Thursday, May 04, 2006

ECONOMIC WARFARE: IRAN'S EURO-OIL BOURSE SET TO OPEN

Will Iran's launch of a new oil bourse, based on the euro, not the dollar, be the trigger for a US attack?
Oil Minister Kazem Vaziri Hamaneh said on Wednesday that the establishment of Oil Stock Exchange is in its final stage and the bourse will be launched in Iran in the next week.

He told reporters, upon arrival from Qatar where he attended the 10th General Assembly of International Energy Agency and consultations with OPEC member states, that registration of the Oil Stock Exchange is underway and the entity will operate after being approved by by Council of Stock Exchange.

Some think this oil-euro exchange could further damage the dollar's value in the eye's of international investors...
Today, Iran fired the first shot in a battle that will ultimately change the global economic system. Mehr News Agency announced that the long-anticipated Iran Oil Bourse (OIB) will open sometime next week on Kish Island competing head-on with the US dollar. Currently, all oil transactions are denominated exclusively in greenbacks (via the London and New York oil exchanges) giving the US a virtual monopoly on the oil trade and maintaining the dollar’s position as the world’s reserve currency. This privilege has allowed the US to generate massive deficits as well as a national debt of $8.4 trillion without fear of economic collapse but, the "time’s they are a-changin’". If Iran proceeds with its plan, the central banks around the world will convert some of their reserves into euros sending billions of dollars back to the America. This will result in either recession or depression.

The notion that the bourse poses a serious threat to the US economy has been widely dismissed as a left-wing, internet-conspiracy theory. In fact, there is nothing conspiratorial about it, unless the fundamental law of "supply and demand" no longer applies.

If fewer people want the greenback it becomes worth less. Is that conspiratorial?

Articles about the bourse have magically disappeared from the internet. The more reputable accounts of the potential disaster have slipped into a cyber black-hole.

So, judge for yourself.... Is this truly a cause for concern, or more left-wing hand-wringing.  Frankly, any excuse to take out Iran sooner, rather than later, is OK with me...


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