Lets trade oil in Euros

[Skyrad 0]

Surely America has had its day. It was fun while it lasted but every dog has its day and now we should start trading oil in Euros. Great idea eh? What do you think?

When an author is too meticulous about his style, you may presume that his mind is frivolous and his content flimsy.
Lucius Annaeus Seneca

[shropshire 0]

Not shit stiring there, are you J?

(.)Y(.)
Chivalry is not dead; it only sleeps for want of work to do. - Jerome K Jerome

[Skyrad 0]

Who me?

When an author is too meticulous about his style, you may presume that his mind is frivolous and his content flimsy.
Lucius Annaeus Seneca

[shropshire 0]

(.)Y(.)
Chivalry is not dead; it only sleeps for want of work to do. - Jerome K Jerome

[Skyrad 0]

Well, its looking good so far. 80% of DZ.com want to trade oil in Euros!

When an author is too meticulous about his style, you may presume that his mind is frivolous and his content flimsy.
Lucius Annaeus Seneca

[shropshire 0]

You plonka

(.)Y(.)
Chivalry is not dead; it only sleeps for want of work to do. - Jerome K Jerome

[tbrown 26]

I suppose it would be up to the people selling the oil. It's a very real possibility, especially if they see the Euro as a stronger and more stable currency. Americans, including me aren't gonna like it if/when it happens though. Not that it's worth going to war over, but it's really going to hurt in all kinds of direct and indirect ways.

Your humble servant.....Professor Gravity !

[Gawain 0]

I'd say no solely for the reason that the Euro is dependent on the health of twenty-some-odd sovereign nations in the EU, an idea with no constitution and little cohesion.

Other than that, nice stirring of the pot!

Edit to add: If OPEC ever got it up their crack to change shit, they'd switch it to Dinars I think. I could be wrong...

So I try and I scream and I beg and I sigh
Just to prove I'm alive, and it's alright
'Cause tonight there's a way I'll make light of my treacherous life
Make light!

[billvon 3,132]

>I'd say no solely for the reason that the Euro is dependent on
>the health of twenty-some-odd sovereign nations in the EU . . .

I'd think a currency backed by 20 nations would be less of a risk than a currency backed by one.

[Gawain 0]

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>I'd say no solely for the reason that the Euro is dependent on
>the health of twenty-some-odd sovereign nations in the EU . . .

I'd think a currency backed by 20 nations would be less of a risk than a currency backed by one.

In a way, that makes sense, however, let's say Eastern Europe's growth shadows upon Western Europe, and the fifth, sixth, seventh, and eighth largest economies in the WORLD (France, Germany, UK and Spain) falter worse than the stagnant growth they have right now...it's suddenly not as good. Not to mention the EU has no bonds etc. It's simply not the same.

So I try and I scream and I beg and I sigh
Just to prove I'm alive, and it's alright
'Cause tonight there's a way I'll make light of my treacherous life
Make light!

[vortexring 0]

Iran still seem pretty keen in changing to the euro.

'for it's Tommy this, an' Tommy that, an' "chuck 'im out, the brute!" But it's "saviour of 'is country" when the guns begin to shoot.'

[nanook 1]

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Edit to add: If OPEC ever got it up their crack to change shit, they'd switch it to Dinars I think. I could be wrong...

This may be hard as at this moment, only the Iraqi Dinar is a floating exchange rate. Others, such as Jordan and Bahrain, are pegged to the U. S. Dollar. Both those contries may have to float their money if they want to trade oil in dinars.

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I'd say no solely for the reason that the Euro is dependent on the health of twenty-some-odd sovereign nations in the EU, an idea with no constitution and little cohesion

This is changing, as the EU are working from being an Economic Union to a Politcal Union. As far as no constitution and little cohesion, they have a pretty complex and still evolving political structure which is the European Council, council of Ministers the EU Commision and the EU Parliment and their own Court of Justice. They are doing really good for themselves.

_____________________________

"The trouble with quotes on the internet is that you can never know if they are genuine" - Abraham Lincoln

[miked10270 0]

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I'd say no solely for the reason that the Euro is dependent on the health of twenty-some-odd sovereign nations in the EU, an idea with no constitution and little cohesion....

Having the Euro as the currency of numerous nations actually makes for a very conservative economic policy in those nations, particularly in the area of money supply. In effect, a single country can't "print" it's way out of a money supply problem in the way that Germany under The Weirmar Republic did in the 1920's or the way that The US is doing now.

AS to it being "Not worth going to war over." It is. A move to trade oil in Euros at the expense of the US Dollar could easily destroy the US economy, which is possibly a significant motivation for Iran, venezuela and the old Iraqi regime wanting to so trade. IN effect, they'll remove, or at least greatly reduce American trade & influence, particularly within the third world and oil importing countries. The current American trade influence would be replaced by the far less cohesive/restrictive European trade policies.

Mike.

Taking the piss out of the FrenchAmericans since before it was fashionable.

Prenait la pisse hors du FrançaisCanadiens méridionaux puisqu'avant lui à la mode.

[Lucky... 0]

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I'd say no solely for the reason that the Euro is dependent on the health of twenty-some-odd sovereign nations in the EU, an idea with no constitution and little cohesion.

Other than that, nice stirring of the pot!

Edit to add: If OPEC ever got it up their crack to change shit, they'd switch it to Dinars I think. I could be wrong...

Constitution? WHat does that matter? Legal schoolars would argue the value of ours anyway.

Cohesion? There is so much divide here, please.

And what BV wrote.

[Sockpuppet 0]

If it aint broke don't fix it.

Euros can be changed into Dollars. So why bother with the change.

The Euro is a shite currency. It has lost loads of value and most of the people with it dont want it.

Long life the Pound Sterling!

------
Two of the three voices in my head agree with you. It might actually be unanimous but voice three only speaks Welsh.

[Lucky... 0]

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If it aint broke don't fix it.

Euros can be changed into Dollars. So why bother with the change.

The Euro is a shite currency. It has lost loads of value and most of the people with it dont want it.

Long life the Pound Sterling!

I think it's symbolic for teh most part, but fluctuating currency makes the value of a barrel of oil kind of difficult. A standard is important for everything. The Spruce goose: Spruce is a standard for aircraft wood. I think we can all find standards for most everything, even if it isn;t the best, it's a way to understand and place into perspect other like things. You don;t want this standard waivering, you want it to be stable and the US dollar isn't. Furthermore, the US isn;t exactly the most favorite place for the rets of the world right now.

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Euros can be changed into Dollars. So why bother with the change.

That translation is now variable.

[Gawain 0]

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Cohesion? There is so much divide here, please.

Yeah, I know, that's why the EU constitution was so widely embraced, voted down, and now pretty much DOA.

The chances of the EU becoming a viable political union are next to nothing. France and Germany would want to run it, the UK, and eastern Europe know better and would not allow it.

The Euro is nice, but I think it's silly to ask a nation, that has existed for hundreds of years, to start to "give up" its very sovereignty and by consequence, culture, and identity. "Where were you born?" ... "I was born in the Province of Austria." (??!!)

I just don't see it over there. Here in the US, or even Canada, that type of idea isn't so hard to fathom -- states, provinces that have willingly offered political power forming a federal republic.

So I try and I scream and I beg and I sigh
Just to prove I'm alive, and it's alright
'Cause tonight there's a way I'll make light of my treacherous life
Make light!

[kallend 2,180]

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The Euro is nice, but I think it's silly to ask a nation, that has existed for hundreds of years, to start to "give up" its very sovereignty and by consequence, culture, and identity. "Where were you born?" ... "I was born in the Province of Austria." (??!!)

You haven't spoken to many Texans, I take it?

...

The only sure way to survive a canopy collision is not to have one.

• Quote

[nanook 1]

This is central to the whole argument in the first place. With the IMM and the Eurex trading, what money is out there is the one being the strongest. Lose confidence, people start hedging said currency and it devalues.

_____________________________

"The trouble with quotes on the internet is that you can never know if they are genuine" - Abraham Lincoln

[Gawain 0]

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Quote

The Euro is nice, but I think it's silly to ask a nation, that has existed for hundreds of years, to start to "give up" its very sovereignty and by consequence, culture, and identity. "Where were you born?" ... "I was born in the Province of Austria." (??!!)

You haven't spoken to many Texans, I take it?

I get your point, but one state in 50 has that power, or "right"...and they ain't France...

So I try and I scream and I beg and I sigh
Just to prove I'm alive, and it's alright
'Cause tonight there's a way I'll make light of my treacherous life
Make light!

[vortexring 0]

Quote

This is central to the whole argument in the first place. With the IMM and the Eurex trading, what money is out there is the one being the strongest. Lose confidence, people start hedging said currency and it devalues.

COFFEE! where the f is that from!?

'for it's Tommy this, an' Tommy that, an' "chuck 'im out, the brute!" But it's "saviour of 'is country" when the guns begin to shoot.'

[nanook 1]

Brak from Space Ghost(Adult Swim)

_____________________________

"The trouble with quotes on the internet is that you can never know if they are genuine" - Abraham Lincoln

[vortexring 0]

..r.r.right!!

I'm having that 'dit setup onto the lid of the coffee jar in work for every time it's opened.


Christ - sounds like the headshed

Pmsl

'for it's Tommy this, an' Tommy that, an' "chuck 'im out, the brute!" But it's "saviour of 'is country" when the guns begin to shoot.'

[Lucky... 0]

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Cohesion? There is so much divide here, please.

Yeah, I know, that's why the EU constitution was so widely embraced, voted down, and now pretty much DOA.

The chances of the EU becoming a viable political union are next to nothing. France and Germany would want to run it, the UK, and eastern Europe know better and would not allow it.

The Euro is nice, but I think it's silly to ask a nation, that has existed for hundreds of years, to start to "give up" its very sovereignty and by consequence, culture, and identity. "Where were you born?" ... "I was born in the Province of Austria." (??!!)

I just don't see it over there. Here in the US, or even Canada, that type of idea isn't so hard to fathom -- states, provinces that have willingly offered political power forming a federal republic.

They don't have to be nationally united, just fiscally united; wasn't that the point here?

[bob.dino 1]

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If OPEC ever got it up their crack to change shit, they'd switch it to Dinars I think. I could be wrong...

You are. It's not a liquid enough currency.

Since most nations need to buy oil, they need to keep a stockpile of the currency they can use to buy it. Ideally this currency will have low volatility (ie its value is stable) and plenty of liquidity (it's easy to obtain). The USD suits this to a T, and the EUR is gaining ground in this area.

If oil can be traded in EUR, many nations will be able to reduce their holding of USD instruments and increase the EUR instruments in their FX reserves.