Foreign Policy

How Iran used gold to thwart US and EU sanctions.

"“The United States,” Rickards writes,” had inflicted a currency collapse, hyperinflation, and a bank run and had caused a scarcity of food, gasoline and consumer goods, through the expedient of cutting Iran out of the global payments system.” Gold had become Iran’s lifeline."

So...

"“Natural gas is the source of almost all electricity in Turkey. I wrote in Apogee Advisory. “More than 90% of Iran’s gas exports go to Turkey. Iran furnishes 18% of Turkey’s natural gas. Without Iran, Turkey would depend almost entirely on a single gas supplier to keep the lights on–Russia. Under the sanctions, Turkey can’t pay for Iranian gas with dollars or euros. So it pays with gold.”
India likewise paid with gold for Iranian oil. Iran could then use the gold to buy food or manufactured goods from Russia and China."

The US inadvertently helped funnel more gold to Russia and China. Now that's the law of unintended consequences.

China and Russia's official organization.

"Russia and China have been building a Global Alliance Of Common Interests for many years. It is commonly called the Shanghai Cooperation Organization because the early, formal meetings about the common interests took place in Shanghai [and Shanghai is a great center of global business in China and of Chinese technocracy which has progressively replaced the Chinese communist regime, in fact more than in name]. But it is clearly a global alliance of great importance in Eurasia, the Middle East, Africa and even in Latin America."

Notice who is missing.

Israel angry US engages new Palestinian government.