I was contemplating of throwing some light on the issue, but you coudlnt have said it and summed it better Indiman. Good analysis. I back this up. This is precisely what has happened. Also I'd like to add that the Venezuela's President is wanting to do the same, trade oil in Euros, thats why they are after him as well. The day Oil is traded in Euro's that will mean an END ot the US super power status. and that is what they are defending in the name of war on terror and war on islam as it is easier to occupy and control people under that guise for PR purposes and to fool their own citizens and the worlds. rather than go all out and say they are going in for oil. Its simple, if they really wanted to fight wars for human rights there are hundreds of other places they can go and occupy but do they do that. You guessed it right . NO. Anyhow. Its important for India to be smart here, as the coming super power and not get blown over in any scenario and to diversify, RBI should start buying EURO's and keep a decent bank of it. My two cents. Hindustan zindabad.
