With the dollar’s continued decline due to excessive debt racked up by the Obama administration, the oil-rich nations of the Middle East, along with a cabal of other countries including Russia and China, are discussing a switch to currencies other than the dollar for trading oil. This would mark the first currency change since the Bretton Woods Agreements (signed during WWII) collapsed in the early 1970s, eventually resulting in the U.S. dollar as the world’s reserve currency.
Such a switch away from the dollar obviously portends a loss of American influence on the world’s currency system. This erosion of the dollar is a direct result of out-of-control government spending, debt and money printing. These policies have so destabilized the dollar that even the Communist Chinese government has asked the administration to change course before inflation further devalues the dollar and Chinese investments in the United States.
Unfortunately, Obama’s agenda doesn’t include saving the dollar. When the dollar crashes under the pressures of unsound monetary policies and rising inflation, it will be too late to refocus.