Posts

Showing posts from May, 2017

The Hidden Purpose Behind Trump’s Visit to Saudi Arabia-The Dying Petrodollar

Image
In his first trip overseas, President Trump placed the Kingdom of Saudi Arabia at the top of his list of stops.  That is for a good reason.  Despite the Saudis horrific record regarding human rights, since 1974 the US and Saudi Governments have been strange bedfellows, locked into a special bond, one that neither can abandon and on which both country’s economies, and the world economy purely depend. Saudis Role Out Red Carpet for Trump Last week you might recall, Trump met with an unlikely White House guest, former Secretary of State Henry Kissinger.  That should come as no surprise, however, because in 1974, on behalf of the US Government Kissinger crafted the deal with the Saudis that would forever alter the course of history.  That was the petrodollar deal.  Since that time, the Saudis have held tight to the policy requiring that the world’s leading exporter of raw energy only take US dollars, or “petrodollars,” in exchange for oil.  That the US do...

The Hidden Purpose Behind Trump’s Visit to Saudi Arabia-The Dying Petrodollar

Image
In his first trip overseas, President Trump placed the Kingdom of Saudi Arabia at the top of his list of stops. That is for a good reason. Despite the Saudis horrific record regarding human rights, since 1974 the US and Saudi Governments have been strange bedfellows, locked into a special bond, one that neither can abandon and on which both country’s economies, and the world economy purely depend. Last week you might recall, Trump met with an unlikely White House guest, former Secretary of State Henry Kissinger. That should come as no surprise, however, because in 1974, on behalf of the US Government Kissinger crafted the deal with the Saudis that would forever alter the course of history. That was the petrodollar deal. Since that time, the Saudis have held tight to the policy requiring that the world’s leading exporter of raw energy only take US dollars, or “petrodollars,” in exchange for oil. That the US dollar has maintained its value as the world’s reserve currency thro...