Saturday, May 06, 2006

$$$ pt II - IOB on again?

Heavens, has it been a few months since last I blogged this already?

Looks like Iran's Euro-driven Oil Bourse is all ready for the off this week, according to various places such as Marketwatch:

"Also on Friday, Iran took a step toward establishing an oil-trading market denominated in euros, rather than in U.S. dollars, by registering an oil bourse on the Persian Gulf island of Kish. On that market, oil would be sold in euros, according to the Associated Press, citing state-run television in Iran."

Interesting.

2 comments:

Tom said...

In economic terms, an Iranian Oil Bourse represents a much greater threat to the U.S. than an Iranian nuclear first strike!

Scribe said...

The impression I get (remembering that IANA Economist..) is that it's "dangerous" because it's happening at the same time as a generally strong state of Eastern markets - i.e. China, Japan et al could possibly afford (or switch away from) a weaker dollar. There might be some causality in there too, I'm not sure...

In many ways, it's merely a tectonic rebalancing of the global economy, much to be hoped for on a global scale, indeed. I guess the interesting bit is what the destabilised will do to put it off...