War with Iran Closer Then Ever: Israel and US caught between a rock and a hard place

http://www.chycho.com/?q=node/1397

Why is it that when the world should be celebrating, we are at the edge of our seats, waiting for the unimaginable to happen? Why is the United States intent on pressuring Iran towards a fatal conflict? Is it about oil, power, security, money, or nuclear energy? Or is there something more important, such as the currency in which oil in traded?

Last week, with the release of the report from the U.S. National Intelligence Estimate on Iran’s nuclear program, “16 U.S. spy agencies, including the CIA”, confirmed what Iran and the International Atomic Energy Agency have stated from the beginning: that Iran’s nuclear program is geared towards peaceful power production, not towards the development of weapons. Iran has an ’Inalienable Right’ to Nuclear Energy under the Nuclear Non-Proliferation Treaty, which means that they are in compliance with international treaties regarding their nuclear program.

So why is Bush still stating that Iran is a thread? Is he completely delusional or is there something going on that is not being reported? More importantly however, why are senior Israeli officials stating that they are “still considering the option of a military strike against Iran”?

The latest news from Iran may have many of the answers. On Saturday, Iran’s Oil Ministery stated that they have completely stopped carrying out their oil transactions in US dollars. This follows Iran’s decision in December of 2006 to permanently and absolutely phase out the US dollar by using the Euro instead of US dollars in their 2007 budget.

What Iran is doing has serious consequences for both the United States and Israel. If countries begin to buy oil in other currencies, then they no longer have to maintain large dollar reserves, which means that the demand for the dollar will decrease, hence devaluing the currency.

For example, it is stated in the above news release that “Japan, which purchases 20 percent of Iran’s crude oil, has recently agreed to pay for the crude oil in yen.” This means that they now have excess dollars. “On Friday, the Ministry of Finance reported that as of November 30, the value of Japan’s foreign reserves had hit $970 billion, which is yet another all-time high. This is the sixth consecutive monthly increase, and the fifth consecutive all-time high.” Since Japan is no longer buying oil from Iran in US dollars, it could explain why their US dollar reserves keep on reaching all-time highs while having “consecutive monthly increase(s)”.

What makes this dire for the United States is that at some point Japan will have to stop acquiring US dollars and actually start reducing its exposure by selling dollars. Once Japan begins this process, we will witness one of the most dramatic economic catastrophes the world has ever seen, possibly resulting in a 90 percent drop in the value of the dollar.

How will the economic demise of the United States affect Israel? The answer is simple; not counting the occupation of Iraq, Israel is the largest recipient of US foreign aid, to the tune of $14,630 of “total benefits per Israeli”. When the US dollar collapses and US citizens begin to feel the hardships associated with a serious recession (possibly a depression), then this aid may be reduced. A devaluing dollar must already be hurting the Israeli economy and its ability to purchase goods in the open market, this, along with any reduction in aid will devastate Israel.

It appears that while Israel and the United States are trying to strangle Iran with sanctions, Iran too is trying to strangle them by collapsing the dollar. This explains why both Israel and the Pentagon are stating that their plans to attack Iran have not changed.

Keep in mind that it is widely accepted that one of the main reasons that the United States invaded Iraq was because Saddam Hussein in the year 2000 went "ahead with its plans to stop using the U.S. dollar in its oil business" and start using the Euro. If the United states was willing to invade Iraq to prevent oil from being traded in any other currency then the dollar, then it would be logical to assume that they will also confront Iran regarding their plans to permanently and absolutely phase out the US dollar. The United states now finds itself between a rock and a hard place, because they will either need to invade, bomb, or enforce sanctions against Iran along with any other country that decides to stop using US dollars in their oil business, or they will have to watch the complete collapse of their economy and the devaluing of their currency.

Where this will lead is yet to be determined but we now know that the US dollar is completely collapsing, and that the United States is willing to sacrifice hundreds of thousands of lives, both American and foreign, and execute the leaders of sovereign countries to prevent them from switching from US dollars to the Euro.

Unfortunately for the United States, however this quagmire with Iran resolves itself, many other countries have already started to sell the dollar and to convert to other currencies. Some of these countries include: Sweden, Cuba, U.A.E., China, Russia, India, Indonesia, North Korea, Venezuela, and many more.

In additions, in recent months a few major events have unfolded that should give rise to concern. These events include: Nuclear Weapons going for a ride over the United States, Israel bombing Syria, US declaring Iran’s Islamic Revolutionary Guard a terrorist group, and Iran declaring the CIA and the US army as terrorist organisations.

This unparalleled build-up of military forces by both the United States and Iran is dangerously close to a full confrontation, and unfortunately, the predicated casualties for any military escalation in the Middle East are astronomical.

http://www.chycho.com/?q=node/1397