Especially since 2008 though there was/were LBJ, Bill Clinton and others.
Notice the 5th image of the Manchurian Candidate in the panel below
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Posted on 06/13/2024 10:24:11 AM PDT by algore
(Kitco News) – The established financial world order of the past 50 years is now transitioning to a new and unknown paradigm as the petrodollar agreement between the U.S. and Saudi Arabia was allowed to expire this past Sunday.
The term ‘petrodollar’ described the U.S. dollar’s (USD) role as the currency used for crude oil transactions on the world market. It traces back to the early 1970s when the United States and Saudi Arabia struck a deal shortly after the U.S. went off the gold standard – and the agreement has had far-reaching consequences for the global economy.
The petrodollar agreement came about following the 1973 oil crisis. It stipulated that Saudi Arabia would price its oil exports exclusively in U.S. dollars and invest its surplus oil revenues in U.S. Treasury bonds. In exchange, the U.S. provided military support and protection to the kingdom.
This helped the USD cement its position as the world’s reserve currency and ushered in an era of prosperity for Americans as they enjoyed the benefits of being the preferred market for global corporations to sell their wares. Additionally, the inflow of foreign capital into U.S. Treasury bonds has supported low interest rates and a robust bond market.
All that is set to change now as Saudi Arabia is looking to move beyond an exclusive relationship with the U.S. – as evidenced by the kingdom becoming one of the newest members of the BRICS bloc.
While many point to escalating global tensions and shifting geopolitical allegiances as the impetus for allowing the agreement to expire, changes in the power dynamics of the global oil market have also played a crucial role in this development as the world moves towards alternative energy sources.
At present, the Kingdom is still accepting U.S. dollars in exchange for oil, but some of the world’s largest economies are attempting to change that, notably China. For years, China has been actively trying to get Saudi Arabia to accept the yuan for oil purchases, and while the Kingdom has thus far refrained from making the switch, they have expressed openness to the idea.
According to digital news service Sputnik, “Nearly 80 percent of global oil sales are priced in dollars. However, Russia, Iran, Saudi Arabia, China, and others are increasingly shifting to local currencies in energy trade. In 2023, 20 percent of global oil was bought in other currencies, as per the Wall Street Journal.”
The Kingdom’s acceptance into the BRICS bloc has the potential to influence this decision. If Saudi Arabia moves to expand beyond the USD, it would materially weaken the currency’s dominance in the oil market – and as a result, its place on the world stage. A decline in global demand for the greenback could result in higher inflation, higher interest rates, and a weaker bond market in the United States.
The currency, the economy, . It's all a shambles.
The economic gurus will tell him, “If you don’t move to a CBDC the people will starve and there will be widespread ruination.”
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Exactly. The amount of FEAR by Americans over a Flu caused many to run out and get jabbed by the MRNA kill shot……imagine the FEAR when .gov tells you will lose your 401’s, SS, Pensions, etc….IF you don’t go cashless…
Disclaimer: I saw through the MRNA kill shots, mandates, shutdowns very early on….I am a Pureblood, and I do have much sympathy for the Mudbloods.
“But first, we’re gonna get poor like no one here has ever seen before, except in some very old movies. “
My parents and grandparents went through the depression in Hickman county, Tennessee. They were hardcore till the day they died. They became moonshiners and bootleggers to survive. We’ll survive but I have a hunch the troublesome elements of the population will see a severe decrease.
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Was in place with Trump, and to be fair, Trump flooding all that vid stimmy money just pushed more into BRICS.
So now the dollar isn’t based on anything of intrinsic value. Hot diggidy!/sarc
How long can the FED keep buying our own treasuries?
Thank you, Richard Nixon. This is a bi-partisan cluster-f!@# that started a generation ago. Trajectory continues downward.
Thank you Nixon, indeed. Opened up China - created the EPA - took us off the gold standard.
And I voted for him, as I cast my first ballot for a president.
He was a good man in many ways, but a lot of evil started with him and continued. First, the dollar got off the gold standard. Second, the Dems became impeachment happy to this day. Third, America lost a war. It was a lousy war, stupidly stumbled into, but losing it emboldened the enemies of freedom.
Just when America and the world recovered from that disaster, along came Joe, slow walking Joe, slow talking Joe, and made sure to lose another one. Now here we all are.
Juck Foe Biden.
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