₦airaland Forum

delishpot:
Then those devils will find another excuse/means to drink blood.

sashx:
The rise of the greenback looks like something to welcome. That is to ignore the central role the dollar plays in global finance

Dec 3rd 2016


THE world’s most important currency is flexing its muscles. In the three weeks following Donald Trump’s victory in America’s presidential elections, the dollar had one of its sharpest rises ever against a basket of rich-country peers. It is now 40% above its lows in 2011. It has strengthened relative to emerging-market currencies, too. The yuan has fallen to its lowest level against the dollar since 2008; anxious Chinese officials are said to be pondering tighter restrictions on foreign takeovers by domestic firms to stem the downward pressure. India, which has troubles of its own making (see article), has seen its currency reach an all-time low against the greenback. Other Asian currencies have plunged to depths not seen since the financial crisis of 1997-98.

The dollar has been gradually gaining strength for years. But the prompt for this latest surge is the prospect of a shift in the economic-policy mix in America. The weight of investors’ money has bet that Mr Trump will cut taxes and spend more public funds on fixing America’s crumbling infrastructure. A big fiscal boost would lead the Federal Reserve to raise interest rates at a faster rate to check inflation. America’s ten-year bond yield has risen to 2.3%, from almost 1.7% on election night. Higher yields are a magnet for capital flows.

Zippier growth in the world’s largest economy sounds like something to welcome. A widely cited precedent is Ronald Reagan’s first term as president, a time of widening budget deficits and high interest rates, during which the dollar surged. That episode caused trouble abroad and this time could be more complicated still. Although America’s economy makes up a smaller share of the world economy, global financial and credit markets have exploded in size. The greenback has become more pivotal. That makes a stronger dollar more dangerous for the world and for America.

Novus ordo seclorum
America’s relative clout as a trading power has been in steady decline: the number of countries for which it is the biggest export market dropped from 44 in 1994 to 32 two decades later. But the dollar’s supremacy as a means of exchange and a store of value remains unchallenged. Some aspects of the greenback’s power are clear to see. By one estimate in 2014 a de facto dollar zone, comprising America and countries whose currencies move in line with the greenback, encompassed perhaps 60% of the world’s population and 60% of its GDP.

Other elements are less visible. The amount of dollar financing that takes place beyond America’s shores has surged in recent years. As emerging markets grow richer and hungrier for finance, so does their demand for dollars. Since the financial crisis, low interest rates in America have led pension funds to look for decent yields elsewhere. They have rushed to buy dollar-denominated bonds issued in unlikely places, such as Mozambique and Zambia, as well as those issued by biggish emerging-market firms. These issuers were all too happy to borrow in dollars at lower rates than prevailed at home. By last year this kind of dollar debt amounted to almost $10trn, a third of it in emerging markets, according to the Bank for International Settlements, a forum for central bankers.

When the dollar rises, so does the cost of servicing those debts. But the pain caused by a stronger greenback stretches well beyond its direct effect on dollar borrowers. That is because cheap offshore borrowing has in many cases caused an increased supply of local credit. Capital inflows push up local asset prices, encouraging further borrowing. Not every dollar borrowed by emerging-market firms has been used to invest; some of the money ended up in bank accounts (where it can be lent out again) or financed other firms.

A strengthening dollar sends this cycle into reverse. As the greenback rises, borrowers husband cash to service the increasing cost of their own debts. As capital flows out, asset prices fall. The upshot is that credit conditions in lots of places outside America are bound ever more tightly to the fortunes of the dollar. It is no coincidence that some of the biggest losers against the dollar recently have been currencies in countries, such as Brazil, Chile and Turkey, with lots of dollar debts.

The eye of providence
There are lurking dangers in a stronger dollar for America, too. The trade deficit will widen as a strong currency squeezes exports and sucks in imports. In the Reagan era a soaring deficit stoked protectionism. This time America starts with a big deficit and one that has already been politicised, not least by Mr Trump, who sees it as evidence that the rules of international commerce are rigged in other countries’ favour. A bigger deficit raises the chances that he act on his threats to impose steep tariffs on imports from China and Mexico in an attempt to bring trade into balance. If Mr Trump succumbs to his protectionist instincts, the consequences would be disastrous for all.

Much naturally depends on where the dollar goes from here. Many investors are sanguine. The greenback is starting to look dear against its peers. The Fed has a record of backing away from rate rises if there is trouble in emerging markets. Yet currencies often move far away from fundamental values for long periods. Nor is it obvious where investors fleeing America’s currency might run to. The euro and the yuan, the two pretenders to the dollar’s crown, have deep-seated problems of their own. The Fed, whose next rate-setting meeting comes this month, may find it harder than before to avoid tightening in an economy that is heating up.

If the dollar stays strong, might protectionist pressure be defused by co-ordinated international action? Nascent talk of a new pact to rival the Plaza Accord, an agreement in 1985 between America, Japan, Britain, France and West Germany to push the dollar down again, looks misplaced. Japan and Europe are battling low inflation and are none too keen on stronger currencies, let alone on the tighter monetary policies that would be needed to secure them (see article).

Stockmarkets in America have rallied on the prospect of stronger growth. They are being too cavalier. The global economy is weak and the dollar’s muscle will enfeeble it further.

Source: http://www.economist.com/news/leaders/21711041-rise-greenback-looks-something-welcome-ignore-central-role?frsc=dg%7Cd

Kathmandu:
The Op will be be feeling fly but we all know he is our own Musiwa from Niger Delta

BermudaTriangle:
FFK is right

Self-defence it is !
Self-defence is right

Self-defence we want.

bolaino:
I want to categorically state that I support the motion by Sam Omatseye For CAN to buy arms and ammunition with tithes and offering. So that we can successfully drive out the wicked Hausa Muslim people in the Christian Land in the South.

http://dailynigerian.com/headline/the-nation-editor-sam-omatseye-urges-can-to-arm-southern-kaduna-christians/

ehinmowo:
D gospel of Christ is worth protecting at all cost. CAN and northern Christians need to do someghing fast. d gate of hell and its cohosts shall not prevail.

kodine:
wen u said cooking stuf was taken..i kno we stay in same barracks. Except u hv bin posted out....he said u can leave....but serious measures were not taken na...so many army HQ personnels are still occupying there flats....i kno its painful....but pls dnt spread dis outside...u kno the army u join...#justmyadvice

KingSango:
All Asiatics are a threat and are the mortal enemies of Kemet. Go check the history and our ancestors constantly suffered invasions by these people called Asiatics which includes Persians, Arabs, Jews and present day Europeans. There is no continent called Europe, because Europe sits in Asia. Western Asia.

PapaBrowne:
We prefer the Iran sponsored Hezbollah which is Shia to the terrorist Sunnis from Saudi who are sponsors both the Buhari crew and ISIS.

KingSango:
I will put together a survival package for you and your group so that you can survive the journey into Benin if that is what you decide. Survival skills are Ogun, Oshoosi and Esu, they are basic civilization that will help survival anywhere on the planet. Give me a little time and I will contact you and then send it. I'm thinking of making it a blog with survival videos and equipment suggestions. Ase.

KingSango:
Sango was Africa's greatest King and we must study him. If we want to reconstruct Oyo Empire and re-establish good relationships with neighboring African kingdoms then we must study Baba Sango. Marcus Garvey failed and so did Patrice Lumumba. When looking in the past to find solutions always look to the ancestors that were super successful not the ones who failed. Ase.

Nigeria is in a mess due to interference and high treason on the part of Freemason Nigerians disrupting the country to pull the society more towards Christian domination. This is also being done by Muslim Freemasons as well, attempting to pull Nigeria towards Islamic domination. This tug of war the European and Arabs started and they are sitting back laughing that Africans are going for it and have been for hundreds of years. I am aware that Fulani/Hausa attacked the South/Yorubaland and that they militarized Nigeria. They brought guns in and guns are for cowards, this is what the great ancestors said about guns and it is true. It takes a man to fight you with a sword, a warrior that has trained all his life for that moment, but any coward can pull a trigger. That is why there is so much violence with the gun because its too easy to kill someone when you have a gun. Guns should be outlawed in peaceful nations. But I am digressing. The point is that Nigeria is sick with division and if Oyo is to rise it must do it from a neutral position. The best place for this is in Benin because Yorubaland there borders Yorubaland in Nigeria. Its peaceful in Benin, Voudon and open traditional religion spiritually protects them. One could build in Benin and trek their way back into Nigeria and strengthen Yorubaland in Nigeria all the way to the North. Then relationships could be set up to help the Hausa people with the drought along the border. This cooperation by some Hausa people could build up an alliance that would rise up and exterminate Boko Horam for good. And once people begin to see that traditional government can feed, clothe and provide shelter for the people they will return to the traditions. This is what the blueprint is about. Study it from this vantage point. relationships with the Dahomey could be improved as well. Traditional governments that used to oppose one another need to put aside those ancient vendettas. They need to realize that Freemason/Illuminati religions are a threat to African civilization and are an oppression that will extinct us worldwide if not checked. The situation if let unattended will only get worse. But there is no need for violence because Sango doesn't do jungle justice. Jungle justice always goes the wrong way because sometimes the innocent are the ones most caught up in it. The collective consciousness of the masses is not equipped to render justice to anyone. The dumb masses are too easily manipulated by the goats. Ase.

GenBuhari:
Even when you don't get answers , the unanswered questions leads to more questioning or theories to think about, on why no answers are forthcoming.

Acjohn:
What has Nigeria or it government to do with them? Why are you specific on delta state cause the Lebanese are all over Nigeria?
How does the liberation of Palestine or destruction of Isreal improve the economy of Nigeria?
I think we have too many problems in this country that needs tackling than taking panadol for another countries headache who may not know you are in existence.
If you want to save Palestine, start saving you transport so that you can go and help them fight Isreal may be you can win Palestinian national honor and you tell me how that puts food on your old mother or fathers table

MadamExcellency:
The bible has the interpretation hence you got no right to misinform your audience.

Our salvation is our helmet while our sword is "the Bilbe" which is the word of God.

"And take the helmet of salvation, and the sword of the Spirit, which is the word of God:" (Ephesians 6:17).

GenBuhari:
Thank you .
It is interesting when you start to question things.

ZKOSOSO:
When u have Biafra of Nnamdi Kanu to contend with....wetin concern u with Hezbollah of Lebanon in Nigeria??

This is lobbyshhh

GenBuhari:
I have some questions for us to think on:

Was the money system was created to be unfair?

Why cant the all countries use the same currency of identical value?

What would happen if a country decides to opt out of the world monetary system?

Could it be done? What can they replace it with?

KingSango:
Hasua are good people. The relationship with them has gone sour because of the Automobile known as the car. Car means carriage where horses used to be the force behind the carriage, thus the term horse power, used to define how powerful an automobile can be. Alaafin Sango set up deals with the Hausa people that made both Empires powerful. Nigeria can learn alot by studying the administration of Alaafin Sango. The South grew tons of food because food grows well in the vegetation rich Southern land. But animals don't fair well in hot climates and they eventually eat up all the vegetation and trample over the land destroying crops. The North is more suitable for animals with cooler temperatures and lots of grass for them to graze. The exchange is simple, crops barter a little less than animals because an animal is a living breathing thing that has many purposes. The South needs to establish trade with the North again on those basis that way both can benefit from the land. We can't leave our Northern Hausa brothers and sisters behind in growth because this will force to them to move closer to our sacred Yoruba lands. War can be avoided with the right proposal and sacrifice. The drought is forcing them into the South because of survival but Hausa people are good people. The first Nigerian I ever meet was a Hausa man named Samuel Immaulle when I was a teenager. He shared with me so much about his culture and music. Baba Nigerians have some great music. I don't even listen to rap any more because the music of Africa is so much richer. But digressing. Take my advice and run with it, the issues between Yorubas and Hausas are nothing to solve. Nigeria must return to the horse and only make the finest cars. No need for so many cars because eventually you will need more roads and highways which destroy the natural environment. The Egun/Ancestors created the horse and natural transportation and to help with heavy loads. We need to stop copying the ignorant European in his infantile technology. Ase.

The Blueprint I shared with you includes setting up a horse and carriage driven empire.

apache1883:
In a bizzare case of dog eat dog, the commander of Guards brigade, Brig. Gen Yusuf has directed soldier who previously served in Guards Brigade and posted out to other army formation within Abuja to vacate their rooms. To make good his threat, he has assigned the room to other soldiers . Am a soldier with wife and child and my salary can barely take of my family talkless paying for another accomodation. I have approached my unit in Abuja for accommodation and they said there is none. Is this the change we voted for?.Senate committe ondefence, chief of army staff , minister of defence pls come to our help.

luvinhubby:
Wrong sir, we Jesus said "Sell your garment and buy a sword”, it is purely for self defense & not for conversion.

MeAboki:
What is new, haven't they been stockpiling weapons before?

iSlayer2:
Op has seen something. Something in your psyche has changed. Op what did you see or hear?

luvinhubby:
You do not know the bible.

GoggleB:
You must be kidding right

Would they now be forming soldiers of Christ or what
Bokoharam go too kill dem Ehen..
And Jesus Christ preached love not chasing away and killing..