Dollar vs. Oil
With four of the six Gulf States agreeing to create a monetary union, the oil - dollar relationship is about to change radically.
America has benefited from having oil priced in dollars. It has given us an advantage in that everyone else had be compared to and evaluated against us US. Rarely does the standard go through a rigorous evaluation and that is our advantage. Look, we have tons of evidence in the past year: GM, AIG, Citi for example.
America is starting to be evaluated because the "Standard" is now questionable. Anyone else with our balance sheet, low interest rates, and out of control government spending and waste would be no better than single A credit with devaluing currency. (We do have the devaluing currency)
Shore up our balance sheet, raise interest rates and protect our currency Mr. President or the worldwide Carbon Market will be priced in another currency along with oil.
America has benefited from having oil priced in dollars. It has given us an advantage in that everyone else had be compared to and evaluated against us US. Rarely does the standard go through a rigorous evaluation and that is our advantage. Look, we have tons of evidence in the past year: GM, AIG, Citi for example.
America is starting to be evaluated because the "Standard" is now questionable. Anyone else with our balance sheet, low interest rates, and out of control government spending and waste would be no better than single A credit with devaluing currency. (We do have the devaluing currency)
Shore up our balance sheet, raise interest rates and protect our currency Mr. President or the worldwide Carbon Market will be priced in another currency along with oil.
Posted by Bradley Fluetsch at 6/8/2009 4:31 AM 
Categories: Economics
Tags: carbon market Gulf Bahrain Oman oil new currency dollar Qatar Kuiwait States Saudia Arabia
Categories: Economics
Tags: carbon market Gulf Bahrain Oman oil new currency dollar Qatar Kuiwait States Saudia Arabia
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