Portofino Resort- Now with a new BEACH BAR!!
Page 1 of 5 1 2 3 4 5 >
Topic Options
#353998 - 10/08/09 07:26 AM Dump your US Dollars!
Short Offline
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, 6 October 2009

In the most profound financial change in recent Middle East history, Gulf Arabs are planning – along with China, Russia, Japan and France – to end dollar dealings for oil, moving instead to a basket of currencies including the Japanese yen and Chinese yuan, the euro, gold and a new, unified currency planned for nations in the Gulf Co-operation Council, including Saudi Arabia, Abu Dhabi, Kuwait and Qatar.

Secret meetings have already been held by finance ministers and central bank governors in Russia, China, Japan and Brazil to work on the scheme, which will mean that oil will no longer be priced in dollars.

The plans, confirmed to The Independent by both Gulf Arab and Chinese banking sources in Hong Kong, may help to explain the sudden rise in gold prices, but it also augurs an extraordinary transition from dollar markets within nine years.

The Americans, who are aware the meetings have taken place – although they have not discovered the details – are sure to fight this international cabal which will include hitherto loyal allies Japan and the Gulf Arabs. Against the background to these currency meetings, Sun Bigan, China's former special envoy to the Middle East, has warned there is a risk of deepening divisions between China and the US over influence and oil in the Middle East. "Bilateral quarrels and clashes are unavoidable," he told the Asia and Africa Review. "We cannot lower vigilance against hostility in the Middle East over energy interests and security."

This sounds like a dangerous prediction of a future economic war between the US and China over Middle East oil – yet again turning the region's conflicts into a battle for great power supremacy. China uses more oil incrementally than the US because its growth is less energy efficient. The transitional currency in the move away from dollars, according to Chinese banking sources, may well be gold. An indication of the huge amounts involved can be gained from the wealth of Abu Dhabi, Saudi Arabia, Kuwait and Qatar who together hold an estimated $2.1 trillion in dollar reserves.

The decline of American economic power linked to the current global recession was implicitly acknowledged by the World Bank president Robert Zoellick. "One of the legacies of this crisis may be a recognition of changed economic power relations," he said in Istanbul ahead of meetings this week of the IMF and World Bank. But it is China's extraordinary new financial power – along with past anger among oil-producing and oil-consuming nations at America's power to interfere in the international financial system – which has prompted the latest discussions involving the Gulf states.

Brazil has shown interest in collaborating in non-dollar oil payments, along with India. Indeed, China appears to be the most enthusiastic of all the financial powers involved, not least because of its enormous trade with the Middle East.

China imports 60 per cent of its oil, much of it from the Middle East and Russia. The Chinese have oil production concessions in Iraq – blocked by the US until this year – and since 2008 have held an $8bn agreement with Iran to develop refining capacity and gas resources. China has oil deals in Sudan (where it has substituted for US interests) and has been negotiating for oil concessions with Libya, where all such contracts are joint ventures.

Furthermore, Chinese exports to the region now account for no fewer than 10 per cent of the imports of every country in the Middle East, including a huge range of products from cars to weapon systems, food, clothes, even dolls. In a clear sign of China's growing financial muscle, the president of the European Central Bank, Jean-Claude Trichet, yesterday pleaded with Beijing to let the yuan appreciate against a sliding dollar and, by extension, loosen China's reliance on US monetary policy, to help rebalance the world economy and ease upward pressure on the euro.

Ever since the Bretton Woods agreements – the accords after the Second World War which bequeathed the architecture for the modern international financial system – America's trading partners have been left to cope with the impact of Washington's control and, in more recent years, the hegemony of the dollar as the dominant global reserve currency.

The Chinese believe, for example, that the Americans persuaded Britain to stay out of the euro in order to prevent an earlier move away from the dollar. But Chinese banking sources say their discussions have gone too far to be blocked now. "The Russians will eventually bring in the rouble to the basket of currencies," a prominent Hong Kong broker told The Independent. "The Brits are stuck in the middle and will come into the euro. They have no choice because they won't be able to use the US dollar."

Chinese financial sources believe President Barack Obama is too busy fixing the US economy to concentrate on the extraordinary implications of the transition from the dollar in nine years' time. The current deadline for the currency transition is 2018.

The US discussed the trend briefly at the G20 summit in Pittsburgh; the Chinese Central Bank governor and other officials have been worrying aloud about the dollar for years. Their problem is that much of their national wealth is tied up in dollar assets.

"These plans will change the face of international financial transactions," one Chinese banker said. "America and Britain must be very worried. You will know how worried by the thunder of denials this news will generate."

Iran announced late last month that its foreign currency reserves would henceforth be held in euros rather than dollars. Bankers remember, of course, what happened to the last Middle East oil producer to sell its oil in euros rather than dollars. A few months after Saddam Hussein trumpeted his decision, the Americans and British invaded Iraq.

http://www.independent.co.uk/news/business/news/the-demise-of-the-dollar-1798175.html
_________________________
Live and let live

Top
#354005 - 10/08/09 01:35 PM Re: Dump your US Dollars! [Re: Short]
Otteralum Offline
I don't think the foreign currencies can move very quickly, and China has a vested interest in the US market doing well.

That said, I think we're poised for a double-dip recession and a gradual weakening dollar even more. The gold ship may have sailed, but other commodities are looking good right now.

I'm selling at 2009 highs right now and buying commodities and inflation-indexed funds.
_________________________
I will have a Belikin -- put it on klcman's tab.

Top
#354006 - 10/08/09 01:37 PM Re: Dump your US Dollars! [Re: Otteralum]
Ernie B Offline
I aint buying nuttin but time
_________________________
Gun Control is Hitting Your Target.

Top
#354063 - 10/08/09 06:27 PM Re: Dump your US Dollars! [Re: Ernie B]
Phil Offline
For those that are worried I will help by buying your US$ with Bz$ at Bz$1.85 to the US$. Get it quick while you can. US$ soon to be pegged to the Bz$........

Top
#354094 - 10/08/09 09:14 PM Re: Dump your US Dollars! [Re: Phil]
Amanda Syme Offline
Phil - you are so generous. No doubt you will have many takers!

Top
#354176 - 10/09/09 06:45 PM Re: Dump your US Dollars! [Re: Amanda Syme]
SnoopysMom Offline
Doesn't the Mayan calendar end in 2012? If they are correct, we won't be around after 2012 to need the cash anyway wink


Top
#354177 - 10/09/09 08:00 PM Re: Dump your US Dollars! [Re: SnoopysMom]
Amanda Syme Offline
assuming we have enough money to last us til 2012

Top
#354183 - 10/09/09 10:42 PM Re: Dump your US Dollars! [Re: Amanda Syme]
collyk Offline
The Maya calendar doesn't end in 2012 any more than our calendar ends in December. This is one of the misnomers about the Maya calendar. To read what the Foundation for the Advancement of Meso American Studies, which is a group made up of scholars in the field, has to say about this subject check out this very interesting site. http://www.famsi.org/research/vanstone/2012/index.html

They also have produced a less wordy FAQ on the subject for those who don't want to do much reading called 'It's not the end of the world' at http://www.famsi.org/research/vanstone/2012/faq.html

_________________________
www.conchcreative.com
Belize Wedding Photography


Top
#354186 - 10/09/09 11:50 PM Re: Dump your US Dollars! [Re: collyk]
Amanda Syme Offline
basically life as we know it will be changed forever...

Top
#354187 - 10/10/09 12:12 AM Re: Dump your US Dollars! [Re: Amanda Syme]
collyk Offline
Is the world really going to end? Did the Maya really believe the world would end?

There is nothing in the Maya or Aztec or ancient Mesoamerican prophecy to suggest that they prophesied a sudden or major change of any sort in 2012. The notion of a "Great Cycle" coming to an end is completely a modern invention.

Maya inscriptions that predict the future consistently show that they expected life to go on pretty much the same forever. At Palenque, for instance, they predicted that people in the year 4772 AD would be celebrating the anniversary of the coronation of their great king Pakal.

Of course, astronomers expect the Sun will eventually blow up into a red giant, then collapse and eventually burn out, but not for several billion years. Although the Maya did cast some predictions into the far distant future, we have not yet discovered any that reach that far. As to whether our world will end in 2012, the answer is, well, yes and no. Americans' sense of invulnerability ended on 9-11-2001. Everything is getting darker and more desperate. Wall Street is crashing. The prospect of peace in the Middle East dims year by year. Some Russian nuclear weapons are unaccounted for. Oil consumption has outstripped our oil production capability. Don't even start with global warming or overpopulation. By any measure, the world after 2012 will certainly look much different than it does today. Statistically, some significant change for the worse is bound to happen in 2012 –or in 2011, or 2013, or 2020, or whatever year you choose.

Even if we were to find evidence of actual Maya prophecies about 2012, that doesn't make them true. Apparently all of Christendom expected Jesus to return in the year 1000, for example. And maybe the most important question to ask was voiced to me by Bill Saturno, discoverer of the San Bartolo murals. If the Maya were such skilled prophets, how could they have missed the Conquest? "Didn't see that one coming, did they?" The single most devastating disaster to befall the peoples of the Americas of all time, and not a word about it in the entire corpus of Mayan prophetic literature. source
_________________________
www.conchcreative.com
Belize Wedding Photography


Top
Page 1 of 5 1 2 3 4 5 >

Links
Click for excellent scuba lessons with Elbert Greer!


Things to do

News
Daily News
Daily Weather

Classified Ads
BelizeNews.com
San Pedro Sun
Ambergris Today
SP Town Council
Channel 7
Channel 5
Amandala
Love FM
The Reporter
Caye Caulker
Chronicles

PLUS TV
TV Newscasts
Radio Stations

Click for our
Search thousands of Belizean-only websites

Event Guides
Event Calendar
Specials & Events
Things to Do
SanPedroScoop
iTravel Belize
Paradise Theater

Blogs
San Pedro Scoop!
Tia Chocolate
Tacogirl
My Beautiful Belize
I-Travel Belize
Belize Adventure
Belize Hub
Romantic Travel
Bound for Belize
Conch Creative
As The Coconuts Drop
More Blogs...
Search thousands of Belizean-only websites
Chaa Creek is an award-winning luxury Belize Resort, rated as one of the worlds best Eco Lodges. We are a pioneer in adventure travel to Belize since 1981!
White Sands Dive Shop - 5 Star PADI Dive Facility - Daily diving, SCUBA instruction and Snorkeling
Caribbean Inspired All Natural Condiments & Spice Blends, Over 100 are Gluten Free!
We manage a variety of homes, apartments, condos and commercial properties here on Ambergris Caye. Our minimum lease on ALL properties is six months.
Conch Shell Inn: All rooms are right on the beach in the heart of San Pedro, so within walking distance to anything and everything!!
Lil’ Alphonse has snorkel equipment to fit anyone as well as Marine Park Tickets and flotation devices to assist those not as experienced.
Coastal Xpress offers a daily scheduled ferry run to most resorts, restaurants and private piers on the island of Anbergris Caye. We also offer  private and charter water taxi service.
Mini Chat

Cayo Espanto
Click for Cayo Espanto, and have your own private island
More Links
Click for exciting and adventurous tours of Belize with Katie Valk!
December
S M T W T F S
1 2 3
4 5 6 7 8 9 10
11 12 13 14 15 16 17
18 19 20 21 22 23 24
25 26 27 28 29 30 31
Who's Online
2 registered (2 invisible), 58 Guests and 4 Spiders online.
Key: Admin, Global Mod, Mod
Forum Stats
18,672 Registered Members
44 Forums
64,029 Topics
462,230 Posts

Most users ever online: 1,262 @ 06/10/07 07:16 PM




AmbergrisCaye.com CayeCaulker.org HELP! Visitor Center Goods & Services San Pedro Town
BelizeSearch.com Message Board Lodging Diving Fishing Things to Do History
BelizeNews.com Maps Phonebook Belize Business Directory
BelizeCards.com SanPedroDaily.com Picture of the Day

The opinions and views expressed on this board are the subjective opinions of Ambergris Caye Message Board members
and not of the Ambergris Caye Message Board its affiliates, or its employees.