Daily Update

Financial Crisis: US reveals 1.5 trillion bank bail-out plan

Civilians from Uganda to the Central African Republic continue to suffer from acts of terror committed by the LRA, which have been going on for 20 years. Forces from Uganda, South Sudan and DR Congo remain on the offensive, but will the LRA ever agree to peace?

Election watch: Leveled polls in Israel, where 20% are still undecided

Iran ready for "respectful" talks with the US

Millions of migrant workers face increasing hardship as a result of Russia's economic decline

Detained and tortured, opposition activists are yet to be released by ZImbabwe's President Mugabe despite agreement

Red Cross evacuates 240 Sri Lankans trying to escape fighting

The RMB and the USA

Brad Setser responds to Greg Mankiw's article on the Chinese currency situation:

China cannot subsidize its exports without also subsidizing US consumption of Chinese goods – and US borrowing. Of course, some in the US are on the losing end of the “low-priced Chinese goods for high-priced US government bond” trade – and those losses aren’t equally distributed. Some parts of the country tend to produce more goods than compete with Chinese goods than others. But the US as a whole benefits from China’s willingness to subsidize US borrowing … and the purchase of China’s goods.

Call me skeptical.

But Setser's conclusion: we can give credit to China for allowing the RMB to appreciate, but still talk to them about continuing to move in the right direction. Hot headed rhetoric is the last thing the US economy needs at this junction. A "Schumer - Graham" -like China tarriff could be the start of major trade war.

Daily Update

Indecision and Apathy: New polls reflect Israel's mood regarding the election

President Obama continues campaigning for economic stimulus package

Russian President Medvedev is slowly beginning to establish an independent profile, distancing himself from Putin, the man in whose shadow he has always stood

During his recent tour of Mogadishu, Somalia's newly elected president extended an olive branch to Islamists in an effort to bring peace to the nation

A Sri Lankan suicide bomber kills 28 and injures dozens as Tamil Tiger rebels continue causing turmoil

Venezuelans campaign for limits to Chavez's term as tension mounts

Cultures clash in India as a new generation of women is stepping outside traditional social boundaries

Daily Update

In Sri Lanka, more than 10,000 civilians have fled in the past few days from rebel-held Tamil-Tiger territory in the north, the government says.

Despite UN peacekeeping efforts, a massacre occurs in Congo

Death toll rises to 84 in Australian bushfires

Reconstruction of the Gaza Strip has yet to get off the ground, with political battles worrying aid workers that the work may never get done.

How to contain a nuclear Iran

Uprising to continue in Madagascar

Insecurity increases for jobless in Japan

Sarkozy defends his plans to revive France's economy

Political unrest occurs in Malaysia after chief minister forced out of office

Daily Update

Wildfires in Australia kill 35, government suspects arson

Lessons from Japan's "Big-Works" stimulus package

Iran's domestically-produced satellite raises ballistic missile fears; country celebrates the 30th anniversary of its Islamic Revolution

Iraq holds peaceful elections - but Afghanistan is "chaos central"

Europe strangely silent on China's "manipulated" currency

Madagascar protest turns violent, 23 killed

U.N. suspends aid shipments to Gaza, sends humanitarian mission to Zimbabwe

Daily Update - Special Focus on Russian Diplomacy

- Poland is "ready" for America's missile defense shield, but the Russians remain wary, and appear to seek a detente with the U.S. and its new administration, especially by pursuing mutual nuclear disarmament. Russia has reported that it will deploy Iskandar short-ranged nuclear missiles in Kalingrad in response to an extension of the U.S. nuclear shield over Poland - the missile shield issue will be a focus at the Munich Security Conference this Saturday, where the U.S.'s policy of re-engaging European allies will be put to the test.

- Russian interest and influence in removing U.S. forces from Kyrgyzstan are noted in addition to Kyrgyzstan's own complaints. Russia has offered the U.S. an alternative supply route to Afghanistan through Russian territory, but the U.S. still needs an airforce base capable of deploying combat missions to Afghanistan

- Russian media ignores accusations by opposition leaders that Putin is "Russia's main economic problem" - the Russian stock exchange has fallen by 80% and the rouble has been devalued by 35% since last summer

- A.Q. Khan, Pakistani nuclear scientist who admitted selling nuclear secrets to Iran, Libya, and North Korea five years ago, has been released from house arrest. Khan's leading role in Pakistan's development of atomic weapons makes him immensely popular in Pakistan, and Pakistan has denied U.S. and IAEA inquiries into how Khan was able to evade international proliferation controls.

-U.N. Secretary-General Ban Ki-moon gives an interview to The Hindu on Pakistan, Terrorism, the Kashmir Issue, other Indian concerns

Interesting Stories

China Declares Drought Emergency

Iraqi Prime Minister Dominates Votes

Somali Pirates Said to be Leaving Ships

Tamil Tiger Base Falls

The Unthinkable Option: Bombing Iran

Kristof: Myanmar

U.S. Searches for Alternative Base in Central Asia

In Bolivia, Untapped Bounty Meets Nationalism