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Topic: Iran oil bourse at the end of September
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Frustrated Mess
rabble-rouser
Babbler # 8312
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posted 09 July 2006 10:38 AM
quote: Let slip....
That could result in a civil suit. quote:
Iran's reserves are large, their major petroleum export is natural gas, and it's crude that's the big issue.
Are you sure? Natural Gas heats a great number of homes in Europe and North America. Canada is expected to be a net importer of natural gas before the end of this decade (in part due to NAFTA proportinality rules). Natural Gas is also playing a larger role in feedstock for fertilizers. In the east, serious arguments are already being raised as economically depressed towns along the US eastern seaboard begin considering building ports for receiving liquified natural gas. The arguments, of course, are over the potential for disaster. North America will become more dependent on foreign supplies of natural gas almost all of which is in places the Bush regime -- with his Harper dummy firmy on his lap -- is intent on seriously pissing off.
From: doom without the gloom | Registered: Feb 2005
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Frustrated Mess
rabble-rouser
Babbler # 8312
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posted 09 July 2006 01:10 PM
quote: The USD is just a unit of account; expressing the oil price in terms of another currency doesn't affect anything.
You're kidding, right?http://www.energybulletin.net/12463.html I think while the article is very good, what is really important is only hinted at in the last sentence: "The possibility that the Iranian oil bourse might not use euros would not necessarily diminish its significance and there could still be good reason for believing that US/UK governments and financial interests would still be strongly opposed to it as it would challenge their control of oil trading, but that is another question."
From: doom without the gloom | Registered: Feb 2005
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ghlobe
rabble-rouser
Babbler # 12731
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posted 09 July 2006 02:13 PM
quote: Originally posted by Frustrated Mess:
"The possibility that the Iranian oil bourse might not use euros would not necessarily diminish its significance and there could still be good reason for believing that US/UK governments and financial interests would still be strongly opposed to it as it would challenge their control of oil trading, but that is another question."
Iran has a good incentive to stick with USD. The central bank of Iran has maintained a fairly constant exchange rate between USD and Iranian rial for the past few years. The raise in oil prices (partly a result of fall in USD value) puts more rials in Iranian budget, allowing the government to spend more money domestically. Because the main Iranian export is oil and the price of oil adjusts itself against the weakness of dollars, the fall in dollar value affects Iran less. [ 09 July 2006: Message edited by: ghlobe ]
From: Ottawa | Registered: Jun 2006
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ghlobe
rabble-rouser
Babbler # 12731
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posted 09 July 2006 05:30 PM
quote:
In purley economic terms, maybe. But in geo-poitical terms, that isn't true. The US has classified Iran as an enemy and is in the process of engaging in illegal hostilities and a build up to war. Iran has been quietly moving its assets out of US financial institutions for months. In political terms, reducing reliance on US anything is better for Iran and it might have reprecussions far beyond US-Iran relations.
Iran has no assets in the US or its financial institutions since the hostage crisis (1980). Furthermore, Iran has been under a total embargo by the US since 1994. No business or finanical transaction between American and Iranian companies or banks has been allowed in the past 12 years. There is no reliance on the US at all. Political hostilities between Iran and the US goes back 27 years. Nothing new there either.
From: Ottawa | Registered: Jun 2006
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Frustrated Mess
rabble-rouser
Babbler # 8312
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posted 09 July 2006 06:24 PM
quote: A defiant Iran announced yesterday that it has begun pulling its foreign currency accounts out of European banks to protect its assets from possible UN sanctions over its nuclear program.As analysts estimated the amount of those funds at up to $50 billion, Iran also called for a reduction in Organization of Petroleum Exporting Countries oil production -- raising the possibility that the country would deploy its oil prowess in its standoff with the West. Harvard
Sorry, I should have said Western financial institutions rather than US. But given the record and the history I am sure I can be forgiven for not seeing a huge distinction. quote: Then what's the link? I still don't see it, and that column - which 'links' them by using the rhetorical device of 'talking about them in the same article' leaves me no wiser.
You asked me what I disagreed with and I told you. What more do you want?
From: doom without the gloom | Registered: Feb 2005
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