|© Paul Yeung / Reuters|
China's launch of 'petro-yuan' in two months sounds death knell for dollar's dominance
Published time: 25 Oct, 2017 09:58Edited time: 25 Oct, 2017 10:05
One of the world’s top energy importers, China, is set to roll out a yuan-denominated oil contract as early as this year. Analysts call the plan, announced by Beijing in September, a huge move against the dollar's global dominance. The so-called petro-yuan is a “wake up call” for investors who haven’t paid attention to the Chinese plans, according to the head of Graticule Asset Management Asia Adam Levinson, as quoted by Bloomberg … for more, go to https://www.rt.com/business/407704-china-oil-plans-yuan-contract/
The US is preparing to go to war with China over Petro-Yuan?
KUALA LUMPUR (February 2018): When an arrogant war-waging super power like the US is pushed to the edge and economically threatened, there is no reason to dispel the possibility of going to war with its competitor.
The US, saddled with some US$20 trillion or US$222 trillion in national debt, looks desperate enough to do whatever it takes to survive.
And China’s Petro-Yuan is certainly hurting the US’ Petrol-Dollar - and this is an understatement!
However, the US also has a big global headache! It may also have to contend with both Russia and Iran - the strongest allies of the communist China.
And, is this the real reason why Presient Donald Trump has appointed the China hater, the half Japanese half American Admiral Harry Harris, as ambassador to Australia?
Harris’ immediate response to his appointment was to demonise China, accusing the Chinese of seeking to "undermine" the international order in the Asia Pacific. (Read this for context: https://ilovemalaysiachinasilkroad.blogspot.my/2018/02/trump-picks-half-breed-harris-to-stir.html)
For the US, keeping the Greenback as the world’s reserve currency is a do-or-die matter.
And the US solution to the global Greenback woe is nothing else but war! No?
Continue reading the below for the details:
"US ‘Empire of Debt’ will go to war to stop emergence of petro-yuan – Max Keiser
Published time: 25 Oct, 2017 21:32Edited time: 26 Oct, 2017 04:35
© Thomas White / Reuters
The imminent introduction of oil trading in yuan is a very bold move by the Chinese, because the US will not give up the basis of its hegemony – the dollar as the world’s reserve currency – without a fight, Max Keiser, host of RT’s financial program ‘Keiser Report' has said.
The Chinese plan to roll out a yuan-denominated oil contract before the end of this year is a very brave move, since countries who “tried to exit the oil-dollar matrix have met terrible ends,” Keiser pointed out.
“Saddam Hussein wanted to trade oil in Euros and he was killed, Muammar Gaddafi wanted to trade his energy in something other than the US dollar – he was killed,” Keiser said.
China, however, has the resolve and the resources to pull-off the de-dollarization, and besides, it’s backed by several major countries which are “resistant to America’s financial cartel,” namely Russia and Iran, Keiser said.
“Kudos to China for taking this project on and of course they are rumored to be a big buyer in the Aramco offering of their state oil facilities coming down the pike,” Keiser said, referring to the anticipated sales of shares in the Saudi Aramco state oil company.
“This makes sense, geopolitical sense, in terms you’ve got China and Russia and the Saudis looking to escape the US dollar, US dollar hegemony.”
Saudi Arabia was pushed to the de-dollarization crowd only recently by the US itself, which, last year, allowed survivors and relatives of the victims of the 9/11 attack to sue the kingdom over its alleged role in the terrorist acts, Keiser stated.
“There’s decently motivation for the Saudis. They want to float Aramco, they are deeply in debt and they are running out of cash. And they wanted to do an APO [alternative public offering] of Aramco either on London or American exchange, but they prevented from doing so from the legal actions of the 9/11 survivors, who rightly pointed at Saudis as the cause of 9/11,”Keiser noted.
Countries worldwide are tired of funding the America’s “military adventurism by being a party to the ‘Empire of Debt,’ as it’s known around the world – the US dollar,” and therefore, will likely join the de-dollarization movement, Keiser said.
The US financial sector and its military-industrial complex are unlikely to give up the dollar hegemony without a fight, though, as the dollar is both the basis and the main product of America. And the US will use its other favorite tool for it – war, Keiser believes.
“Maybe they will start a war between Japan and China, and maybe they will start a war with North Korea. America will do anything to keep the US dollar as the world’s reserve currency,” Keiser said.
“They will invade the countries, like Afghanistan, they will stop at nothing. Because this is the basis of the US empire. It’s not land-based, it’s not based on material goods, it’s based on rent-seeking. It’s based on landing dollars, getting out income and when countries can’t pay they dismantle the assets and take them over. We saw it in Latin America, South America, this is how America built its empire."
|Swollen U.S. budget deficits are threatening the country's fiscal future. J. Scott Applewhite/AP|
Conservatives and deficit hawks are hurling criticism at Washington for deepening America's debt hole.
By Andrew Soergel, Senior Economy Reporter |Feb. 16, 2018, at 12:36 p.m.
America's Debt Bomb
The U.S. now sits some $20 trillion in debt, and since 2013 the amount that the country owes has annually equaled or exceeded its gross domestic product – a phenomenon that hadn't occurred in a single year since the end of World War II. And with the recent passage of a bipartisan two-year $400 billion budget measure, a GOP-led tax overhaul slated to add $1.5 trillion in debt, and annual deficits north of $1 trillion projected in President Donald Trump's latest budgetary wish list, Republican-aligned organizations and economic analysts are suggesting lawmakers have put short-term gains ahead of long-term financial stability. But while politicians in both parties appear to embrace spending – despite regularly paying lip-service to the concept of fiscal responsibility – concerns range about what the country's mounting debt problem will mean for the future of the U.S. Some argue that continuing down this path will further tie up federal dollars in interest payments, potentially eat into economic growth and leave the country with fewer options should an unexpected recession develop … for more, go to https://www.usnews.com/news/economy/articles/2018-02-16/americas-debt-bomb