Iraqi crisis created to save dollar
Find a Conversation
|Sat, 07-19-2014 - 4:24pm|
839. Iraqi crisis created to save dollar (6/18/2014)
In early June, Russia switches the oil payment from dollars to Euros.
Gazprom Signs Agreements to Switch from Dollars to Euros
Global Research, June 07, 2014
Gazprom Neft had signed additional agreements with consumers on a possible switch from dollars to euros for payments under contracts, the oil company’s head Alexander Dyukov told a press conference.
“Additional agreements of Gazprom Neft on the possibility to switch contracts from dollars to euros are signed. With Belarus, payments in rubles are agreed on,” he said.
Dyukov said nine of ten consumers had agreed to switch to euros.
This is very important news. If people starting to abandon the dollar, US will be hurt seriously in economy. Yet the news was little reported by the mainstream media. Several days later, the ISIL rebel in Iraq activates an offensive. The puppet Iraqi government retreats without any resistance. As a result, the oil price goes up.
Oil prices spike as Iraq violence flares
By Mark Thompson @MarkThompsonCNN June 12, 2014
Oil prices spiked Thursday to levels not seen in nine months as escalating violence in Iraq sparked worries about crude exports.
Light crude oil futures touched $106 a barrel, up nearly 2% and the highest price since September 2013.
Since the money used in most oil trading is dollar, the higher oil price will force the buyer to keep more dollar in bank as purchasing power. It’s a big amount if future option is included. Manipulating oil price becomes a strategy to save the dollar. Iraq is a big country of oil production and exportation. Its political stability has huge influence to oil price. US has turned it into a switch to adjust the oil price.