February OPEC Meeting - Beginning Of The End?

[ThomWV]

I was skimming thought the world news this morning and ran across a brief interview with an oil minister from somewhere or another. He hinted ever so slightly that the next meeting's (2/10/04) agenda might hold a suprise, a deadly one for the US economy. The tone of the interview, as brief as it was, gave the impression that a switch from the dollar to the Euro might be in the cards.

[brainshrub]

1. Shit, I hope not. (nt)

[cthrumatrix]

13. look for the article in the globe and mail 1/12/04 --- they already said

they are exploring this ---both in euro/dollar ---so yes the dollar is dropping

the persian gulf countries expressed interest

[WhoCountsTheVotes]

2. Goodbye dollar

I hardly know ye!

[lovedems]

3. We are growing more and more hated throughout the world.

It wouldn't surprise me a bit. The US administration started a war and planned far in advance how to "divvy up" Iraq's vast oil supply. Do you think this is payback or because the administration has been talking the dollar into the ground or something purely innocent?

[DevilsAdvocate2]

4. I doubt it

While OPEC may talk of switching from the dollar to the Euro, it will not happen. The U.S. economy is still the largest and most vibrant in the world, and as goes the U.S. economy, so goes the world economy. This is the same reason OPEC will not let prices get too high. If high oil prices drive inflation in the U.S., forcing our economy into a recession, we demand less oil. That, in turn, reduces OPEC's profits. They may even decide to reverse their 900,000 barrel a day output cut that was instituted last fall to keep prices at an acceptable level.

[jpak]

5. NYMEX crude closed above $35 a barrel today

and gas around these parts is $1.58 a gallon...

Inflationary - you bet.

But with Fed interest rates at historical lows, and no let up in the growth of US oil consumption - how are we going to deal with it?

I'm not optimistic to say the least.

[DevilsAdvocate2]

7. How will we deal with it?

Well, here's an idea. How about we make up a reason to invade an oil-rich country. Then, after we remove the existing government, we can replace it with a government more to our liking. Then we can rebuild the oil infrastructure, enabling the country to pump all the oil we'll need. Sounds like a pretty good plan. Someone in the administration should look into it. Oh, wait......

[jpak]

9. Gee...you think???

:)

[ignatius]

16. Right, let's go kill a bunch of people who have done nothing to

us so that we can steal,ie,plunder their natural resources all in the name of God and freedom. What if the 160 billion + we are spending on this trumped up war was used to finance windmill farms. That amount of money would build enough windmills to provide electricity for half the nation. User fees, tax credits or other financing could be used for the remainder of the country. This would be good for the environment and a postive for the dollar and we would cut our oil comsumption dramatically.

We should be looking at ways to end our reliance on fossil fuels. We have surely progrssed from the days of Atilla the Hun.

[brainshrub]

6. Good analysis

Welcome to DU!

But I disagree.

Right now there is a tremendous pressure on the OPEC nations to do something, ANYTHING, about the invasion of Iraq and the I/P issue.
Most of these sheiks know that the Bush administrations wants them dead, so they might as well fight now with the only weapon they have while they can.
Remember, the economy is not as vibrant as you think. We don't make anything of export except food & guns. Food they can buy from Europe and guns they can get from China...with Euros.

[kysrsoze]

8. I believe Venezuela has been flirting with the Euro for a couple of weeks

right?

[worldgonekrazy]

15. Well its an interesting question

Both viewpoints are right, in my opinion. The question is, which one trumps the other? Is the United States' economy so tied into the world economy that any real attack on U.S. economic interests would be suicidal? Or does OPEC's thirst for revenge/fear of the U.S. outweigh this possible result?

It is hard to say either way. My guess is that OPEC is blowing out a whole lot of hot air. It is, after all, run by businessmen, and they think VERY short term. Any kind of attack on the U.S. economy would SERIOUSLY undermine their business holdings in the short term, even if it might recover fully in the long term.

[tom_paine]

11. Fair and Balanced

What else could a person say about such commentary?

[Oggy]

10. Two links

From earlier today. One I thought was a bit wishy washy, but with this post maybe true. Both have more to say on the dollar and its slump, maybe soon to be collapse.


http://www.democraticunderground.com/discuss/duboard.php?az=show_topic&forum=114&topic_id=4652

http://www.democraticunderground.com/discuss/duboard.php?az=show_topic&forum=114&topic_id=4770

[montanacowboy]

12. Well, the Chimp Administration

has been letting the dollar fall and are cheering it onward - it cuts both ways and now it's coming to bite them in the ass - everything they touch turns to garbage.

[Deja Q]

14. Add in this and time is definitely finite for the American empire

http://www.onlinejournal.com/Commentary/011604Conover/011604conover.html

Well, corporate america and bush created this mess. This is what we're going to get. x( :cry: