GoFuckYourself.com - Adult Webmaster Forum - View Single Post - Rant Obama Says Western Sanctions Have Left Russia's Economy 'In Tatters'

VRPdommy · 01-06-2017, 09:51 AM

Worldwide, OIL is traded in US Dollars. So when you want to buy OPEC oil, you need Dollars to do it.

When the price of OIL goes up, so does the need for DOLLARS. Hence the higher demand for Dollars brings the valuation up against currency's that need to buy them. Whenever the future price expectation for OIL is HIGHER, everyone buy's more DOLLARS in advance of that to save on future exchange rates.

OIL is just about the only thing keeping the RUSSIAN Government afloat. The only other thing they export of any significance is VODKA and Military ARMS. Putin had told it's people that the US and Saudi's had conspired to deflate the cost of oil to ruin his government when in reality it was the decreased demand from China and increased production from the US and other nations including the Saudi's who do not want to give up market share. No matter the price, we are awash in OIL.

The price of it has not been about supply and demand for some time. Just expectations of it that are easily manipulated from the reality on the ground by Investment Banks that play oil.
Morgan Stanly is probably the largest oil trader in the world. Indirectly owning the most storage facilities and tankers that sometimes act as oil storage facilities.

Since Russia is non-OPEC nation, their OIL becomes more attractive when the cost of the DOLLAR goes up as do all non-opec oil exporting nations raising the value of their currency.
But oil is not the only thing effecting these markets.

Shortly after the US went off the GOLD STANDARD, the agreement was made to tie the price of OIL to the DOLLAR and has had the effect of backing the currency.
And is why Russia, Iran and a few other adversary nations have wanted to change that standard for the last 12 or more years. Even though it has provided currency stabilization of all the world including those that now oppose it.

I would remind those that think the US is OIL independent that we still import a lot of OIL.
Trump, and EXXON-MOBILE want more of it to come from RUSSIA. So they want to relax the sanctions imposed on Russia from their invasion of Crimea (and other things) that would allow that to take place.

Some of those charts posted in this thread actually contradict what the author is trying to point out. You need to understand both the currency and energy markets to draw conclusions from them. Take them with a grain of salt or a barrel of pepper... ...LOL...

Regardless of what you think of Trump, Putin or the currency exchange rates, name calling is not going to change how the things about to transpire are going to effect you and I will say, many are in for a rude awakening. Calling names or belittlement of anyone is not going to help you change that fact.
You better get serious about your future.

01-06-2017, 09:51 AM
VRPdommy Too lazy to set a custom title Industry Role: Join Date: Oct 2014 Posts: 10,676	Worldwide, OIL is traded in US Dollars. So when you want to buy OPEC oil, you need Dollars to do it. When the price of OIL goes up, so does the need for DOLLARS. Hence the higher demand for Dollars brings the valuation up against currency's that need to buy them. Whenever the future price expectation for OIL is HIGHER, everyone buy's more DOLLARS in advance of that to save on future exchange rates. OIL is just about the only thing keeping the RUSSIAN Government afloat. The only other thing they export of any significance is VODKA and Military ARMS. Putin had told it's people that the US and Saudi's had conspired to deflate the cost of oil to ruin his government when in reality it was the decreased demand from China and increased production from the US and other nations including the Saudi's who do not want to give up market share. No matter the price, we are awash in OIL. The price of it has not been about supply and demand for some time. Just expectations of it that are easily manipulated from the reality on the ground by Investment Banks that play oil. Morgan Stanly is probably the largest oil trader in the world. Indirectly owning the most storage facilities and tankers that sometimes act as oil storage facilities. Since Russia is non-OPEC nation, their OIL becomes more attractive when the cost of the DOLLAR goes up as do all non-opec oil exporting nations raising the value of their currency. But oil is not the only thing effecting these markets. Shortly after the US went off the GOLD STANDARD, the agreement was made to tie the price of OIL to the DOLLAR and has had the effect of backing the currency. And is why Russia, Iran and a few other adversary nations have wanted to change that standard for the last 12 or more years. Even though it has provided currency stabilization of all the world including those that now oppose it. I would remind those that think the US is OIL independent that we still import a lot of OIL. Trump, and EXXON-MOBILE want more of it to come from RUSSIA. So they want to relax the sanctions imposed on Russia from their invasion of Crimea (and other things) that would allow that to take place. Some of those charts posted in this thread actually contradict what the author is trying to point out. You need to understand both the currency and energy markets to draw conclusions from them. Take them with a grain of salt or a barrel of pepper... ...LOL... Regardless of what you think of Trump, Putin or the currency exchange rates, name calling is not going to change how the things about to transpire are going to effect you and I will say, many are in for a rude awakening. Calling names or belittlement of anyone is not going to help you change that fact. You better get serious about your future.