tag:blogger.com,1999:blog-2761684730989137546.post3828881911248511847..comments2024-03-29T09:32:34.853-04:00Comments on Mike Norman Economics: Saudi's continue to take on dollar loans. How long will they hold the riyal peg?mike normanhttp://www.blogger.com/profile/03296006882513340747noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-2761684730989137546.post-47952952789899749242016-04-20T09:30:04.775-04:002016-04-20T09:30:04.775-04:00I forgot to add that perhaps the Saudis will come ...I forgot to add that perhaps the Saudis will come to their senses and decide not to keep the peg. Other than that, there is no political reason to suppose the US is going to kneecap the Saudis. Forget all the nonsense now doing the rounds that the US has suddenly realised the error of its ways, understood the danger of continuing this demonic relationship, and is quietly but effectively ending the relationship. Unfortunately it's nonsense. In any case. if the Saudis want to keep the peg, the US will facilitate. Johnhttps://www.blogger.com/profile/18181631191840432399noreply@blogger.comtag:blogger.com,1999:blog-2761684730989137546.post-60647736755266894662016-04-20T08:32:40.266-04:002016-04-20T08:32:40.266-04:00Why wouldn't the US simply loan the Saudis all...Why wouldn't the US simply loan the Saudis all the dollars they need? There must be a hundred ways of dollars finding their way into the Saudi coffers. Given how important Saudi Arabia is to the US, it seems unlikely that the US won't come to their aid. If the US is willing to bail out numerous foreign central banks during the crisis, it's hardly going to let its most important ally implode. I hope for whatever reason Saudi Arabia does implode, but it seems unlikely that this will be the reason.Johnhttps://www.blogger.com/profile/18181631191840432399noreply@blogger.comtag:blogger.com,1999:blog-2761684730989137546.post-33457285413660041442016-04-20T07:17:56.197-04:002016-04-20T07:17:56.197-04:00Yes, you just have to have a position on like an &...Yes, you just have to have a position on like an "insurance" policy. It's gonna blow eventually.mike normanhttps://www.blogger.com/profile/03296006882513340747noreply@blogger.comtag:blogger.com,1999:blog-2761684730989137546.post-50996350360093711932016-04-20T07:00:07.080-04:002016-04-20T07:00:07.080-04:00I'm maintaining a small short position there M...I'm maintaining a small short position there Mike... may not go down (youve made the point that they have a lot of reserves....) but I dont see it going up either....Matt Frankohttps://www.blogger.com/profile/11978352335097260145noreply@blogger.com