BLOG

Iran's Petrodollar War: March 20, 2006

In previous articles we have shown that certain powerful Zionist interests in the Bush Administration have been pushing us into war since the mid-1990's. Their reasons are simple: Save the Israeli State from annihilation. In this cause, they have found a natural ally in the Evangelical, Foundamentalist, and Pentecostal movements, who want to push the Israelis into Armageddon in order to force Jesus to come and save the day. (No matter that in their own prophetic understanding, only 144,000 Jews will survive such an attack.)

The irony of the situation is this: These Evangelicals, et al, believe that the Jews are God's Chosen People, but they are knowingly pushing them into a catastrophic war. I, on the other hand, do NOT believe they are the chosen people (Israel), but I am trying to warn them in order to prevent such a catastrophe.

My reasons are stated clearly enough in my books, "Who is a Jew?" and "Who is an Israelite?" Both are posted online.

America's "self-interest" is determined by modern politicians to be world-wide economic supremacy. The way this works is that we purchase things from abroad with dollars that depreciate in time. So when other countries spend those dollars purchasing our products, it costs them more than it should.

Worse yet, we succeeded years ago to make oil payable in U.S. dollars, so other countries who need oil must have currency reserves denominated in U.S. dollars. With so many countries holding our dollars, we can create more and more money and spend more and more without a glut of dollars that everyone is trying to get rid of.

More than that, if and when any of those countries want to get rid of those dollars, they find that they are worth less and less each year. In practical terms, this is a dollar tax that the American government collects regularly from these other nations. And we can have a huge trade imbalance without having to declare bankruptcy. It is the secret of our "prosperity."

But some years ago the European Union set up a competing currency called the Euro. This really started a currency war, or "friendly competition," as they would like us to think. But it is not so friendly after all. Today we are in a battle for oil currency supremacy. And this is one of the key reasons why we invaded Afghanistan and Iraq and may also try to punish Iran shortly.

In September 2000 Saddam Hussein announced that Iraqi oil would be payable in Euros, rather than dollars in the "oil-for-food" program. This was in Iraq's best interest, in that their earnings were improved by this move. But politically, it sealed his fate. If this was not the primary reason for our invasion of Iraq, it was certainly higher on the list than the supposed WMD's.

On June 5, 2003 the Financial Times of London told us that Iraq's oil sales were once again being denominated in U.S. dollars. That is because America won the war against Iraq.

And now Iran is about to take the same course of action, beginning March 20, 2006 (the Iranian New Year). This is not a recent decision. Back in mid-2003 Iran switched to the Euro in dealing with Europe and Asian oil exports--even though their oil prices were still denominated in U.S. dollars.

But then in June 2004 Iran announced its intension of creating an Iranian oil bourse. (A bourse is a stock exchange for securities trading.) This will compete with London's International Petroleum Exchange (IPE) and with Newy York's Mercantile Exchange (NYMEX). Incidentally, both are owned by an American consortium out of Atlanta. Anyway, those countries who purchase oil from Iran will become less dependent upon having a U.S. dollar reserve and will likely cash them in for more Euros. This will surely cause the U.S. dollar to slide and to lose the war against the Euro. These countries would be crazy NOT to buy more Euros, because they can see that the Euro is going UP in value, while the U.S. dollar is sure to decline.

The Chinese leader is scheduled to visit President Bush in April of this year. This will be the first official visit from China EVER. He's not coming for tea. He's coming to talk about money. China is the country with the most to lose if and when the U.S. dollar crashes. They hold a lot of dollars and treasury notes because of our huge trade imbalance with them (thanks largely to Walmart).

April may be too late, however. Given President Bush's past record--he's a man of action, for better or for worse--he could very well give the order to bomb Iran by the end of March. Or let the Israeli dogs loose. The new oil bourse will not be mentioned as the reason for this, of course. Americans simply would not understand or support such a reason. My guess is that they will be given a reason--another 9-11 type of attack on American soil. Nothing like a good attack to consolidate support for a war when you want one.

The "Shock and Awe" campaign began on the night of March 20/21, 2003. Three years later, it is the Iranian New Year and the beginning of the new oil bourse. But back in 2003 March 21 was also our prime watch date, because it was the end of the second 76-day period that we were watching. I speculated at the time that we might see the actual U.S. attack on Iraq on March 21. What I actually wrote (on March 9, 2003) was: "The second 76 days ends on March 21. It would be interesting if we saw the beginning of a military attack on Iraq on that date."

Well, it happened. This year (2006) the second 76-day period falls on March 31 or April 1st. But we are also seeing a strange pattern for this year that is seven days EARLY. Thus, the real dates to watch could be March 24/25, 2006. The way current events are heading, it is quite possible that we may see an attack on Iran at that time. It bears watching.

Whether Iran is attacked or not, one thing appears to be certain: the U.S. dollar is about to slide and could even "crash and burn" shortly. We are in a lose-lose situation. The only way to hedge against such an event is to buy commodities. Those who hold cash in savings accounts or in treasury bonds will be the big losers, because the price of goods will go up, and the dollar will go down.

More and more, the world has gotten tired of American dominance, because of its "self-interest" motive. American dominance may be good for America, but what is good for us is not so good for them. Even as a Christian is admonished in Scripture to show love, putting other people's welfare above our own, so also should a Christian nation act toward other nations. But our actions have proven once again that we are not acting as a Christian nation. We act like a slave-master nation. This is now coming to a head, and America will have to decide whether its Babylonian policies are really "good for America"--or if the policies of the Kingdom of God are better in the long run.