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is this for real? [Apr. 30th, 2008|11:14 am]
The American Caliban
[Current Mood |nervous]

Iran conducts all crude oil trade in euro and yen

TEHRAN, April 30 (Reuters) - Iran, the world's fourth-largest oil producer, is conducting all its crude trading in euro and yen, instead of the U.S. dollar, an Iranian official was quoted as saying on Wednesday.

So, maybe a guy shooting his mouth off, or a mistake of some kind. But Google only has 11 articles grouped in this topic and if it's true, it would be an uncomfortably big story. Because unless I'm wrong, that's a war-starter move.

Thanks to hep for the pointer

[User Picture]From: vanmojo
2008-04-30 06:29 pm (UTC)
No, this is quite true. Iran is abandoning the Petro-Dollar for the Euro. Iran had been moving in this direction quietly for a while. A lot of petroleum producing countries are.

Yeah... it could very well be a war starter move. There's also another dimension to this, in that many countries have started to nationalize their extraction industries, essentially putting out big signs that say Yanquis Keep Out.

This places more influence on American policy with Saudi Arabia, one of the few places still stubbornly faithful to the greenback.

The reason there are so few article so far is that people don't really understand what a big deal that really is. Regular folk don't understand how the price they pay at the pump is linked to the ability of the dollar to compete on the world currency market.

If the rest of the OPEC nations start dropping the dollar, for the Euro, then things are really going to get "interesting" as the Chinese say.

mojo sends
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[User Picture]From: hep
2008-04-30 06:44 pm (UTC)
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[User Picture]From: hep
2008-04-30 06:57 pm (UTC)
i. am. dying. lolling. i demand you post this in a post so that i may repost.
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[User Picture]From: hep
2008-04-30 06:57 pm (UTC)
also ^W
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[User Picture]From: dossy
2008-04-30 06:34 pm (UTC)
War-starting? Nonsense. The USD is so volatile and undervalued that continuing to trade in it is unnecessary risk.

Perhaps it won't be long before:

1) We eliminate the stupid penny and nickel as US currency. I mean, hell, the melt value of a nickel is worth more than the currency itself. The US federal reserve bank _loses_ money minting pennies and nickels--nice.

2) We seriously consider something whacky, like the Amero.

In short: America, fuck yeah!
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[User Picture]From: fweebles
2008-04-30 07:28 pm (UTC)

To 1), sure. That's not really related to the volatility of the US dollar, but inflation means that probably makes sense. People bring up the idea of getting rid of the penny (but not the nickel) in Canada every few years, even as recently as a few months ago.

2) Theoretically great in the way that communism is theoretically great. Canadians get grumpy about this suggestion, because the fact that there's 10 times as many of you as there are of us means we're basically signing away our foreign currency policy. And tying Mexico to the US dollar is just...well, NAFTA caused enough problems in the US-Mexico axis, having a unified currency definitely wouldn't be improving on that issue.

So, it'd be nice, but I don't see it happening. (I do note that you branded it as 'whacky', which is probably about right.)
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[User Picture]From: perich
2008-04-30 06:45 pm (UTC)
"If soldiers are not to cross international boundaries on missions of war, goods must cross them on missions of peace." - Otto Mallery
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From: switchstatement
2008-04-30 08:56 pm (UTC)
if more news sites reported this, they'd have less room to cover paula abdul's HILARIOUS GAFFE on their front page.
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[User Picture]From: mcpino
2008-04-30 10:03 pm (UTC)
Stop talking about more war when I'm busy agonizing over Miley Cyrus' Vanity Fair photos.
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[User Picture]From: hotelsamurai
2008-05-01 12:20 am (UTC)
war-starter move.

Really? Ya think? (Not sarcasm; sincere inquiry) Can you cite a precedent?
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[User Picture]From: mcfnord
2008-05-01 04:12 am (UTC)
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[User Picture]From: flipzagging
2008-05-01 12:38 am (UTC)
It isn't good for the USA, but how does going to war solve this problem?

"USE OUR CURRENCY, SMOKING HOLE IN THE GROUND! also produce more oil lololol"
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[User Picture]From: snuh
2008-05-01 01:39 am (UTC)
Iraq, under Saddam, was the first to switch from the Dollar to the Euro. I was under the impression that Iran had already done so, then North Korea and Venezuela followed suit. I find it interesting that the countries Shrub labeled the Axis Of Evil are the ones changing to Euros for trading.

Now there's talk that OPEC is thinking of switching, which would be devastating. I believe if OPEC was a country, their GNP totals would land them in the top five.
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