There is some startling economic news today that I have not yet seen diaried. Please let me know if it has.
While it may not be entirely unexpected, the shoe has finally dropped: Iran has today stopped using the U.S. dollar for oil transactions.
More from CNN:
Iranian oil officials have said previously that they were shifting oil sales out of the dollar into other currencies, but [Oil Ministry official Hojjatollah] Ghanimifard indicated Wednesday that all of Iran's oil transactions were now conducted in either the euro or yen.
"In Europe, Iran's oil is sold in euros, but both euros and yen are paid for Iranian crude in Asia," said Ghanimifard.
I do not claim to have the knowledge of the global economy necessary to fully grasp the ramifications of this, but it seems like a rather important move for the world's fourth largest producer of oil to make. While it may not have much support in other OPEC nations, if the dollar continues to plummet it's only a matter of time until more take action and jettison it.
My apologies for the hit-and-run nature of this, but I want to get it out there for discussion. What effects will this have? Are we all doomed, or will it sort itself out?