From Petrodollar To Petrogold: The US Is Now Trying To Cut Off Iran's Access To Gold

Tyler Durden's picture


The US is moving to broaden its 'blockade' efforts of Iran to the movement of pure gold into the Islamic Republic. The US-led embargo of Iranian crude succeeded in slowing the flow of petrodollars into the nation but as Foreign Affairs committee chairman Edward Cohen remarked, there is "no question that there is gold going from Turkey to Iran." While the official line from US elite such as Bernanke remains that 'gold is not money' it appears that increasingly other nations would disagree, as Cohen admitted, "in large measure what we're seeing is private Iranian citizens buying gold as a protection against the falling value of Iran's currency." It would seem somewhat self-evident that the US is admitting, by attempting to embargo this gold flow, that outside the US, the Dollar is becoming increasingly irrelevant (see China's gold demand); and that for many countries the petrodollar no longer exists, having been replaced by 'Petrogold'.


Via Trend,



With Iran's currency already hit hard by European and Asian participation in the U.S.-led embargo of Iranian crude, Mr. Cohen asserted that his staff is broadening its efforts to include blocking the movement of pure gold into the Islamic republic.


"I can assure you that we are looking very, very carefully at any evidence that anyone outside Iran is selling gold to Iran," he said.


The remark came after Rep. Edward R. Royce, California Republican and the Foreign Affairs Committee's chairman, asked whether the administration was aware of recent reports indicating an uptick in the flow of gold into Iran.


"With its currency now in free fall, the Iranians desperately need gold," said Mr. Royce, who noted that a U.S. law authorizing the Obama administration to sanction anyone selling gold to citizens inside Iran does not take effect until July 1.


With existing U.S. law only allowing sanctions on the sale of gold directly to the Iranian government, Mr. Cohen told lawmakers the administration is keeping a close eye on the situation.


While Mr. Cohen acknowledged that U.S. authorities have "no question that there is gold going from Turkey to Iran," he said that "in large measure what we're seeing is private Iranian citizens buying gold as a protection to the falling value" of Iran's currency, the rial.



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Thu, 05/16/2013 - 11:50 | 3569360 Pladizow
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The US will do anything it takes to get a war started so that oil can be liberated!

Thu, 05/16/2013 - 11:55 | 3569384 TheFourthStooge-ing
TheFourthStooge-ing's picture

Mr. Cohen, please go fuck your face in the ass.

You too, Mr. Royce.

Thu, 05/16/2013 - 11:59 | 3569404 Divided States ...
Divided States of America's picture

Why should we typical Americans who, belch McD burgers and watch American Idol and 2 and a half fags give a shit about what others want to do with their money. If they want to accumulate gold, let them. Over here in the U S A, we love to accumulate Debt and plastic chinese junk and nobody complains.

Oh I forgot, fuckin Israel cares.

Thu, 05/16/2013 - 11:59 | 3569409 The Juggernaut
The Juggernaut's picture

@PladizowAnd central bank owned by the Rothschilds.

Thu, 05/16/2013 - 12:11 | 3569473 XitSam
XitSam's picture

Block Iran's gold? "This time, it's personal."

Thu, 05/16/2013 - 12:35 | 3569597 somecallmetimmah
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"...U.S. law authorizing the Obama administration to sanction anyone selling gold to citizens inside Iran does not take effect until July 1"

Gotta practice this stuff, baby.  It's a perishable skill!

Thu, 05/16/2013 - 12:53 | 3569685 jimmytorpedo
jimmytorpedo's picture

I wonder if they wil include cowrie shells, money sticks and other barbarous relics in these sanctions?

Thu, 05/16/2013 - 13:02 | 3569715 nope-1004
nope-1004's picture

If Gold is not money, why does the US give a shit?


Seems to me this is an admission of a failed trade embargo against Iran, and the realization that there exists other currencies other than US paper.

And that is FUCKING FUNNY!!!!  The US is admitting their policies are failures and their money not respected.  LMAO.

Thu, 05/16/2013 - 15:01 | 3570252 giggler123
giggler123's picture

When they put the 2nd round of sanctions on Iran there was Clinton saying in public it was not sanctions against the people of Iran just their irresponsible government.  So today we find out actually it is the people of Iran...

Thu, 05/16/2013 - 17:34 | 3570865 UnpatrioticHoarder
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But I thought gold was only worth $42 an ounce.... WTF?

Thu, 05/16/2013 - 16:12 | 3570564 DaveyJones
DaveyJones's picture

It's both an admission and a catalyst.

The headline to the article says it all

I love how our sanctions only increase the legitimacy of gold

and the illegitmacy of fiat


And there's a whole nother idiocy to our approach

our reactions to peak oil, our "liberations," and petrodollar pirouettes, forget the whole world is also addicted

any trick to keep other nations from accessing it will have less and less affect as the stuff gets less available and more desired

were burning money, oil, lives and whatever pathetic trust we have left with extremely expensive wars. Some others are doing less insane things to prepare for system break downs

And Iran is not Iraq, neither Iran nor the rest of the audience will sit idly by if we try to take it 

Thu, 05/16/2013 - 12:56 | 3569702 strannick
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"With its currency now in free fall, ...fill in the nation.. desperately need gold," said Mr. Royce, who noted that a U.S. law authorizing the Obama administration to sanction anyone selling gold to citizens inside ...fill in the nation... does not take effect until July 1

Thu, 05/16/2013 - 14:07 | 3570014 Creepy Lurker
Creepy Lurker's picture

So I guess that means come July 1st, the US wil be sanctioning China for trading gold for oil with Iran? HA!

Thu, 05/16/2013 - 12:55 | 3569698 Maverick Enterprise
Maverick Enterprise's picture

They got to play it that way since they can't bomb Iran without the risk of a nuclear war

Thu, 05/16/2013 - 16:48 | 3570719 asteroids
asteroids's picture

Iran should allow their banks to do bitcoin exchanges for fiat currency and gold.

Thu, 05/16/2013 - 12:16 | 3569502 dryam
dryam's picture

"Tradition".........Sure, traditionally used as money.

Thu, 05/16/2013 - 12:00 | 3569419 Manthong
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but why shouldn’t barbarous people at the least be entitled to barbarous relics?

Thu, 05/16/2013 - 13:14 | 3569791 Eally Ucked
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We should encourage them to get as much as possible of that wortless stuff, it will finish them faster. What the silly people.

Thu, 05/16/2013 - 12:01 | 3569424 otto skorzeny
otto skorzeny's picture

But Kito says WE tell the Israelis what tune to dance to-LOL

Thu, 05/16/2013 - 12:15 | 3569499 Debt Slave
Debt Slave's picture

Right. We tell them what to do while they are in charge of our foreign affairs and committing acts of war.

Geeze some people need to be hit over the head with a 2x4.

Thu, 05/16/2013 - 12:25 | 3569545 machineh
machineh's picture

The 'dancing Israelis' on 9/11 already played us their tune.

And we're still running global interference for this shitty little country? 

Thu, 05/16/2013 - 14:54 | 3570233 Cacete de Ouro
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"If I say anything about the dancing Israelis and 9-11, I might as well clear my desk". generic response of all MSM journalists across the US of A!

uSA usA usa ..u •••.. .

Thu, 05/16/2013 - 12:36 | 3569603 joak
joak's picture

Kito reads too much Chomsky... 

Thu, 05/16/2013 - 13:16 | 3569800 Eally Ucked
Eally Ucked's picture

Maybe that's true, but at least they're leading dancer.

Thu, 05/16/2013 - 12:28 | 3569531 Kaiser Sousa
Kaiser Sousa's picture

hear that??? the dying gasps of the American empire grows louder with each passing moment...

as such, they must have war in attempts to avoid inevitable death...but it will not be the way they want it to be...



Thu, 05/16/2013 - 12:39 | 3569621 Ignatius
Ignatius's picture

Do we need to mention that Iran has not invaded anyone in 200 years and is a signatory member of the Nuclear Non-Proliferation Treaty (unlike, say, oh Israel).  Hypocrisy knows no bounds.

Thu, 05/16/2013 - 13:09 | 3569772 Cacete de Ouro
Cacete de Ouro's picture

"I can assure you that we are looking very, very carefully at any evidence that anyone outside Iran is selling gold to Iran," he (Cohen) said.

So I just sold a Krugerrand to my local Iranian Embassy (just round the corner actually). What the fuck are you going to do about it Cohenhole?!!

Thu, 05/16/2013 - 17:28 | 3570849 Parisnights
Parisnights's picture

Hypocrisy knows no bounds  

Yeah like France, the US to name a couple of others

Thu, 05/16/2013 - 12:26 | 3569549 Go Tribe
Go Tribe's picture

I find myself increasingly rooting against the United States in many matters.

Thu, 05/16/2013 - 15:47 | 3570505 TheFourthStooge-ing
TheFourthStooge-ing's picture

Nobody likes an occupational government.

Thu, 05/16/2013 - 15:51 | 3570521 akak
akak's picture

I find myself increasingly rooting against the United States federal government in many matters.

Thu, 05/16/2013 - 14:28 | 3570132 Shizzmoney
Shizzmoney's picture


Oh I forgot, fuckin Israel cares.

They should just ratify it as the 51st state already - essentially already is to the US Government (as well as being a part of the UK Crown).

Thu, 05/16/2013 - 15:20 | 3570350 thisandthat
thisandthat's picture

Israel is the US's evil midget twin - the US is the big dumb bully.

Thu, 05/16/2013 - 16:39 | 3570692 Race Car Driver
Race Car Driver's picture

They've already analogized everything in pop-culture movies and TeeVee shows. 

Israel is the Master to the retarded, lumbering US Blaster. 

Who the fuck runs planet Bartertown, indeed.

Thu, 05/16/2013 - 14:29 | 3570143 bank guy in Brussels
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"I love the Jews, just not the Zionists."

- Mahmoud Ahmedinajad, President of Iran

Thu, 05/16/2013 - 21:29 | 3571383 Buck Johnson
Buck Johnson's picture

Because if they allow gold to continue and other currencies be used for buying of gold eventually they will wonder why not buy or sell oil in something else than dollars.

Thu, 05/16/2013 - 12:00 | 3569417 otto skorzeny
otto skorzeny's picture

Cohen-another NWO Zionist Cheesepope.

Thu, 05/16/2013 - 12:06 | 3569452 Divided States ...
Divided States of America's picture

"FOREIGN Affairs" committee chairman Edward Cohen or he really mean "FOR OUR OWN Affairs", OWN meaning Israel.

Thu, 05/16/2013 - 12:36 | 3569606 Cacete de Ouro
Cacete de Ouro's picture

This is another sickening tactic from the bunch of thugs masquerading as UANI, a front group of bi-partisan (haha) neo-chickenshits.

They bullied the LBMA back in January to put pressure on Iran

I wouldn't usually care what happens to the LBMA but this bullying is sickening, these UANI chickenpricks are pure scum

And the LBMA not too long ago sponsored a report on the Iranian Gold Industry called "Iran - A major gold market in hiding"

The irony :)

Thu, 05/16/2013 - 12:50 | 3569670 Meat Hammer
Meat Hammer's picture

He meant "For our OWNERS affairs".

Thu, 05/16/2013 - 12:21 | 3569523 LeisureSmith
LeisureSmith's picture

I havent got the memo on what Cheesepopes are, but i have a feeling this guy is one..


Thu, 05/16/2013 - 12:28 | 3569439 Frozen IcQb
Frozen IcQb's picture

When Canada abandons the Petrodollar it's game over for the USD as sole reserve currency.

All citizens regardless of country need to own gold now to protect their purchasing power.

Thu, 05/16/2013 - 12:45 | 3569641 Haole
Haole's picture

"When Canada abandons the Petrodollar it's game over for the USD as sole reserve currency."


Being Canadian and absolutely loving the idea of this happening, I can't imagine it without our neighbor to the South subsequently and immediately freeing the shit out of us.

If you have some points you can make a case with please share because I'm sure I'm not the only one who would be interested.

Is the NAU not still moving forward as an agenda?

Thu, 05/16/2013 - 13:05 | 3569700 Frozen IcQb
Frozen IcQb's picture

One by one, countries are abandoning the USD for trade where Australia being the most recent.

These countries want to trade goods for goods (not paper) and don’t want to hold a depreciating intermediary currency for settlement.

The US imports more than 2.5 mil bbls of oil per day from Canada which is more than Saud and Mexico combined. If Canada signs an agreement to trade goods for oil with China, that makes the USD irrelevant for oil priced in dollars. IMHO anyways.


Thu, 05/16/2013 - 13:08 | 3569764 Haole
Haole's picture

I agree this move away from $US trade could happen if the entire current global monetary structure collapses altogether.   Otherwise it is just a nice dream in the meantime IMHO.  I'd sure love to be proven wrong though... China is doing this in stealth by buying Canadian oil & gas companies, mines, etc. right now aren't they?   It is also my opinion the Northern Gateway Pipeline is part of this long-term plan and despite all the political and environmental hoopla, it is certain to happen.

Thu, 05/16/2013 - 13:16 | 3569779 Frozen IcQb
Frozen IcQb's picture

Should the USD be backed with some form of exchangeable hard tangible collateral to protect it from dilution then my opinion would be different.


Thu, 05/16/2013 - 13:35 | 3569877 Doña K
Doña K's picture

Canada should not  be throwing stones as when the US gets the shaft they will find an excuse to invade Canada by declaration. No need to use force or anything they are just going to walk right in. What? the mounties will stop them?

Thu, 05/16/2013 - 14:11 | 3569896 Frozen IcQb
Frozen IcQb's picture

This movement is bigger than a one country thing. The monetary system is changing and the baton is being passed along to China just as it was passed to the US by England following its monetary collapse at the end of WW2.


When the USD became the global reserve currency at Bretton Woods, it was making stuff other countries wanted to buy just like China is today. This is no longer the case where manufacturing only makes up 30% of US GDP.

Since US GDP includes government spending (where the net amount should be deducted instead) 30% is an overstatement.


Thu, 05/16/2013 - 14:54 | 3570234 Fiat Currency
Fiat Currency's picture

"No need to use force or anything they are just going to walk right in"

Really? Your gov't has you shooting each other every day, brainwashed via media, 48M on eFood stamps, gifts for Wall Street, Fed Follies, daily scandals ...

314M people with 300M+ guns. Not a single banker/oligarch has been shot, despite the vasoline-free arse-raping they repeatedly give you every single day. I sleep well at night knowing you pussies are my neighbours. Ask yourself - what ever happened to the land of the free and the home of the brave?


Thu, 05/16/2013 - 18:30 | 3570964 Haole
Haole's picture

I would submit that Canadians at large are still drooling, brainwashed tools who think the status quo is going to last forever too, maybe it will and I'm the idiot for being prepared for nothing, having saved and lived debt free all my life, etc...

Everyone in the U.S. needs to see Bobcat Goldthwaite's film God Bless America for starters... ;)

Yanks will still be talking tough about the constitution, regaining their liberties and fighting tyrrany, etc. blah blah blah when they're living in a dumpster or on the other side of the sign that says Welcome to Camp FEMA. 

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