Most of us are off for the holiday:
After saying nothing when the MSM media caught on to the movement to abolish cash, which we covered the steps of starting august 2016; We decided to make a point to summarize past posts about the De-Dollarization frenzy that is trending in stories now.
As Brian Williams would say: We were there.
Here is a quick and hasty compendium of notes since the Petrodollar demise became worthy of MSM attention. This is not breaking news, at least to us.
Soren K. Group Notes on Petrodollar Castration
Notes, past quotes, and links
1-Mines and money NYC on Petrodollar demise with Rick Rule and Todd Horwitz
2-MS in May, 2017: Deals are being done, Russia/china oil for gold using Blockchain over the past several months. A few months ago $3b trades that way.
3-From ZH: The Chinese have announced that they have perfected a scheme, to be launched formally in the market by the end of the year, by means of which exporters of oil to China will accept the Chinese currency, the Yuan, in payment for the oil; for this deal, the Chinese have added an incentive: the Yuan received by the oil exporters will be exchangeable for gold. This gold will be "sourced" i.e. "purchased" outside of China, for the oil exporters
4-Some would correctly say:Gold is commonly used to sanitize petrodollar risk (hedge) during sanctions and embargoes. That is true. There is a different context here however. This is a tactic now being used in a more permanent fashion by china and Russia.
5-The Concept from Sept 2016:
https://www.marketslant.com/articles/china-gold-confiscation-silver-jp-morgan
"Imagine if you will, the point where soft money is no longer trusted. Countries like China and the US can simply point to their Gold reserves and say, " No problem, we have Gold. If you need it for international trade, then by all means we can accommodate you."
Another post:
"Deals are being done, Russia/china oil for gold using Blockchain over the past several months. A few months ago $3b trades that way. And the info I got was that the gold paid to Russia never left the Chinese vault.
That is because it is China that needs to both buy stuff and dedollarize. We have been seeing this for the last 5 years in their dealings with Argentia ( Soy beans), Trinidad (Oil), African nations, and now the Saudis and Russians."
Other article excerpts:
1-There does not need to be a Gold Standard. There just needs to be Gold in a country's possession. Think of it as Financial Detente. "We have it but don't want to use it unless absolutely necessary. So you can trust our currency." You don't demand Gold for international trade, and we won't".Currencies continue to be debased with the "promise' of a nuclear option of instant commerce slowdown if anyone uses the Gold Option. And the Yuan's entry into the IMF currency basket on October 1 is a first material step."
2-We have written many times on the potential for either a Gold backed Yuan, or a de-facto gold backed Yuan. We have written several posts on the how it could happen as well as its likelihood. Trade is now being done between Saudi Arabia, Chain and Russia in Yuan and Gold Bullion. And Blockchain is accelerating that change.
I have spoken with Todd Horwitz on this at the last NY Mines & Money panel. (Link is to relevant part)
The Bubba show had me on and we discussed this same topic.
China is long gold. Therefore it only makes sense they will use it to make payment for oil from Russian and the Saudis. It will either be gold or yuan with "implicit" gold backing.
This is active dedollarization of eastern trade. And will be the end of the petrodollar.
And on and on we ranted.....
Venezuela, Trinidad, Africa, Argentina, all under China's thumb now, (used to be ours)
Sample posts:
https://www.marketslant.com/article/watch-williams-connect-dots-gold-usd-petrodollar-goldenyuan
https://www.marketslant.com/article/usd-deathwatch-china-russia-oil-deal-another-nail
Last week:
https://www.marketslant.com/article/petrodollar-deathwatch-venezuela-officially-pricing-oil-chinese-yuan
Includes Russia, China, Blockchain, Mexico , and references to the gold for oil deals .
Don't need to buy gold.. just sell dollars.
What other way can a citizen hedge his dollar risk when he becomes dependent on the yuan value driving prices? Buy Cadillacs (rust)? Levis (size)?
The MSM wants to know:
Soren K. Group
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