Reported about 1 year ago
The 'Petrodollar Agreement' between the US and Saudi Arabia, signed in 1973 and expiring recently, was announced not to be renewed by a Saudi prince on the 9th, marking the end of the 'Petrodollar' era. This agreement tied the dollar directly to oil in international markets. While some analysts believe the threat to the dollar's reserve currency status is exaggerated, the termination of this agreement could potentially weaken the dollar and impact the US financial markets, signaling a detachment of the dollar from oil. The shift towards alternative energy sources and changes in global oil market dynamics have also played crucial roles in this decision.
Source: YAHOO