efields
Padawan Learner
From: "Michael" michael@theyfly.com
Date: Thu May 25, 2006 5:24pm(PDT)
Subject: Follow the (declining) dollar
When I spoke with Billy (Meier) at the center he said that at the heart of the
Iraq war, etc. was the concern over the fall of the dollar. Here's an
interesting article regarding the subject:
Vladimir Putin and the rise of the petro-ruble
By Mike Whitney
05/22/06 "Information Clearing House" -- -- ?If one day the world?s
largest oil producers demanded euros for their barrels, it would be the
financial equivalent of a nuclear strike?. Bill O? Grady, A.G. Edwards
On May 10, Russian President Vladimir Putin ignited a firestorm that
is bound to sweep across the global economy. In his State of the
Nation speech to parliament,, he announced that Russia was planning to
make the ruble ?internationally convertible? so that it could be used
in oil and natural gas transactions. Presently, oil is denominated
exclusively in dollars and sold through the New York Mercantile
Exchange (NYMX) or the London Petroleum Exchange (LPE) both owned by
American investors. If Russia proceeds with its plan, the ruble will go
nose to nose with the dollar on the open market sending several
billions of surplus greenbacks back to the United States. This could
potentially send the American economy into freefall; triggering a deep
recession and an extended period of hyper-inflation.
?The ruble must become a more widespread means of international
transactions,? Putin said. ?To this end, we need to open a stock
exchange in Russia to trade in oil, gas, and other goods to be paid for
in rubles."
Currently, the central banks around the world carry large stockpiles
of dollars to use in their purchases of oil. This gives the US a
virtual monopoly on oil transactions. It also forces reluctant nations
to continue using the dollar even though it is currently underwritten
by $8.4 trillion national debt.
Putin?s plan is similar to that of Iran, which announced that it would
open an oil-bourse (oil exchange) on Kish Island in two months. The
bourse would allow oil transactions to be made in petro-euros, thus
discarding the dollar. The Bush administration?s belligerence has
intensified considerably since Iran made its intentions clear. In fact,
just yesterday, Secretary of State Condi Rice said that ?security
guarantees were not on the table? regardless of any Iranian commitment
to stop enriching uranium. In other words, Washington will not provide
Iran a ?non-aggression pact? whether it follows UN Security Council
guidelines or not.
Surely, this is a sign that Uncle Sam is on a fast-track to war.
The United States must protect its dollar-monopoly in the oil trade or
it will lose the advantage of being the world?s ?reserve currency?. As
the reserve currency, the US can maintain its towering $8.4 trillion
national debt and $800 billion trade deficit without fear of soaring
interest rates or hyper-inflation. Trillions of greenbacks are
constantly circulating in oil transactions just as hundreds of billions
are stockpiled in foreign banks. In effect, the Federal Reserve is
issuing bad checks with every dollar printed on the assumption that
they will never reach the bank for collection. So far, they?ve been
right, and as the price of oil continues to skyrocket, the Fed just
keeps cheerily printing more worthless paper sending it to the 4
corners of the earth. Regrettably, if Russia or Iran goes ahead with
their conversion plan, then the bad checks will flood back to their
source and precipitate a meltdown.
America?s economic supremacy depends entirely on its ability to compel
nations to make their energy acquisitions in greenbacks. If the flaccid
dollar is not linked to the world?s most vital resource, then banks
will dump it overnight. This extortion-racket is the system we are
defending in Iraq, not ?democracy?. It is a huckster?s scam designed to
perpetuate American debt by forcing worthless currency on the
developing world.
In a recent article by Dave Kimble, ?Collapse of the petrodollar
looming?, the author provides the details of Russia?s importance to the
world oil market.
?Russia's oil exports represent 15.2% of the world's export trade in
oil, making it a much more significant player than Iran, with 5.8% of
export volumes. Russia also produces 25.8% of the world's gas exports,
while Iran is still only entering this market as an exporter
.
Venezuela has 5.4% of the export market.?
Obviously, it is not in Russia?s interest to trade with its European
partners in dollars any more than it would be for the US to trade with
Canada in rubles. Putin can strengthen the Russian economy and improve
Russia?s prestige in the world as an energy superpower by transitioning
to rubles. But, will Washington allow him to succeed?
A growing number of nations are now focusing on the empire?s Achilles?
heel, the dollar. Venezuela, Russia, Norway and Iran are all
threatening to move away from the greenback. Is this a spontaneous
uprising or is it a new type of asymmetrical warfare?
Whatever it is, Washington is bound to be reeling from the affects.
After all, war maybe possible with Iran or Venezuela, but what about
Russia? Would Bush be stupid enough to risk nuclear Armageddon to
protect the drooping dollar?
The administration is exploring all of its options and is developing a
strategy to crush Putin?s rebellion. (This may explain why Newsweek
editor and undeclared spokesman for the Council on Foreign Relations
(CFR), Fareed Zacharia, asked his guest on this week?s ?Foreign
Exchange? whether he thought Putin could be ?assassinated??!? Hmmm? I
wonder if we?ll hear similar sentiments from Tom Friedman this week?)
The Council on Foreign Relations (CFR), the secretive organization of
4,400 American elites from industry, finance, politics, media and the
military (who operate the machinery of state behind the mask of
democracy) has already issued a tersely worded attack on Putin
(?Russia? Wrong Direction?; Manila Times) outlining what is expected
for Russia to conform to American standards of conduct. The missive
says that Russia is headed in ?the wrong direction? and that ?a
strategic partnership no longer seems possible?. The article reiterates
the usual canards that Putin is becoming more ?authoritarian? and
?presiding over the rollback of Russian democracy?. (No mention of
flourishing democracy in Saudi Arabia or Uzbekistan?) The CFR cites
Putin?s resistance to ?US and NATO military access to Central Asian
bases? (which are a dagger put to Moscow?s throat) the banishing of
Washington?s ?regime change? NGOs from operating freely in Russia
(?Freedom Support Act funds?) and Russia?s continued support for Iran?s
?peaceful? development of nuclear energy.
America has never been a friend to Russia. It took full advantage of
the confusion following the fall of the Soviet Union and used it to
apply its neoliberal policies which destroyed the ruble, crushed the
economy, and transferred the vast resources of the state to a handful
of corrupt oligarchs. Putin single-handedly, put Russia back on solid
footing; taking back Yukos from the venal Khordukovsky and addressing
the pressing issues of unemployment and poverty-reduction. He is a
fierce nationalist who enjoys a 72% approval rating and does not need
the advice of the Bush administration or the CFR on the best path
forward for his country.
The US has purposely strained relations with Russia by putting more
military bases in Central Asia, feeding the turmoil in Chechnya,
isolating Russia from its European neighbors, and directly intervening
in its elections.
When the G-8 summit takes place next week, we should expect a
full-throated attack from the corporate media on Putin as the latest
incarnation of Adolph Hitler. Watch the fur fly as the forth estate
descends on its newest victim like feral hounds to carrion. (Putin?s
announcement that Russia would be converting to rubles HAS NOT APPEARED
IN ANY WESTERN MEDIA. Like the Downing Street Memo, the firebombing of
Falluja, or the ?rigged? 2004 elections, the western ?free press?
scrupulously avoids any topic that may shed light on the real
machinations of the US government)
Putin?s challenge to the dollar is the first salvo in a guerilla war
that will end with the crash of the greenback and the restoration of
parity among the nations of the world. It represents a tacit rejection
of a system that requires coercion, torture and endless war to uphold
its global dominance. When the dollar begins its inevitable decline,
the global-economic paradigm will shift, the American war machine will
grind to a halt, and the soldiers will come home. Maybe, then we can
rebuild the republic according to the lost values of human rights and
the rule of law.
Putin?s plan is set to go into effect on July 1, 2006.
Date: Thu May 25, 2006 5:24pm(PDT)
Subject: Follow the (declining) dollar
When I spoke with Billy (Meier) at the center he said that at the heart of the
Iraq war, etc. was the concern over the fall of the dollar. Here's an
interesting article regarding the subject:
Vladimir Putin and the rise of the petro-ruble
By Mike Whitney
05/22/06 "Information Clearing House" -- -- ?If one day the world?s
largest oil producers demanded euros for their barrels, it would be the
financial equivalent of a nuclear strike?. Bill O? Grady, A.G. Edwards
On May 10, Russian President Vladimir Putin ignited a firestorm that
is bound to sweep across the global economy. In his State of the
Nation speech to parliament,, he announced that Russia was planning to
make the ruble ?internationally convertible? so that it could be used
in oil and natural gas transactions. Presently, oil is denominated
exclusively in dollars and sold through the New York Mercantile
Exchange (NYMX) or the London Petroleum Exchange (LPE) both owned by
American investors. If Russia proceeds with its plan, the ruble will go
nose to nose with the dollar on the open market sending several
billions of surplus greenbacks back to the United States. This could
potentially send the American economy into freefall; triggering a deep
recession and an extended period of hyper-inflation.
?The ruble must become a more widespread means of international
transactions,? Putin said. ?To this end, we need to open a stock
exchange in Russia to trade in oil, gas, and other goods to be paid for
in rubles."
Currently, the central banks around the world carry large stockpiles
of dollars to use in their purchases of oil. This gives the US a
virtual monopoly on oil transactions. It also forces reluctant nations
to continue using the dollar even though it is currently underwritten
by $8.4 trillion national debt.
Putin?s plan is similar to that of Iran, which announced that it would
open an oil-bourse (oil exchange) on Kish Island in two months. The
bourse would allow oil transactions to be made in petro-euros, thus
discarding the dollar. The Bush administration?s belligerence has
intensified considerably since Iran made its intentions clear. In fact,
just yesterday, Secretary of State Condi Rice said that ?security
guarantees were not on the table? regardless of any Iranian commitment
to stop enriching uranium. In other words, Washington will not provide
Iran a ?non-aggression pact? whether it follows UN Security Council
guidelines or not.
Surely, this is a sign that Uncle Sam is on a fast-track to war.
The United States must protect its dollar-monopoly in the oil trade or
it will lose the advantage of being the world?s ?reserve currency?. As
the reserve currency, the US can maintain its towering $8.4 trillion
national debt and $800 billion trade deficit without fear of soaring
interest rates or hyper-inflation. Trillions of greenbacks are
constantly circulating in oil transactions just as hundreds of billions
are stockpiled in foreign banks. In effect, the Federal Reserve is
issuing bad checks with every dollar printed on the assumption that
they will never reach the bank for collection. So far, they?ve been
right, and as the price of oil continues to skyrocket, the Fed just
keeps cheerily printing more worthless paper sending it to the 4
corners of the earth. Regrettably, if Russia or Iran goes ahead with
their conversion plan, then the bad checks will flood back to their
source and precipitate a meltdown.
America?s economic supremacy depends entirely on its ability to compel
nations to make their energy acquisitions in greenbacks. If the flaccid
dollar is not linked to the world?s most vital resource, then banks
will dump it overnight. This extortion-racket is the system we are
defending in Iraq, not ?democracy?. It is a huckster?s scam designed to
perpetuate American debt by forcing worthless currency on the
developing world.
In a recent article by Dave Kimble, ?Collapse of the petrodollar
looming?, the author provides the details of Russia?s importance to the
world oil market.
?Russia's oil exports represent 15.2% of the world's export trade in
oil, making it a much more significant player than Iran, with 5.8% of
export volumes. Russia also produces 25.8% of the world's gas exports,
while Iran is still only entering this market as an exporter
.
Venezuela has 5.4% of the export market.?
Obviously, it is not in Russia?s interest to trade with its European
partners in dollars any more than it would be for the US to trade with
Canada in rubles. Putin can strengthen the Russian economy and improve
Russia?s prestige in the world as an energy superpower by transitioning
to rubles. But, will Washington allow him to succeed?
A growing number of nations are now focusing on the empire?s Achilles?
heel, the dollar. Venezuela, Russia, Norway and Iran are all
threatening to move away from the greenback. Is this a spontaneous
uprising or is it a new type of asymmetrical warfare?
Whatever it is, Washington is bound to be reeling from the affects.
After all, war maybe possible with Iran or Venezuela, but what about
Russia? Would Bush be stupid enough to risk nuclear Armageddon to
protect the drooping dollar?
The administration is exploring all of its options and is developing a
strategy to crush Putin?s rebellion. (This may explain why Newsweek
editor and undeclared spokesman for the Council on Foreign Relations
(CFR), Fareed Zacharia, asked his guest on this week?s ?Foreign
Exchange? whether he thought Putin could be ?assassinated??!? Hmmm? I
wonder if we?ll hear similar sentiments from Tom Friedman this week?)
The Council on Foreign Relations (CFR), the secretive organization of
4,400 American elites from industry, finance, politics, media and the
military (who operate the machinery of state behind the mask of
democracy) has already issued a tersely worded attack on Putin
(?Russia? Wrong Direction?; Manila Times) outlining what is expected
for Russia to conform to American standards of conduct. The missive
says that Russia is headed in ?the wrong direction? and that ?a
strategic partnership no longer seems possible?. The article reiterates
the usual canards that Putin is becoming more ?authoritarian? and
?presiding over the rollback of Russian democracy?. (No mention of
flourishing democracy in Saudi Arabia or Uzbekistan?) The CFR cites
Putin?s resistance to ?US and NATO military access to Central Asian
bases? (which are a dagger put to Moscow?s throat) the banishing of
Washington?s ?regime change? NGOs from operating freely in Russia
(?Freedom Support Act funds?) and Russia?s continued support for Iran?s
?peaceful? development of nuclear energy.
America has never been a friend to Russia. It took full advantage of
the confusion following the fall of the Soviet Union and used it to
apply its neoliberal policies which destroyed the ruble, crushed the
economy, and transferred the vast resources of the state to a handful
of corrupt oligarchs. Putin single-handedly, put Russia back on solid
footing; taking back Yukos from the venal Khordukovsky and addressing
the pressing issues of unemployment and poverty-reduction. He is a
fierce nationalist who enjoys a 72% approval rating and does not need
the advice of the Bush administration or the CFR on the best path
forward for his country.
The US has purposely strained relations with Russia by putting more
military bases in Central Asia, feeding the turmoil in Chechnya,
isolating Russia from its European neighbors, and directly intervening
in its elections.
When the G-8 summit takes place next week, we should expect a
full-throated attack from the corporate media on Putin as the latest
incarnation of Adolph Hitler. Watch the fur fly as the forth estate
descends on its newest victim like feral hounds to carrion. (Putin?s
announcement that Russia would be converting to rubles HAS NOT APPEARED
IN ANY WESTERN MEDIA. Like the Downing Street Memo, the firebombing of
Falluja, or the ?rigged? 2004 elections, the western ?free press?
scrupulously avoids any topic that may shed light on the real
machinations of the US government)
Putin?s challenge to the dollar is the first salvo in a guerilla war
that will end with the crash of the greenback and the restoration of
parity among the nations of the world. It represents a tacit rejection
of a system that requires coercion, torture and endless war to uphold
its global dominance. When the dollar begins its inevitable decline,
the global-economic paradigm will shift, the American war machine will
grind to a halt, and the soldiers will come home. Maybe, then we can
rebuild the republic according to the lost values of human rights and
the rule of law.
Putin?s plan is set to go into effect on July 1, 2006.
