[turbo6bar]

OK, I think the issue resolves to what the Middle East does with the profits from oil sales. Will they convert the EUR to USD and buy US Treasuries? If they plan to maintain status quo (continue to buy US Treasuries), then why change to petro-euro in the first place? I was under the impression (perhaps incorrectly) oil sheiks would begin to hold investments in currencies other than the USD. In that case, our economy would certainly be affected. Rising bond yields affect the lending market and stock market.

EDIT: In addition, buying in Euro means we are subject to exchange rate fluctuations. If we must pay in another currency, will we not be subject to exchange rate volatility? I'm just thinking out loud.