While there has been much discussion about China remaining on the Iran oil sanctions list while seven other countries have been taken off, I believe Japan and the PIIGS still remain on the list. I believe Iran is still providing very generous vendor financing on its oil, i.e. 45-60 days from the day of shipment.
The next round of the Greek elections is this Sunday and the oil sanctions go into effect on 07/01. The US and the EU are playing a very high-level game of poker with Iranian oil which some of their allies (Japan and the PIIGS) desperately need and which Saudi Arabia cannot produce. With China signaling that it will not blink, Iran will not blink. Have to believe the US and the EU will have to blink to keep the economies of the PIIGS and Japan from collapsing due to lack of oil. I think this is another nail in the end of the petro dollar coffin and very Au and Ag positive.
This is the most serious political and economic situation the West has ever faced all at one time.
Don’t forget Syria pits us against Russia in arms. The West wants to bomb Syria so bad you can hear the explosions already.
My feeling is simply that the end is not near, but it is here. There is no going back to good old times. The music has stopped and the chairs are full. The West is standing politically and economically right here and right now.