Jim Willie: This Will Be the Trigger for the Big Banks to Explode
GramsGold.com
Jan. 7, 2015
The low oil price is the signal of the dying dollar.
Sub $30 Oil -When this happens, big banks explode
“The reset has begun, the plug has been pulled. Americans and US and western press watch the dollar and say it’s strong. I watch the oil price and say the dollar’s dead.
After ’71 when the gold standard was broke, called the Bretton Woods Accord, what replaced the gold standard but the de facto petrodollar standard?
If your standard for backing, even on a de facto basis, for the dollar with oil, and oil is going down in value, does that not mean that the entity backed by oil is dying? Yes! And this is where the paradox comes. When the oil price goes down, the dollar gets flipped up. When the dollar gets flipped up, gold gets flipped down. Because they are negatively correlated,” states Jim Willie in an interview with Trunews on Jan. 4, 2016.
The ‘petrodollar’ is this: “In 1973, a deal was struck between Saudi Arabia and the United States in which every barrel of oil purchased from the Saudis would be denominated in U.S. dollars. Under this new arrangement, any country that sought to purchase oil from Saudi Arabia would be required to first exchange their own national currency for U.S. dollars. In exchange for Saudi Arabia’s willingness to denominate their oil sales exclusively in U.S. dollars, the United States offered weapons and protection of their oil fields from neighboring nations, including Israel.
By 1975, all of the OPEC nations had agreed to price their own oil supplies exclusively in U.S. dollars in exchange for weapons and military protection. As more countries continue to move away from the petrodollar system which uses the U.S. dollar as payment for oil, we expect massive inflationary pressures to strike the U.S. economy,” states FTM Daily.
The death of the dollar is seen in the low oil price, which kills the economy. It kills the oil sector.
We’re not having a recovery!
We’re having a death event!
The Rest…HERE
