End of 50-Year Petrodollar: Saudis Will Now Use Chinese Yuan and Euro

The end of the era of the petrodollar is a very serious turning point for the USA. Saudi Arabia is to trade futures with Beijing in the Chinese yuan, with almost all oil exports handled in the dollar since 1974 this will indicate a major change in oil trading. This bold move will be a huge boost for the struggling Chinese currency and also a message from Riyadh to Washington that it is unhappy with a lack of security support from the US.

OPEC BRICS

The announcement has sparked a flurry of reports that Saudi Arabia is poised to adopt the yuan for its oil exports, which would be a remarkable economic and political win for Beijing.

The Nixon/Kissinger 1974 agreement between Washington and Riyadh has now expired, with Saudi Arabia preparing to sell its oil in multiple currencies. The term petrodollar was coined in the early 1970s during the oil crisis, and the first major petrodollar surge (1974–1981) resulted in more financial complications than the second (2005–2014).

What does this mean for the USA?

Well, it’s game over because the petrodollar basically is the basis for the entire US economy. Because of the petrodollar, Americans can have cheap petrol prices, and cheap food and utilities prices. Without the petrodollar, stability in the economy disappears, and prices for every commodity will rise in the USA. This is something that no one in the media is daring to address or discuss, simply because if people realise what is going to happen, they will start shitting BRICS.

Sticker shock

Imagine Americans being forced to pay European level prices for everything. There would be riots in the streets. The current official US debt level is over 36 Trillion dollars, and the US economy relies on the petrodollar, as well as other nations buying US debt. Currently, Chinese levels of US Treasury bonds are at the lowest level ever, as other nations are also dumping the dollar at greater levels than ever before seen.

Massive levels of Quantitive Easing (money printing) by the Federal Reserve to prop up the U.S. economy will also contribute to hyperinflationary pressures, and the depreciation of the U.S. Dollar. As China and other nations dump the dollar, the Fed is forced to print more dollars, thus compounding its doom.

In other words, this is a shit storm that will decimate the US dollar-based economy, and other global economies as well because of globalist economic interconnectivity. If the USA sneezes, the world catches a cold.

One currency that is certain to benefit from the death of the petrodollar is Bitcoin. The increase in Bitcoin’s price is only at the beginning of its trajectory. So, if you have not invested yet — fill yer boots.