particular who matters here are the wealthy Gulf oil states, not including Iran.

Iran has to spend the money they get from oil since they have a very large population and not much good jobs and a whacked out ignorant president whose mode of governing is to write out government checks to pious country folks (the ones who vote for him) if they kiss his ass.

[edit on 8-12-2007 by mbkennel]

Originally posted by Bluess
Now wouldnt it be even harder for Bush to get support for an invasion as this would now also be linked to this event?

It doesn't really matter if it's difficult to justify or not. It's beginning to dawn on everyone, that constitution and international law be damned, if something threatens the stability of the US, it will do whatever it can to fix that situation.

They haven't even tried to make a secret of that reality, I'm pretty much paraphrasing something Rumsfeld said at some point. Not the part about constitution be damned obviously.

All the Iranian invasion is going to mean is a more unpopular US But the accelerating oil crisis has kinda put US popularity at the bottom of the priority list when it comes to US foriegn policy.

All this could be solved by getting rid of bush and his administration. Tell Cheney thanks for screwing us over and then throw him in jail- America's image would definitely be a better one worldwide. Hell I'd love to see them hung like saddam. I have no idea how this will impact us but I'm sure gas prices are going to rise sharply though.

reply to post by madhatr137


***I'm willing to bet that, with the public revealation that the gov't has known since 2003 that Iran didn't pose a real military threat, a nuclear threat...just as everyone in the intelligence community knew since the '90s that Iraq was not a threat...the NeoCon White House has been hoping for this reaction by Tehran...why all of the sabre rattling by the White House, the refusal to back down, the refusal to negociate from an honest standpoint?***

Actually, we HAVEN'T known since 2003, we received only enough information late this past summer, to substanciate the possability that they stopped in 2003, trying to make nuclear weapons. Only going through the reports was it found that they did stop in 2003... big difference and nice spin on what really happened and what people think happened. The thing is, even thought they have stopped working on the technology to create nuclear weapons, they are still refining weapons grade uranium (I believe the correct material is). The technology is the easy part, the uranium is the hard part, once they get the uranium refined, it would be faily quick process to create the rest. Allow an analogy, it would be like someone walking in the store gabbing a bag of chocolate chips and saying "I'm going to use these to make oatmeal cookies". Obviously they aren't going to be making CC cookies.

And please stop with the "neo-Con" stuff, that buzz-word is SOOO old... and the term Neo-Con" actaully refers to Liberals who convert to Conservatism, and I don't think that would discribe Uncle George. Besides other than our president, our government is run by the Liberals and Democrats, no the so called "Neo-Cons".


***Its simple...if America isn't going to get behind the War against Iran because of some dreamed up "moralism"...then the next step is to create a situation that is very real....allow the threat from Iran to escape from the imagination of the people and turn it into one that attacks the deeper fiber of the American being.... It is not the morals that make up the "American way of life," it is the consumer trends....and if the economy collapses because of this....well....people won't feel they have a choice but to fight... Breadline or Frontline.... ***

Actually, using "dreamed up 'moralism" isn't necissary, as Iran has been a constant threat since the mid 70's (most of you youngin's weren't even alive to remember). I wonder if you know, that in Iranian schools, children are taught that it is OK to kill Jews and Americans. At the beginning of class they will shout "Death to Americans, death to Jews"... and this comes from a family that moved here from Iran not to long ago.

I am guessing the writer of the attached comments is not an American, because what he/she says has a severe lack of knowledge on what is REALLY happening here. But, I do know unlike ours own, ALL European (including the Brit's) newsmedia... papers and TV, are government controlled, so unfortunately this person is getting a seriously biased if not totally distorted view on what is happening here.

OK, I'm done =)

reply to post by dj05544


Actually, I am curious, why people think Cheney has ANYTHING to do with the gas prices??

This will be an extremely unpopular concept to most people but I think the US should simply drop all pretext of being the 'good guys' and simply flat out invade Iran with the open knowledge that it is to secure the oil. Never mind the nonsense and the bs, just rape and pillage their way across the globe and challenge anyone to stand up to them militarily or otherwise. Stop screwing around and just grab what is left before it is too late. %70 of the remaining oil on Earth is in a nice little triangle smaller than the state of Kansas, just go in and take it already.

The resource wars are already under way, why bother pretending it is for any other reason that things are happening the way they are? If the US doesn't do it someone else will. Afghanistan was about opium, Iraq and Iran are about the oil and they already basically control Saudi Arabia.

trust me. american petro-corporations ain't dumb. nothing happens
without them knowing and causing it. whatever happens, they need us to work and pay taxes.........

Originally posted by menjo2000
reply to post by dj05544

 

Actually, I am curious, why people think Cheney has ANYTHING to do with the gas prices??

You ARE joking, right? Look into Cheney's history, please. In fact, look into the history of every single person in the BushCo administration.

Also look into every single Wall Street boss, they are either ex CIA heads or vice-versa. Read 'Crossing the Rubicon' and you will understand all.

reply to post by KaiBosh


Actually there is 3 times more oil in Alaska than there is in the Mid-East, it's just that there are some in our government that feel that destroying a desolate wasteland, and a few carabu would be to much of a price to pay. Besides, we get almost all of our oil from either the Saudis, Kuwiatis, British, and Brazil. People still think that we went in to Iraq for oil, we never got our oil there in the first place, second, when did America ever "take" anything?? Name one please =)

Originally posted by menjo2000
when did America ever "take" anything?? Name one please =)

The Philippines.

You took them from the Spanish (as though they had any right to them) after the Spanish-American War.

That`s one. Would you like another?

reply to post by menjo2000


sadly what i think what america took was america's wealth. that is to say those in power, the corporate elite, went to war and used it as an opportunity to consolidate the american treasure chest. the profits that corporate america has made while we the people have been burdened with nearly a trillion dollar debt to china.

it really is so insulting and sick IMO.

Originally posted by vox2442

Originally posted by menjo2000
when did America ever "take" anything?? Name one please =)

The Philippines.

You took them from the Spanish (as though they had any right to them) after the Spanish-American War.

That`s one. Would you like another?

Actaully, the Philipines were under our protection from the Jap's in WWII, are we still there... no. Did we ever intend to stay... no. Once they got a stabble government up and running, we left it to them to run. So we basically "took" from the "takers" and gave it back to the natives... I think that is a good thing, and you sir have received a HUGE "fail"... thank you =)

Originally posted by Animal
reply to post by menjo2000

 

sadly what i think what america took was america's wealth. that is to say those in power, the corporate elite, went to war and used it as an opportunity to consolidate the american treasure chest. the profits that corporate america has made while we the people have been burdened with nearly a trillion dollar debt to china.

it really is so insulting and sick IMO.

I hate to say it, but except for technology, there is NO profit in war. At least in any war we fought, there has yet to be ANY profit, in fact we always seem to end up GIVING money away to those who are the happless victims.

Originally posted by Bluess
Iran has the right to sell their oil in any currency they want too.

Now wouldnt it be even harder for Bush to get support for an invasion as this would now also be linked to this event?

It's a very cleaver move on Irans behalf.

Though I don't like them very much myself, I do have to give them a golfers clap for this one..lol

reply to post by menjo2000


really because if you look at the amount of money paid to american corporations working in iraq your assertion seems untrue.