This page has been archived and commenting is disabled.

Iran Moves Further To End Petrodollar, Announces Will Accept Payment In Gold Instead Of Dollars

Tyler Durden's picture


Much has been spun in recent weeks to indicate that as a result of collapsing trade, Iran's economy is in shambles and that the financial embargo hoisted upon the country by the insolvent, pardon, developed world is working. We had a totally different perspective on things "A Very Different Take On The "Iran Barters Gold For Food" Story" in which we essentially said that Iran, with the complicity of major trading partners like China, India and Russia is preparing to phase out the petrodollar: a move which would be impossible if key bilateral trade partners would not agree to it. Gradually it appears this is increasingly the case following a just released Reuters report that "Iran will take payment from its trading partners in gold instead of dollars, the Iranian state news agency IRNA quoted the central bank governor as saying on Tuesday."

Via Reuters:

Iranian financial institutions have been hit by sanctions imposed by the United States and the European Union in an effort to force Tehran to halt its nuclear programme.


Significant difficulties in making dollar payments to Iranian banks have forced Iran's trading partners to look for alternative ways to settle transactions, including direct barter deals.


"In its trade transactions with other countries, Iran does not limit itself to the U.S. dollar, and the country can pay using its own currency," central bank governor Mahmoud Bahmani was quoted as saying. "If a country should so choose, it can pay in gold and we would accept that without any reservation."


The sanctions include a phased ban on importing oil from Iran, which EU member states are to implement by July.


China and India, two of the largest consumers of Iranian oil, have said they will continue imports, but Japan and Korea have announced cuts to quotas following pressure from the United States. As a result the value of Iran's rial has plummeted, pushing the price of goods sharply higher across the country.

And from the souce:

Governor of the Central Bank of Iran Mahmoud Bahmani says the country can trade in currencies other than the American dollar in its foreign transactions.


“Iran does not just work with the dollar in trade transactions and every country can pay in its own currency,” said Mahmoud Bahmani on Tuesday.


Bahmani added that Tehran could receive gold in its transactions instead of currency transfers.


In case a country is willing to pay for the price of its imports from Iran in gold, there is no problem in this respect, he noted.


According to Bahmani, Iran imports commodities from China and India in exchange for the countries’ currencies. Tehran’s move is aimed at bypassing the upcoming freeze on CBI’s assets and the oil embargo, which the European Union's foreign ministers agreed to impose on the Islamic Republic.

Now this would be great news for Greece which as previously reported had at times relied for more than 50% of its crude imports on Iran. There is just one problem: very soon the country will no longer have said gold in its possession, as part of the preapproved Greek bailout of Europe, the country's constitution would be changed to reflect that even its gold now is part of the bailout conditions, and European banks have a lien on it. Especially if said gold is located in the basement of the NY Fed where it most likely resides.

As for other countries, such as China which we are confident has been quietly stockpiling gold in the last few years, and will make a surprise announcement any day now, as it did back in 2009... that's a different matter entirely.


- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Tue, 02/28/2012 - 14:24 | 2204659 Badabing
Badabing's picture

old news, lets just get on with it

Tue, 02/28/2012 - 14:30 | 2204696 JW n FL
JW n FL's picture



Most people dont know that this already happened a month ago.. or was it last year? when India! America's Friend! who we out source too! who we ship our wealth and manufacturing base too! agreed to suck Iranian oil for gold!


one better most people dont pay attention unless you put the information in a Heavy Rotation format.


and Tyler!  God Bless Him!! is competing with Corporate Owned Media Outlets that spew multi market tested and apporved Meme's all day every day!


So! get the fuck on page and help the War effort.. or shut the fuck up.


Tue, 02/28/2012 - 14:30 | 2204715 Chief KnocAHoma
Chief KnocAHoma's picture

Bold move... but very fucking stupid!

They might as well hold up a sign that says please bomb us back into the stone age.

Tue, 02/28/2012 - 14:32 | 2204724 Pladizow
Pladizow's picture


Tue, 02/28/2012 - 14:35 | 2204737 Ancona
Ancona's picture

Didn't Ghadafi do that too?? This will not end well....

Tue, 02/28/2012 - 14:40 | 2204773 EscapeKey
EscapeKey's picture


As did Saddam Hussein and Iraq before the sequel (War ][ - the revenge).

Tue, 02/28/2012 - 14:55 | 2204864 espirit
espirit's picture

What the hey, I'd accept gold instead of USD - but noooo, can't have that can we?

Petrodollahs are taking us to the brink.

Tue, 02/28/2012 - 15:24 | 2205050 Troll Magnet
Troll Magnet's picture

time for our "BFF" israel to get to work! 

Tue, 02/28/2012 - 15:45 | 2205165 DoChenRollingBearing
DoChenRollingBearing's picture

Ahhh, but the BIG QUESTION IS WHO would pay for mere oil with gold...  What stupid country would fork over their gold (at $1780 or so) for oil when gold is really worth so much more...

Only really stupid countries would pay in gold...

Tue, 02/28/2012 - 16:04 | 2205262 viahj
viahj's picture

who says that the contracts would be based on the spot paper price?

Tue, 02/28/2012 - 16:41 | 2205428 engineertheeconomy
engineertheeconomy's picture


Tue, 02/28/2012 - 17:32 | 2205695 Sean7k
Sean7k's picture

Which begs the bigger question: what will it do to the paper price if it begins to operate as money?

Tue, 02/28/2012 - 19:14 | 2206105 Hacked Economy
Hacked Economy's picture

Super B-I-N-G-O, Sean.  You just nailed it.  Although the paper price is in disconnect with the physical, the paper will at some point react accordingly, and eventually affect the physical in turn.

The upward trend continues.

Tue, 02/28/2012 - 21:06 | 2206357 engineertheeconomy
engineertheeconomy's picture

Paper to go to zero, because it's, well, paper...

Physical to go to Zimbabwe levels, because, well, their going to have to print like hell now to be able to buy the Gold that they will need to buy gas with now... 

Tue, 02/28/2012 - 16:19 | 2205323 trav7777
trav7777's picture

huh?  Oil makes food and shit run.

Gold is shiny.

Tue, 02/28/2012 - 16:26 | 2205361 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Gold is money.

Tue, 02/28/2012 - 16:29 | 2205376 EmileLargo
EmileLargo's picture

"Fiat money, in extremis, is accepted by nobody, Gold is always accepted"  - Alan Greenspan

Tue, 02/28/2012 - 16:43 | 2205439 economics1996
economics1996's picture

Gresham's law is an economic principle that states:

"When a government compulsorily overvalues one type of money and undervalues another, the undervalued money will leave the country or disappear from circulation into hoards, while the overvalued money will flood into circulation."[1] It is commonly stated as:

"Bad money drives out good", but is more accurately stated:

"Bad money drives out good if their exchange rate is set by law."

Tue, 02/28/2012 - 17:22 | 2205654 Blue Horshoe Lo...
Blue Horshoe Loves Annacott Steel's picture

Gresham also wrote "The Firm" & lots of other best-sellers.

Tue, 02/28/2012 - 16:51 | 2205498 trav7777
trav7777's picture

so are a lot of other things

Tue, 02/28/2012 - 17:10 | 2205595 tmosley
tmosley's picture

Not two hours ago you were telling us that gold isn't money.

You have no idea what you are talking about.

Tue, 02/28/2012 - 17:47 | 2205762 The Big Ching-aso
The Big Ching-aso's picture



One of him is schizo.   Leave them the fuck alone.

Tue, 02/28/2012 - 20:03 | 2206215 Börjesson
Börjesson's picture

The price in gold of a barrel of oil has been pretty much unchanged since the 70s. (And not by chance, some say.)

Wed, 02/29/2012 - 03:24 | 2207062 Bringin It
Bringin It's picture

"Confessions of an Economis Hit Man"

After explaining how he worked as part of WB/CIA teams to inflate developing country infrastructure needs, ie. electrical grid, to send the inflated contracts back to the connected entities back in the Homeland, the author moves on to describe his activities when Nixon closed the gold window.  Back then, like now, FRN's were falling out of favor fast.  What was a broke US, with a bloated military to do?  Why Gun Boat Diplomacy, using aircraft carrier battle groups of course.  The US visited the Saudis and said - accept only dollars for oil and we will guarentee your reign.  What would happen if the Saudis said no??

Anyhow, the Saudis said yes and gave us the PetroDollar.  It looks like part of the deal was to maintain a barrel/ounces peg. 

With the PetroDollar, every country in the world had to find ways to get and save dollars so that they could have some hope of buying what they need, say in an emergency.  This roaring demand for dollars got staggering America back on it's feet by accomidating the launch of the financial bubble.

It looks like the Ponzi depends on the PetroDollar.  Good luck Iran.  Maybe the West's governments will convulse first?

Tue, 02/28/2012 - 23:27 | 2206747 TheFourthStooge-ing
TheFourthStooge-ing's picture

DoChenRollingBearing asked:

What stupid country would fork over their gold (at $1780 or so) for oil when gold is really worth so much more

You've hit upon the key point without even realizing it, my friend. First, though, picture this. What if Iran decides that it's had enough of sanctions and, removing the stated reason for the bullying that it's had to endure, voluntarily suspends its uranium enrichment in the interest of advancing diplomacy and regional peace?

By Iran taking the high road like this, the United States, Israel, and their toadies, I mean allies, would have to engage Iran diplomatically or else lose what little credibility they have left. More stonewalling on the part of Israel and the US would end up driving a wedge between them and their toady allies, as Iran could then make the case that the real issue all along was that the United States wanted to replace Iran's government with a subservient puppet (again). Sanctions would then begin breaking down as more countries began to realize that the US and Israel had been playing them for chumps all along.

Now we get back to the key point that you brought up. Suppose Iran then decides to throw a wrench into the gears of the petrodollar machine by offering to sell their oil at a price of 40 barrels per troy ounce of gold, but only for physical gold delivered to them. If gold was $2000 per troy ounce, the Iranian oil would be selling at the equivalent of $50 per barrel. Do you see what then happens to the price of gold in dollars? It doubles very quickly as dollar holdings are dumped in a scramble for physical gold. Other oil exporters would then be forced to raise the dollar price of their oil in response to the drop in the dollar's value. This would cause the dollar price of gold to go higher, becoming a positive feedback loop.

It's hard to say where it would end, but the dollar could end up mortally wounded.

But what the hell do I know?


Wed, 02/29/2012 - 00:56 | 2206953 Calmyourself
Calmyourself's picture

You know plenty, probably too much by half and your mind is agile..  I would stay away from DC parks, small planes and of course hot tubs..  Joking aside that is a provocative proposal, the numbers may be off but the wrench it would throw is immense at whatever price point.  That countries in Iran's position never do things like this sometimes predispose me toward listening longer than I normally would to conspiracy theorists; illuminati, girl scouts, CFR and the like..

Wed, 02/29/2012 - 04:09 | 2207092 StychoKiller
StychoKiller's picture

Hmm, all right, dish the dirt on the Girl Scouts...

Wed, 02/29/2012 - 03:54 | 2207084 Cathartes Aura
Cathartes Aura's picture

that's food for thought, most definitely. . . but I have to say I'm with Calmyourself - if they haven't thought to do this already, or soon! - then perhaps the game is more complex than we even care to realise. . .

who knows, eh.  but great thinking there.

Wed, 02/29/2012 - 11:14 | 2207780 DaveyJones
DaveyJones's picture

something is deeply wrong with your country when citizens are playing out strategies for the sworn enemy

it's a nice twist on the damned if they do (get the nuke) damned if they don't (we have oil so we're terrorists) conundrum 

Wed, 02/29/2012 - 18:51 | 2210165 TheFourthStooge-ing
TheFourthStooge-ing's picture

Somehow it must all be a part of the eternal nature of US citizenism.


Tue, 02/28/2012 - 15:03 | 2204903 e-recep
e-recep's picture

any evidence to support these claims? i mean evidence to prove that saddam and qaddafi had petrogold plans?

Tue, 02/28/2012 - 15:12 | 2204958 JW n FL
JW n FL's picture



USA's Petro Dollar Threatened by Gaddafi's Gold-for-Oil Plan

Tue, 02/28/2012 - 15:16 | 2204990 Fukushima Sam
Fukushima Sam's picture

In a world where fiat currency still has value buying oil with gold is just plain stupid.

Tue, 02/28/2012 - 15:24 | 2205051 seek
seek's picture

True, but selling oil for gold instead of fiat that will eventually be worthless makes a hell of a lot of sense.

This is why the sellers accepting gold get smacked down so hard -- it's the first crack in the fiat dam that leads to a full on fiat currency collapse.

Wed, 02/29/2012 - 01:40 | 2207001 Pinto Currency
Pinto Currency's picture



Recep - you are a most helpful provocateur.

Tue, 02/28/2012 - 15:26 | 2205060 Troll Magnet
Troll Magnet's picture

i know!  it's really unbelievable that people all over the world are taking a piece of paper with ink on it for their valuable hard assets and commodities.  truly unbelievable times we live in.

Tue, 02/28/2012 - 15:27 | 2205065 goldfish1
goldfish1's picture

No, you're stupid

NO YOU're stupid

No you'RE stupid

Tue, 02/28/2012 - 17:20 | 2205637 Blue Horshoe Lo...
Blue Horshoe Loves Annacott Steel's picture

The radiation has made him incoherent.

Tue, 02/28/2012 - 15:25 | 2205040 JW n FL
JW n FL's picture





any evidence to support these claims? i mean evidence to prove that saddam and qaddafi had petrogold plans?



USA's Petro Dollar Threatened by Gaddafi's Gold-for-Oil Plan

and just so you know..

You can Google this shit yourself and find it as easy as I did..

do you know how to Google?

key words.. "Gaddafi Oil for Gold Plan" enter them into Google and then push the search button! which then will lead you to this!

About 5,320,000 results (0.24 seconds)

Now you try Iraq and post what you learn.. that is called sharing.

Sourcing and sitting information os easy and fun.. it helps people grasp the truth.. it is better than my saying.. "I Feel Like Gaddafi was killed because of his plan to trade Oil for Gold or his (1) African Currency Plan backed by Gold"

I know that most Baptist Ministers Frown on the Flock being EdJewMakated.. let alone being able to research ideas and learn from what they saw with their own eyes.. but here at ZeroHedge we are ALL! for people being able to solve or pursue complicated critical thinking !

I hope this helps you going forward!



Tue, 02/28/2012 - 15:43 | 2205149 VulpisVulpis
VulpisVulpis's picture

I'll make it easier for all the specials out here:

Tue, 02/28/2012 - 16:02 | 2205253 AnAnonymous
AnAnonymous's picture

You've got US citizened.

The piece information is easy to find and/or well known.

A US citizen urges someone to provide some data, link or evidence to prove the statement...

You've been US citizened.

Mere statement of power.

Are facts only opinions that US citizens want to be facts.

Tue, 02/28/2012 - 17:35 | 2205708 zapdude
zapdude's picture

Aaargh!  Go away you blobbing up, nose-picking, running dog, crapping-on-the-side-of-the-road TROLL!!! 

Everyone IGNORE this retarded fool. 

Except AKAK -- you can drop the atomic elbow off the top turnbuckle on him anytime!

Tue, 02/28/2012 - 17:36 | 2205710 Poor Grogman
Poor Grogman's picture

Some facts from you would be nice once in a while.
Have you got a link for your particular type of illiteracy?

Tue, 02/28/2012 - 17:59 | 2205814 JW n FL
JW n FL's picture




You've got US citizened.

The piece information is easy to find and/or well known.

A US citizen urges someone to provide some data, link or evidence to prove the statement...

You've been US citizened.

Mere statement of power.

Are facts only opinions that US citizens want to be facts.


I am Very Sorry.. I did not know you did not have Google to use..

No Worries! any time you need some help with links.. I will happily provide them.

Most or some people here don’t understand that Google is Censored in other Countries so that the links other people can Not! find.

So anyone else who would like to help out a Fellow Fight Club Brother who is stuck outside of the Google circle!

If language is an issue we will see who can help you out there as well.

We are ALL! here to help people!

We do like to beat up on each other a little bit though..

do you know the movie Fight Club?

Fight Club philosophy and theoretics

so we fight with each other for fun.. not to be mean or because we dont like each other.. the fighting makes our points or logic more sound.. that way when we have to discuss our thoughts with people outside of the family.. we are ready for war.. to win and maybe even help reach someone who is blind to the truth!

So! Please forgive me.. I did not know language was an issue.. nor did I understand that Google was not helpful too you.

hang in there!

You are not alone!


Please come back and let us know how we can help!

Tue, 02/28/2012 - 18:42 | 2205980 Element
Element's picture

In the spirit of, ur doin a heck of a job brownie ... the zh cup of camaraderie runeth-over!

Tue, 02/28/2012 - 22:54 | 2206644 JW n FL
JW n FL's picture



I am trying to be more like the rest of you(s) that I like.. which means less fighting and more sharing!

I have known you how long?

sure I dont call or come over and hit on your wife... but thats why you still luv me! LOL!

one day we all might end up at the White House together.. more likely a FEMA Camp.. but I am trying to stay positive! take a picture (screen shot) LOL!

Much Love To You and Yours!

God Bless and God Love You! and the rest of the Brotherhood here!

Wed, 02/29/2012 - 02:09 | 2207020 e-recep
e-recep's picture

ah, you do believe in the imaginary bullshit people call god? that gives a hint about your iq level. use your google page for "zeitgeist the movie". i don't have high hopes but try and see if your brain can digest what's in there.

Tue, 02/28/2012 - 16:29 | 2205377 e-recep
e-recep's picture

yes, i do know how to google, asshole.

Tue, 02/28/2012 - 16:30 | 2205378 e-recep
e-recep's picture

yes, i do know how to google, asshole.

Tue, 02/28/2012 - 17:00 | 2205554 Dickweed Wang
Dickweed Wang's picture

Go back to work  . . . .

Tue, 02/28/2012 - 17:19 | 2205630 Blue Horshoe Lo...
Blue Horshoe Loves Annacott Steel's picture

In the US?  There are people that still have jobs? </sarc>

Tue, 02/28/2012 - 17:27 | 2205672 SillySalesmanQu...
SillySalesmanQuestion's picture

+1000  :)

Tue, 02/28/2012 - 16:50 | 2205492 e-recep
e-recep's picture

i apologize for asking a question here. i promise it will never happen again, please forgive me. what was i thinking.

Tue, 02/28/2012 - 17:17 | 2205622 Blue Horshoe Lo...
Blue Horshoe Loves Annacott Steel's picture

Asking questions = terrorism.  DHS is coming for U NOW!

Tue, 02/28/2012 - 18:00 | 2205824 buckethead
buckethead's picture

You asked a rhetorical question which was a mile off the mark.

Subsequently, you got blasted and thoroughly junked.

It happens.

You spoke out into the universe and it spoke back.

Let us consider this another mutually beneficial, educational moment.

Wed, 02/29/2012 - 03:37 | 2207070 e-recep
e-recep's picture

> You asked a rhetorical question

says you. it was not rhetorical by any means. it was a question seeking a legit answer. all i got was ridicule and mockery.

Wed, 02/29/2012 - 06:03 | 2207153 Element
Element's picture

Hey relax, you may have asked your question innocently enough, maybe, but you've been around long enough to know you should have looked first, rather than come-off potentially looking like yet another troll (been lots lately) about a topic there's been a small avalanche of zh posts and commentary on, especially since you've been a member. 

So naturally people are going to want to know why this has somehow slipped past you, considering the systematic undermining of the USD that's been occurring (especially by FED, Treasury and White Hut, I might add, rather than assorted evil-doers r us), and has been a white-hot topic here for, like, years.

Understand the responses now?

Wed, 02/29/2012 - 06:40 | 2207198 e-recep
e-recep's picture

A link would suffice. The "you know how to google, eh?" part was uncalled for. My question DID NOT imply Qaddafi and Saddam had no such plans. It was an impartial question looking for a solid answer.


The Internet is full of conspiracy theories and I find it useful to ask for evidence to find my way through the rubbish. Yeah, I can google. But see, when you google, you also find out that some alien reptile species is ruling the world. Should I jump embrace it as a fact, as well? Just because "I found it in Google's search results"?


We have the opportunity to communicate here. Anyone spilling out drivel won't last long. But "asking a question"? How can that be a threat or waste of time? If I can't ask a question here, then where? You don't wanna answer, skip it. Someone else will.

Wed, 02/29/2012 - 07:22 | 2207260 Element
Element's picture

Well, several were already given, how about the one immediately below this post for starters?

Wed, 02/29/2012 - 09:59 | 2207556 buckethead
buckethead's picture

It seemed rhetorical to me. I may well have been wrong. When your question was answered,rather politely, with links, you threw a fit because your googling abilities were called into question. 


You'll find plenty of ridicule and mockery here. I've been called dumbfuck here as well.


When I'm being a dumbfuck, the guy who called me a dumbfuck is my best friend.


I don't take it personally. I just stop being a dumbfuck. (or if I was right, I prove it whilst spreading the love for dumbfucks around the globe)

Tue, 02/28/2012 - 16:14 | 2205297 benjamin_1114
benjamin_1114's picture

it's a typical move when anyone doesn't settle oil in US one-ply.  neither Libya or Iraq had central banks and both wanted to settle oil in something other then one-ply.  maybe it's just ironic, but we bombed/destabilized both countries then someone (don't know the names, but it probably ends with Rothchild) set up a central bank and loaned them money (of course it's backed by the oil they export) to rebuild what we destroyed.  maybe it's ironic, but Iran doesn't have a central bank either (that loon Ahmadinejad insists on controlling his own countries money) and doesn't want to settle oil contracts in US one-ply.  since i'm a gambling man i predict a stone cold lock we go to war with Iran, Ahmadinejad catches some stray lead, and a central bank is set up to borrow Iran money to rebuild what we destroyed.  Iran will soon find out what it's like to be a debt slave like the rest of us schmucks.


Tue, 02/28/2012 - 17:44 | 2205743 Poor Grogman
Poor Grogman's picture

In a world where darkness rules,
No light can be allowed to shine.

Tue, 02/28/2012 - 16:14 | 2205298 benjamin_1114
benjamin_1114's picture



Tue, 02/28/2012 - 17:15 | 2205615 Blue Horshoe Lo...
Blue Horshoe Loves Annacott Steel's picture

Yeah.  They're called news articles.

Tue, 02/28/2012 - 15:17 | 2204993 DaveyJones
DaveyJones's picture

We kept doing it for the same reason..until we couldn't

The story of the empire that used the most candy, built armies to take and "defend" it, tied their money to it, but in the end ate too much, lost energy and empire and could not continue to battle.  

Tue, 02/28/2012 - 14:46 | 2204805 Comay Mierda
Comay Mierda's picture

yep, he wanted to have the gold-backed dinar in the oil trade. the difference is that ghadafi wasn't an nwo puppet. all the significant players in the iranian govt are puppets that will help carry out the final stage of the nwo plan to have 3 world wars, the third meant to mutually destroy israel & iran and cause other major nations to fight each other to complete moral and economic exhaustion. then the united nations will "come to the rescue" and create a council of "peace", or something similar, that will govern the world. ghadafi was just annoyance who delayed their plans for a little while.

Tue, 02/28/2012 - 14:59 | 2204837 TruthInSunshine
TruthInSunshine's picture

Who is going to liberate the Iranian gold...err....people?

This is the traditional question.

Tue, 02/28/2012 - 15:04 | 2204904 Total Collapse
Total Collapse's picture

FOX news says that the US is the only country with enough moral authority to make pre-emptive military stirkes!!  29 sec video:

Tue, 02/28/2012 - 15:11 | 2204948 Comay Mierda
Comay Mierda's picture

Albert Pike's 1871 Plan For The Three World Wars

Tue, 02/28/2012 - 18:27 | 2205927 DaveyJones
DaveyJones's picture

and FOX paid off british boys and cops for information so I guess that makes them a moral authority authority

Tue, 02/28/2012 - 20:57 | 2206339 EscapeKey
EscapeKey's picture

I wish I had 500 upvotes. You are absolutely spot on.

News of the world was shut down for phone hacking as well, but predictably, none of the Murdoch clan "knew about it". Bull fucking shit.

Tue, 02/28/2012 - 15:08 | 2204925 Doña K
Doña K's picture

I am just thinking. What would happen to the population of the oil producing countries several years from now when the oil runs to a trickle or down to nothing?

The elite and ruling classes would move their gold and wealth elsewhere to avoid prosecution.

But how about the masses? Famine, civil wars, other wars, massive exodus of illegal immigrants to better places?

Tue, 02/28/2012 - 15:12 | 2204949 hedgeless_horseman
hedgeless_horseman's picture



Beat the rush.  Go long Arabian goat LEAPS and oasis REITs!

Tue, 02/28/2012 - 17:05 | 2205569 Debugas
Debugas's picture

oil contains energy which can be used to do work. In other words oil has intrinsic value

Tue, 02/28/2012 - 14:51 | 2204833 Transformer
Transformer's picture

This is not the first.  Several petty dictators have tried to deny America's rightful standing in the world in the past.  Since we police the world, and keep it safe, it makes perfect sense for the dollar to be the world's reserve currency.  International trade conducted in dollars just makes it easier for us to maintain order and fairness in the world.  Any country that attempts to violate that principle obviously has alternative motives that cannot be good, and must be stopped.  This is certainly the best course of action for the world's economy and it's peoples.

Tue, 02/28/2012 - 14:53 | 2204850 The Big Ching-aso
The Big Ching-aso's picture



It's almost like Iran is inviting an attack or something.  Wait a sec.  Ok, remove no-shit stick from eye.

Tue, 02/28/2012 - 15:02 | 2204896 TruthInSunshine
TruthInSunshine's picture

I gave you AND transformer an uptick, because transformer must have forgotten the <sarc/>

Tue, 02/28/2012 - 15:18 | 2205005 Sweet Chicken
Sweet Chicken's picture

I gave one as well because I think we need more MDB comments for entertainment as well.

Tue, 02/28/2012 - 15:13 | 2204957 Abitdodgie
Abitdodgie's picture

" Since we police the world, and keep it safe" yes America only kills the people it wants dead ,the others for now are "safe"  America makes Hitler look like a school kid , because boy are we good at killing and for 700 billion a year we should be, AMERICA FUCK YAH

Tue, 02/28/2012 - 15:39 | 2205131 Troll Magnet
Troll Magnet's picture


Tue, 02/28/2012 - 17:00 | 2205527 Dr. Acula
Dr. Acula's picture

>America makes Hitler look like a school kid , because boy are we good at killing

That's absurd. Operation Barbarossa resulted in tens of millions of deaths.

USA's well-meaning military interventions and charitable acts of nation-building are clearly nothing like the destructive, hateful acts of the Nazis. American troops do not hand bags full of dog feces to starving children.

What we are seeing here is a profound ignorance of history; a complete lack of perspective. I blame the public schools.


Tue, 02/28/2012 - 17:17 | 2205623 DollarMenu
DollarMenu's picture

Dogs and their feces are hard to find and bag.

USA has instead spread depleted uranium across the country thereby ensuring

the mutation of the future population.

Of course, the returning USA troops will have been affected in some manner as well,

but their relief will be accommodated by the ever decreasing allotments to the VA Hospital system.

Win/win for the 1%.

Tue, 02/28/2012 - 18:36 | 2205949 DaveyJones
DaveyJones's picture

you got one thing right,

it is "our [oil] well-meaning military interventions."

The fact that the Nazi's failed to build their empire

doesn't absolve the Americans who did 

Tue, 02/28/2012 - 15:33 | 2205091 goldfish1
goldfish1's picture

Makes perfect sense to the non-thinker.

Tue, 02/28/2012 - 15:48 | 2205174 TrulyStupid
TrulyStupid's picture

Keep the world safe for whom? It makes no sense whatever to have the worlds reserve currency on an inflationary glide path, the USD is no longer suitable for its own internal currency due to its debasement.

Order and fairness in the world? The recent history in the middle east has been the spread of chaos, with no fairness whatsover in monetary or military exchanges.

I get're being sarcastic.


Tue, 02/28/2012 - 16:46 | 2205458 Bansters-in-my-...
Bansters-in-my- feces's picture

@ Transformer. If I could find you,I would slap you silly,Bitch.

Tue, 02/28/2012 - 17:12 | 2205601 Blue Horshoe Lo...
Blue Horshoe Loves Annacott Steel's picture

I think this guy's being sarcastic.  If not, a rubber room is needed to house him.

Tue, 02/28/2012 - 15:16 | 2204988 Taterboy
Taterboy's picture

They be dissing our "Bernankes". We needs to put a cap in em!

Tue, 02/28/2012 - 17:10 | 2205591 Blue Horshoe Lo...
Blue Horshoe Loves Annacott Steel's picture

2 translations

Homeboy: Hell yeah.  Them muthafuckas be crazy yo.  Where's my 9? I'm `bout to light up the jizzoint.

Now into Redneck: Yeehaw!  We `bout to kick us some Ay-rab & Towelhead ass again. God bless the red, white & blue boot that just kicked y'all upside the head.


Tue, 02/28/2012 - 15:28 | 2205073 battle axe
battle axe's picture

Much like Greece, the end game on Iran has already been written....

Tue, 02/28/2012 - 16:17 | 2205311 Questan1913
Questan1913's picture

Really great to see the television trained armchair warriors out in force today.  Bloodthirsty sociopaths; as long as it's someone elses blood being shed by someone other than them.  They are just thrilled at the prospect of a military conflagration with tens of thousands injured and killed to  spice up their time with the vidiot screen.

Tue, 02/28/2012 - 16:43 | 2205436 edotabin
edotabin's picture

It is called introducing liberty and democracy now.  Where have you been man?

Tue, 02/28/2012 - 14:53 | 2204834 Floordawg
Floordawg's picture

With that policy, it's as if Iran knows (without doubt) their going to war. Oh wait, they're already at war.

Tue, 02/28/2012 - 15:01 | 2204892 The Big Ching-aso
The Big Ching-aso's picture



Obviously Iran has WMD's.   Weapons of Monetary Destruction.

Tue, 02/28/2012 - 14:59 | 2204884 Gringo Viejo
Gringo Viejo's picture

It's my personal belief that Russia & China will not hesitate to engage us in a VERY REAL hot war. No small potatos here; this is for all the marbles I'm afraid.

Tue, 02/28/2012 - 15:06 | 2204926 Chief KnocAHoma
Chief KnocAHoma's picture

They are both a lot of bluster and their limited militaries would be eliminated pretty quickly if the tried to confront us directly. They will sell the Iranians weapons, but neither one of them can afford to lose their military in a war with us.

If we destroyed their armies, the people would revolt, but then again, maybe that's what we want to happen. Wrap up this whole middle east excursion, and degrade Russians and Chicoms in the process.

Tue, 02/28/2012 - 18:02 | 2205830 TruthInSunshine
TruthInSunshine's picture

So you're basically saying we have a distinct advantage because Captain America, Incredible Hulk, Silver Surfer & Spiderman can be sent in advance to sabotage the Russian and Chinese nuclear missiles...

Tue, 02/28/2012 - 18:03 | 2205839 Dr. Acula
Dr. Acula's picture

"The military events of both World Wars have proved anew that the capitalistic countries are paramount also in armaments production... Where capitalistic entrepreneurship is allowed to function freely, the fighting forces will always be so well equipped that the biggest armies of the backward peoples will be no match for them. There has even been great exaggeration of the danger of making the formulas for manufacturing “secret” weapons universally known. If war comes again, the searching mind of the capitalistic world will always have a head start on the peoples who merely copy and imitate clumsily.

The peoples who have developed the system of the market economy and cling to it are in every respect superior to all other peoples. The fact that they are eager to preserve peace is not a mark of their weakness and inability to wage war. They love peace because they know that armed conflicts are pernicious and disintegrate the social division of labor. But if war becomes unavoidable, they show their superior efficiency in military affairs too. They repel the barbarian aggressors whatever their numbers may be." - Ludwig von Mises in Human Action



Tue, 02/28/2012 - 18:44 | 2205989 DaveyJones
DaveyJones's picture

"Where capitalistic entrepreneurship is allowed to function freely"

the only phrase that matters

your other post criticized a careful read of history.

We are doing what every other empire has - imploding from our own ego, overconsumption and corruption

the army soon follows

the rest of the world knows this

Wed, 02/29/2012 - 06:14 | 2207168 Element
Element's picture



 Where capitalistic entrepreneurship is allowed to function freely,


Yup, that's us alright!

Tue, 02/28/2012 - 15:10 | 2204932 The Big Ching-aso
The Big Ching-aso's picture



I hope Immaddinninginadinnerjacket is ok with a closed body-bag burial at sea.

Tue, 02/28/2012 - 16:02 | 2205251 Treason Season
Treason Season's picture

Just as long as BendhernutandYahoo! does too.

Tue, 02/28/2012 - 15:17 | 2204997 knightowl77
knightowl77's picture

Up till now the powers that be fight proxy wars....with one side or the other waiting in the wings to pickup the pieces.....

Like VietNam or Afghanistan....

Tue, 02/28/2012 - 15:32 | 2205087 Taterboy
Taterboy's picture

In case of nuke war with China, forget bomb shelters. Hide in a Walmart, they'll never touch em.

Tue, 02/28/2012 - 15:42 | 2205143 zerozulu
zerozulu's picture

As long as Walter Sam family is alive, forget any war with China. These tycoons saw America's fate decades before we can feel and moved their investments in China. Only bimbos are left in THIS country.

Tue, 02/28/2012 - 15:56 | 2205215 TruthInSunshine
TruthInSunshine's picture

Confucious say roll back price is like opium to westerner.

Tue, 02/28/2012 - 15:43 | 2205150 Troll Magnet
Troll Magnet's picture

I'll just put on a Jeremy Lin jersey and hope they "like" me.

Tue, 02/28/2012 - 22:56 | 2206653 Milestones
Milestones's picture

Ya have the 5th spade in the hole? The whole thing comes down that equation. Playing poker with jewish guys late in a game they tend to bluff and go for it--all in and try weasel when they lose. 

Their entire history has been played that way.               Milestones

Tue, 02/28/2012 - 15:06 | 2204922 midtowng
midtowng's picture

I have to agree. It's like sticking a finger in the eye of the neighborhood bully.

How dare they do something that isn't in the interest of the neighborhood bully?!?

Tue, 02/28/2012 - 15:44 | 2205156 Troll Magnet
Troll Magnet's picture

except we're not really in their neighborhood.  but israel is!

Tue, 02/28/2012 - 16:26 | 2205358 Chief KnocAHoma
Chief KnocAHoma's picture

This will really become a problem if all those bags of bones collecting the social security demand their benefits in gold. 

"Here you go old geezer. Gee you don't look so good. Hope you don't get rolled on your way home!" 

Tue, 02/28/2012 - 14:36 | 2204738 denny69
denny69's picture

How do we help?

Tue, 02/28/2012 - 14:42 | 2204780 Hippocratic Oaf
Hippocratic Oaf's picture

I uptick you only for Tyler respect!

Tue, 02/28/2012 - 15:10 | 2204943 JW n FL
JW n FL's picture



we all should be fighting in the Information War! to Help Educate people about how Wall Street is not only robbing America Blind but destroying America's way of life!


Wall Street wants to not only rule America but the World!


We ALL! should be fighting the War Against Wall Street! and that begins with the Information War!

Wall Street owns almost ALL! the media! CNN / MSNBC / Fox.. it doesnt matter!

and the Corporate Owned Media puts Meme's.. Multi Market Tested and Approved.. Ideas in Heavy Rotation..

these ideas that are placed into heavy rotation are not even true in most cases.. but the ideas are worded in a way that People Like the Sound or the Felling they get from these (ideas) Meme's!


Fighting Lies with truth.. sounds easy.. but its not.

People like the feeling these Wall Street Lies give them..


Like "Help the Job Creators!"

or.. "Less Regulation and More Freedom for Business!"

these Meme's are LIES! but they sound good and make people feel good when they beleive that they support them.


ZeroHedge Helps to Fight the Lies!


We are ALL! part of Fight Club Here! and We ALL! should be helping get the truth out to the best of our individual abilities!

In my most humble opinion.


I hope that you see better why I push so hard the truth.. with the sourced and sited facts to go with.


God Bless You and Yours! and Good Luck Helping others to see the ugly truth!

Tue, 02/28/2012 - 16:08 | 2205271 GCT
GCT's picture

JW to be honest most people do not want to hear what you or I have to say.  Where I work all they talk about is survivor, the housewifes from where ever, kids, groceries and fuel.   I try to explain to some and they look at you like your an asshat.  Even with the look I still will never give up.

But being a realist most could care less about gaining knowledge of what is happening too them.  Hell just ask most what QE was and you get that deer in the headlight stare that ZH posts here from time to time. 

The only way this country will ever revolt is when they cut off some public union retirements or cut back on entitlements.  Most are totally brainwashed and believe the shit they are fed on TV!


Tue, 02/28/2012 - 17:02 | 2205563 Blue Horshoe Lo...
Blue Horshoe Loves Annacott Steel's picture

I've worn baseball caps & a fedora, but never an asshat.  Where can I get 1?

Tue, 02/28/2012 - 17:06 | 2205577 Dickweed Wang
Dickweed Wang's picture

Fuck them then . . . .

Tue, 02/28/2012 - 17:30 | 2205686 misnomer
misnomer's picture

Zerohedge on TV!

I hearby volunteer to be the bitchy, catty one on "Housewives of ZeroHedge" where we stage catfights where the victor wins $100,000 in the winner's choice of either US$, or gold bullion. Don't be surprised when some dumbass bimbo opst for the cash, Gucci doesn't accept bullion, ya know...

Or how about Survivor Hedge, where we get sent to a remote part of Canada to subsist in the frozen tundra (or as we Canadian's call it, the back forty) with campfires started with Alberta oilsands oil, trade beaver pelts and salmon for gold mined from the Yukon in the final quest to prove who can manage their tribes economy the best.  Economists and politician's would be ineligible to apply for obvious reasons.  Goldbugs and doomsdayers are preferred.


Tue, 02/28/2012 - 18:13 | 2205879 JW n FL
JW n FL's picture




JW to be honest most people do not want to hear what you or I have to say. Where I work all they talk about is survivor, the housewifes from where ever, kids, groceries and fuel. I try to explain to some and they look at you like your an asshat. Even with the look I still will never give up.

But being a realist most could care less about gaining knowledge of what is happening too them. Hell just ask most what QE was and you get that deer in the headlight stare that ZH posts here from time to time.

The only way this country will ever revolt is when they cut off some public union retirements or cut back on entitlements. Most are totally brainwashed and believe the shit they are fed on TV!


You are NOT! alone Brother!

You will be able to help others and lead them to safety when shit Pops off!

Do NOT! sell yourself short!

You are blessed, some would say cursed.. but they are lazy! they dont have what it takes to take care of themselves and help others.. they spend all day bitching about thier kids that hate them.


We shall over come the evil.. the people are being pushed into a stampede without any of us lifting a finger..

the powers that be want America fucked up.. the powers that be want less of us.. using their precious oil.


this was from earlier today.. but the ponts contained herein.. should speak to you none the less.


and for the Record..

I do sign some petitions that I think are worthwhile..

I do Protest, March and / or Paint (KINKO's) Picket Signs!

I want too believe that "We the People" can overcome evil thru the use of ONLY! Good in Our Hearts!

I am a Romantic I guess deep down! I want to believe that "We the People" can! be Right! be Just! and Help Each Other to Over Come the Evil (or Greedy Ignorance) that has Gutted America’s Manufacturing Base and Constitutional Rights.. with the use of our Votes!

I want to believe that "We the People" can Over Come the Wrong with Truth and Love!

I Pray for it!

I Beg for it!

I do my Best t Help Educate People so that it may happen!

But in the End, if Push Comes to Shove.. I am willing to Fight for it!

But let me be crystal clear! I would Love Nothing More than America voting people into power.. that are more concerned with the Quality of Life for those in the Country.. than the De-Population of the Country.

and for al of you out there who just tuned out because things like that don’t happen in America Government! I would remind you of a few sourced and sited facts below.

This Train Wreck is on Purpose! This was not only allowed to happen.. but encouraged to happen!

and every day more and more information is put into heavy rotation that can only upset the Herd.

The Powers That Be are pushing for a stampede! Mayhem!! And Worse!!! Every Day! In Heavy Rotation!!


Bill Gates De-Population                


Daddy Rockefeller De-Population


Sen Rockefeller: Let's Depopulate


Eugenics in America (Government Forced Sterilization)


Congressman Joseph R Pitts Exposes Eugenics Program on House Floor



So, ALL! of this New Information in Heavy Rotation that does NOTHING but upset the Herd / Masses.. that pushes “We the People” ever closer to the edge.. is Provided by Corporate Owned Media Outlets!

How much Proof or information do you need to comprehend that Corporate America has tapped you out! And the Baby Boomers that Corporate America does NOT! want to pick up the tab for! Are the some of the first that will go!

In times of true social unrest the Old and Weak are weeded out!

How much energy can be saved by getting rid of 1 American? The same as getting rid of 5 3rd world persons. We Rich Americans use 5 Times more energy that a person in the 3rd world.

Here are some numbers for you on the thought.. to help you string enough of the facts together for it to stick in your ADD / ADHD Caffeined Out Head!


I will skip sustainability!


Hang in there!

there are more of us! than either you or I know!

we will make it!

or one better!

we will take it back from them!

Tue, 02/28/2012 - 18:29 | 2205935 walküre
walküre's picture

They talk about "groceries and fuel"

That's a good start. Keep them talking. Evenutally they might want to learn how trillions of national debt are taking a bigger chunk out of their paycheques every day.

Tue, 02/28/2012 - 20:03 | 2206205 Raging Debate
Raging Debate's picture

GCT and JW both are correct. The votes bear that out. Try to think of it as a remnant your preserving. Collectively, lets say only 5% listen now. What also is happening is planting seeds that will grow later. Perhaps another 10%. How many people in America, 300 M? So thats 5% prepared now or 15 M prepared (mental is most of it but PM's, 3 months food prep also important). Another 15 M wake up later and are at least have some mental prep.

My truth telling endeavor is about loss mitigation. History does not suggest a quiet outcome of the money games between sovereigns. Thank you to all of you for the great commentary especially the ones with supporting links. Agree with JW's sentiment, God bless you all.

Wed, 02/29/2012 - 06:58 | 2207207 Element
Element's picture

I regularly get to speak to different people about some of these things.  Most people are oblivious, parasitic fools and blockheads, but some are very much alert to it, and are amazed and glad to speak to someone who gets it.  And I'm amazed to find ordinary people who are just itching to talk openly about it with someone, to anyone who understands, however fleeting the opportunity to do so.

It reminds me of that terrible hunger for contact and discussion, and the accompanying fear to do so that Winston in 1984 experiences, the realisation that most are blind, or asleep, or willing to be treacherous out of fear, and his longing to find someone who isn't like that, to endlessly search in the eyes of strangers. To see if there's any flicker or recognition that the other may be awake, and willing to acknowledge this deadly shared awareness in a dangerously truthful conversation.  And the realisation of Winston that they could be looking for awake people via that very mechanism, looking for that direct eye-contact, and Winston, despite the danger, still being unable to face the prospect of never making direct contact with another person.

What a story.

What a terrible reality.

I hope we don't get to that, I'm going to try to make sure we don't, but I see the beginnings of it in people.

Nevertheless, some people are desperately hungry to make sense of what's happening.  How it came to this even in the "lucky country".  We know our country's been shot in the foot, and we can even see it happening, and who's doing it.  But what most can't fathom is why anyone would want to do it.  But they still want to know, they have to know, and they will figure it out.

Like many here already have.

What a terrible process we go through!  And just to discover something so vulgar and devastating.
Something that nestles in us all and yet only some give over to.  And really, if I were so rich, so privileged, so untouchable by the usual rules of subjection and chastisement, would I have turned out any differently?

Have any of them?

Thank God for people like you lot.

Tue, 02/28/2012 - 15:05 | 2204913 JennaChick
JennaChick's picture

These guys are saying that we should all be selling crude oil calls short:

Wed, 02/29/2012 - 07:34 | 2207279 TheFourthStooge-ing
TheFourthStooge-ing's picture

How do you say, "fuck off, spammer," in Estonian?


Tue, 02/28/2012 - 15:45 | 2205169 johnQpublic
johnQpublic's picture

i have gold

i would like to fill my suv please

how much gold for 20 gallons of regular do you figure?

Tue, 02/28/2012 - 17:46 | 2205756 Calmyourself
Calmyourself's picture

Once Freegold kicks in not much..

Tue, 02/28/2012 - 18:58 | 2206040 DoChenRollingBearing
DoChenRollingBearing's picture

+ $55,000

Tue, 02/28/2012 - 15:51 | 2205193 MassDecep
MassDecep's picture

Alright ZH'ers, Get your heads out of your #@$'#. How could we have forgotton this little tidbit?????

Tue, 02/28/2012 - 16:05 | 2205265 BGO
BGO's picture

if this ever comes to pass, all iran will be doing is giving the crooks-in-charge another reason to manipulate aka decimate precious metals prices

Tue, 02/28/2012 - 14:24 | 2204660 nope-1004
nope-1004's picture

Uh oh.  Iran invasion imminent.


Tue, 02/28/2012 - 14:25 | 2204671 snakeboat
snakeboat's picture

don't they know this is how you really piss off the mil ind complex??

Tue, 02/28/2012 - 14:26 | 2204682 JPM Hater001
JPM Hater001's picture

Silver over 37 and gold almost over 1800.

Tue, 02/28/2012 - 14:33 | 2204727 Manthong
Manthong's picture

Are the coming margin hikes priced in?

Tue, 02/28/2012 - 14:42 | 2204785 EscapeKey
EscapeKey's picture

Now you're just being silly. Of course it isn't, that's only for equities and bonds. Bad news for precious metals are never priced in.

Tue, 02/28/2012 - 15:47 | 2205173 Troll Magnet
Troll Magnet's picture

i'd personally welcome a margin hike.  hell, i hope they raise margins everyday for like 30 days so i can buy more!

Tue, 02/28/2012 - 14:44 | 2204798 kito
kito's picture

margin hikes to scare away the last remaining cme customers? one margin hike and you will hear crickets..........

Tue, 02/28/2012 - 15:12 | 2204914 AL_SWEARENGEN

Remember just a couple weeks ago the CME lowered margins for precious metals? So either these rotten Cocksuckerz over at the CME are geting the business they hoped they would get by lowering margins as was speculated, or we are about to see a huge and obvious flip flop as they raise them now aggressively to stomp out this momentum?

Tue, 02/28/2012 - 14:28 | 2204697 SHEEPFUKKER

bye bye birdie

Tue, 02/28/2012 - 14:30 | 2204711 Conrad Murray
Conrad Murray's picture

Fat, Mindless Slaves of America:

As you pay your taxes like a good little sheep this year, think of the people that 30%+ of your labor will go to support bombing. As you're cheering at night vision images of your money going up in flashes of fire and smoke, murdering children by the thousands, think of them. As the collection plate at church is being passed around, ask yourself, "What Would Jesus Use to Bomb Innocents?", that is, if you can get your mind off your neighbor's wife for a few minutes.

Tue, 02/28/2012 - 14:37 | 2204754 Dr. Engali
Dr. Engali's picture

I have the same thoughts on a regular basis. My hope is with each war is that this one that goes south and puts an end to this madness. Maybe if Americans saw the images  that the only industry we have left in this country is doing to the children they would wake up and put a stop to the insanity.

Tue, 02/28/2012 - 14:49 | 2204823 Chief KnocAHoma
Chief KnocAHoma's picture

I have the same thoughts too... oh wait... I thought we were talking about the neighbor's wife.

Tue, 02/28/2012 - 14:58 | 2204874 Dr. Engali
Dr. Engali's picture

All my neighbors wives are either old, fat or a combination of both. So those thoughts never cross my mind......unless I've been drinking.

Tue, 02/28/2012 - 15:57 | 2205225 Troll Magnet
Troll Magnet's picture

I wouldn't touch my neighbor's wife with a 10 foot pole.  One of my very hot MILF coworkers on the other well as our new, just-out-of-college employee...

Tue, 02/28/2012 - 16:38 | 2205412 catacl1sm
catacl1sm's picture

which one of those is your avatar?

Tue, 02/28/2012 - 17:45 | 2205748 Troll Magnet
Troll Magnet's picture

that's scarlett johansson.  

my coworkers are hot but they're not that hot.

Tue, 02/28/2012 - 19:09 | 2206081 Cathartes Aura
Cathartes Aura's picture

gotta love how fast you dudes can switch from "killing children" to cock talk.

Tue, 02/28/2012 - 23:46 | 2206797 TheFourthStooge-ing
TheFourthStooge-ing's picture

Cathartes Aura said:

gotta love how fast you dudes can switch from "killing children" to cock talk.

It's all for the testic-lulz.  ;)


Wed, 02/29/2012 - 03:51 | 2207082 Cathartes Aura
Cathartes Aura's picture

ahahahahhhahhahahahhah - you're definitely on a roll this eve, mind working fast!

dunno if this will get a laugh, if you're into it

sooomewhat on topic, lol.

Wed, 02/29/2012 - 07:39 | 2207284 TheFourthStooge-ing
TheFourthStooge-ing's picture

Outstanding! The toy piano was a perfect touch.


Do NOT follow this link or you will be banned from the site!