US dollar at risk of losing dominance, warns Wall Street bank

News Network
April 4, 2022

The US dollar is dealing with some of the same challenges that the British pound faced in the early 1900s, before it went into decline, Goldman Sachs said in a research note released on Thursday. The Wall Street bank warns that the greenback could lose its global dominance.

According to the research seen by Business Insider, the move by Washington and its allies to freeze much of the Russian Central Bank’s foreign currency reserves has raised concerns that countries could start moving away from the dollar. Analysts explained the risk as due to worries about the power the dollar grants the US.

The challenges that Goldman Sachs named include the fact that the US has a relatively small share of global trade compared to the dominance of its currency in global payments. Another issue is that the country has a deteriorating “net foreign asset position,” with rising foreign debts. In addition, the nation faces geopolitical problems, such as the conflict in Ukraine.

The Goldman Sachs economists also said the nation’s large debts due to the fact that it is a big importer of goods could be a particular problem. The British pound, which was once the world’s reserve currency, was displaced by the US dollar in the middle of the 20th century. 

International investors were more reluctant to hold pounds after Britain amassed huge debts in World War II, the bank’s analysts noted. “If a reserve currency issuers’ debt is allowed to grow relative to GDP, eventually foreigners may grow reluctant to hold more of it,” they wrote.

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News Network
October 29,2024

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At least 60 people, including children, have been killed in Israeli strikes on several areas in Lebanon’s eastern Bekaa Valley, the Lebanese Health Ministry says.

The ministry said at least 58 people were also wounded in the attacks on 12 areas in the Bekaa Valley on Monday.

Of the 60 killed, at least 16 deaths were recorded in al-Alaq, west of Baalbek city, the ministry added.

The casualty figures were preliminary and are expected to rise as rescue efforts were still ongoing, according to to the ministry.

Baalbek governor Bachir Khodr denounced the attacks on the area as the "most violent" since the start of the Israeli aggression.

Israel has been targeting Lebanon since October 2023, when it launched a genocidal war on the Gaza Strip.

Hezbollah has been responding to the aggression with numerous retaliatory operations, including one with a hypersonic ballistic missile, targeting the occupied Palestinian territories.

Since late September, Israel has escalated its strikes against Hezbollah, killing its leader Sayyed Hassan Nasrallah and a number of its senior figures.

At least 2,710 people have been killed by Israeli fire, and 12,592 others wounded since the clashes began last year, the health ministry says.

The Lebanese resistance movement has vowed to keep up its operations against Israel as long as the Israeli regime continues its Gaza war, which has so far killed at least 43,020 Palestinians, mostly women and children.

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News Network
October 29,2024

Nagpur: Police in Maharashtra's Nagpur have identified 35-year-old Jagdish Uikey from Gondia as the man behind a series of hoax bomb threats that caused widespread panic, flight delays, and increased security at various establishments across the state, officials revealed.

Uikey, an author who wrote a book on terrorism and was previously arrested in 2021, is now on the run after police traced the recent hoax emails to him, confirmed a senior police official. The investigation, led by Deputy Commissioner of Police (DCP) Shweta Khedkar, uncovered substantial evidence linking Uikey to the threatening emails.

These emails were sent to multiple government agencies, including the Prime Minister’s Office (PMO), Railway Minister, Maharashtra Chief Minister Eknath Shinde, airline offices, the Director General of Police (DGP), and the Railway Protection Force (RPF). On October 21, Uikey even emailed Railway Minister Ashwini Vaishnaw, leading to heightened security at railway stations.

On Monday, the Nagpur police intensified security around Deputy Chief Minister and Home Minister Devendra Fadnavis's residence after Uikey’s email threatened a protest unless he could present his findings on a secret terror code he claimed to have deciphered. He also requested a meeting with Prime Minister Narendra Modi to discuss his information on terror threats.

In the 13 days leading up to October 26, Indian carriers received over 300 hoax bomb threats, with about 50 flights— including those of IndiGo and Air India— targeted on October 22 alone, sources said.

A special team has been deployed to locate and arrest Uikey, and authorities remain confident that he will be apprehended soon.

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News Network
October 29,2024

Mangaluru: A fraud case involving ₹43.32 lakh has been reported at the CEN station, where an individual was deceived under the guise of investment opportunities. 

The victim was promised high returns from stock and Initial Public Offering (IPO) transactions.

According to the complaint, the victim received a WhatsApp message on September 25 from an unknown sender identifying himself as Manju Pachisi, an Assistant at IIFL Securities Limited. 

The sender encouraged the victim to invest by sharing an online link, claiming significant profits could be earned from stock and IPO transactions.

Additionally, another link was sent via the Telegram app. Trusting the information, the victim transferred a total of ₹43.32 lakh in phases between September 26 and October 23. 

However, when he attempted to withdraw his funds, he was informed that he needed to pay a 25 percent commission. Realizing he had been duped, the victim promptly filed a complaint with the authorities.

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