Petro-dollar and the coming war with Iran

556. Petro-dollar, the cause of Iran war (7/4/08)

People think the nuclear ambition of Iran is the reason for Iran war. That is only right on Israel's part. For US part, it is petro-dollar.

US dollar is appointed currency in oil trading. Because the oil trade is a huge business, a large amount of dollar is locked up in that trade. That money is called petro-dollar. Why it is so important to US? Because it acts as a long term none interest loan The prosperous US economy partly was based on the petro-dollar - a long term loan without interest. Let me depict it in this way:

US bought a house from Japan (whom represents the oil customers of Iran) for one million dollars. US also bought another house from France (whom represents other oil customers of OPEC) for one million dollars. Japan and France use these two million dollars as fund to buy oil. The money was used in oil trading circle and never back to US. US enjoys the two houses almost free. He doesn't have to pay monthly mortgage payment. Not a penny for interest, nor for principle. All the cost was the printing of a green back paper. However, that green back paper - petro dollar, is still a debit note. How long is it? So far it's more than forty years - since dollar became the appointed oil trade currency.

But suddenly, Iran refuses to accept dollar. Japan has to ask US to exchange that one million dollar into Euro or yen. What US can do is: 1. to get the dollar back by export more merchandise. But he is not able to. He has a trade deficit already. 2. To get the dollar back with gold or foreign currency reserve. But he hasn't that much reserve. 3. To lock up that extra one million dollar in US Bond by raising the interest rate to attract the buyer. But he unwilling to do it. There is a sub-prime crisis in real estate market. Any interest increase will further devalue the house. Feds holds a large amount of real estates in my case, they don't allow such thing to happen. So to solve the problem, they go to the fourth option. 4. By pushing up the oil price.

France (other oil consumption countries) keeps one million dollar as oil trading fund. How much does he need if the oil price doubled? Two million. Thus the one million dollar Japan abandoned is absorbed by France. That's why the oil price jumped like crazy in recent days - a tricky way to keep US dollar from collapsing.

US has to pay for high oil price too. Ordinary people bear the cost. But the high oil price will hurt the economy. The condition won't last long. So war on Iran is unavoidable.

Of course, US is a "democratic" country. It can't start a war because others refusing to use its currency. Then beware of another 911 style false flag attack.

We know there was an incident of live nuclear head weapons being carried over the continental US by a B-52 last August. There is attempt of dirty bomb attack in Houston this year.

Quote, "

Another time factor for Iran war is the Olympic Game in August. China has interest in Iran. He is an oil customer of Iran. Olympic Game could be an extortion chip for China's support in Iran war.

What a gabbledegook! If Iran wants to sell or trade its oil for whatever they can do it anytime and if France and/or Japan need oil they will buy it from where ever they can get it with any money they have. With the interest rates at the present it does not make any difference now anyway, there is none.What I'm wondering is what the $US is worth when it does not pay any interest and why some nations would bother keeping it .Is the buying power of the US$ increasing since it does not pay very much of an interest? It does not look that way when I go shopping. So what the hell is going on?

As for oil supplies, there must be plenty in NA as they shut down the further development of the Athabasca oil sands but the development of the Bakken is still full steam ahead. Also new finds in the gulf of Mexico and off shore Brasil will keep the oil price in check. It is obvious that there is a lot of tampering with the supply of oil AND the supply of the green back.

kathaksung is a renowned internet nutjob.

He/she has been posting on many forums for many years. See their hundreds of different forum profiles on Google.

They even have their own entry in the Urban Dictionary: kathaksung

It's not clear whether all of these posts are the work of one person, or whether multiple nutjobs are all assuming the same name.

I was tempted to block the account here on TT straight away. But now I'm interested to see whether they'll ever come back and post again. If they do post, I'd expect it to be another long diatribe. Don't expect any personal dialog with this person.

The post starts with "556." - maybe that is supposed to tell us that he/she is hereby giving lecture number 556...?

Scary thought, lots of nutters getting together under one name/banner...

I guess we should be happy that TT is important enough to attract their attention.

Hmmm.. then again, we have our own resident nuts - maybe we may get to see a nut flame war. That would be worth reading through

I want to watch him and Conqy have a go at each other.

Could it be that kathaksung is a time traveller and all these posts come from some future forum?

It would explain a lot - the odd use of Engrish as languages change over time.

The reason for the Iran war? I hadn't actually noticed that it had started yet?

The US economy WAS based on ... is still AFAIK.

There is attempt of dirty bomb attack in Houston this year? Is Houston gone then?

Time travelling posts definetely.

or the past hence this weird statement:

The Olympics were last year. How could they possibly be a bargaining chip any more?

Yeah but it might go to China again in the future say 20 years or so?

Didn't you know that he was in Print Media way before the Internetz?

580. Financial tsunami created to stabilize the dollar (originally wrote on 12/16/08)

On 7/4, I wrote "556. Petro-dollar, the cause of Iran war (7/4/08)". I think it touches the core. From 7/5 to 7/8, the oil price dropped for four days from $145 to $136 a barrel. It goes downwards since. It's a cover up reaction to my revelation. The inside group doesn't want people to know its Achilles' heel - the Petro Dollar. It doesn't want people to connect the Iraq war to Petro dollar.

At the same time, a financial plan created to keep dollar from collapse - develop a financial tsunami to lock the dollar in US bond. It starts from the plunge of mortgage giant - Funnie Mae and Freddie Mac.

I keep the financial news from paper. I review it recently and found the symptom to sink Funnie and Freddie first emerged on 7/11. One week after my 7/4 article.

In my record, the last news about Funnie Mae before 7/4 was on 5/17. It said that the biggest real estate financier Funnie Mae declared that on 6/1, it would have a new rule to drop the mortgage down payment to 5%, in some area even to 3%. It means Funnie Mae was still full of confidence. One year after sub-prime crisis, to low the standard of the loan meant she had financial foundation.

It was a blank for June. Then came the July. A series of negative news of Funnie and Freddie were out after 7/11. The article of 7/11 was: "Fannie, Freddie shares plunge on speculation", "Federal officials consider a bailout" (by David S. Hilzenrath and Jeffrey H. Birnbaum, Washington Post) What a sudden turn around. Just two months ago Fannie was so confident to save the real estate industry, now it suddenly would go bankruptcy. It was a pre-psychological propaganda preparation.

The August Iran war plot went soured. The financial tsunami plot had to be carried out. But August remained comparatively quiet. No negative news about Funnie and Freddie at that time. Why? I think the inside group, which is also a big financial group, need time to sell their investment - foreign investment, stock, real estates - when the price was still high, before others joined the escape.

Then the tsunami came. 9/7, government puts Funnie and Freddie into conservatorship. 9/14, Investment bank Leman Brothers declared bankruptcy. Stock market collapsed. Financial firm, pension fund suffered a great loss. They also have to sell the investment to collect money to deal with the cash out of panick customers. Now nothing is safe except cash - even big name such like Merril Lynch, AIG, GM are in danger, what property could you believe? People leave stock market, foreign market, real estate market and follow the experts' instruction - Cash is king.

Large amout of treasure were changed into cash and were driven into US treasury bond, locked there. The phenomenon is the interest of short term treasury note is almost zero, the interest rate of 30 years US bond is only 2.9%. So the oil price can drop to under $50/barrel. All speculating money go and hide under the safe heaven - US bond.

Financial crisis stabilizes the dollar (include excessive Petro dollar), drives them into US bond to avoid a tsunami. It becomes a big ballon. Once the ballon breaks off. What will take place? Inflation, soaring oil price, high interest, collapse dollar - that's another armagedon.

You've just described organised religion, and also the Bayern Munich Supporters club.

My first thought was Toytown...

Told you.

I wonder what happened to diatribes 557 through 579.

From the name, think this guy is from HongKong