Iran to maximise oil income in non-U.S. currency
LONDON, July 16 (Reuters) -Iran, locked in a row with Washington over its atomic work, wants to maximise oil export revenue in non-U.S. dollar currencies while the dollar stays weak, a top Iranian oil official told Reuters on Monday.
Hojjatollah Ghanimifard, international affairs director of the state-owned National Iranian Oil Company (NIOC), also confirmed that Tehran has asked customers in Japan to pay for their crude oil in yen instead of dollars.
"As long as the dollar is weak, the best decision is for us to move away from it -- and we will want as much revenue as possible in non-U.S. dollar currencies," Ghanimifard said.
For the past 18 months -- as the United States leads efforts to isolate Tehran for its nuclear programme -- the world's fourth biggest oil exporter has done just that.
"This is not a political gesture," said the NIOC official. "We're losing our purchasing power if we stick with the dollar."
Fist Tap to Intellectual Insurgent.
59 comments:
Buy water, ammo and GOLD.
The whole debt structure scheme must be maintained by the U.S. obviously, if it wants to keep 'dollar business' racing ahead.
Price Systems must grow, or they collapse.
That was the 'war' in Iraq.
That and doing the bidding of our 'ally' in the area (Israel) that the religious fruitcakes buy into.
Now it is on to phase two. Why else would the stock market be going ape shit ?
The money hounds smell blood.
Chaos will follow when this bitch is whipped.
Lots of angry cornered people are going to fight.
Then what ?
No one knows, but get ready for the crash test.
By the way, Bleach, provided the label says that it contains hypochlorite as its only active ingredient will purify water for drinking.
8 drops of liquid clorine bleach per gallon is the standard. If the water is cloudy, then that amount should be doubled.
12 drops of 2% tincture of idodine works also for a gallon of water.
[Water (20 to 60 gallons) in the hot water tank.
[Water in the flush tanks (not the toilet bowls) of home toilets.
[Water in the pipes of your home plumbing system.
For emergency use it is suggested that one quart of water per day per person with a supply of at least two weeks be stored. More water per person is preferable, but a person can survive on that minimum amount.
Happy landings.
WTF??????
WTF?????
WTF???????
( ( ( ( om ) ) ) ) )
WTF???????
Skip.
You are a smart cat. I like your approach.
Thanks bud.
Hojjatollah Ghanimifard, international affairs director of "the state-owned National Iranian Oil Company (NIOC), also confirmed that Tehran has asked customers in Japan to pay for their crude oil in yen instead of dollars.
'As long as the dollar is weak, the best decision is for us to move away from it -- and we will want as much revenue as possible in non-U.S. dollar currencies,' Ghanimifard said."
"As long as the Dollar is weak", my ass. The Yen has been falling even faster than the US Dollar. I fact, it has been falling versus the US Dollar.
DV, you, Skip and II clearly have no inkling about how the international monetary system works.
As long as the BIS (and as long as the folks who run the BIS still run the BIS) still runs things it doesn't make a fart of a difference in what currency Iran receives it's money.
Well, I do not agree, you are wrong in general terms.
The dollar standard must be maintained to allow the underwriting of the debt of the U.S.
If dollars return here in great numbers, it makes our economic system unworkable as the dollar becomes more worthless.
I take exception Fisher, in the sense that you have really said nothing, and imply that you are wise as to money knowledge.
I wager I know a whole lot more about 'money' and how it works than your self from your inane comment here.
So, lets see your chops fella.
Reality is that if the dollar goes everything else has already gone.
The dollar IS the world currency.
Do I expect it to collapse ?
Yes.
Am I fine with that ?
That does not matter.
The next most probable will happen, and in the case of our Price System that means that our system will become dysfunctional, with ensuing chaos.
The basis of our system is an antique concept of work and reward.
Mechanical energy replaced that model many years ago.
We hang on to it to maintain the caste/class system.
So put up or shut up.
Your comment struck me as ignorant, or egoistic blathering.
So what do you want to know from me Skip. Wanna do an econ 101 test? About the nature of money? About the Bretton Woods system? About the decoupling of the US$ from gold by Nixon?
About M1, M2, or the "non-relevant", as the Fed puts, it M3?
What, Skip, what?
Come on, kid. Run a test.
So what's the big difference between the US$ and the Euro?
By the way. What is the BIS?
Where is it?
Why is it?
What is it and what is it's function?
By the way, if you wanna make some make some money, buy AUDUSD.
You still haven't said anything Fisher.
The injection of monetary concepts into all discussions of natural wealth and income, wholly confuses the people as to the actual issues at stake. Furthermore, it serves as a handy screen behind which, with a little word juggling, the business/political operators of this Price System can continue their profitable activities without being too greatly embarrassed by outside interference. --- Howard Scott.
In other words, I do not know what kind of disinformation/brainwashed person you are, but I hope this floats the conversation toward a little reality.
Oh and Fisher, I do not jump through performance hoops.
Skip...
"I know a whole lot more about 'money' and how it works than your self "
This says three things:
(1) You know about money.
(2) You know more than I.
(3) You bet that you do - which is a challenge.
I did nothing but to take you up on your challenge.
"I do not jump through performance hoops."
(1) I asked you to construct such hoops for me to jump trough.
(2) You could not answer a simple question which anyone remotely familiar with the international monetary system can answer. Namely that BIS, of course, stands for the Bank for International Settlements which is the central Bank of the Central Banks. It just takes oa little googling.
Which goes to show:
You are a bloviating ignoramus.
II...
"You still haven't said anything Fisher."
I said plenty. It all goes to the core of your argument. Some of it even bolsters it.
The Bretton Woods system was the currency regime set up after WWII in which the western allied powers agreed to use the US$ as the international reserve currency under the condition that the US Dollar be tied to gold and that it was freely convertible to gold (for foreigners only).
The Nixon decree of 1971 (thanks to the French) severed that coupling and made the US$ a completely fiat currency, though it was de facto now backed by the oil reserves of the entire planet as no one could by oil without US Dollars.
Which essentially meant that the US de facto controlled all the oil in the world.
M1, M2, M3 are quantitative measurements of the different forms of US$ in circulation. Too many US$ versus other currencies, and, per the laws of supply and demand, the value of the US$ versus these other currencies goes down.
I used shorthand. And anyone that has a basic understanding of the international monetary system knows what I said.
You didn't.
Ergo, you too are a bloviating ignoramus.
Fisher,
You've elegantly laid out the fundamentals of our monetary system. Bravo.
So now explain how a country that tells other nations that they no longer need to hold dollar reserves (which they hold to buy oil) because they are willing to sell oil in non-dollar currencies, doesn't affect the value of the dollar and the entire dollar reserve system.
You're the one who suggested that Iran's actions don't make a difference. Explain why. And don't repeat the same shit I can pull from any libertarian website mr. bloviating ad nauseum.
Skip...
"You've elegantly laid out the fundamentals of our monetary system."
No, I haven't. Which just proves my point about your level of "expertise".
Maybe if you can answer the simple question I asked earlier "So what's the big difference between the US$ and the Euro?" we would get closer to that "[laying] out of the fundamentals..."
Answer that, and I'll answer your question. Understanding the former is a prerequisite to being able to answer the latter.
Fish,
Let me see if I understand you correctly ...
Are you saying the Iran's plans to sell it's oil for Euros instead of dollars is not particularly significant, not to worry, the money system is fine?
Are you suggesting there exists no relative difference between Euros and dollars?
I'm not clear on your point.
He's not either. That's why he answers a question with a question, has no ability to discern sarcasm and then demands everyone else submit proof or answer his silly ass questions before he will defend his original point.
Insurgent,
That very well may be the case.
However, Brotha Fish has shown a little method to his madness from time to time.
Is there an angle we are missing regarding this piece, or do you think Fish is just throwing intellectual monkey wrenches because he doesn't get it?
DV...
"Are you saying the Iran's plans to sell it's oil for Euros instead of dollars is not particularly significant, not to worry, the money system is fine?
Are you suggesting there exists no relative difference between Euros and dollars?"
At last someone who asks a real question and does not pretend to know something that they don't know. Good.
DV. It's like this. Both the US$ and the Euro are fiat money. Which means that they both are backed by... Nothing. Both can be created out of thin air at the push of a computer button. Essentially they both are the same thing... blips on a computer screen. Though officially they are IOUs.
Now, think about it. Let's say you want to buy a can of milk that costs 2 Euros. You have no Euros. being DV or me, we got to go and sell something, our labor, land, skills, whatever in order to earn US$s and then sell these for Euros.
Well, the United States and it's central bank, the Fed, don't have to create, sell, or work at shit in order to create US$ with which to buy Euros. If they need two Euros, all they need to do is to create US$2.8. Push of a button. No effort. Here's 2.8 US give me 2 Euros give me can of milk.
Works the same way with a can of oil.
Here is the key...
These types of transactions on a macro level all run through the BIS. Should the BIS not accept US$ in exchange for Euros, THEN shit would hit the fan. But the BIS is controlled by a coterie of international bankers who act on a supra-national basis. The United States-based Bankers are just one component, though the biggest and most influential one.
The whole thing about US debt is bullshit, too. Nobody in the world thinks or expects the United States to repay all of the debt obligations that she incurred. Essentially, the US gets all these products and services from aborad for free.
That is, here: Gimme a Toyaota, I'll give you an IOU called US$. When you come t the US to redeem that US$ I'll give you more US$s as exchange.
What you really have here is an imperial system of tribute as during the old Roman times.
And as with Rome it is all held together by military power. US military power, that is.
Thus the US based bankers being the most influential component.
In any case, Iran is inextricably bound into this international monetary system. By running to the Euro, they are essentially running from the left pocket of the white boy to his right pocket.
Now, if the Iranian would accept only Chinese yuan, then things would look a bit different. That would be a bit scary for the white boys.
Now, if the Iranian would accept only Chinese yuan, then things would look a bit different. That would be a bit scary for the white boys.
Why? I was with you until this point, but isn't the yuan a fiat currency in the same way that the dollar and Euro are?
"Why? I was with you until this point, but isn't the yuan a fiat currency in the same way that the dollar and Euro are?"
Because the Chinese are not part of the planetary white supremacist system. They are to arrogant and conscious about their history for that. Thus they built up the largest military force on the planet. Unless you wanna nuke them, which is always a possibility, they are unconquerable. Thus they are expanding their space efforts and nuclear capabilities as well as their abilities to deliver these nukes. Why the heck do you think they recently took out one of their own spy satellites?
Basically they said to the white boys: "Don't fuck with us."
Check out what the white boys are saying about the "rising Chinese threat".
By the way. It is THAT what the Iraq war is about. Only secondarily little dumb ass Israel. It is about the rise of China. Afghanistan, too.
Check out where all the US military bases are being set up.
"Afghanistan, too."
Meant to say, Afghanistan is about that, too.
Oh, by the way. That's what Dafur is about from the US perspective, too. Note the Chinese are working with the Sudanese government, the US is not.
But doesn't the yuan get exchanged through the BIS system as well?
Agreed that China is what Iraq, Afghanistan and Sudan are all about. No doubt. It's probably what Ethiopia and Somalia are all about too.
But isn't that why Iran allowing oil to be sold in ANY currency so dangerous to the bankers? From what I've read, the Iranians aren't saying, "we'll only take Euros." They're saying "we'll take whatever you've got, so long as it's not dollars". Doesn't that necessarily implicate the yuan?
I said if they ONLY accepted Yuan.
If they and all of the oil-producing countries accepted only yuan, the Chinese would control the the Planet's oil supply and they wouldn't have to be part of the BIS. They could set up their own. There've been plenty of subdued noises coming out of China talking about stuff like that, too.
The Chinese are only doing the stuff they are doing, that is, delivering all these goods to the US for what essentially are worthless US IOUs because that is the cost of war.
The Chinese understand very well that they are engaged in a war against this white supremacist planetary system. But they need time in order to develop their technological and industrial base which is the basis for their military prowess.
The Chinese are not at the point where they can project their military power world-wide. In a generation or two they will be. Maybe.
The Chinese think looooooog term.
As to the Iranians. At the end of the day the US/Iran tussle is one about two sets of white boys. One senior, one junior.
The Iranians remember history, too. The Mongol "hordes" which devastated them, the long therm Asian threat. Don't forget. The Iranians are the original Aryans.
They are never going to go into a strategic alliance with the Asians of the Far East.
Thus they will never solely accept Yuan. Or Yen for that matter.
"It's probably what Ethiopia and Somalia are all about too."
Not really. The Chinese are sitting pretty in Ethiopia.
Indeed. When I was in China 2 years ago and talking to people, the continuing response to my questions about the economic boom was a sort of "what do you expect"? The Chinese have such a LONG history that they understand the rise and fall of civilizations. They have risen, they have fallen and, in their view, it's only natural that they will rise again.
I understand the big picture, but what about locally? What do you make of the dollar falling in value over the past few years? Many nations have been cutting their reserves of dollars and I don't think it's possible it will have NO affect on us in America.
Why the sabre-rattling at Iran if its moves to sell oil and gas in non-dollar currencies is meaningless?
So, Skippy. We done?
My comment still "ignorant, or egoistic blathering."
Yes, Mr. Technocrat?
"Why the sabre-rattling at Iran if its moves to sell oil and gas in non-dollar currencies is meaningless?"
I think that's got more to do with the wishes of the Jewish Zionists than the wishes of the ones who still and really run the United States. The WASPS and the Germans. Like Baker et al.
I don't think we're gonna go to war with Iran unless the Israelis finagle another Lavon-type affair.
"Many nations have been cutting their reserves of dollars and I don't think it's possible it will have NO affect on us in America."
Sure it's having effect. On the average Joe and Jane. Not on the wealthy running the country. Look at the price of oil. In US Dollars it's up and up. But in Euro or Australian Dollars, or New Zealand Dollars?
That's why I told ya. Buy AUDUSD. You'll do fine. Besides interest rates are much better.
More on
"It's probably what Ethiopia and Somalia are all about too."
II. You've got to remember that the Ethiopians have an even longer memory than the Chinese. They too were Empire. If you ever get to talk to the guys who run Ethiopia today you would understand.
Zenawi and his boys are neither sell-outs, nor are they puppets. If that was their nature they wouldn't have had to crawl around the Ethiopian outback for decades.
They could have just marched right up to Mengistu and become part of his system.
Above all they are Ethiopian nationalists.
Good stuff Fish.
Comprehensive, if not particularly cutting edge.
The hocus pocus nature of Federal Reserve Bank notes is understood by most graduate level college students and every Loose Change believing skeptic who can use Google.
I'm not convinced you have addressed the operative point of the post or of Skip's point.
Our money system is a house of cards stacked in a room of smoke and mirrors. That's not novel.
It's collapse is inevitable. Changes in how one of the world's largest oil suppliers sells it's oil, is an example of an event that could trigger the domino like collapse.
Skip and I agree this move by Iran is an example of such an event that may trigger a global collapse in the money system.
I still don't know where you stand. Do you agree with that?
Secondly,
All of these mortgages your neighbors are using to finance their 7,000 sq. ft. McMansions in Atlanta are backed by trillions of Chinese ... computer digits known as $US dollars. That's worked up until now for the Chinese because the ONLY money one can buy a barrel of oil with is CURRENTLY the $US.
The moment the Chinese make ... alternate plans on where to park their oil money ... you might as well wipe your ass with any cash you have on hand.
-
Sure it's having effect. On the average Joe and Jane. Not on the wealthy running the country.
But isn't this the point? Very rarely do calamities affect the elite. German inflation that was out of control didn't keep Wilhelm from eating a good dinner. But the rest of the Germans starved.
What happens when average Joe American can't afford to fill up his SUV? You don't think shit's going to hit the fan?
We started this exchange with you saying that Iran's move isn't going to make a fart's worth of difference, but perhaps the appropriate question is a difference to whom?
How does Ethiopian nationalism explain bombing Mogadishu?
"What happens when average Joe American can't afford to fill up his SUV? You don't think shit's going to hit the fan?"
WTF you think we got the PATRIOT ACT for?
"Skip and I agree this move by Iran is an example of such an event that may trigger a global collapse in the money system."
I told you. It won't unless they sell it for Yuan only.
"All of these mortgages your neighbors are using to finance their 7,000 sq. ft. McMansions in Atlanta are backed by trillions of Chinese ... computer digits known as $US dollars."
That's inaccurate. Language at least. They are backed by the properties (which are rapidly declining in value) but financed by trillions of sub-prime mortges which may well be sourced from Chines e held money. However. Most of the Chinese money is parked in US Government obligations. Not super speculative Bear-Stearns dumb ass hedge fund stuff.
The Chinese are less concerned about exchanging US$ for oil and more about acquiring US technology and US-type infrastructure. They are doing a Japan on a massive scale.
At the end of the day what happens with the computer blips is irrelevant to them. Really. They know they ain't worth shit anyhow. In the long run.
As to my money?
Why the f**k you think I can afford to be on the computer all day long since I don't do tours anymore?
I trade currencies all day and night long. Blogging is a side show to keep me from getting bored when the f**king market moves slow. Like right now.
Very good stuff Fish.
Sorry I am not impressed with this fish monger stuff.
"Basically they said to the white boys: "Don't fuck with us."
end quote, Fisher.
You sound like an idiot.
That is bullshit. 'Race', so called has nothing to do with anything here. Breaking people into black, white or yellow loses any credibility.
Plus you have turned things into conspiracy bullshit, with a combo of that and the 'secret powers' of groups of bankers that perform race based genocides according to you.
Religious and political crackpots are the current witch doctors that actually run things. Those people are interested in making a profit, and not much else.
They also base their economic bullshit on 18th century ideas.
They are not connected to any kind of reality.
The Chinese ? Thats bullshit also. They are not a threat.
The far east contains about 7 to 8% of the worlds resources.
They are doomed without Globalism, and Globalism is doomed.
Also they know and we know that they are only 20 minutes away from the stone age.
There is a reason why all those Polaris subs have been parked offshore from China since the 1950`s.
Nuke the dams. Then it is over.
Who controls the money supply of the United States ? The Fed yes, and thus they also control the money supply of the world.
What happens in a collapse of Globalism ?
That depends on resources.
North America contains about 52 percent of the worlds resources.
We can survive. That is also why we could change to an energy accounting system, as advocated by Technocracy Incorporated.
Yes the money is fiat and fake.
The real question is... what is going to happen when we no longer can operate on a money system ?
The next most probable will be a science based system.
That would not use money.
When that occurs Globalism is no more.
That would also force areas of the world into what ever version of sustainability that they would have to come up with.
BTW Fisher, I would take the Insurgents advice, and ditch out of paper, and get out of the market before it does its coming belly flop. You will go bust.
Her suggestion of where to 'put' money is the only smart one right now.
Whatever Skippy.
But let me ask you this: How may % of the world's resources does Europe possess? hat percentage of the world's population? Same with North America (excluding Mexico?) And if the Chinese are not a threat, how come them Polarises are parked "offshore from China?" as you state?
Plus you still haven't shown that you "know a whole lot more about 'money' and how it works than [Fisher]". Which proves that you remain a bloviating ignoramus. The only one, btw, as II asked a bunch of good questions, showing that when she recognized that she did not know something after all, she didn't let her pride get into the way of her intellectual curiosity.
Good Stuff Fish!
First of all fuck you, and the horse you rode in on.
Is that clear ?
You have a horse shit attitude, and as said before I do not jump through peoples performance hoops.
Europe does not have enough resources to support its population by a long shot.
Russia on the other hand does, and because Russia has about 33 % of the worlds resources they were able to become and remain a world power.
If the Russians had not wasted 10 or 15 years, trying to formulate Communism the way they did, they would have destroyed Germany in a heartbeat, or rather the Germans would not have been stupid enough to attack them most likely.
Why compare the level of population in a war scenario ?
Thats pointless. War is fought with Technology and not bodies.
The nukes are parked off China as a 'what for' statement.
Just a reminder to them that if they were to invade something in a Korea like manner they would be incinerated.
The essence of a bad relationship.
We depend on the Chinese to fund the dollar and also be our slave labor force.
Why ?
Because we use accounting and economic principles that date to Adam Smith from the 18th. century to run our society, so pardon me with your money 'goobly de guk', and pseudo knowledge about abstract 'economics' that you are flinging about, but that is crap.
Labor used to be a large cost of doing business, but if you have slave labor, then it reduces the cost to less than 10%.
---------
So stick it up your rear end sideways 'Fisher'.
Oh and you get the cog of the day award.
Congratulations ~!~
Skippy...
"First of all fuck you, and the horse you rode in on."
tsk, tsk Skippy. Feelings hurt?
If you can't take it, you shouldn't have started it. Dishing out, that is.
"War is fought with Technology and not bodies."
Tell that to our troops in Iraq.
War against a military power like the US is always fought with bodies. It's called guerilla warfare.
BTW, Skippy. Did ya buy some AUDUSD like I told ya? Maybe you wanna impress your bank account until your Armageddon comes.
Thanks for more dumb comments Fisher.
"War against a military power like the US is always fought with bodies. It's called guerilla warfare".
The Iraq thing is not a 'war'. It is a police action by the current thug society power possessors.
I made my investments many years ago.
Thanks anyway.
'Armageddon'
Is a poetic concept for the next most probable using a dysfunctional system such as this one.
Our use of the current Price System method dooms us yes into a sort of last ditch mentality of defending something that no longer makes sense.
That is the recipe for chaos on the horizon.
BTW,
I am not interested in Aussie dollars.
England, the U.S. and Australia are sometimes known as the 'axis of evil' in many quarters of the world. Not because they are actually evil, but because they are profoundly stupid.
We reward bad behavior such as investing like you are doing in worthless and negative governments by making more 'money'.
The Australian dollar will become worthless long before the American dollar, or at the very least, at the same time.
All money on planet earth is based on the value of the U.S. dollar.
Good luck. You will lose your ass at some point.
The insurgent pointed you in the right direction at the beginning of this.
Skip.
I think we both made our points and now is the time to commit to a truce.
No need to continue to ridicule each other.
How about it?
You down?
I am with you.
It was actually pretty interesting.
But, yes, I am down.
True Gentlemen in the end !
cool
Casper's right. Nice move.
But here's how I get down. Say what you want. Express yourself. Anything.
But hold off on the "Fuck You's".
Unless the man you are talking to is close enough to do something about it.
Anybody can type tough.
That was an intellectually aggressive exchange. Big ups.
However, I see some room for creativity in both your philosophies.
Skip,
You first:
"Thats pointless. War is fought with Technology and not bodies." Skip
No. Not really. War is a vertically integrated phenomena that takes place on every dimension from the cosmic to the subatomic.
Of course there is material war. But there is also spiritual war. Skip, you make the mistake of assuming this conflict is only about resources, oil, political hegemony, money and energy.
Secular Humanism Technocracy, or whatever you choose to call it, will never resonate with people because it doesn't address the spiritual reality of the human experience.
Secular Guru's teach that science can't test spirit and the soul can't be "measured" therefor God doesn't exist.
The Secular High Priests insist God is nothing more than man's projected monarch myth, they say religion is only a belief system used to control people and that Jesus and Buddha started all the wars yada yada yawn ...
The irony of the Secular Extremist Prophets is that they preach the B side of religious dogma with Man playing the role of God and Technology substituting for Spirit.
Man is part spirit. Man is part mind. Man is part body.
A philosophy that ignores any of those 3 dimensions makes about as much sense as a one-legged field goal kicker.
Brother Fish,
A lot of good stuff.
However, I think your editorial on the fiat money system was circumstantial to your argument and unnecessarily polemic.
Both of you overvalue the distribution of global resources, the distribution of the population, nuclear warheads, national histories and political borders.
None of that stuff matters.
The planet is big boat but getting smaller. Firing a nuclear weapon anywhere on the planet is global suicide.
If China gets hit, people in Alaska die. It's like fighting in a phone booth with hand grenades.
The people manipulating policy, spreading propaganda and perpetuating war - are not "Stupid".
Not at all. They know exactly what they are doing.
For they are a nest of vipers and we were warned. There are intent on killing humanity. That's why they are working to ignite a global religious war.
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