Win-Win for the Saudis

In a story datelined Jeddah (Saudi Arabia), Reuters news agency is quoting former Malaysian Prime Minister Mahathir Mohamad as having told the Saudis that they should sell oil for gold ... not US$ ... to avoid being "short-changed" by a decline in the US currency. "The price of oil is US$33 ... but the dollar has declined by 40% against the €uro, so you're effectively getting US$20," Mahathir told an economic conference, Sunday. "So you're being short-changed!"

Saudi Arabia has already justified higher world oil prices saying they're necessary to compensate for the slide in the US$.  article

How can you lose when you have the oil?

The debate is just the latest round in a general move within the oil industry to move away from the Bush 2 administration's depreciating US$ ... fatefully, Iraq had switched to the € uro as the currency of preference just before Bush launched the unilateral invasion of that country to remove dictator Saddam Hussein.

And recently, Venezuela has been talking about switching to euros as well. Prepare to liberate Venezuela, as demonizing Chavez continues to pick up pace in the U.S. administration/news complex.

It's too many for me, but if everybody starts talking euros for oil, I'm not sure how we're going to liberate them all. I guess we could take Dumbshit's lead and go "nukular".

Saudi Trade Minister Hashem Yamani says his country has narrowed differences with the United States that were holding up a Saudi entry to the World Trade Organization (WTO) ... but Mahathir Mohamad has also warned the Saudis against rushing to join the WTO and says it is "not necessarily a positive move. It can be very negative if you don't handle it properly ... they try to impose their agenda without regard for some other countries."

Moves are nevertheless afoot for a majority of Organization of Petroleum Exporting Countries (OPEC) to switch to Euros ... a major decision is expected when the oil cartel meets next month, and senior Venezuelan diplomats have already been speaking with Russian, Mexican and Arab counterparts to shake off the shackles of dependency on the US currency as it continues its international nosedive.

....but hey, do what you want....you will anyway.