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Giving the US figures don't help too much.

We know that the US pays $ for oil, that is her currency of course. The point at issue relates to other peoples' use of the "petrodollar", and I believe that many commentators - not to mention many conspiracy theorists - are labouring under a misapprehension as to the importance of the $ for denominating oil prices.

That having been said, an unHoly Trinity of:

(a) US massive over consumption of oil;
(b) continuing growth of non-US global oil demand; and
(c) the fact of a maximum level of global oil production (whether it is called a "peak" or a "plateau" is semantics);

will IMHO lead to a breakdown (slow motion crash if we are lucky), in the current global financial system and arising out of a discontinuity in the Dollar/Oil relationship. Within 2 to 5 years, I believe.

I don't think that the charts you have kindly supplied are inconsistent with that thesis.

by ChrisCook (cojockathotmaildotcom) on Mon Jul 30th, 2007 at 10:49:22 AM EST
[ Parent ]
I don't think that the charts you have kindly supplied are inconsistent with that thesis.

They couldn't, because that thesis is the whole point.

Vencit omnia veritas.

by Luis de Sousa (luis[dot]a[dot]de[dot]sousa[at]gmail[dot]com) on Mon Jul 30th, 2007 at 11:09:16 AM EST
[ Parent ]
You clearly don't read The Economist.

Can the last politician to go out the revolving door please turn the lights off?
by Migeru (migeru at eurotrib dot com) on Mon Jul 30th, 2007 at 11:09:53 AM EST
[ Parent ]
Nice to know that my intuition is occasionally supported by something more substantial then!
by ChrisCook (cojockathotmaildotcom) on Mon Jul 30th, 2007 at 11:23:51 AM EST
[ Parent ]

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