"Iran is to be punished because they supposedly want to make nuclear weapons. These sanctions are on oil and its sale to others and being shut out of the world banking system. From our viewpoint these sanctions have already been a failure. These moves by the US, UK and Europe have only served to put more downward pressure on the US dollar. The petrodollars have been on their way for sometime but actions such as these two embargos will prove to be even more disastrous for the dollar. It shows the use of dollars can be circumvented. That also means those countries that had been buying US Treasuries may start to reduce buying and other currencies and perhaps gold will be used as alternatives. That has been happening over the past few months. Obviously, America’s problems are having a cumulative effect and those dollar sales are moving to other currencies and are a reflection of a staggering world super power. America no longer deserves its dollar reserve privileges - it has squandered them away. We see, zero interest rates for three years, QE 3 on the way and the Fed lending $1 trillion, or is it a fractionalized $10 trillion. The situation is not getting better, but getting worse and that means we have a solid three years or more of climbing gold and silver prices..."
at http://www.marketoracle.co.uk/Article32870.html
at http://www.marketoracle.co.uk/Article32870.html
