PETRODOLLAR PUKES: Cracks emerge in U.S. dollar dominance as Saudis consider accepting Chinese currency for oil sales to Beijing
BY J.D. HEYES
republished below in full unedited for informational, educational & research purposes:
(Natural News) Since the end of World War II, the British pound was replaced as the world’s reserve currency with the U.S. dollar, which put Americans at a distinct advantage by making our money the strongest and safest in the world.
But in recent years, there have been emerging threats to King Dollar’s dominance, thanks in large part to insane ‘America last’ domestic and foreign policies adopted and perpetuated by left-wing Democratic regimes.
There was a temporary lull in the push to demolish American economic primacy during the four years of Donald Trump’s administration, but his MAGA platform so upset the global power structure all stops were removed to prevent him from winning reelection.
Now, after installing the mindless Joe Biden, the deep state powers that be who are propping him up have reimplemented their policies aimed at destroying America because our country is the only one standing between liberty and economic enslavement by a select global elite.
The latest sign that their plan is working: Saudi Arabia, long an ally of the U.S. and perpetrator of the American “petrodollar,” has announced it will consider accepting the Chinese yuan as payment for oil sold to Beijing.
One of the core staples of the past 40 years, and an anchor propping up the dollar’s reserve status, was a global financial system based on the petrodollar – this was a world in which oil producers would sell their product to the US (and the rest of the world) for dollars, which they would then recycle the proceeds in dollar-denominated assets and while investing in dollar-denominated markets, explicitly prop up the USD as the world reserve currency, and in the process backstop the standing of the US as the world’s undisputed financial superpower.
Those days are coming to an end.
And it appears as though the catalyst for the USD’s reserve currency demise is Russia’s invasion of Ukraine.
According to The Wall Street Journal, “Saudi Arabia is in active talks with Beijing to price its some of its oil sales to China in yuan, people familiar with the matter said, a move that would dent the U.S. dollar’s dominance of the global petroleum market and mark another shift by the world’s top crude exporter toward Asia.”
Talks with China regarding pricing Saudi oil in yuan contracts have taken place in an on-again, off-again fashion for about six years, but they dramatically increased this year as the Kingdom grew increasingly frustrated with U.S. security commitments to help defend the Saudis going back decades, according to the sources.
These China-Saudi talks, again, are being influenced directly by the policies of the current Biden regime, the WSJ noted.
“The Saudis are angry over the U.S.’s lack of support for their intervention in the Yemen civil war, and over the Biden administration’s attempt to strike a deal with Iran over its nuclear program,” the paper said, adding: “Saudi officials have said they were shocked by the precipitous U.S. withdrawal from Afghanistan last year.”
“China buys more than 25% of the oil that Saudi Arabia exports. If priced in yuan, those sales would boost the standing of China’s currency,” the report continued.
None of this is by accident. The people who operate the deep state are not dumb; they know what they’re doing. They know certain policies embolden and empower our country — like those Trump adopted — and they know which policies will push our allies into other economic spheres of influence and thus weaken our country (which they believe we deserve, for some insane reason).
So this move to alienate the Saudis and hasten the rise of China’s currency at risk to the USD is purposeful. And it comes as other elements of the plan are being put in place thanks to Russia’s invasion of Ukraine, per Zero Hedge:
Russia starving the western world of much-needed resources, sending commodity prices ever higher, while its silent partner China quietly picks up the pieces and takes advantage of Russia’s isolation to approach all those other “non-western” former petrodollar clients to offer them a new product, the yuan, which Beijing is now actively and aggressively pushing to dethrone the dollar as a global reserve currency.
This crash is inevitable, by the way; electing Trump to another four-year term won’t do anything but delay it — that is if our country’s economy has not collapsed already by 2024.
Sources include: