Australia's largest stock trading and investment forum Australia's #1 stock forum

GOLD

0.51%

$1,391.7 gold futures

"Well, if you own all the gasoline stations in the region"The...

First 171 Last

Share
Profile

Follow
stelios

913 Posts.

150

17/03/22

14:36

Post #: 60253564
Share

Originally posted by stelios: ↑

"If there's a sudden end to hostilities it's possible gold will crash."
The war in Ukraine is a smokescreen and conceals the real reason for the recent rally in gold (Fiat currency inflation).
Petrodollar is threatened and consequently the US $ reserve currency status:

Any change to this system by default will generate significant effects, not just in prices, but also at the geopolitical and economic level. Nevertheless, some dismiss these effects as a mere trifle, while others claim them to be cataclysmic. Probably the truth lies somewhere in between.
How to have debt and get away with it

Imagine this scenario: you are a very wealthy individual with many properties and prestige, but you really have no free money in your bank account (you spent it all). But you still want that new Ferrari. What to do? Well you could write a cheque. Yes, that cheque is worthless in nature (since you have no free money to back it) but so long as the car dealer doesn't claim it, you don't have to pay. In the meanwhile: you have a free Ferrari. The question is… how do you prevent the dealer from cashing in the cheque?

Well, if you own all the gasoline stations in the region and you claim that "gasoline now has to be paid using my cheques" the dealer now must keep a stock of your cheques, so you can keep writing them and enjoy a free ride across the entire region, you can "buy" anything you want and put it on your tab (i.e. accumulate debt), as long as you have cheques to write and people need those cheques to get their gasoline.

But… what would happen to you if people no longer needed your cheques to buy gasoline?
The power of the Petrodollar

Expand

"Well, if you own all the gasoline stations in the region"
The problem is that the US does not own the "gasoline stations" ,but used Mafia tactics to force oil rich nation of the world to sell their oil in Fiat US$ .

Watch from 5 minutes :45 seconds.
2 Upvote

0 Great analysis

Reply

Top Stories

Plagues precede widespread power shifts. We’re living in one – and minerals are at the fore

SBW

Shekel Brainweigh CEO Nir Leshem weighs in on AI adoption ahead of FY25

FHE

Frontier Energy achieves key milestone for Waroona energy project

RDN

If you thought lithium was dead, think again. The Pilbara will be central to the next upswing

With financials holding the fort, materials must step up with some heavy lifting to stimulate stocks

There are more pages in this discussion • 3,146 more messages in this thread...

First 171 Last

Add GOLD (COMEX) to my watchlist

"Well, if you own all the gasoline stations in the region"The...

Top Stories

Plagues precede widespread power shifts. We’re living in one – and minerals are at the fore

Shekel Brainweigh CEO Nir Leshem weighs in on AI adoption ahead of FY25

Frontier Energy achieves key milestone for Waroona energy project

If you thought lithium was dead, think again. The Pilbara will be central to the next upswing

With financials holding the fort, materials must step up with some heavy lifting to stimulate stocks

Featured News