The ruble's recovery still confounds the mainstream! But Grant takes the analysis a step further to show that oil may be trading in gold terms again, tying its price action to the proposed Shanghai crude oil futures contract (which has been delayed) and the Shanghai gold market. When that oil futures contract goes live, basically the countries that have been cut out of the USD-based financial system by sanctions will be able to sell oil for gold in Shanghai. This will be a very big deal, and few mainstream economists will understand why! No one knows the timing, of course, but it's certainly worth watching because it's an important piece of the geopolitical and financial puzzle.
In December, Grant Williams, author of "Things That Make You Go Hmm…" offered the most comprehensive analysis yet of the rise and inevitable fall of the petrodollar (and implicitly US hegemony). In the following presentation, from Mines & Money Conference in London in December 2016, Williams focuses on gold's performance in 2016, the reaction to Donald Trump's election and joins a series of dots that may lead to the end of the petrodollar system and a new place for gold in the global monetary system.