The Iranian-Saudi Rapprochement Will Deal A Deathblow To The Dollar

Oriental Review ^ | 3/15/2023 | Andrew KORYBKO

[mac_truck]

According to the Atlantic Council,

[Wuli]

“Really? Maybe you want to read the list again. Bank failures, inflation, unemployment, gas prices all have a large impact on the dollar.”

And the effect on the dollar has been what??? And what do those things have anything to do with the Iranian-Saudi diplomacy? Nada.

“Many banks are in trouble because of rising interest rates, as a result the FED can no longer conduct QT or raise interest rates. “ Define “many”, just what % of banks or banks assests are in trouble??? I think you’ll find the % of banks and banking assets that are in trouble is small. SVB could have and failed to hedge its interest rate bets, as many other banks did, even many of the regional banks did.

“as a result the FED can no longer conduct QT or raise interest rate” Not true. It can, and it most likely will, and one reason it will is it cannot afford not to; it cannot afford to prematurely end its disinflation attempts and doins so now due to the small banking blip will give the wrong signals about how much most banks need any additional protection. Watch, the Fed will raise their rates another 25 basis points this week.
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“but over time other countries will look for another safe haven besides the dollar and the dollar will collapse.”

That has been predicted time and again and has not happened and nothting this time makes any stronger case than before. Its all speculation, not hard analysis.

[cgbg]

The sanctions have driven Russia, China, and India together into an economic alliance.

That said, I do not blame the Neocons for the Saudi/Iran future alliance.

Biden did that one all by himself.