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To: ex-Texan

I agree with everything you said, except that the dollar is still the standard currency. But it is undergoing a challenge by the nations you just mentioned (for both economic and political reasons), and if it keeps falling, the remaining nations will be doing more than mildly reducing their currency holdings. If the dollar breaks 3% below .8050 for more than a few days, it will precipitate a full blown selling panic IMO.


327 posted on 12/03/2006 11:10:18 PM PST by GodGunsGuts
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To: GodGunsGuts
In reality, oil is the standard "currency" for the world. Everything revolves around oil. Were you as amazed as I was when gasoline prices fell just before the Congressional elections? I thought I had seen everything. Not even close. And I'm an old geezer.

Watch energy prices very carefully this winter. The black, greasy stuff is now selling for slightly over $ 63/ bbl in Europe. In January, 2004, oil was selling for slightly over $ 30 / bbl. By the end of 2004, it was selling for over $ 39. In 2005, it went up to $ 58. Watch what is about to happen (not including Iran's recent threats to Israel). Venezuela wants OPEC to curtail production again. Chavez is going to stop exporting oil to the U.S. pretty soon. He may close down all those CITGO stations and just walk away.

The entire middle east is a tinder box. The Hezzies are looking for a match.

329 posted on 12/03/2006 11:30:48 PM PST by ex-Texan (Matthew 7: 1 - 6)
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