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America, Saudi Arabia, and the Dollar

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by JR Nyquist, Financial Sense:

The alliance between the United States and Saudi Arabia has been strategically important for both countries. It has also been “financially” important for the United States. Should the special relationship between Washington and Riyadh come to an end, the financial fallout could be catastrophic for the American side. Relations with Israel, with Russia, with half a dozen other countries may be important; but none have quite the same impact as Saudi Arabia. Consider the 22 October Reuters story, “Saudi Arabia warns of shift away from U.S. over Syria, Iran.” King Abdullah is unhappy that the United States has softened toward Iran. The king is unhappy that America has apparently backed down over Syria.

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