I forgot to point out that if this is serious, it will move very fast. A lot of people must be very worried now and try to move silently and fast. It might be unstoppable, once and if it becomes an avalanche. I am happy that I no longer have any dollar assets, but it is many that are less happy and they will try to protect themselves. Let us hope that I am wrong and do not understand the picture and UAE is honest when they say that it is only 10 percent.
Hakan At 21:43 22/03/2006, you wrote: >This is something that worried me for a long time and maybe "the sh-t >will hit the fan" now. Let us hope that this is only a blimp and not >a major attack on the US economy. This is potentially a very powerful >WMD and directed against US, who was very stupid . It is however >understandable if they lost their patience with US and are prepared >to take the economical consequences of hurting the dollar and US. In >financial circles, the trust in the word of US was lost a long time >ago. The cost for the oil countries will however be enormous and they >would not take it, if they still had any belief in the dollar as >world currency. If they lost the belief in the US economical future, >then they might use the reserves at the time when it would hurt US as most. > >If this escalate, US might try to occupy more of the worlds oil >reserves. The experiences from Iraq are however depressing, it is >very difficult and militarily expensive to try to maintain the oil >production under occupation. US have showed to be inept in drawing on >the Iraqi reserves and any new conflict would hurt US the most. Even >if US is militarily powerful, it is very difficult to translate this >to a rise in oil production, which take a lot more manpower. In Iraq >the oil production is barely a quarter to a half of the pre war >production. The situation does not look good at all and it will spill >over to Europe, if US take actions. US will find itself in a lonely >spot and against the rest of the world and could result in less >honorable wars in South America and other places who have energy >resources with shorter and defendable transportation routes. Pressure >on Canada to deliver will go up several magnitudes. > >Hakan > >At 20:46 22/03/2006, you wrote: > >http://www.middleeastforex.com/index.php?section=147 > > > >UAE, Saudi considering to move reserves out of dollar > > > >WASHINGTON - A number of Middle Eastern central banks said on Tuesday > >they would seek to switch reserves from the US greenback to euros. > > > >The United Arab Emirates said it was considering moving one-tenth of > >its dollar reserves to the euro, while the governor of the Saudi > >Arabian central bank condemned the decision by the United States to > >force Dubai Ports World to transfer its ownership to a 'US entity,' > >the UK Independent reported. > > > >"Is it protectionism or discrimination? Is it okay for US companies > >to buy everywhere but it is not okay for other companies to buy the > >US?" said Hamad Saud Al Sayyari, the governor of the Saudi Arabian > >monetary authority. > > > >The head of the United Arab Emirates central bank, Sultan Nasser Al > >Suweidi, said the bank was considering converting 10 per cent of its > >reserves from dollars to euros. > > > >"They are contravening their own principles," said Al Suweidi. > >"Investors are going to take this into consideration (and) will look > >at investment opportunities through new binoculars." > > > >The Commercial Bank of Syria has already switched the state's foreign > >currency transactions from dollars to euros, Duraid Durgham head of > >the state-owned bank said. The decision by the bank of Syria follows > >the announcement by the White House calling on all US financial > >institutions to end correspondent accounts with Syria due to > >money-laundering concerns. > > > >Syria's Finance Minister Mohammad Al Hussein said: "Syria affirms > >that this decision and its timing are fundamentally > >political."-Khaleej Times Online _______________________________________________ Biofuel mailing list Biofuel@sustainablelists.org http://sustainablelists.org/mailman/listinfo/biofuel_sustainablelists.org Biofuel at Journey to Forever: http://journeytoforever.org/biofuel.html Search the combined Biofuel and Biofuels-biz list archives (50,000 messages): http://www.mail-archive.com/biofuel@sustainablelists.org/
