Is the Petrodollar recycling system breaking down?

[Strelnikov_]

We depend on recycling of petrodollars to enable the import of 67% of our petroleum representing 30% of the worlds export market.

Most of said recycling takes place though the purchase of and investment in US assets.

If so, prepare for domestic petroleum shortages.


US seeks 300 billion dlrs from Gulf states: report

http://news.yahoo.com/s/afp/20081120/bs_afp/financeeconomyusgulf_081120072928

The United States has asked four oil-rich Gulf states for close to 300 billion dollars to help it curb the global financial meltdown, Kuwait's daily Al-Seyassah reported Thursday. Quoting "highly informed" sources, the daily said Washington has asked Saudi Arabia for 120 billion dollars, the United Arab Emirates for 70 billion dollars, Qatar for 60 billion dollars and was seeking 40 billion dollars from Kuwait.

Al-Seyassah said Washington sought the amount as "financial aid" to face the fallout of the financial crisis and help prevent its economy from sliding into a painful recession. The daily said the United States plans to use the funds to help the ailing automobile industry , banks and other companies suffering from the global financial turmoil.

The four nations, all members of OPEC, produce together 14 million barrels of oil per day, around half of the cartel's production and about 17 percent of world supplies. The four states are estimated to have amassed close to 1.5 trillion dollars in surplus in the past six years due to high oil prices that rocketed above 147 dollars in July before sliding to just above 50 dollars.

[BeFree]

1. Gawd

Our military protects those kingdoms from the hordes of people wanting to be free, and now we have to go begging them to save us from their greed? It's a mad, mad world.