THIS COULD BE HUGE!!!!!!!!!!!!!!!!

http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2007/09/19/bcnsaudi119.xml

also

http://www.telegraph.co.uk/money/main.jhtml;jsessionid=ML2MP4LH0IRRHQFIQMFSFF4AVCBQ0IV0?xml=/money/2007/08/07/bcnchina107a.xml

Bretton Woods II?? Wow.

Excerpts from the 1st
Saudi Arabia has refused to cut interest rates in lockstep with the US Federal Reserve for the first time, signalling that the oil-rich Gulf kingdom is preparing to break the dollar currency peg in a move that risks setting off a stampede out of the dollar across the Middle East.

There is now a growing danger that global investors will start to shun the US bond markets. The latest US government data on foreign holdings released this week show a collapse in purchases of US bonds from $97bn to just $19bn in July, with outright net sales of US Treasuries

Excerpts from the 2nd
The Chinese government has begun a concerted campaign of economic threats against the United States, hinting that it may liquidate its vast holding of US treasuries if Washington imposes trade sanctions to force a yuan revaluation.

She said foreign control over 44pc of the US national debt had left America acutely vulnerable.

YA THINK??

"China has accumulated a large sum of US dollars. Such a big sum, of which a considerable portion is in US treasury bonds, contributes a great deal to maintaining the position of the dollar as a reserve currency. Russia, Switzerland, and several other countries have reduced the their dollar holdings."

There is always another view.

http://blogs.telegraph.co.uk/business/ambrosevanspritchard/july07/willtheusdollarcollapse.htm