Tuesday, January 18, 2011
About a month ago, some took offense at our characterization of the Chair-hewlettpackard-man as a “bearded mutant-cum-supreme genocidal overlord” after we predicted to the dot that his monetary policy would eventually lead to a global, well, genocide, presumably first in the developing world.
Following riots, self-immolations and outright revolutions in Algeria, Tunisia, Morocco, Jordan, Yemen and Egypt, in the span of a few shorts weeks, we believe we have been once again validated. Putting the period in any debate of what Bernanke’s runaway money printing means to the life-expectancy of increasing number of people, is the latest news coming out of Sudan where “security forces on Tuesday arrested opposition leader Hassan al-Turabi and eight other party officials after they called for a “popular revolution” if Khartoum did not reverse price rises.”
And since economic slack in Sudan is roughly in line with that of the abovementioned other 5 countries, it is safe to say that the bulk of this move is speculation frenzy related, which in turn is purely a function of pervasive and free global liquidity. And this is still just the beginning. As Bernanke will not stop before the Dow hits roughly 36,000 expect these kinds of headlines to be an hourly occurrence.
More from Reuters:
Turabi’s arrest comes at a politically sensitive time for the government of President Omar Hassan al Bashir, who stands to lose control over the oil-producing south which last week voted in an independence referendum.
It also comes as Tunisia grapples with fallout from the ouster of its long-time president Zine al-Abidine Ben Ali, who fled the country on Friday after three weeks of violent unrest sparked by social grievances.
Sudan’s opposition threatened on Sunday to take to the streets if the government did not remove its finance minister and dismantle parliament over the decision to raise prices on a range of goods.
“This is criminal – how can they arrest a man who is 78 years old and put him in prison? We are scared for him,” Turabi’s tearful wife Wisal al-Mahdi told Reuters.
Ben Ali’s overthrow in Tunisia has reverberated across the Arab world, raising concerns about stability in other countries in the region which share the same mix of social, economic and political problems.
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And on the topic of price increases specifically:
Sudan’s price increases have sparked student protests in the country’s northern agricultural heartland and Khartoum.
The country is grappling with a current account deficit and a currency devaluation that is driving up inflation.
This month Khartoum cut subsidies on petroleum products and key commodity sugar, prompting protests over the past week, quelled only by baton-wielding police firing teargas.
Perhaps it is time someone at 60 Minutes had a follow up interview with Blackhawk Ben, asking him if a united developing world revolution is something he is 100% confident he can also contain…
This article was posted: Tuesday, January 18, 2011 at 8:34 am