In a recent appearance on The Wealth Transfer Show, Terry Sacka discussed the future of the petrodollar and what factors are affecting its current status today.
Raleigh, NC -- (ReleaseWire) -- 10/28/2014 --The Wealth Transfer is a financial television program that airs Thursdays at 10pm (EST) on the Christian Television Network (CTN) with host Dr. Charles Vance and featured speaker Terry Sacka, AAMS. The show is a platform that discussed topics dealing with global economics, biblical & financial principles and the preservation of wealth. Terry Sacka AAMS, an Accredited Asset Management Specialist at Cornerstone Asset Metals, made a recent television appearance on the show to discuss how the petrodollar and its relationship with crude oil resulted in America becoming wealthy over the last thirty years giving Americans their current quality of lifestyle.
He opened the show addressing the agreement the United States made in regards to how the petrodollar was formed and consequently how the "whole world had to follow." The petrodollar refers to United States dollars earned through the sale of its petroleum (oil) to another country. Throughout the years, the number one American export has been U.S. dollars as rest of the world has been using it to trade with one another there has always been tremendous global demand for U.S. dollars.
He explained how for many decades, the purchase of oil had to be made with U.S. dollars, but there has been speculation recently that one of the biggest oil exporters in the world, Saudi Arabia, could decide to start accepting other currencies as payment for oil. There has been much talk of the BRICS and most recently the news of Russia making a move against the petrodollar. It appears that they are quite serious about their de-dollarization strategy. Saudi officials have been warning of a "major shift" in relations with the United States.
Mr. Sacka went on to discuss how if this were to actually occur, the linchpin of this system which is the petrodollar, it's dominance would begin to disintegrate very rapidly. He closed the show with a variety of charts including the Chinese gold imports from Hong Kong 2012 vs 2013 and the Russian Central Bank Gold Reserves from 2006 to 2013.