Art of the Deal: Saudi's Move to Crush Iran's Economy

[Tom Horn]

My guess is the next move is to support a democratic revolution in Iran. Obama helped the Iranians crush the last uprising, but now a new Sherriff is in town and the Iranian people know that we have their back.

That will be Director Haspel's first piece of business. If Barry had sent just 500 shotguns into Tehran in 2009 there wouldn't be a nuclear Iran problem.....but he just sat and watched the "Green Revolution" beaten and shot to death.

 

[ZZ PUPPS]

It's not quite that simple. The Saudis want oil at around 80 - as does all of OPEC, Russia, etc. They need it for their deficits and when they bring Saudi Aramco to market.

The World's Biggest IPO Is Coming: What You Should Know About Aramco

But can they sustain that price given supply and demand? I doubt it since the higher the price of oil the more oil comes on market.

Ugh, Brent is trading at 77 now...[/QUOT

It's not quite that simple. The Saudis want oil at around 80 - as does all of OPEC, Russia, etc. They need it for their deficits and when they bring Saudi Aramco to market.

The World's Biggest IPO Is Coming: What You Should Know About Aramco

But can they sustain that price given supply and demand? I doubt it since the higher the price of oil the more oil comes on market.

Ugh, Brent is trading at 77 now...

Well, why would the Aramaco IPO be affected by Iran? Iran's interest is rising prices too.

The Aramco IPO will be based upon the price of oil. Iran figures into it only to the extent of its price influence on the price of crude.

 

[candycorn]

My guess is that Iranian supported Hezbullah (sp?) will reek havoc in the ME.

Possibly locally, but they'll quickly be subdued.

Oh…who is going to do the sub-dooing?

 

[bendog]

It's not quite that simple. The Saudis want oil at around 80 - as does all of OPEC, Russia, etc. They need it for their deficits and when they bring Saudi Aramco to market.

The World's Biggest IPO Is Coming: What You Should Know About Aramco

But can they sustain that price given supply and demand? I doubt it since the higher the price of oil the more oil comes on market.

Ugh, Brent is trading at 77 now...[/QUOT

It's not quite that simple. The Saudis want oil at around 80 - as does all of OPEC, Russia, etc. They need it for their deficits and when they bring Saudi Aramco to market.

The World's Biggest IPO Is Coming: What You Should Know About Aramco

But can they sustain that price given supply and demand? I doubt it since the higher the price of oil the more oil comes on market.

Ugh, Brent is trading at 77 now...

Well, why would the Aramaco IPO be affected by Iran? Iran's interest is rising prices too.

The Aramco IPO will be based upon the price of oil. Iran figures into it only to the extent of its price influence on the price of crude.

Yes, I understand that. But how do you see Trump's exiting the Iran deal affecting price?

 

[LordBrownTrout]

My guess is that Iranian supported Hezbullah (sp?) will reek havoc in the ME.

Possibly locally, but they'll quickly be subdued.

Oh…who is going to do the sub-dooing?

Israel will. You were thinking they would reek havoc and nothing would be done?

 

[PoliticalChic]

My guess is that Iranian supported Hezbullah (sp?) will reek havoc in the ME.

That's "wreak havoc, Ug.

Or.....you 'reek.'

 

[Tom Horn]

Yes, I understand that. But how do you see Trump's exiting the Iran deal affecting price?

Iran's petrodollars are linked to bank accounts Trump will freeze so they'll have to cut production or try to figure out a scheme with China to avoid sanctions. That's why they say their "pain" should be short-lived.

 

[candycorn]

My guess is that Iranian supported Hezbullah (sp?) will reek havoc in the ME.

Possibly locally, but they'll quickly be subdued.

Oh…who is going to do the sub-dooing?

Israel will. You were thinking they would reek havoc and nothing would be done?

They’ve been entrenched in Beirut and the Bekah Valley since 1982 or there about. Israel hasn’t been able to do much to root them out. Not only that, they strengthened their hands legislatively in the parliament.

Has The Donald said there won’t be any US troops involved in another ME war?

 

[cnm]

We're better off with Israel and the Saudies than the EU and UN

that was meant as sarcasm btw.

I did wonder...

 

[tyroneweaver]

We should trust the Saudis?

Why not? Because they’re Muslim?

 

[Tom Horn]

Has The Donald said there won’t be any US troops involved in another ME war?

Who put US troop into Syria and who wants them out?

 

[ZZ PUPPS]

Yes, I understand that. But how do you see Trump's exiting the Iran deal affecting price?

Iran's petrodollars are linked to bank accounts Trump will freeze so they'll have to cut production or try to figure out a scheme with China to avoid sanctions. That's why they say their "pain" should be short-lived.

He can only freeze US accounts. Iran learned that lesson in round one. They have little that Trump can directly affect.


The sanctions worked in round one because they were universal in practice - most of the world supported them, including the UN. Now we are going it alone. Alone we will have very little impact. Iran will still find buyers for its oil.

 

[RodISHI]

View attachment 192697

So the average price is $2.813 when the announcement was made.

We’ll see what the price is in the upcoming months and the Iranian oil is off the world market.

It won't be off the market at all. It will simply not be bought by those that enforce the sanctions. Most of it will go to China and India. The same amount of oil will be bought...the particular pump will change in some cases.

Iran made that deal last year with China and warned its people they would have to tighten their belts.

 

[candycorn]

Has The Donald said there won’t be any US troops involved in another ME war?

Who put US troop into Syria and who wants them out?

Obama did I guess; not sure if that was one of Bush’s wars or not.
Not sure anyone wants them out since they are still there.

 

[Votto]

We should trust the Saudis?

Iran and the Saudis don't get along spanky.

They are both vying for control over that region.

 

[candycorn]

View attachment 192697

So the average price is $2.813 when the announcement was made.

We’ll see what the price is in the upcoming months and the Iranian oil is off the world market.

It won't be off the market at all. It will simply not be bought by those that enforce the sanctions. Most of it will go to China and India. The same amount of oil will be bought...the particular pump will change in some cases.

Iran made that deal last year with China and warned its people they would have to tighten their belts.

Good point ZZ PUPPS

 

[Tom Horn]

He can only freeze US accounts. Iran learned that lesson in round one. They have little that Trump can directly affect.


The sanctions worked in round one because they were universal in practice - most of the world supported them, including the UN. Now we are going it alone. Alone we will have very little impact. Iran will still find buyers for its oil.

True, but the sanctions are aimed at anybody selling them equipment to further their nuclear program. Germany is up to it's ass in that and Trump can sanction their companies or anybody else's who's in on that. Despite the dog and pony show, the President was PISSED that Macron challenged him in his address to Congress so he best keep his head on a swivel when it comes to EU tariffs.

 

[candycorn]

We should trust the Saudis?

Iran and the Saudis don't get along spanky.

They are both vying for control over that region.

And we should trust them based on that? Fifteen one their citizens (not counting OBL) slammed planes into our cities not too long ago.

 

[ZZ PUPPS]

He can only freeze US accounts. Iran learned that lesson in round one. They have little that Trump can directly affect.


The sanctions worked in round one because they were universal in practice - most of the world supported them, including the UN. Now we are going it alone. Alone we will have very little impact. Iran will still find buyers for its oil.

True, but the sanctions are aimed at anybody selling them equipment to further their nuclear program. Germany is up to it's ass in that and Trump can sanction their companies or anybody else's who's in on that. Despite the dog and pony show, the President was PISSED that Macron challenged him in his address to Congress so he best keep his head on a swivel when it comes to EU tariffs.

I agree with you completely. I was only addressing the sanctions impact upon oil.

 

[Votto]

We should trust the Saudis?

Iran and the Saudis don't get along spanky.

They are both vying for control over that region.

And we should trust them based on that? Fifteen one their citizens (not counting OBL) slammed planes into our cities not too long ago.

Who said anything about trusting them?

When Bush invaded Iraq secret e-mails showed that the Saudi regime told the US that they went into the wrong country.

It is in their interest to bring Iran to their knees. Otherwise, they will soon have nukes and the Saudi regime may soon be overthrown. And guess what, if that happens they will all be murdered and they damn well know it.

It's really up to the Saudi regime. It is either help the US stop Iran from obtaining nukes and dominating the region or kiss their assess goodbye.