If US$ collapsed - oil - Aussie Stock Forums

Results 1 to 2 of 2
  1. #1

    Default If US$ collapsed - oil

    guys, if the US$ depreciated severely sometime in the next 12 months as i feel it will, how would that affect the price of oil?

    would it be priced to another currency? or to gold?

    would it become more expensive or cheaper for us?

    Any thoughts on this? i couldnt find a similar discussion but i think its a possible scenario.


  2. #2
    Currency Trader
    Join Date
    Jan 2008

    Default Re: if US$ collapsed - oil

    the price of oil quoted in USD would increase, even if its true supply and demand levels didnt change.


    atm 40USD buys 1 oil. if the USD depreciates by 25% but the demand and supply of oil remains the same then the price would be 50USD for 1 oil.

    if the AUD increased against the USD by 25% during that same time, then the price of oil for AUD holders would not have changed.

    this works for all commodities and gold.

Similar Threads

  1. Yes we have no oil
    By Glen48 in forum General Chat
    Replies: 20
    Last Post: 20th-November-2009, 10:53 PM
  2. Replies: 21
    Last Post: 1st-February-2008, 01:56 PM
  3. 3 Coming inflection points and the global economy Part I - Oil
    By TjamesX in forum General Investment and Economics
    Replies: 16
    Last Post: 11th-July-2007, 01:12 PM
  4. Why is Asian Oil Demand Declining?
    By MARKETWAVES in forum Commodities
    Replies: 8
    Last Post: 21st-July-2005, 12:50 AM
  5. ROC/TAP Oil?
    By The Barbarian Investor in forum Stocks Q-Z
    Replies: 3
    Last Post: 20th-March-2005, 10:31 PM


Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
Aussie Stock Forums