– Oil Trading “God” Loses $500 Million In July On Commodity Rout (ZeroHedge, Aug 6, 2015):
It appears that after the great collapse of 2014, oil trading “god” Andy Hall refused to learn from his mistakes, and was convinced that oil would promptly rebound up to its historic levels. He was wrong, and as Reuters reports, after two consecutive months of 3% losses in May and June at which point he was up just 2% for the year, July was by far the cruelest month in history for the oil trader, a month in which he suffered a whopping 17% loss, one which lowered his aum by $500 million to $2.8 billion.
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The so-called oil god needs to look more carefully at what nations are being hurt. Russia, Brazil, Venezuela, Argentina, South Africa…….many of the key players in BRICS, and the expanding forces of electronic currencies. These nations not only produce oil, they are ones who expanded and strengthened the use of the electronic currencies, rendering the use of any world reserve currency obsolete……
The electronic currency was started by Hugo Chavez in Spring of 2010 for his small organization, the South American Trade Alliance. It included 11 small South American nations and Cuba. He introduced the Sucre, and for the first time, member nations could trade with each other using their own currencies without first converting to the dollar. The Sucre translated the value of each currency at the time of transaction, making the need for any world reserve currency unnecessary and obsolete.
The SATA was so small, it flew under US radar. Russia and China watched carefully, and upon seeing the success of the Sucre, adopted an identical system for themselves. China went on to recruit Turkey, Iran, India, much of the emerging African nations, including South Africa, Brazil and much of South and Central America, Australia and Canada……..This has removed much of the financial power the US had over the world……technology has thrown a huge monkey wrench into their system. For the first time, nations have the freedom to trade directly with each other using their own currency, converting to the dollar no longer necessary.
Brazil, Russia, India, China and South Africa are the five big leading names in BRICS, the eastern response to the FED and the IMF……..This oil war could end overnight, but greedy guts don’t like the undermining of the dollar……..too bad, the genie is out of the bottle, and nothing will put it back in. This is a greedy gut currency war, but it is too little too late. The dollar has nothing behind it but ink, and people are beginning to realize it.
The Saudis could cut back oil production, so could the US, but this is a financial war…..Do the people benefit? Not likely, it is all about and for greedy guts.