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UK, US TO RELEASE EMERGENCY OIL STOCKS

By Pete Moore On March 15th, 2012

Why is the UK (apparently) going along with the White House in order to influence a presidential election?

(Reuters) – Britain has decided to cooperate with the United States in a bilateral agreement to release strategic oil stocks, two British sources said, in an effort to prevent high fuel prices derailing economic growth in a U.S. election year […]

“The Obama administration can only take so much political pain from rising gasoline prices, which pose a serious threat to the economy and the president’s re-election,” said Bob McNally, a former White House energy adviser and head of U.S. energy consultancy Rapidan.

Obama is no friend of the United Kingdom, though a Left Wing operator like Cameron would undoubtedly prefer to work with him than one of the Republican socialists. I think there’s more to it it than this, however. The “pain from rising gasoline prices” is pain caused directly by the Federal Reserve’s flooding of the global economy with newly-printed money. The Dow and S&P are at four year highs, food prices are rising steadily, retail sales are at their highest for months and jobless claims are at a four year low.

Bernanke’s money printing has manipulated an inflationary boom, which is driving prices higher across many sectors. He will continue to print until price inflation is a very severe problem (while he and his chums protect themselves). We can see this because he can now turn off the tap and head off what is obviously coming, but printing remains at 10 per cent annualised while Washington and London make silly plans about releasing strategic oil supplies in what will be a futile attempt to lower prices.

I suspect the real target might be to head off oil price spikes if Iran is attacked, probably in the summer. Most people will watch on as usual and allow their governments to make war as they wish, but if they cannot afford to fill up their cars or buy food because of price spikes then unrest will very quickly break out, particularly during the time of year when schools are out and people drive more miles.

In any case, it’ll be enough to make a cat gag if Cameron does go along with this scheme to lower fuel prices in the US. It’s his government’s punitive taxes which make fuel in Britain the most expensive on the planet.

12 Responses to “UK, US TO RELEASE EMERGENCY OIL STOCKS”

  1. They’re doing it to satisfy the professional moaners and groaners at ATW who think that the price of petrol is high.

    Please, moaners, don’t complain about this now too.

  2. If Iran is attacked, those strategic reserves will be needed. It makes no sense to run them down now.

  3. Iranian banks have been disconnected from the SWIFT system for international transactions – presumably by the banking cartel which owns the US and UK governments. That in itself is effectivel an act of war. Now, the US has moved three aircraft carriers within strike distance of Iran. NB that this is within striking distance for Iran to attack – an invitation:

    http://www.zerohedge.com/news/enterprise-just-4-days-away-arrival-swift-cut-iran

    – The push to get Iran to do something terminally irrational (now that USS Enterprise in its final tour of duty is almost on location just off the side of CVN-70 Lincoln and CVN-72 Vinson in the Arabian Sea, where the US will shortly have not one, not two, but three aircraft carriers) is now in its final stretch. As AP reported earlier, Iran has been now entirely cut off from the global financial system, as that anchor of international financial transactions, SWIFT, has just taken Iran off the grid. This leaves Iran with just three options for international trade: making gold into a fully convertible currency, barter, or exchanging Rials for Renminbi and other local currencies. –

    It should also be noted that two Israeli warships have passed through the Suez canal so, if teh Iranians don’t attack the ageing USS Enterprise, perhaps the Israelis will ‘false-flag’ it. It’s not as if they haven’t done it before.

  4. And with SWIFT (owned by banks) shutting off Iran, international trade becomes almost impossible for most Iranians.

  5. Iran has a choice. Allow full inspection if its nuclear facilities and stop enriching uranium. In other words, comply with IAEA regulations, which it has defied for years. By refusing to do so, it is inviting an attack.

  6. Peter –

    Yes, Iran could do that.

    If I were ahmaddinerjacket I’d offer to do exactly that, to throw open every facility, everywhere, for full inspection.

    Right after the IAEA has inspected every facility in Israel.

  7. Right after the IAEA has inspected every facility in Israel.

    Irrelevant. We already know that Israel has about the same number of nuclear weapons as Britain.

  8. “Allow full inspection if its nuclear facilities and stop enriching uranium. In other words, comply with IAEA regulations, which it has defied for years. By refusing to do so, it is inviting an attack.”

    Peter, are you seriously calling on a lunatic and fanatic government to do the polite thing that no western government would do?
    And then if they do the same as Britain, France, the US, Israel, etc would do, they are “inviting an attack”?

  9. This is about nuclear proliferation. It is bad enough that India and Pakistan have the bomb. Are you seriously suggesting that Iran is entitled to join the nuclear club?

  10. Peter –

    You said it’s Iran’s refusal to treat with the IAEA which “invites an attack”. Why does that not apply to other countries?

  11. Why does that not apply to other countries?

    Because they are not threatening destruction on their neighbours and arming and supporting terrorist groups in other states (Gaza, Lebanon, Afghanistan).

  12. Peter – it is well-known that the US, UK and other NATO countries support terrorist groups. Their record is as long as your arm so there is no difference whatsoever between the supposedly moral west – and the US has actually used nuclear weapons – and the theocracy of Iran.