The demise of the dollar
In the most profound financial change in recent Middle East history, Gulf Arabs are planning – along with China, Russia, Japan and France – to end dollar dealings for oil, moving instead to a basket of currencies including the Japanese yen and Chinese yuan, the euro, gold and a new, unified currency planned for nations in the Gulf Co-operation Council, including Saudi Arabia, Abu Dhabi, Kuwait and Qatar.
Secret meetings have already been held by finance ministers and central bank governors in Russia, China, Japan and Brazil to work on the scheme, which will mean that oil will no longer be priced in dollars. Read more
Abu Dhabi retail gold sales down 25%
Today: UAE. Retail gold sales dropped by about 25% in March in Abu Dhabi compared with the same period last year, an industry executive said this week.
Tushar Patni, managing director of Ajanta Jewellery added that if the price of the precious metal stays over AED100 (US$27.4) per gram then it could force closure of some retail outlets.
“Currently the price of gold is at AED110 and I expect that it will stay at this level which spells bad news for many of the smaller retailers here who will be forced out of the market,” Patni, who manages the largest retailer of 22 carat gold in the capital of the United Arab Emirates, told Reuters. Read more
Mines prof sees potential in energy crisis
The current fuel and energy crisis is only going to get worse, but at the same time, it will produce job, career and business opportunities for those with the imagination to see them, a Colorado School of Mines professor says.
Dr. Roel Sneider, the W.M.Keck Distinguished Professor of Basic Exploration Science at the Golden university, made that assessment for members of the Evergreen Rotary Club at their June 13 meeting.
“Many foreign companies are taking advantage of these opportunities right now,” Sneider said, “and we are lagging behind them.” Read more
Stocks drop as credit woes continue, oil rises
Stocks capped a difficult week with steep losses Friday amid escalating worries about the financial and automotive sectors and a rebound in oil prices. The major indexes fell by more than 1 1/2 percent on the day, and the Dow Jones industrial average gave up more than 200 points to end at its lowest level in three months.
While investors have seen other triple-digit days in the past year since concerns about the economy began emerging, the Dow’s first finish under 12,000 since mid-March could deal Wall Street a psychological blow.
An afternoon downgrade of automakers helped draw out sellers in the stock market while Treasury prices rose as investors sought the safety of government debt. Read more
